for those not getting the lastest Redhot update am pasting it below
in shortened form - minus - the press release which has already been
posted by S Thomas. It seems that the demo went rather swimmingly &
we may have a spectacular return on our investment in a relatively
short time...okay here it is!
*****************************************************************
Happy St. Patrick's Day!
Enough hoopla. Let's get down to business.
The purpose of this update is to cover the latest goings-on with Amalgamated
Explorations (OTCBB:AXPL), specifically, their electrotelluric demonstration
conducted March 7, 1997 south of San Antonio, Texas. To give you a
background of what transpired, the following is Amalgamated's news release
that crossed the wire this morning.
MARCH 17, 1997 NEWS RELEASE ***** i deleted the release part as indicated above *******
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That was a homogenized version of events. We saw plenty more that went on
and as an independent news publication, we have an obligation to our
subscribers to report our impressions, even if they are more than certain
parties would care to have disclosed.
There were approximately twenty attendees of the meeting, including one
incognito RedHotStocks representative with a motorized 35 mm camera and a
mind like a steel trap.
The geological engineer was Mr. Lenny Freeman Ph D., from Excalibur Ventures
of Beeville, Texas. He was involved with the acquisition of all the
properties that were tested, and described himself as a "real smart fat
guy". (Please see our video offer further down the page for details). Quite
an animated personality, his favorite phrase seemed to be, ".and you can
quote me.!"
Warren Resources had picked up a large parcel of properties for dirt cheap,
and they were looking for oil and gas in areas that were productive in the
1940s and '50s. They had completed a well and had the old drilling reports
and geological surveys on hand to compare to the electrotelluric survey results.
The initial electrotelluric testing found eight or nine levels of pay that
Mr. Freeman was able to match to the drilling log provided by Western Atlas.
The survey also found a pay zone in the Jurassic formation at 10,500 feet.
This deeper pay zone was not known to exist in this area, but Mr. Freeman
was so impressed by the performance of the survey thus far that he said he
was willing to re-enter an existing well to tap the new formation.
At this point, the survey really started to shine. We walked through the
brush to another potential drilling site just seventy-five to one hundred
feet away and ran another test. This time, the survey gave us the
electrotelluric equivalent of a flatline. Actually, it really was a
flatline.the equipment uses an apparatus like an EEG to graph its findings.
So there we were, one hundred feet away from a major hydrocarbon site with
what would be a dry hole. Mr. Freeman stated that he believed that there
existed a subterranean fault between the two sites, and the fault blocked
the flow of hydrocarbons to the second site. Hence, the dry hole.
All in attendance were impressed, as this really illustrated the accuracy
and value of the technology, as well as the risky nature of resources
drilling. Without the survey, the company might have had one producing well
and one dry hole. With the survey, you get one producing well and the
opportunity to find others. In fact, four additional candidate sites were
tested, and based upon the results of the survey, three were condemned.
"Your survey saved my company from $1.5 million worth of dry holes." said
Mr. Freeman.
It appeared that a deal was more or less consummated on the spot, with
Excalibur Ventures contracting for an additional six months of survey
services. After that show, they'd be fools not to.
We gathered that there was one big investor who was supposed to show up, but
he flaked. Don't ask us who or why, we're only reporting what we heard.
If you want to see for yourself, we took the liberty of shooting not only
two rolls of 35 mm film but also forty minutes of video tape. The video,
while not professionally produced, is very compelling and shows the
electrotelluric survey at work, in addition to the antics of several
colorful personalities. We would like to make copies available to our
subscribers for ten dollars or so (to cover duplication and distribution
costs). If you are interested in receiving a copy, please email
info@redhotstocks.com with a subject header of VIDEO. Don't send any money
now. If we get enough orders, we'll email back to all interested parties
with full instructions.
As always, we recommend patience with investments. If you are skeptical,
(and a healthy skepticism is a good thing) order the video and make up your
own mind.
RECENT MARKET ACTIVITY
-----------------------------------------------
The last couple days of last week had some market maker or another shorting
the stock. We dug around and heard it was Sharp Securities. We're pretty
certain that no Sharp representatives attended the Amalgamated meeting, or
else they wouldn't be going out on a limb like that. Anyhow, the price was
depressed a couple bucks, which we feel is no reason to panic. They'll have
to cover their position eventually. Based upon the latest release, we feel
it's an excellent time to average down and take a less-expensive position in
the company. Be sure to specify a limit on your order! (read the rest of
this newletter!)
FINALLY DRILLING!
-----------------------------------------------
Other good news is that Amalgamated is involved in drilling a well in
Oklahoma. Yes, it's only a 2% interest, but that can certainly pay the rent!
We're pretty certain it'll hit, because otherwise, why would they release
this information? And the part about "exhaustive" electrotelluric testing?
They must know that area inside out! And when they do hit, it'll really add
credibility to the company's claims. Hang onto that stock and demand
delivery of your shares in ANY investment!
A FINAL CLARIFICATION
-----------------------------------------------
We've been emailed by some subscribers with questions about the
electrotelluric survey vs. 3-d seismic, the EMsounder, etc. At this time,
we are not aware of any other device that detects hydrocarbon. Seismic and
the EMsounder only detect potential hydrocarbon-bearing structure. AXPL's
device finds the hydrocarbons themselves. Allow us to make a greatly
simplified comparison: If these companies were in the business of scanning
roadside gas stations, seismic and EMsounder could tell you whether there
existed underground tanks that might contain gasoline. AXPL could tell you
if those tanks were empty, full, or how much gas they contained. Therein
lies the value.
RESTATEMENT.
-----------------------------------------------
We recommended this company based upon the value of its properties, the
experience of the management, and the accuracy of the electrotelluric
survey. Where else can you gain the benefit of a lifetime of geological
research (Ted Murer, CEO) and thousands of acres of untapped oil and gas
lands that an obscure device says are worth millions-for 8 to 12 bucks a
share? In a company with only four million shares issued? No where else!
READ THE FOLLOWING!
-----------------------------------------------
RedHotStocks urges investors to protect themselves by ALWAYS specifying
limits to buy and sell orders. We will have greater coverage of this topic
in our March 28, 1997 newsletter. In addition, we will recommend specific
limits to orders for each of our profiled companies. And as always, demand
delivery of your shares. (see "Protecting Your Investment" below).
We wish to restate that we hold no position in the companies we profile, we
are not compensated by companies we profile, and we have no relationship
whatsoever with any brokers or market makers. You can be assured that our
information has no monetary bias.
We are working on other projects that should produce revenue, and in the
meantime, we have made RedHotStocks a voluntary-pay subscription service.
This means that if you use RedHotStocks and profit by it, donations can be
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We suggest $30 per month or $300 per year. Of course, no fee is required and
we certainly won't bill you but any contribution is greatly appreciated.
We have isolated the problem that kept about 1000 of you from receiving our
February 21 newsletter. We believe the problem has been corrected and you
should all enjoy uninterrupted service once again. However, if you happen to
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redhotstocks.com . This page is not linked from our
main page, to keep it hidden from non-subscribers. Please do not disclose
this URL to non-subscribers.
Our next full Newsletter is due out March 28, 1997 and will contain market
commentary, advice on battling weaselly market makers, and a profile on an
up-and-coming full-NASDAQ company!
Check back at the RedHotStocks site, and be sure to hit your "reload" button
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