>Soly: Can we get your input on the balance sheet as there appears to be grave concern with respect to cash flow??

I’m glad that you stressed the word ‘appears’ to be grave concern….

Here’s what we know:

Cash and cash equivalents at September 30, 2009 were $15.7 million, a decrease of $9.9 million from $25.6 million at December 31, 2008.Working capital at September 30, 2009 was $27.5 million, compared with $32.1 million at December 31, 2008.

However, here’s what we don’t know:

We don’t know how much the actual burn rate was since September 30, 2009, therefore speculations in this regard just conjecture at this point. Regardless, Falcon through its subsidiary Falcon Oil & Gas Australia Pty Ltd is in a process of raising new capital.