Value Microcaps Motherboard

[kipp440]

POE.V - Reason for buy and hold.

I have posted eye crossing volumes of D.D. and guestimations on POE. Here is the simple reason I am holding for 2008.

Here are the results from the last 5 wells drilled since November:

L44H-D1 - 3940bopd (**Largest onshore well ever drilled in Thailand. Choked down due to inability to haul it!)
N52-D1 - 1921bopd
N58-D1 - 1480bopd
L44-H - 1265bopd
N56-D1A - 615bopd (They stated this one would be lower)

The average is 1844bopd.

They are drilling 28 wells in 2008. If 24 are successful, and come in at the 1844 average, that gives you 44,256bopd. POE releases the drilling reports during the quarter, so we can see how they are doing before the earnings.

At $80/bbl 44,265 barrels of oil is worth $3,540,480 each and every day. POE gets 60%. It costs $800,000 to drill a well. The total market cap of the company is $575 million.

http://www.stockhouse.ca/comp_info.asp?symbol=POE&table=list

I am holding for long term multi-bagger, just like ARD.

Kipp