OTCPK:SQZZF - Post by User
Post by
CalifDreamingon Mar 15, 2008 2:39pm
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Post# 14726516
Serica looks very good compared to the peer group
Serica looks very good compared to the peer groupCanaccord has a recent update on Ithaca and compared them to Antrim and Oilexco in '09.
The most compelling metric seems to be EV/boed.
Ithaca had the lowest valuationwith $37K boed. Antrim was next at $56K boed. And Oilexco was last at $65K per boed. Makes sense as OIL is a big producer throwing off big cf at the moment.
But when one compares Serica (with 65% of 55MM cfd = 6000 boed net plus the 2750-3250 bpd net condensate), Serica has far and away the best metrics.
Say 9000 boed to make it easy. $264MM mc (I assume the $80MM cash roughly offsets the $100MM debt facility).
That gives EV/boed of just $29K or a 25% discount to the cheapest of those other plays.
Honestly, I sold a bit of my Ithaca in recent days to load up on Serica. But still holding Ithaca in hopes of good success at Manuel and Athena.
I really like the looks of the Ireland potential - could really be a company maker.