Ann: Pathfinder Project remains Economic in Low Oil Price Environ-AKK.AX, page-25

Some chalk, some cheese. There are some core similarities though, Gassed

1. Both have marginal acreage and projects and need significant recovery in commodity pricing to make economic sense. That is a deep subject and as you say punters are not interested in it.

2. Neither knows how to get operating cash flow positive at the corporate level (yes its tough for explorers but both tout (or touted) themselves as producers. Long way from free cash flow positive so cash from financing (or asset sales) is their modus operandi.

3. Neither has assets of value (ICN has ATP855 but while a 2C discovery exists little chance of converting to 2P let alone 1P and AKK sold its 1P/2P EFS and Pathfinder is still the same cow pasture it was when we first started talking on this board - remember all the Wattenberg field comparisons from same mgmt).


Key difference is that AKK is tradeable for the punters (which isn't me) whereas ICN doesn't really have much in the short term catalysts lineup. So in that respect we all understand the air being pumped into the AKK balloon. No question its a case of "Hurry, Hurry, Hurry! Step right up Ladies and Gentlemen to the most spectacular, most iconic, most world class opportunity of a lifetime". WE GET IT (or at least I do).

Said it before and I'll say it again - Asymmetric risk reward trade. If the hype and spin on good flow results can get the price up (say 1.7cps) most of the present tribe will exit with a profit (good on them) and pass their parcels to the next group and its starts again. What will have changed for AKK with 3 successfully producing Pierre wells at years end? The rhetoric will be sky higher!