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Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?

To: Ed Ajootian who wrote (26343)	10/20/2003 9:10:30 AM
From: Ed Ajootian	Read Replies (2) \| Respond to of 206222

FX Energy stock up 20 percent after WBJ Buffett-Hardman link by Kamil Tchorek 20th October 2003 Following an exclusive report by the Business Journal last week (Warren Buffett and Richard Hardman flank FX Energy in Poland, WBJ Oct. 13), the share price of FX Energy (Nasdaq: FXEN) leapt from $3.39 to a high of $4.24 and has held around the $4 mark until press time. Trade volume on Monday, October 13 was over 25 times higher than normal, with over $2,000,000 worth of shares exchanging hands on a single day of trading. Robert Detwiler, President of the Massachusetts brokerage firm Fector Detwiler, has been following FX Energy for eight years, and spends around 40 percent of his working day analysing and trading the stock. "There is a direct correlation between the release of (the WBJ) story and the 660,000 shares traded that day. Normally there are less than 25,000 shares traded," said Detwiler, speaking from Boston. "The story set a fire burning. The featuring of Buffett and Hardman added credibility to the stock, which had been under-followed. When investors read about who was involved, they called the FX Energy headquarters, to double-check. Then they traded." As an under-covered, small cap, FX Energy has suffered from a lack of publicity for many years. Followers of the stock have bemoaned the fact that the association of billionaire U.S. investor Warren Buffett and the legendary British gas explorer Richard Hardman has been as yet unnoticed by the American and British press. An anonymous commentator added, "The story put already known facts into print and was believable to those who read it. I suspect if that article had shown up in a major U.S. publication the impact would have been even greater." According to some of the more skeptical Nasdaq analysts, the up trend of the stock, riding on the momentum of this raised publicity, is not sustainable and appears to have turned sideways. However, there are still great possibilities in the forthcoming events in Poland. At press time, FX Energy has announced that they have just put their drill in the mud at their Zaniemysl-3 well at the 'Fences I Project Area'. The drill will reach its target at 2,940 meters in mid-November. If there is a hit, then an even greater surge is expected than occurred last Monday. Potomac Capital Investment Management portfolio manager Paul Solit would concur. "Historically, the shares have always run up into drill prospects," says Solit. "While there have been disappointments in the past, I think the argument can be made now that the company is in a much stronger position than ever before in terms of acreage, partners, balance sheet, advisors and seismic data. The market cap is still miniscule compared to the potential opportunity in Fences I and II alone," adds Solit, pointing to further growth. "The combination of the vast amounts of natural gas potentially contained in FX's Fences projects," adds J. Shawn Chalmers of Orion Capital Investment, LLC, "...FX's partnership with a Warren Buffett company for part of the project, and the association with one of the most respected experts in the geology in question, creates a very compelling story for anyone considering an investment in FX and the natural gas exploration area." Like FX Energy itself, Poland is at long last being noticed as an investment destination by stock traders. Robert Detwiler points to Poland's political development, which has - not only in the heavy industry sector - barred it from competition and therefore innovation for so many years, and now sees it being brought into the family of nations. "The story has helped to explain why Poland is a good place to invest," signed off Detwiler, "...she has been the unnoticed girl-next-door for too long." ******************************************************** From Warsaw Business Journal. These wells apparently take a lot less time to drill than I thought they would, TD expected in a month or so. Gentlemen, start your engines!