re: Ann: Fortnightly drilling report - Anothe... Ok guys. Bare...

re: Ann: Fortnightly drilling report - Anothe... Ok guys. Bare with me here. I am trying to discuss two main themes. ACN = HUGE VALUE.. sigh.. I researched ACN a couple of months ago, had it on my watch list, but I just didn't pull the trigger. Thems the breaks I know. I think ACN is sitting on more than they realize. The conventional resources are very nice, as long as they can brought to production (Regarding the Western Flank tenements, they are already PROVEN to be highly valuable) But its the Shale that is the sleeper IMHO.

ACN tenements as shown in the slide below, when compared to SXY's slides/presentation info on its Shale potential points to very exciting shale. All the info is in the slides below clearly shows that ACN's tenements are going to be worth many multiples one day. The question is - is SXY going to gobble up 2nd last small cap in the Basin, or will DLS.
(I am surprised that DLS did not do a script offer, with their SP so high, while SXY is at good value, therefore, if they did decide to a script, I think ACN holders would quickly realize who is offering true value - all speculation on my part).

This image shows that ACN could also be sitting on some Coal Seam Gas as well.

My second point, is focused on the truly huge potential of SXY's shale. The presentation released 2/6/2011, just after the merger with Stuart Petroleum is excellent. All of this also has relevance to my earlier point btw.

SXY is sitting on a possible 14 TCF recoverable gas, NOT including liquids which as I posted earlier, could be the real $$ (140 TCF) and reduced to %10, which I know is highly conservative but a good starting point). Going by BPTs new conservative resource calculations, 1 TCF of gas = 84 million barrels equivalent. Therefore we are talking upwards of 1.1 Billion barrels. Once again, at a mere $10 a barrel, we have possible resources worth above $10 billion. Close to infrastructure, critical mass of rigs and trained personal going from the U.S shale revolution, is highly important to reduce costs and also increases acreage values quicker. Cooper Basin has it all.

As always, please if I have made mistakes etc. Let me know! I very much appreciate it.