United American Petroleum Corp (UAPC)

[LouisDesyjr]

Assumptions used in the PV10 reserve report

http://www.sec.gov/Archives/edgar/data/1321516/000160423215000086/ex99_1.htm
According to the reserve report, they used prices of $4.435/MMBTU and $91.48/barrel; but right now WTI is $45.51, and in the last year the high was only $85.67. Most people are expecting that oil is not going to go over $70/barrel for a few years, providing it can get back up to that level within a year or two. If that happens, it will knock a considerable about off of the PV10 valuation, since the most recent years in the PV10 calculation would normally have the highest effect on the final PV10 number. (Numbers out near the end of the PV10 would be discounted more years and have a lower PV10 number.

Louis J. Desy Jr.