Member Info for CaveatEmptor

Almost 30% of those reserves belong to SLME - Total sales value of about $50m to SLME (£8m net revenue at today's prices) - not including the untested sands... so high 20s a fair estimate at this point, ATB-CE

Currently Dominion and its partners is the leaseholder of 1,440 acres offshore Corpus Christi in approximately 60-82 feet of water. The area was previously operated by Samedan Oil Corporation in the late 70’s, early 80’s. Samedan produced in excess of 120 BCF of Gas and over 4 million barrels of high grade API 43 Condensate from the area. Dominion believes that there is in excess of 25 BCF of Gas, 1 million BBls of condensate along with a further upside in the deeper untested sands that are also productive in the bay areas, a direct offset to 818. Dominion re-entered the I-1 Well in 2011 and have now installed the produciton facilities and pipeline hook up. A further 3 wells are planned for this area.

Looks to have been a good day - start of the price correction?

Much as I expected really, 20Km of high pressure pipeline takes a while to charge and clean up can't be rushed. Over $30,000 of production in February net to SLME so about so about 40% of expected flow following clean up. Good news is that we are producing in line with expectations, not so good news is that another month of patience is required here. GLA

I agree that the price has probably fallen too far to get back up to 14p in the very short term, but good flow rates could get us up to 11p or 12p IMO. Announcement of the next development well will probably be needed before we start the long march back into the 20s. With a 33% interest in the next well, that should offer us about $700k pa profit after taxes and we will then be making operational profit - well should be completed before the hurricane season starts, so quite a bit of action here by the end of summer. ATB

I think the thing to remember is that the entire oil/gas distribution pipeline for many different wells and operators had to be shut down. The entire network has to be recharged and this takes time. Nothing anyone can do about that except chill and wait for it to stabilise so we can get our final flow rates. Then we can move forward with Dominion as a 33% partner to drill the next well - we already have finance and the resulting income from that well will put us into operating profit ( I would put that as being around May or June this year). Sure as eggs is eggs we will make money in 2013 and current investors won't be the only ones that want part of the action. Said it many times before, and will probably say it many more times during the next three drills - I'm very comfortable here and am looking forward to getting an excellent return on my not inconsiderable investment. ATB - CE

Of course, when you buy such a large slice of a publically traded company you have to realise there are probably only 20 or 30 other people in the entire world that can, or want to, match your investment - at this level it ceases to be a trading option IMO. - If you try to sell all your shares in one go it could cause a collapse in the SP and you may get back less than you might hope. Only a few trades each day here so exit is not so easy for those with large stakes. Although that is not to say that you can't still have some fun trading smaller quantities on a daily basis, or larger quantities during times of greater liquidity around the announcement of material news. If. like me, you have invested heavily based on the income prospect of developing the field, then in a year or two you could get an excellent return on your investment. Market cap will eventually reflect future production and company investment in additional prospects and licenses. As the Market Cap increases, so should the liquidity of the stock and then it will be easier to make an exit, should you want to do so. I look forward to attending the investor presentation in June at which time short to medium term strategy should be fully formulated. Good luck with your investment here! ATB-CE

Hard to believe a 1%+ shareholder in a company would ask questions about the company on a bb like this when their shareholding would merit direct contact with the CEO whom could offer a much more informative answer?

Not sure what you hope to gain with a pressure group. SLME only has a <17% share of I-1 and Dominion is calling the shots. I don't see how attacking AM will help- he currently has about as much influence as you or me. We have >33% stake in all future wells on the field ( anything over 25% gives considerable operational influence) and that is where AM's time is best spent IMO - he has already secured finance for another three wells - that should be worth around 200 boed to Slme - and big profits to the current shareholders. I own over 2% of this company ( I bought more on weakness after the recent placing) and am very comfortable to leave my hard earned cash in AM's care. I do not expect this company to be an overnight multibagger - I invest elsewhere for that! - I do expect this company to be a multibagger over the next few years and I also expect to pick up some nice dividends along the way. My advice to those looking for massive short term returns is to sell up and put you money into much more risky shares elsewhere. For those happy to invest in a fully funded company drilling a known development field with high upside and very low risk - and willing to wait a year or two for a decent return - then welcome to my world! This is not to say the SP won't double on good I-1 news - just that it's not the end of the world if the short term response of the market does not live up to some people's expectations LOL. All in my own opinion and remember to DYOR - those that take short cuts and listen to others, such as myself, without putting in the legwork are those most likely to spooked by sudden movements in price and those most likely to lose their investment IMO. If you know the companies and are comfortable with your investments then you are more likely to sleep well an night - can be more valuable than a fist full of shares. ATB-CE

Good news this morning, continuous production and stil on the 6/64 choke as we are still in clean up. Henry Hub prices are probably as good a guide to price as any for gas and that averaged about £3,40 per million BTU over our production period in January - http://www.oilnergy.com/1gnymex.htm Oil prices topped $97 per barrel last week, so looking good on the profit front. ATB-CE

Good call! - Then you factor in the current WTI price of over $97 ( £62) and rising - Looking at trade stats and expected news we may be in for a bit of a re-rating in the coming week?

Henry Hub natural gas prices up again this week = now over $3,50. Pity we're not selling to the NY market - prices there jumped to over $20 with a spike of $30 during the week!!! With oil prices over $93 a barrel. at least we can be sure of making a good profit on our production currently flowing through the sales meters, even if we can't be sure exactly how much is being produced. I agree that final flow rates could take another week or so to arrive, but a little earlier wouldn't hurt LOL ATB-CE

Your guess is as good as anybody's, I'm reckoning on some time next week, but earlier would be a bonus. ATB

Looks like GS prediction is on course... http://www.theaustralian.com.au/business/breaking-news/oil-prices-rise-on-us-china-demand-hopes/story-e6frg90f-1226557906491 So maybe $130 a barrel is not as unlikely as we thought? By my reckoning that would give us revenue in excess of £1m per year and an SP over 25p, based only on I-1! 2013 is looking up!

Let's not forget that production is already flowing through the sales meters, and that means we have some solid revenue ( and operating profit) coming in - flow rates after stabilisation will give us a more precise idea of what to expect moving forward, but we are already a small cap production company with one oil well under our belt, and that can't be bad!

•Natural gas prices were up across the board for the report week (Wednesday to Wednesday). The Henry Hub closed at $3.43 per million British thermal unit (MMBtu) yesterday, up 29 cents for the week. Looks like the price is going in the right direction :-)

http://www.foxbusiness.com/news/2013/01/17/goldman-sachs-says-oil-price-could-reach-150/ WTI is currently $94, Brent is $110 - If brent increases to $150 that would put WTI at $130+ - and blow our profit calculations through the roof! Lets hope GS knows it's onions...GLA

Odd day, tiny volume, 6 trades and a 5% increase - hope we get the same again tomorrow LOL

Can't buy on line - someone buying in the background?

I think the RNS referred to 'few' rather than 'two' - but I agree, this month is a pretty good bet. Plenty of time for us to speculate ( or maybe dream?) about the commercial flow rates we will end up with. Has anybody got any idea by how much the oil well designation will increase the original valuation as a gas well?