Ann: Monthly Production and Operations Update, page-8

TLT is correct

boe 6:1 is universal and is based on calorific energy of oil and gas

i.e. 1 barrel of oil generates about the same amount of BTU as 6 x mcf (not sure of the exact unit) of gas.

Economically, it is not the same

1 barrel of oil is $100 and
gas is say $4/mcf so 1 boe = 6 x $4 = $24.

In Australia where gas is trading at or above $10/mcf, it's less of an issue. But in US, due to the low gas price, it's a big criticism against O&G companies as it can be misleading to the uninitiated.

Unfortunately most companies report BOE, so AOK would be selling itself short if it didn't. But as investors, one should always take care when interpolating these results.

AOK is well disciplined and detailed in their reporting and they always emphasis the % of oil in their boe, so it's easy to calculate backwards.

However, anyone that says "for a company going to at least 1,600 barrels a day by the end of the year, why is it so undervalued?" should reassess their question.

In any case, this is certainly not a down ramp. I believe AOK is doing a great job and as long as it can maintain its current growth path, 30-35c by the end of the year should be readily achievable. And it is still trading at a bit of a discount to its NPV10.