As per my last post that we could expect to see the share price begin to improve from late March through June - I think the building blocks are now in place for this.
1) Update on EOK south with 20 new wells coming on-line. Therefore still on target for 140 by June 2) March 2010 quarterly should show at least a doubling of cash/revenue from Dec 09 quarter. that is $1.2m+, 3) Quarterly cashflow will continue to ramp up for the next 3 years and should be $10m+ within 18 months. if you chart their cashflow since 2006 up to say 2012 it shows a gradual increase then an exponential rise. 4) Decent amount of oil at Tulsa. NOTE these wells all decline from initial flow rates to stabilize around 20-40 barrels a well. This is normal. This project should yield around 200 bopd stablized. 5) substantial resource upgrade coming by mid year.
Some posters are referring to projected revenue numbers and David being inconsistent. You have to understand that the figures he quotes are net of NRI at 18%, and cash is received 60days later. His figures all look fine to me.
I can't give you any more colour on the share price other than the obvious. volume is very light. large shareholders are not selling and the price is well supported around here.
As i said, everything is on track just be patient. This is a great resource, low cost and in a sector attracting significant attention. All I can say is build it and they will come.
RFE Price at posting:
77.5¢ Sentiment: LT Buy Disclosure: Held
