I am struggling to understand, other than market conditions. The...

I am struggling to understand, other than market conditions. The oil price certainly is not helping, but they are 75% hedged. Gas also knocks a couple million off the profit. However, on ABN's numbers thye are on a PE of 7-8x, assuming an oil price of c.$80, gas of c. $7, currency of c. $0.94. By 2010, even assuming these conservative assumptions, the company will have nil debt. It has 20 years of reserves based on current proved reserves only. Obviously exploration will add to this. track record is consistent increase in reserves compared to production. So in 2 years the company should have over 20 years of reserves, no debt, no hedging, cashflow of c.$35m and at this rate a market cap below $100m. It just does not make sense unless oil goes to $60, by which time the share price will be 0!

This is not a tiny cap explorer drilling a few wildcat wells. AMU has mature proven reserves with low production costs and is still operating in a high oil price environment (just no longer a bubble).

Maybe oil will go to $60 over the next year or 2, but my money says it will not.

Just my opinion
Monty