Talked to Peter Smith last week about the story of FNC. My concern at the time was to find the reason why FNC wasn't moving in relation to the other area plays. It doesn't take a genius to see from the EM surveys done in 2003 that the anamoly points to a continuation on their property. So, Peter told me he believes the main part of the Double Eagle discovery is on FNC's property. What he is waiting for is the new EM survey which is being done by helicopter because it can get closer to the ground on the flyovers. This report should be out near the end of Nov. is the jest of what he told me.

This brings up the question, if it looks like FNC's property has the goods, why doesn't the share price reflect it? The market cap of FNC is only $50 million. So I took my line of questioning in this direction. I asked Peter if he had been contacted by anyone to do a JV, answer was yes. He said Nemis had contacted him several times and wanted to do a JV. Peter's answer was, no thanks, I would like to wait for the results of the EM survey. Then I asked him if any one else had contacted him, his reply was that several had indeed contacted him. His answer to them was the same as he gave Nemis. I asked him if he had signed any contracts with anyone to take a look at FNC, his answer was definately not.  Next I asked was PNP one of the companys that had contracted him. He hummed and hawed around this direct question, but it is obvious they were one of those that contacted him. In the end he said yes, he had been in contact with them. Peter is obviously a shrewd man. The other area plays have sold out to the big boys and the ones that suffered are the shareholders due to the dilution factor. So far FNC has taken care of its shareholders.

However, the share price of FNC has obviously suffered. You don't do business with the big boys, you don't get the perks that go along with it. The obvious being short term share price gains.

Personally, I am happpy to be a shareholder of a company that for once, cares about its shareholders. I believe what has happened to FNC is it is being held down by Sheldon from Pinetree. The old you don't do business my way and you will pay the price, I have the deep pockets, I will short you, sell down your stock until you give in. Good for you Peter being an honorable man and sticking to your guns.

Its only a matter of time before FNC puts a drill rig on their property, my best bet is sometime this winter after the ground freezes up. Remember this land is swampland, it is much cheaper to drill when the ground is frozen.

I believe over time, this is the best stock to own in the McFaulds Lake area. By this I mean the property with the most potential to have its share price go up the most. NOT is the proven winner so far and its share price reflects this. However if FNC indeed has the goods, this could be the next monster.

Al