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Sunday, 09/05/2010 2:51:08 PM

Sunday, September 05, 2010 2:51:08 PM

Post# of 42997
On the website in the 2009 closing report the company reported spending $50,000,000 for expenditures over the years to research oil locations.
The report also states that and independent researched and anticipated at least $3.3 billion in oil hiding under the dirt and rock. OK lets look at the numbers:
Using a total of 413,000,000 shares outstanding divide that into the $50 million and I come up with 12 cents a share. Hmmmmmmmmm

So if I add the 12 cents on to my share cost and that varies from shareholder to shareholder, so it 12 cents + share cost = ???

Now divide $3,300,000,000 by 413,000,000 and I come up with $7.99 a share. Not a bad return. Now that's the going price for oil in the ground if you take it out its a bunch more and the $3.3 billion is a low ball estimate.

And now the realistic numbers and this is my opinion based on what experts told me and they were conservative. Mark Callaway says 30 billion barrels at least so I say lets use a half of that.

15 billion barrels at a net profit of $50 / barrel = $750 billion.
Now subtract 1/2 for the Joint venture and we come up with $375 billion. Don't worry about the Tasmanian cut because I took that out already, that $50 net has taken care of all expenses.

So now divide the $375,000,000,000 by 413,000,000 and I come up with a share value of $907 a share.

Before you get exited remember we don't know the real amount of oil we have but it does show the potential. Also note that it will take years to get the oil out of the ground but NOT years to move the stock price up. The stock rise will go up way ahead of the oil extraction.

I don't know what the actual oil price will be but I think the direction is up and I also don't know how much oil we have but the experts in the company and by the way so does our big investor all believe its a hell of a lot more then $3.3 billion.

Remember the adage "Follow the money!", well there are more billionaires following this stock and many are on the Board of Directors.

I don't consider this a gamble but more like an investment that's very low risk.

OK! Now you can get excited!

This is only my opinion!

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