will mos become a basket case

perusing the june 2007 report the following are some of my findings. i'll await the hard copy 'to pull it apart' in the bar over mi cafe con leches.

firstly the tables on page 4 show a sad story. revenues versus share price. the biggest annual loss in the table shows the highest share price ! the record revenue versus a share price of 17 cents for 2007 is now 17 cents history.

on from here tho and i'm a little concerned to see cash down to $3.7m v last yrs $6.2m.

ok, so cap expenditure is necessary but mos has been spending for yonks now and is not finding the real beauties that we all hoped for. if one spends then one must show something for it. mos is just is not doing this.

i see exploration and development is carried in the balance sheet at around $7m above last yrs figure. let's hope it has been wisely spent but this figure flatters the accounts a bit too much for my liking. one must remember that all this exploration and development expenditure is worthless if the end result is non commercial wells.

coe, did not after all my shouting, add to it's holding in any way. that's not going to help much as imo it now poss shows coe took it's position ahead of a successful hurricane ? that went belly up too. maybe more to it than that but there's not a lot left about mos that we do not know about. and what is left is not adrenelin stuff, is it ?

so just what is mos really worth ? i do not trust the reality of the profit made in this report. it has the tendency to go awfully wrong in the future with all the adjustments for explor and dev.

the cash is down and that concerns me because there has not really been any decent find to help matters down the track.

mos is going to burn cash to explore. mos's producing assets will not last forever and the cash will eventually dry up here.

mos looked like it had made a strategic attidude change with all the board and senior staff resignations of past yr or so. sadly things are not going at all well for poor ol' mos.

i won't write mos off just yet but time is running out.

one should say better bets elsewhere and that is the reality i suppose. hurricane long term might produce something but it is a long time out imo. png is not much as far as i'm concerned .

i'm disappointed with the mos board over the fact they tended to report the 'recent' hurricane drilling story 'as a possible in the future' as per bpt's 'plugged and abandoned'.

mos may be worth single figures. i will not pay more as we stand now. i have a 5k holding left. i will stay with my ear close to the ground, in the hope the pipeline assets and what other bits and bobs there are keep this one going just that bit longer for it to get 'lucky'. it does have cash flow but it needs to spend very wisely from here on.

a market slump will pobably see mos well under 10 cents. buyers have little to go for. holders are hoping.

sad.

be good,

40.