OTCPK:WSRLF - Post by User
Comment by
canadafoxon Jun 11, 2012 5:05am
565 Views
Post# 19998475
RE: Total RELIEF
RE: Total RELIEF u; I think it worth noting that buyouts take time. Before anything could be actioned by a lo-baller we will have K-2 test results and TLM's decision on further Kurdamir involvement. TLM have to decide whether to spend a further $280m just for their participation rights in the Kurdamir PSC. If TLM continue then that automatically becomes an absolute minimum value of WZR's WI. That is; a realistic value is multiples thereof unless TLM's accountants cannot operate a valuation calculation. If preliminary indications are anything to go by then there would be an avalanche of bids for the Kurdamir WI in a sale situation ( not likely IMO ) as it increasingly appears to be one of the stars in the KRG firmament. Such bids alone would have to be multiples of the current WZR MC. And then there is Garmian. This PSC will be given an additional absolute minimum value by the BIRs. Expected, as usual,.... soon. All-in-all the comments about WZR are mirrored by many other junior E&Ps in the current market uncertainty. Looking at the fundamentals; one huge oil discovery - Kurdamir and one large - Sarqala and numerous other prospects. WZR's current MC borders on the laughable IMO and as such is a buying opportunity if you believe that the macro-economy will stabilise.