Ann: Alaska Projects Update, page-74

Hello spinefxThere is a mass of details over this 4 years of Alaska land development.I have always said:1 we are small business with limited finances and staff levels2 the HRZ project is new rock formation and very deep3 we should focus on getting HRZ commercial oil flow4 then expand land holdings, look at conventional from position of strength.I believe 88E / BEX should have brought in outside experienced unconventional expertise from 2017 summer when Icewine 2 first had problems.Then we would be maybe 2 years ahead of current position. 2018 horizontal could have been implemented giving two shots at oil flow - vertical and horizontal.SP would be strong, finances strong, enabling safer take on of conventional, Yukon or whatever.You may remember two thingsB designed Icewine 2 as vertical and horizontal well. If this had been followed through then 2017 Icewine 2 would likely have flowed on the horizontal pipes. But 88E wanted to save money by taking horizontal option out.Meaning in both cases, unconventional FO could be operational by now, instead of one or two years behind.This is what I originally invested in.However:First, we shareholders know virtually nothing compared to 88E / BEX staff. They could have reasons we are not aware of.Second, when other routes are taken it seems sensible to support a successful outcome. Unfortunately Winx failed and we suffered an unnecessary loss of reputation.The oil assets are still under Central North Slopes Alaska. And now DW has worked hard to get these two projects back on track.For potential incoming production company X two, the scale of what can develop here is beyond imagination.100's high tech wells.Possibly 1000 staff in field and on computers driving horizontal wellsA field life cycle of 15 to 30 years.For both well types combined, possibly $1 trillion gross profit.In part, this maybe one reason for extended FO negotiation. Farmee needs a lot of long term planning.Phrontist