Painted Pony Pete Ltd PDPYF

david pescod takeover by cpg

[insiderinfocan]

August 5, 2009

TRISTAR OIL AND GAS

(T-TOG)

$14.12 +2.61

PAINTED PONY PETE.

(V-PPY.A)

$3.55 +0.15

WAVEFRONT ENERGY

(V-WEE)

$0.62 -0.03

Not a bad call by Keith Schaefer, editor of the relatively

new Oil and Gas Investments newsletter. It was just a

month ago he was suggesting Tristar Oil and Gas deserved to

be purchased and then trading at $10.70 (July 2). Schae-

fer’s take was that the consolidation of the Bakken area

would continue and that Tristar would be an obvious target.

Petrobank will be taking over Tristar and forming a new

will be taking over Tristar and forming a new

company to be called PetroBakken Energy, which will in-

volve the buying out of Tristar for $14.75 cash or .535 of a

PetroBakken share. All in all, the chart shows you, it’s been

a rather profitable month for Keith, but as the saying goes,

"What have you done for us lately?"

For those who follow his work through his website or

through his letter, today he is "I bought 1000 shares of

Painted Pony Petroleum this morning. This debt-free company

this morning. This debt-free company

is only 51% oil, but it’s in the Bakken and is the last real

junior player left in that play with a decent land position. I

think there is a good chance it will get bought out just like

Tristar did."

He continues, "I’m only buying 1000 shares now because

I’m hoping to buy more at a cheaper price should oil pull

back even a bit. The company just raised 7,000,000 shares

at $2.85 for roughly $20 million in equity to pay for recent

acquisitions and working cap."

It sounds like Keith Schaefer is having a lot of fun with

the new newsletter, but one story he has written up that we

have big hopes for in the coming while is Wavefront Energy, a

company with a new technology that could very much revo-

lutionize the oil and gas business, but until they come up

with some real contracts of some size, Wavefront will just

remain another interesting story.

************************************************************************

Ironically, we caught up with Jim Welykochy today, the

Vice President with Ryland Oil and Gas. This is a company

that in the good old days of $100 oil, created the big atten-

tion in the markets because their Chairman was Richard

Findley, who found the whole Bakken oil field in the Da-

, who found the whole Bakken oil field in the Da-

kota’s over a decade ago—helped form Ryland, a company

that unfortunately is not having a lot of joy. It has little

money in the kitty, around 200 million shares outstanding,

only 200 barrels a day of production, but they do have

320,000 acres of land in southern Saskatchewan. Unfortu-

nately, it appears to be a little bit west of the sweet spot for

Bakken.

When we ask Welykochy, the former oil and gas analyst

and now VP with Ryland, if he could only buy one stock

today, what would it be? He answers Painted Pony.

Tristar Oil and Gas

Painted Pony Petroleum

Wavefront Energy

Page 2

Page 2

David Pescod 780-408-1750

Debbie Lewis 780-408-1748

Fax: [phone]

COLOSSUS MINERALS

(T-CSI)

$3.13 -0.18

Colossus Minerals is one of those small, very rich explora-

tion plays in Brazil that is attracting some interest in the

market and today they announce some check assays that

were run for gold, platinum, palladium and the full platinum

group elements.

Nicholas Campbell, the Canaccord analyst following

, the analyst following

Colossus writes, "Eighteen mineralized intervals from 10

drill holes completed within the Central Mineralized Zone

were re-assayed and compared with previously released

assay results. The check assays showed a positive recon-

ciliation in 10 of the mineralized intervals and it showed a

negative reconciliation in 8 of the mineralized intervals;

however, the magnitude of the positive reconciliations sub-

stantially outweighed the negative reconciliations. On aver-

age, adjusting for the length of the mineralized interval, the

company reported a 30+% improvement in the gold equiva-

lent grade of the holes reported from the Phase I program."

Because of that 30% improvement in the grade, Camp-

bell increases his target on Colossus from $5.00 to $5.25,

suggesting there might be a lot of running room left for the

stock.

Also in the report, he adds what are the next catalysts

for the stock performance:

1) Phase II drill results: New drill results should be re-

leased before the end of August 2009.

2) Addition of a mine builder: Colossus is looking to ex-

pedite the development of the Serra Pelada project and

will likely bring on a senior mining engineer to facilitate

the development of a conceptual mine design and to

execute mine development.

3) Land acquisition: The mineral resource potential of the

Serra Pelada project is constrained by the relatively

small land package that it is hosted on. The mineraliza-

tion trends towards and remains open to expansion in

the southwest. Acquisition of the lands to the south-

west (held by Vale) would be very positive for CSI. Tim-

ing of such an acquisition is very difficult to pin down;

however, there is potential for an agreement to be put

in place before the end of 2009 to early 2010.

Meanwhile today, the stock is down despite the good

news...why? Is it the old "Sell on News?" Or maybe it’s

just that gold, after a nice move up yesterday, is down to-

day.

Disclosure: Colossus Minerals: Canaccord Capital covers this stock and has a Speculative Buy rating on it. (Speculative buy: Stocks bear

: Colossus Minerals: Canaccord Capital covers this stock and has a Speculative Buy rating on it. (Speculative buy: Stocks bear

significantly higher risk that typically cannot be valued by normal fundamental criteria. Investments in the stock may result in material loss.