I think AOK will exit 2013 with 1000+ BOEPD. Probably 1000-1200...

I think AOK will exit 2013 with 1000+ BOEPD. Probably 1000-1200 BOEPD. At that level they should be pretty close to cash flow neutral for their 6 wells / quarter .

Assuming they simply hold that production level, then the $11.5M is in theory just cream for them to do what they like. Potentially they could double their drill rate and still have money left over.

I don't think that the SP will stay below 15c long which means the Notes should convert ($ 7.5 Million USD)

Also they have about 75 million 15 cent options maturing at various times before September next year. Potenetially another $10 Million if they can hold their SP over 15c

I don't think cash is their problem. Thye just need to promote the company well to hold it above 16c support / resistance. They certainly have a good product to sell so it should not take alot of effort!!