the niobara acreage is not proven, page-19

Given the nature of available reserves there isn't going to be much exploration with POO at or below $70 bucks .... with the current price vicinity actually needed to maintain a reasonable exploration effort and investment in new technologies. SO the world will have to pay what it has to pay because there isn't an alternative.


As Disney's Cars 2 movie indicates there aren't many large low lying fruit around. We are left with declining elephant fields, smaller (commonly brown) fields, a mega biofuel sham (as intimated in the movie lol), huge reserves of deep sour crude, plenty of geologically challenging high risk plays, currently uneconomic true shale oil/ tar sands plays, natural case, syngas // GTL, and tightish shale reservior plays such as the niobrara.

Further, POO is being driven less and less by the US. Even in recesion mode BRICS demand is likely to increase , albeit at a lower than expected gradient. IMHO Poo is likely to remain volatile but the long term trend is bullish. While it can easily drop below $80 it won't stay there for long in my uninformed opinion. This all bodes well for companys such as SSN.

cheers