Ann: Investor Update , page-32

bkiwi747, there is a reason why TXN isn't trading on par with SEA. The two companies took different paths, with SEA's production-oriented path more respected by the market than TXN's explorer-focused business (Foss acknowledged this in May). Worse, TXN almost went comatose (minimal activity) from March to August during EFS sale negotiations.

To put this in perspective, SEA has an ongoing drilling program with its own equipment and a focus on increasing production as its own operator. Production was up 87% over the year to 1,558 boepd before the Bakken sale, with a 24 month target of 5,000 boepd. The Bakken sale was opportunistic, not strategy in my opinion.

TXN wants to be an explorer, not a producer except to cover costs and de-risk the investment. And since little new production or exploration occurring since March (except mainly lease requirements), TXN's price sank while SEA's price soared. It also doesn't help that RBS is the only ongoing active analyst of TXN, and may have been discouraging its many client until now.

That said, TXN seems to be getting back into business. So hopefully milestones will occur that push the share price back up.