some direction finally, page-5

Hay TC and Quennevais,

Most detailed announcement I have seen from BUR for some time. Have had a pretty good look though it and past announcements to get a bit of a picture.

Joann is the stand out well so far (if you forget the time it took to hook up).
* no fraccing required
* gas production decline 15% in 60days
* condensate production decline was 20%
* should pay for itself by the end of the year

In the Heintschel field H#1 is the best performed well and it too should have paid for itself by the end of the year. This is interesting considering its production decline in gas is 65% and 80% for condensate but this is over approx 230 days and it came off a production rate that was twice that of H#2 or D.T.#1 intial production rate.

The reduced frac for those 2 wells appears to be the biggest mistake so far, in terms of making the most of what they have. They have declined by approx. 50% in gas and condensate production over 140 days, but they came of a smaller initial production rate and this has reduced their profitability.

Having said that, they have flagged refracs for the existing Heintschel field wells once they work out the story with the water. So hopefully no long term negative consequences.

Revenue for the Quarter should be about $8-900,000 with about %40 of this coming from Joann#1.

Overall, I think BUR's looking OK, without being being spectacular. I think some investors were perhaps looking for more income, and a more comprehensive Heintschel development plan. However, if you had been following the last few announcements, it had become pretty obvious that they didn't know enough to do that and would need to put another well in the ground to help optimise their fraccing for the development of the Heintschel field.

Looking forward to an action packed 2H 2011 and hope they can keep up their strike rate. Would be a big plus if they hit something good at Hill Prarie Bell!

Cheers,
turtle