Antrim Energy Inc. ATGYF

Risk mitigation?

[CalifDreaming]

I love this "extreme" chap's comments. "Investing" in an offshore driller and worried about the risk profile of continuing to drill more wildcats? Crikies, if ever there was a person totally out of his depth with his investment. AEN aren't about to change their spots. Just look at Oilexco's valuation history. The stock traded in the mid $3's even though EVERYONE KNEW they'd be producing 20-30,000 bpd in 6-9 months. Those of us who had a bit of patience simply loaded up and waited (and waited 6 months longer than anticipated due to the rough weather delays). The result was a nice quadruple for a near riskless wait. There is nothing differenct going on here with Antrim. The excitement over the discovery is gone and the usual hot money is off chasing the next story (BUK, GUL, IFR etc etc) in hopes of hitting it big. But there are guys like me who follow plays like AEN etc and bottom fish while management does the REAL work of getting into production and getting cash flow. It's no different than what happens with junior mining companies. The market falls asleep while the mine is being built - and that's when I love to invest. Risk is almost gone as reserves are known, financing risk is gone and it simply boils down to getting into production. The risk reward is phenomenal. AEN is squarely in my sights at these prices. I'll happily wait a year for a low risk triple and perhaps benefit on any drilling success. Ithaca, Serica and Antrim are all in the same boat - all have good reservoirs in the NS about to go into production - all will do well when they get there.