Lucero Energy Corp Com V.PSH

RE: What are we expecting to find?

[metzgf]

From what we have been told by PSH, we are hoping to find gas in Ontario.  We missed the reef on the first try but we may be close.  They say they are going to try again, probably this spring.  So far, Texas has produced enough gas and oil to pay the bills with little on nothing left over.  PSH has never told us what they hit on the last well.  This might mean that they hit nothing.  The well was completed long enough ago for them to have a pretty good idea of what was found.  The fact that they haven't released any information for a month or two may or may not indicate something.  The original plan was to immediately drill the next well if they hit something good.  No word on any future drilling in Texas.  Michigan has been a mystery for the past five years.  They mention Michigan every once in awhile but never disclose much about what, if anything, it happening there.  As far as PSH being as low as it is likely to go, that's hard to judge.  They only own 10% in Texas so even a big hit won't amount to that much.  The own 89% in Ontario so a big hit there would probably drive PSH up quite a bit.  However, it they don't hit the reef in Ontario, it could be that PSH will never produce enough income to show a profit.  All of this is speculation on my part based on the limited information that PSH has released.  Only the company knows what is going on and, if past releases are any indication, it may be a long time before shareholders know much at all about what is happening with this companyh.