VIRGINIA HILLS OIL CORP VFGGF

RE:RE: DUNDEE

[bobby1231]

With all the top picks and ratings so much higher then what we trade at today...it makes no sense at all.

[freedom-1970]

Keep on thinking it's at the bottom and it's keeps drifting lower, I think tomorrow will be a good day for me and pry!!>

[splurge]

Yes it could hit a buck but i hope not cause this stock has been painful. It seems to though that investors never new or understood the stock they thought they had... Including me. Purchased started at $1.82 and down to $1.23. Turns out the netbacks have been great but they spent a ton of money especially through issues and production increased but not as much as expected. High decline rates and

[terroir]

Thanks for the summary, its somewhat cathartic to write it down. Hope it helped. Can you explain how you link decline rates, finding costs and net backs. I can understand finding costs and netbacks being linked into the recycle ratio, but how does the decline rate enter in to the calculations. Also, on the finding costs, I understood that the company has been focussing on development drilling, as

[splurge]

Yes this is part of my therapy in the wee ours of the morning. Could not get hold of Dr. Phil. Declines rates aren't part of that equation as you know. I mention the high netbacks are attractive but offset by the higher finding costs ...otherwise we would enjoy 3 times recycling perhaps. Decline is a separate issue which better improve. Appreciate your point on delineation drilling and impact

[terroir]

  Wade has said categorically that they couldn't develop the play were the net backs not high. Its obviously what allows them to handle the high decline rates and high finding costs. They are forecasting an improvement in average decline rates as a higher proportion of well inventory enters into years two and three with correspondingly lower decline rates. In addition, if the water-flood