Reconnaissance Energy (Africa) Ltd V.RECO

RECO 8,500,000 acres * $ 850/acre = $ 7.2 billion ($55/sh)

[Hiddensecrets]

The value of an acre of land that has oil and gas shows is:   $ 850 per acre per company presentation.

RECO has 8,500,000 acres which deepens in the basin towards Botswana, meaning oil. 

Therefore value of RECO stock at this moment is:          $ 7.2 Billion

(8,500,000 acres * $ 850 per acre).

Once it is determined that it is commerical oil, then the value of the acre is $ 4,000 each.

Once we produce it is $ 20,000 per acre.

That means fair value now is $ 55 per share.

When commerical, fair value is:   $ 259 per share

When producing fair value is:  $ 1,294 per share.

With ROE deal, both ROE and RECO have locked out the major oil companies whom will have to pay a HUGE PREMIUM to get a share of the pie and, a bidding war will ensue. 

A major may want to buy RECO out at say $ 100 to $ 150 per share and, it will be hostile. 

mpo

[teheran10]

..... so agree with you, Hidden.... My estimate always has been between $150-$250/Share..... Let us not shortchange ourselves here. These prices are NOTHING right now..... Buy Hold Prosper