Royal Knight "Small-Cap" Market Report

PREMIUM SUBSCRIBER EDITION       VOL.6 SEPTMBER 2011    TOTAL CIRCULATION: 7,960,971
STRONG GLOBAL DEMAND AND LOW SURPLUS PRODUCTION CAPACITY
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BACKED BY A WEAKER US DOLLAR
CONTRIBUTED TO RECORD CRUDE OIL PRICES,
PEAKING IN THE SUMMER OF 2008
OVER $140 PER BARREL

DISCOVERING "SMALL CAPS" THAT CAN MAKE
HUGE PROFITS.

MY #1 STOCK PICK FOR CASHING IN ON 1 OF 3
HOTTEST GLOBAL MARKETS

A PROVEN MARKET OUTPERFORMER
WITH SHORT TERM UPSIDE OF 200% - 400%
AND LONG TERM IS OFF THE CHART!

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IN A SKY ROCKETING INDUSTRY:
HELP BREAK OUR DEPENDENCE
ON THE FOREIGN OIL MARKET
Trillions  of dollars  domestically
serving 98% of the population

BLUE CHIPS ARE RUNNING OUT OF GAS… NOT OUR SMALL-CAP
STOCK PICKS….THEY ARE FUELED UP FOR TREMENDOUS GAINS
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Solid Core Assets
Three Leases located in West Texas
Coleman and Runnels Counties
Geographically concentrated
100% Company operated
419 Gross Acres
79.4% average NRI
Deep rights on 97% of acreage
Multiple Prospective Zones
4 producing zones
3-4 additional prospective zones at
5,000 feet or less
Significant Development Opportunities
Offset and infill drilling
Reentry
Workovers
Waterflood
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DEAR FELLOW INVESTORS,

We are witnessing yet another “STAMPEDE” of money flowing out of “Blue Chip Stocks” crushing over 50% of the biggest names on Wall Street.

If you think making 200% - 300% or over 1000% are a matter of chance, luck, or too good to be true…You are mistaken!  Every day stocks go up no matter how bad it is on Wall Street.

My name is Donson Brooks.  I look for undervalued small cap stocks with a tremendous upside (TRENDS), great management, and well capitalized companies.  It is my job to identify the best of the best.. In the past I have been able to identify and predict the growth of stocks like…

stocks
Even if you missed out on the opportunity to be a part on those winners, here is your next opportunity.

And if you think we are running out of oil in the USA, you are misinformed and I’d like this opportunity to show you otherwise. Read on and you’ll discover why our next pick, Adino Energy Corp. (ADNY) is simply READY TO EXPLODE.

Donson Brooks
Royal Knight “Small-Cap” Market Report
Adino Exploration, LLC

Adino Exploration is a bonded Texas Oil and Gas Operator with leases in Coleman County and Runnels County. Adino Explorations, LLC is a wholly owned subsidiary of Adino Energy Corporation that handles the E&P operations. The Company commenced operations in July 2010 with two leases producing less than four bopd of crude oil. In the last year Adino Energy Corp. (ADNY) has acquired a warehouse, a service rig and a third lease. In addition, Adino Energy (ADNY) has drilled three shallow wells and initiated a water flood project. The net result has been approximately 20 bopd of additional crude oil production and an increase in reserve values from $72,000 to $942,000. 

ADNY ($.02 per share) is now establishing strong banking relationships to support rapid growth.




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The time to invest is NOW. The reasons are undeniable.
www.adinoenergycorp.com
INVESTMENT HIGHLIGHTS

Capital Discipline
Near-term capital allocated to building cash flow
Focused on crude oil, little or no natural gas
Significant reserve growth potential

Growing Production
Production growing month-to-month
Production and cash flow growth visibility through 2013
100% of portfolio is Company operated

Controlled Risk
Avoid exploration risk
Deliberate development plan to minimize execution risk
Structure cash-light transactions with shared upside
Do you remember
the Mid­ East
Oil Crisis of the 70’s?
star2 oil pump
BUY ALERT:ADINO ENERGY CORPORATION
CURRENT PRICE:$.02 per Share
SYMBOL:OTCQB: ADNY
BUY RECOMMENDATION:STRONG 
The American consumer is demanding a home grown
solution for our growing energy crisis.

