Petro Rio S.A. ADR fka HRPTY

[Northsun0]

I just spoke to IR of HRT. First of all I was told they consider the shares to be very undervalued, since no value has been given to practically all of the companies assets. For example it's cash position and revenues from Polvo.

In respect to the Rosnoft deal for the additional 6% of Solimoes Basin that is now waiting approval from ANP and no news will be released till they receive approval. As stated before Rosnoft is also buying the drilling rigs and will be the operator of the project. The costs will be shared by both companies according to their ownership of the project.

Several companies have shown interest in HRT's Namibian holdings. All of offers made missed on a couple of points so they were rejected. Before making any deal they want to see what the results are from the drilling being planned by other companies.

They are selling half of their position in Polvo to lessen their risk in the project and to use the proceeds to invest in another producing project they feel this is the best and safest way to build production at this time. I got the impression they what to control expenditures to conserve cash for Solimoes and Namibian drilling.

IR could not comment on rumors regarding JG and Discovery, because they said that is all they are and it's between shareholders.

As confirmed by IR if an individual or company obtains 20% of HRT they most make an offer for the rest of HRT based on the economic value plus 20%.

This offer will be placed before the shareholders to either vote to accept or reject. Which I was very happy to hear that if we don't like it we can reject it.