Silk Energy Ltd SLKEF

RE: As I predicted.

[millright]

My predictions on the continual share price decline since the Micon Report, were quite accurate for several months; but in April I began to be premature in forecasting the new lows. I called the year's high back in early January, but the continuing decline I forecast got delayed with the confusion of the aborted spin-out and the support of share buy-back program #2, which appears to have suffered the same fate as #1.

I called a drop below 25 cents before the end of May, and the low 20's in June. ISM didn't reach these new low levels until July.

So, my predictions going forward? My guess is that the price decline will continue, so I'll say that between release of the quarterly reports on August 15, and the end of August that ISM touches a new low of 21 cents - lower if the NCIB doesn't remain active. I expect that there may be some effort to spread some lipstick around for the September year end - that might stem the dive for a short while. In October, I forecast the share price will drop into the teens.

My reasons - a further period of no noteworthy achievements, and the realization that cash balances are diminishing due to G&A expenses, drilling low grade prospects, NCIB costs and possible further investment in non-mining items.