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[STRONGUS]

FTXN is starting to run..this stock's low market cap continues to amaze me..there were press releases from
them about producing wells..the market cap is lower than what it would cost to buy a shell..

http://investorshub.advfn.com/boards/read_msg.asp?Message_id=26647057&txt2find=ftxn

one possible reason is that ftxn ceo is also GFCI CEO and he didn't deliver on the promises there..I am buying ftxn
hoping for a management change..looks cheap to me however I slice it..the following was posted on
another forum..take it as a pointer but not as a dd as no one can confirm the assumptions for sure..


By: been_burned_before
16 Feb 2008, 04:32 AM EST
Msg. 44220 of 44302
(This msg. is a reply to 44215 by cyofish2.)
Jump to msg. #
OT: cyofish: I beg to differ!

I just confirmed today (that would be Friday, February 15, 2008) that Ronnie Taylor's business (aka Precision Drilling, Inc., PDEI) spudded the 10th well for Universal Energy Resources, Inc. (UERI) last Friday (February 8, 2008). The 8th and 9th wells for UERI have already been completed (perforated, fractured and stimulated) and are currently in the process of being swabbed in preparation for bringing them on-line to the Producers Gas transmission line for gas sales. The contact is also saying that PDEI has already taken receipt of a new rig, but the new rig is still waiting on some key components before being utilized to step up the pace of this drilling program.

Now, PDEI spudded UERI's 1st gas well back in February 2007, and PDEI spudded UERI's 10th gas well in February 2008. So, PDEI is averaging a little more than 9 wells per year right now. PDEI will easily have generated $300k x 9, or $2.7 million in revenue for a recent trailing 12 months. Of course, most of us here already know that but only 51% of PDEI is actually owned by UERI, so essentially, UERI has generated about $1.38 million in indirect trailing twelve month (TTM) revenues; add to that mix the additional revenue from UERI's gas sales over the same time frame, which I estimate to be just a hair better than $600k (that would be the 75% net royalty interest portion), and you can get a respectable revenue stream.

Therefore, the annual revenue being generated right now is about $3.3 million. Now, out of those gas sales revenues, though, will come out the 50% Working Interest portion that will go to direct participation investors. Thus it should likely generate about $1.67 million in net revenues. That is not that bad at all for a little, start-up company with 8 employees. Of course, I have to admit that none of this makes a hill of beans IF we fail to receive shares in PDEI. Yet, given the facts that Grifco has already put out in the past, regarding PDEI, we DID own it at one time, as PDEI was proclaimed as a Grifco subsidiary that was "sold" to UERI. We must receive some compensation for it.

What truly amazes me the most right now is that Victory Energy (VYEY) has only professed to own 2 gas wells, only one of which is completed and the other of which was just spudded on or around February 6, 2008 (that is what they have claimed), and they are currently trading at a market cap of $2.5 million. If FTXN was valued, using the same broad based approach, it would trade at a market cap of $12.5 million. The pps, with their professed 76.3 million shares issued and outstanding, would essentially be priced better than $0.16 per share.

cyofish, I find it quite hilarious that you dare to proclaim that the only thing of any worth here is the tangible equipment asset. But an enterprising company is more than the sum of its tangible assets! If a small company can actually generate revenues and ultimately produce positive earnings, wouldn't that company be valued on something going beyond just the collective amalgamation of tangible assets? I really believe that you are far smarter than this; it does seem that you are trying very hard to disguise or bury the real issue.

For you concerned FTXN shareholders, by the way: The upcoming 75% net royalty interest check for December 2007 production will be issued to UERI, which is very encouraging news. Moreover, the payor has not an inkling of who VYEY is. You would think that if a substantial amount of FTXN's assets had been given up or relinquished to VYEY, the payor of the net royalty interest would have SOME idea, no? This fact must reveal that whatever VYEY is doing with FTXN, it must be some kind of direct participation "assignment of working interest" agreement, much like what HCP Investments, LLC has done with UERI. This does beg the question: WHY or HOW is VYEY touting their new gas wells as THEIR gas wells, and HOW are they drilling these wells? According to my latest reputable source, the only drilling rig that is doing any drilling to his knowledge is Taylor's old rig, and that rig is drilling on behalf of UERI. So, then, WHO in the world is drilling for VYEY?

Well, I must admit that the straightest answer to that question is an interesting one, to say the least. Visit VYEY's web site; located at the middle-left portion of the page, just underneath that nice pic of an offshore flare stack, you will see a link that is titled "** Click here for pictures of our latest drilling"; go ahead and click on that link and you will then see some nice pics of that actual drilling rig in action. It may interest you to know that that rig is Taylor's old rig. How do I know? Another Grifco shareholder visited UERI's drill site at Adams "127" Well 11 back on May 11, 2007, and he took pics of that drilling rig in action. The work crew told the shareholder that they were anticipating receipt of a new rig -- a bigger, better rig.

According to that work crew, the old rig is capable of going downhole as deep as 5,500 feet with 25-foot segments. That new rig is capable of going downhole as deep as 8,500 feet with 33-foot segments. As it turns out, the new rig (yet to be utilized) is a much better piece of drilling equipment.

You can compare the two pics of the actual rig here (the top one is a pic that was taken on May 11, 2007, and the bottom one was taken from the VYEY web site; as you will see, they are one and the same rig):

http://img213.imageshack.us/img213/6431/ueririgvsvyeyrigvn3.png

Been_Burned_Before