Reconnaissance Energy (Africa) Ltd V.RECO

The Pro and Con Job

[Oregonduck]

THE PRO

Grayson, the Capital Market Director at Recon, said at the AOW presentation this week that they are "extremely positive" that they have 375 million bbls of prospective resources, targeting 2 billion bbls at Kevango and expecting to produce 50,000 bbls/d by truck to Walvis Bay.

THE CON

No flow test or Independent Qualified Reserves Evaluator's report under SEC reg. and National Instrument 51-101 Standards of Disclosure. Any statements by Recon's own in-house experts are not acceptable for resource estimates - only proved resource by independent third party petroleum experts.

The SEC prohibits companies from booking any category of reserves located in unpenetrated, pressure-segregated (I.e., sealed) fault blocks.

Where are Garnath and Jarvie in all these ruminations?

[pacer001]

The trucking of oil to Walvis is nothing new. In the old Soviet Union European observers were shocked to see oil being trucked in unsealed containers slushing around and over flowing. They still made a lot of money for their oil even though they lost a lot in transit. Plus let us remember the new Zamibian-Namibian Pipeline is being built and a spur could be built to our oil. Flows in pipelines