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Gold/Mining/Energy : Charger Petroleum Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Juraj (Yuri) Krajci who wrote (25)	6/24/1999 4:29:00 PM
From: johnlag	Respond to of 58

Ooops, I don't like the market's reaction to yesterday's release, let me try again... Charger Petroleums: Clarification of June 23, 1999, News Release CALGARY, ALBERTA--Charger Petroleums, Inc. (''CHC'' - ASE) clarifies that it is continuing to complete for production the Moore-Gilmore #1 well in what appears from well logs to be natural gas in four (4) different formations. The formations are the Ellenburger, Devonian, Atoka and Delaware. When successful, the well is expected to be tied in and producing within 2-3 weeks. Charger and its partners recently acquired an additional +/- 1,500 acres surrounding the Moore-Gilmore #1 bringing the total owned acreage to +/-7,200 acres. Charger's interest in the Moore-Gilmore well and surrounding acreage is 14 percent. In other news, the Bach test well is currently drilling at a depth of +/-10,100 feet. Intermediate casing will be set to a depth of +/-10,400 feet. The well is targeted to drill +/-14,000 feet to test the Devonian formation for natural gas production. Mud logs indicate natural gas present in the Cherry Canyon and Brushy Canyon sands within the Delaware formation. Charger has a 75 percent interest in the Bach prospect. -------------------------------------------------------------------------------- Contact: Charger Petroleums Inc. Jeffrey L. Standen President and C.E.O. (403) 265-4444 (403) 265-4525

To: Juraj (Yuri) Krajci who wrote (25)	6/25/1999 9:59:00 AM
From: johnlag	Read Replies (1) \| Respond to of 58

I sent a request to ASE surveillance to look into the market activity and news releases, etc. this morning.

To: Juraj (Yuri) Krajci who wrote (25)	6/29/1999 3:25:00 PM
From: johnlag	Read Replies (2) \| Respond to of 58

Can you say 'shell game', boys and girls? Upon reviewing Jeff Standen's other oil and gas shell, Extreme Energy - some similarities between Charger becomes evident. 1. 1998 year end statements don't even state a production level. Though the loss for the year was over $230,000. 2. NEWS RELEASE EXTREME ENERGY CORPORATION ASE SYMBOL: “EXT” April 28, 1999 Calgary, Alberta Extreme Energy Corporation is pleased to announce that on April 7, 1999 and April 27, 1999, it has completed private placements of 500,000 common shares of the Corporation ("Common Shares") and 175,000 Common Shares, for an aggregate of 675,000 Common Shares, at a price of $0.20 per Common Share for gross proceeds of $135,000. ______________________________________________________________________ The stock has hit subsequent highs close to $2.00 hyped on the Coyanosa play that has become quite suspect. 3. June 4, 1999 Calgary, Alberta Extreme Energy Corporation (“Extreme”) announces that it has entered into the previously announced Farmout Agreement dated May 23, 1999 (the “Agreement”) with Nortis Energy Texas, L.L.C.(“Nortis”). The terms of the Agreement enables Extreme to drill at least of three (3) shallow gas wells between 6,000 feet and 10,000 feet on acreage held by Nortis and partners in the West Coyonosa area, Texas (“West Coyonosa Acreage”). Extreme will pay 75% of the costs associated with drilling each well, for a 60% interest before payout and for a 37.5% interest after payout. The turnkey drilling and related costs for each shallow gas well is estimated to be approximately U.S. $395,100. After Extreme has completed drilling three (3) shallow gas wells, it has an option to participate in the drilling of additional shallow gas wells by paying 37.5% of the associated costs for a 37.5% interest. Earning will be based on petroleum and natural gas rights in all geological formations down to and including the base of the deepest formation penetrated but not deeper than the base of the Bone Springs formation (approximately 10,000 feet). ______________________________________________________________________ This is an expensive deal. Extreme pays 75% to earn 37.5%. 100% mark up. Especially for a non-deep rights earn-in. The previously hyped 'Ellenburger' formation is not available to Extreme in this agreement. Nortis is Charger's subsidiary in the states. Nice deal for Charger. 4. May 25, 1999 Calgary, Alberta Extreme Energy Corporation (EXT:ASE) announces that it is negotiating the terms of a farmout agreement with Nortis Energy Texas, L.L.C. (“Nortis”) to drill up to five (5) shallow test wells in the West Coyonosa Prospect comprising approximately 6,500 acres in Pecos County, Texas. Drilling is expected to commence in June, 1999 and each will be drilled to a depth of approximately 6,500 to 10,000 feet. The cost of the test wells is anticipated to be approximately US$350,000 to US$500,000 per well. Extreme will earn a 80% working interest in each test well drilling spacing unit before payout and a 50% working interest after payout. ______________________________________________________________________ Looks like the deal changed a bit in 10 days. They were paying 80% to earn 50%. Where did the other 13.5% go? Standen likes his press releases, doesn't he? 5. More from news May 25, 1999...Extreme intends to issue by way of private placement up to 2,500,000 special warrant units at $0.75 per unit. Each unit will consist of one common share and one-half of a share purchase warrant exercisable at $1.00 per share for a period of one year from the date of issue. The proceeds will be used by Extreme to fund the drilling of the test wells. ______________________________________________________________________ Similar to Charger. Position all the cheap stock in April/May, then raise more funds at 4+ times the price. Extreme = .20 then later at $.75 (now trading at 1.25) Charger = .25, 1.25 then later at $6 (now trading at 4.75) To date, I don't have knowledge of either of these financings closing. From looking at the cash on hand at March 31 of $23,000, Extreme will not have enough money to pay for the three earn-in wells without further financings. Let the Events UNFOLD! Current production has to be near zero barrels per day. I don't believe shallow drilling in Texas can justify current price levels. I am short Extreme Energy and Charger Energy.