Some quick calculations of confirmed results (see ann.5/8/14)...

Some quick calculations of confirmed results (see ann.5/8/14) suggest WLR are operating at annualised revenue base of a shade over $1, 050,000 (see calculation below). These calculations do not factor in the expected increase flow at Klick, or both flow and percentage boe at Welch-Bornholdt. The question is then "where to from here?".
Obviously extension of agreements across the US, so far proven successful, is one strategy that should see a more profitable future.
However this expansion in the US must be balanced against building a stronger cash position. I would like to see cash reserves exceeding $1.5 million established in the medium term. This is to both reduce the risk of further capital raising which erodes shareholder capital, and to give the company better leverage when negotiating within the US.
Once established and with potential further improvement in US production, Brazil must re-enter as a focus. Previous announcements of live oil give reason for hope that Brazil could unlock a major re-rating. A measured approach and medium term outlook could answer the question, but the company outlook is certainly more positive than it has been in a while.


The Klick oil production of 1399 boe at 40% net revenue based on 71 days for the quarter (19 days were lost) resulted in revenue of $58,396= $42/boe to WLR.
Welch-Bornholdt at 250 barrels/day @20% oil cut gives 50boe/day. Again using 40% net revenue to WLR this projects to revenue of  $189,000 for the quarter. Adding the two figures and annualizing the figures suggests annual revenue of $1,053,864.