ValuationsMaybe someone can clarify/correct what my understanding is. Exxon Liza 1 was 300 million barrels. Plainview Oil had said that if achieve 50% recoverable then you're doing great. If memory serves (I'll have to go back and check), they drilled 15 wells on Liza-1, (3 of them production, 12 of them gas or water injection).
The CEO of Hess said that total E&P costs, including taxes was around $30 per barrel. To me, it seems that if someone were selling 150 million barrels recoverable, discovered, light, sweet oil in ground then a buyer would pay much more than $5 per barrel for it. I'd think more like $15 per barrel. What am I not understanding here?