Same Hap & all,I agree with your summary. For me a pretty quiet...

Same Hap & all,I agree with your summary. For me a pretty quiet new year, good beach weather but a bit of a disaster for the oilers.

7 years is a long time how the time flies, I'm a newby with only 3 to 4 I think. I like this one and think it has been one of the best managed juniors over that time. A very good stock to study and imo holders should be able to use as a solid benchmark if looking at others in regards value and risk. If you find better financials or reserves/ EV etc on others it is most definitely undervalued, if not they are probably higher risk and overvalued or without sufficient cash to deliver on expectations meaning CR's or farmouts. Over the years without exception the others I watch have had large market cap falls on volume which I think is because gradually the day traders have moved from the sector and the false values this supports has gone leaving the longer term investors who don't stress over the SP. To some degree these falls were consistent with my analysis which gives some confidence that with review fundamentals do matter and will ultimately prevail.

It is a small following here but overall they have held pretty tightly. Imo coy financials are sound and I think unlikely mgt would be worried about the future or low OP . Imo they are following a plan to develop the assets and have sufficient cash to grow slowly and any drilling success will add so there is really no reason to rush but conserve cash and maintain the profit.

The low OP is not a bad thing for low cost producers as it lowers the water level and highlights the weaker companies. These times are the best to be watching for opportunities in the future & fwiw I think GGE, PSA and SSN are three to be watching over the next 6 months. They imo will survive and grow but I have no idea if the SP will reflect this opinion so in some ways better to watch and wait for news or indicator on sector sentiment improvement. Low volume looks to put pressure downwards no matter how good a stock is.

The low admin costs give us a competitive advantage as we only spend around $800k per year which is easily covered by current production even with low OP, that means we need less oil/gas per day to cover fixed cost. The recent announcement gives an estimate of the effect on the main wells profitability in low OP situation.

One day we may have that beer but probably not yet I guess. I've been watching some nearby drilling up near West Klondike to ease the boredom - Fleetwood Project - it is not our project but could give some insight into further potential for us up there. Also the La Contera area in the preso was where the La Posada well WI we sold was so puts a positive perspective on mgt's ability to identify and monetise good projects.
All my opinion only
Take care and bw