Hi all,

So maybe we paid too much for "OLD" Saxon? Maybe the put option is no big deal (still to find out) and maybe there is still good production to come from the properties we acquired in the merger?

With time we will know forsure, but for now the best we can do is make educated decisions and have all the facts laid out before us, but IMO this will all be small potatoes to what Rich Green has going on now, but nontheless still a good merger when looking at the properties on a synergy basis.

POST MERGER:

Taking a close look at the merger it is easy to see there is a good mix, because the two companies had a lot of the same projects and as a single entity doubled up their working interests on these projects and also picked up a 10% interest in a small drilling company based in Texas.

So why the continous downtrend in share price and market cap since the merger?

First of all, shareholders were overconfident (I was one of them) about the merger and felt like we had a great company with good management (pre Rich Green) that were well connected and would surely start to promote their company to their wealthy contacts. Looking at a stock chart tells us much of the opposite and I am glad to see Rich at the helm now!! At the time of the merger we had a market cap of just under $30 million on BOE/day production of under 100 BOE. What were we thinking as investors? Did we have that much promise in our properties for future production? Id say no, because they haven't proved much more production since then and if it weren't for Rich, IMO we would be much much lower in market cap! Yet month after month our market cap went down further and further, while our BOE stayed the same? Clearly, people were starting to realize how overvalued the company was.

DEC 8TH,2006 SAXON ANNOUNCES RICH GREEN AS PRESIDENT EFFECTIVE JAN 1, 2007:

Commenting on his new appointment, Mr. Green said, “Saxon Oil is a well positioned business with a good foundation. I am delighted to accept the challenge to build a team to efficiently develop and produce oil and gas reserves and enhance shareholder value.”

Just after Rich came on board we had basically hit our lowest market cap for as long as I can remember, but perhaps we were still being re-valued in the market to what we should be priced at with under 100BOE/day production? But when Rich started to increase our BOE/day drastically in a short period of time I started to question the valuation. Since becoming president Rich has more then doubled production and hopes to exit Februrary 2008 at minimum 320 BOE/day and by year end who knows? Yet we still trend lower???? Are we still overvalued? I would say NO and we have much more promise in the properties we have now then we ever did.

What Rich has Done:

He went to work quick and likes private companies, because of his days as Co-Founder and Senior VP of LaRoche Petroleum Consultants and I would be suprised if he hadn't spoken with Alenna or done some sort of consulting for someone close to the company prior to the 20% acquisition.

He likes private companies, has lots of contacts in the industry, went to school in Kansas and conducted reserve reports for 1,000's of public ad private companies as a partner in his consulting firm.

So what's his plan?

First, he goes out and acquires 20% of AleAnna, which shows some very good growth prospects for SXN. Secondly, he goes to work in his backyard (Kansas) where he no doubt knows many and is working hard to get a strangle hold on the entire area of interest and most interestingly is the Helium component found in Kansas. These are the 2 main assets of SXN and IMO the rest is a good foundation.

Rich has a strategy and is either holding his cards close to his chest for good reason? Or the story just needs to be told properly? we will soon find out and I think 2008 and into 2009 is when shareholders are significantly rewarded!

Cheers,

cvac01

P.S. Getting late, Part 3 Tomorrow, which will cover 1) Foundation 2) Italy 3) Kansas