RE:RE:Shell has $ 33 Billion in Cash to make ACQUISITIONSI can only go with fair valuations.
Land with gas as oil shows are valued $ 853 per acre.
We will have 8,500,000 acres with ROE so valuation of $ 7.2 billion.
That means a price of $ 55 to $ 60 per share, which is around your target price.
If hole #2 hits, then price doubles to $ 90 per share as we will have more bidders.
So if I were Shell (if rumours are correct) I would make a deal ASAP, offer between $ 40 to $ 50 for 50% of the license.
I sincerely believe that acquistion of ROE was done specifically for this reason, to strengthen negotiating hand.
mpo