..."Small and medium-sized oil and gas exploration companies have traditionally used equity finance to search for resources, and debt to pay for developing discoveries. Both sources of funding are now almost entirely closed..."

Luxembourg, One source of funding available to Falcon, if Exxon decides to develop Mako while the capital markets are still frozen, would be a swap of percentage ownership for cash. Exxon and MOL get more of a good thing and Falcon get carried on their arms to the next stage. Now, that would be bad for all shareholders, as they would end up with a still smaller percentage, and then we will hear arguments like it is better to have a small percentage of something, rather than a large percentage of nothing. I wish they had conserved the cash to fund Mako, rather than waste it in PHUN. I have no faith in the PHUN JV, so I dont think we will ever see that cash back.

db