very cheap on current reserves alone, page-4

I agree with what you're saying. I'm only saying it is yet to be convincingly proven for the market. Re-rate wont come until it has.

"The vast majority of the current production is from J-52 around 500 bopd and J-51 will do the same maybe a little more. Hopefully when we get the results from J-53 it will be in the 500+ bopd region as well."

I agree J50 was a learning curve, in more ways than one. Subsequent wells are much better. But I really think we need to see J53 results before market gives us credit for 500bopd.

So far its 1 bad and 2good. So market would be waiting a bit on j53.

Historical the feild averages around 400bopd. And techniques are constantly improving. So expecting 500 or slightly more is not unrealistic.

"The original line of thought was one where they would get to the trial production licence stage and as part of it they would be able to apply for some of the oil to be sold internationally because the domestic market was full to capacity and therefor the oil couldn't be processed locally. "

To be honest, I doubt this ever would've happened. If domestic capacity is full, then the local brokers will buy our oil cheap and export it for profit. No reason for JPR to export direct during this compulsory domestic phase.

"This I think is where the large capital raise talked about at the time of the AIM listing came from. If market conditions had allowed them to raise such a sum of money, they could have gone out and simply built the infrastructure required to handle the oil from Akkar East without having to think about other things and got the actual production licence much quicker."

They continue to mention funding. Maybe it won't be to the scale first envisaged, but I think you can bet on at least $10mil this calander year. That dilutes top end projections for future sp gains.

"Yes international oil sales are more profitable, but $52 a barrel for domestic sales should not be dismissed lightly. As at the moment the company has had to spend very little on infrastructure for its producing wells. They will be banking far more money than you expect, because a lot of the money has already been invested in the drilling of the well, so will go through as D&A (depreciation & amortilisation) and is really the recovery of money already spent."

The company has stated Opex is quite high. Due to tax losses and depreciation maybe $52 aint bad but it takes heaps of barrels to drill the next $6mil well.

"Hopefully the TPL for J-51 & J-53 will take much less time to be approved and production can get to 1600 bopd in Q4.

As for the full production licence I'm looking towards the end of 2013."

I think late 2013- mid 2014 would be about right. But like you said J50 and J52 took forever just for the TPL. So really J51 and J53 need to be processed quicker so market has faith that J50 was the exception.

We need to see consitant fast TPL approvals, consistent 500bopd and to a lessor extent see when Full Production starts. Only then can we re-rate significantly.

For example could you justify $100mil market cap on 1600bopd at $52bbl? I can't. So to a degree 2P valuations don't mesh with fundamentals.