Email from Kont This is from a shareholder who requested I post it. Thanks for sharing it.
I like the line "Please note that our aggressive drilling campaign for the up coming months should be viewed as a sign of our confidence in getting the marketing issue finalized"
Beers all around!!
First of all, thank you very much for your email. I appreciate your recommendations.
1) Please keep in mind our local partner, Hood Oil, is one of the most powerful (financially and politically) Yemini family. Despite significant lobbying power, the pipeline and marketing issue has dragged on well beyond our forecast. However, we are very confident that this marketing issue will be resolved in the near term. Mr.Shimoon and Mr. Kont spend more 50% of their time in Yemen to sort out these issues. Please note that our aggressive drilling campaign for the up coming months should be viewed as a sign of our confidence in getting the marketing issue finalized
2) After Mr. Kont came on board, we delivered a significant growth in reserves (50%). However,production growth did not meet expectations due to marketing challenges.
3) Press release will be issued when there is a material and noteworthy event to talk about. In 2009,the level of activities (drilling) was extremely low as such we did not have any material information to justify a news release.
4) With regards to providing update status on marketing, we are unable to provide any details on the issue unless the government approve such update. Similarly, any drilling and test related press releases must be approved before being made public. There has been a number of occasions where the government has discouraged us from making press release.
We appreciate your patience and support. I believe 2010 will be a better year for Calvalley shareholders.
Best regards,
Memet Kont