Many of the warning signs that existed before the energy crises of 1973 and 1979 exist
today and they indicate that the current situation could be even worse.”
-James L Williams,
President WTRG Economics
FINANCIAL SNAPSHOT

ENTERED E&P BUSINESS IN 2010

LIQUIDITY

POSITIVE CASH FLOW

DRILLING CAPITAL EXPENDITURES

AUDITED FINANCIALS

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BUY ALERT:ADINO ENERGY CORPORATION
CURRENT PRICE:$.02 per Share
SYMBOL:OTCQB: ADNY
BUY RECOMMENDATION:STRONG 
Adino Energy… It’s just too difficult to predict how large and fast it will grow.
But rest assured that it WILL grow. ADNY is a FANTASTIC INVESTMENT NOW.
ADNY could easily soar to $.50, $1.00, $5.00, $10.00 or more a share!
ADNY IS COMMITTED TO ENERGY INDEPENDENCE.
WEST TEXAS PROPERTIES
In the Heart of Texas and the Permian Basin

Leonard Lease

  • Shallow prospects with potentially excellent economics
  • Deep rights with 2 prospective zones
  • 100% WI, 86.5% NRI

Coats Lease

  • Two significant productive zones:
      Morris and Gardner sands
  • Records show prolific Gardner sand (zone) on lease
  • Well control indicates IP potentials above 100 bopd
  • 100% WI, 77.0% NRI
  • Ellenberger runs under lease

Brandt Lease

  • Mature lease with 12 wellbores
  • Testing water flood. If successful, many additional opportunities in the vicinity
  • 100% WI, 76.5% NRI
adny
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Leonard Lease
94.6 ACRES
SOUTHEAST COLEMAN COUNTY
100% Working Interest, 86.5% NRI
Adino Operates:

3 Producers

  • Completed third well June 2011
  • Producing 15-20 bopd total for the 3 wells

Development Potential

  • 40 Shallow Prospects
    Target zones at approximately 1300 feet
  • 8 Deep Prospects
    Multiple prospective zones above 3000 feet

2011 Drilling Plan

  • 10-15 shallow wells

2012 Drilling Plan

  • 30-50 shallow wells

Additional Acreage

  • Potential to add up to 300 acres for development
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BRANDT LEASE
24 ACRES
SOUTHEAST COLEMAN COUNTY
100% Working Interest, 76.5% NRI
Adino Operates:

7 Mature Producers

  • Producing 1+ bopd each
  • Proximity to Leonard lease minimizes incremental lease operating expenses

Development Potential

  • Water flood
  • Two shut-in wells converted to injection
  • Injecting produced water from Leonard lease

Additional Acreage

  • Potential to add up to 178 acres for development
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IFL FUEL TERMINAL
HOUSTON, TX
$900,000 Annual Free Cash Flow
160,000 barrel fuel storage terminal
Stable Cash Flows

Located on TEPPCO and Magellan Pipelines

  • Access to TEPPCO
  • Inactive connection to Magellan simple reactivation procedure

Fully contracted through 2013

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COATS LEASE
300 ACRES
RUNNELS COUNTY
100% Working Interest, 77.0% NRI
Adino Operates:

1 Producer

  • Completed 1998
  • Tested at 92 bbls/day
  • Currently shut-in (Re-working now)

Development Potential

  • 14 Prospects
  • Morris and Gardner sands between 3500 and 5000 ft.
  • Water Disposal
  • Multiple potential reentries for salt water disposal well (Eco Friendly)

