Petroglobe Inc. PTGBF

RE: Picture of the gas flare:

[24~Karat]

An awesome photograph! Brokers and analysts have almost no concept of the magnitude of what is taking place in this play. Partially at fault for this is the very reserved and understated demeanor from PBG’s management. Soon that will change, for there isn’t much of a reason to keep this a “tighthole” any longer. PBG has 3800 gross acres locked up in the immediate area of interest. In the Barnett Shale play, there is a well-established precedent that supports spacing of less than 100 acres, due to the very limited ability of natural gas to migrate within the shale. That should ultimately hold true also in the Palo Duro basin, thus, under the best-case scenario, PGB could have a 55% interest in as many as 38 mega producers in this area someday. Don’t forget that this basin has one huge distinction over the Barnett that could prove to be quite lucrative. Palo Duro in known to have “sand stringers” with the shale, which, when encountered, will enormously enhance the porosity of the pay zones. Since it was reliably reported on the NARO board that the McIntosh well has flowed an estimated 4 million cubic feet per day, it’s a sure bet that it has tapped into these sand stringers.