1st NRG Corp (FNRC)

[Estate1]

I said I would check with a friend in Denver (whose retired from a large international oil company) about the CBM wells in Wyoming etc. His appraisal of CBM wells isn't that encouraging. For what it's worth here's his note to me.

"Regarding the oil company they are very small and the area they are working in is mostly coal gas. These are usually shallow cheap wells and are not overly prolific. The price of natural gas in Wyoming is dominated by several other plays more to the western side of the state. I read their press release and i would say any investment you make would be totally speculative. Use only your play money, but it could pay off. If it goes yup 10%you win. But not many growth companies operate in the powder river coal basin. If they are successful with a horizontal, those are much more expensive. They will need more cashflow to develop. So be wary my friend!"