2011 Drilling Plan

  • 1 Disposal Well
  • 1-3 Prospects
BUY ALERT:ADINO ENERGY CORPORATION
CURRENT PRICE:$.02 per Share
SYMBOL:OTCQB: ADNY
BUY RECOMMENDATION:STRONG 
Adino Energy Corporation
is positioned for new energy success

Acquiring Highly Prospective Acreage In:
Permian Basin Located in Texas

Pursuing A Significant Oil Target With High
Probability of Success

Leading Edge Exploration and Production
Capabilities

Advantageous Acquisition and Production
Economics

Excellent Opportunity to Achieve
Profitable Growth, Sustained Cash
Flow, And Significant Return On
Investment
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Adino Energy Corporation
Symbol: ADNY
Rating: Strong Buy
$0.02 Per Share
This One Could See a 500% Climb
In The Short Term...
ADINO ENERGY CORPORATION IS LED
BY A DRIVEN MANAGEMENT TEAM

Sonny Wooley
Chairman of the Board of Directors

  • 35 years energy experience
  • SVP, Nucorp Energy
  • President and Director, NTV Oilfield Services
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Tim Byrd
CEO, Chief Executive Officer and Director

  • 30 years of experience: energy, insurance and risk management
  • Founder and President, Innovative Capital Markets, Inc
  • Founder, Specialty Associated Management, Inc
  • BA, Banking Finance, University of Southern Mississippi
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Shannon W. McAdams
CFA, Chief Financial Officer

  • 15 years transaction and capital markets experience
  • Galway Group, LP & Galway Capital, LP
  • Oil & gas project advisory and investment banking
  • Commodity pricing, transportation and value chain economic analysis
  • JPMorgan Chase & Co
  • MBA, Tulane University
  • BS, Finance, University of Alabama
  • Former US Army Officer
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Nancy K. Finney
CPA, Controller

  • 27 years of experience: energy, diversified industries
  • Coopers & Lybrand, Tenneco, Premisys Realty
  • BS in Accounting and Finance, Texas A&M University
BUY ALERT:ADINO ENERGY CORPORATION
CURRENT PRICE:$.02 per Share
SYMBOL:OTCQB: ADNY
BUY RECOMMENDATION:STRONG 
2011 CAPITAL BUDGET

Focus on low risk "oily" projects

  • Solid inventory of development prospects

Leonard Lease

  • Develop lower cost shallow prospects to build cash flow
  • Evaluate deeper potential

Coats Lease

  • Address water disposal to improve cash flow
  • Initiate development program

Brandt Lease

  • Complete and refine water flood for low cost incremental production
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ADINO EXPLORATION, LLC
20-25 bopd crude oil
Cash Flow: $15,000-$20,000 per month
Long Term Debt: $0 zero
Net Equity: ≤ $1.15 million

10-15 shallow prospects:

  • Lower than  industry standards to drill and complete
  • Initial production of 5-10 bopd

3-5 deeper prospects (approx. 4,000 feet):

  • $250,000 each to drill and complete
  • Expect initial production of 25-50 bopd
THE BEST SOLUTION FOR ENERGY
WILL COME STRAIGHT
OUT OF THE HEART OF AMERICA.
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Increase your portfolio while
decreasing our dependence
on foreign energy.
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When all is said and
done, and you have
read through all the
technical jargon,
it boils down to this:
Adino Energy (ADNY) is a
top-notch energy venture
with experienced leadership.  They have positioned themselves in one of the WORLD’S FASTEST GROWING INDUSTRIES. They are primed to produce the kind of growth dreamed by their competitors.  Adino is an American energy company, proud to be drilling in America and is producing energy to help you and I gain TRUE ENERGY INDEPENDENCE. 

CALL YOUR BROKER

OR GO ONLINE IMMEDIATELY TO ADD ADINO (ADNY) TO YOUR PORTFOLIO BEFORE IT IS

OUT OF RANGE

BUY TODAY AT $.02 PER SHARE

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