FO versus UPLI posted this a while back, par the repad but the upside is amazing!!
UPL gas discovered by Bruner, Laird, Law in Wyoming 1999 or so
UPL is drilling, drilling, drilling, over 1200 wells to date and 160
this year.
I hold UPL, UPL price now $US 58 or so
UPL board on Yahoo is worth a look
bobw02053 is one of the most knowledgeable posters on the UPL board,
this is cut and paste of his May 4 2006 post# 81871
"This is how I calculated the valuation of Ultra based upon the price Devon paid for the acquisition of Chief:
Devon paid $2.2 billion for 600Bcf of proved reserves (and some debt) or $3.67 /Proved Mcfe.
Since Ultra’s 2P reserves are similar to other E&P companies 1P reserves, I will value Ultra as if their 2P reserves were 1P. Ultra’s 2P reserves are 6 Tcfe.
At 10-acre spacing Ultra’s 2P reserves will be approximately 11 Tcfe.
6 Tcfe at $3.67/Mcfe = $22 billion / 162.9 million fully diluted shares = $135 per share
11 Tcfe at $3.67/Mcfe = $40.37 billion / 162.9 million fully diluted shares = $247 per share"
have fun with this when you plug in 40 TCF or 100 TCF but remember
we have 400k shares outstanding drill, drill, drill, drill for 4 or 5 years
Regards and stay long