GREY:VFGGF - Post by User
Comment by
kingfisher7on Dec 01, 2014 7:22pm
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Post# 23183484
RE:Spyglass sale of Red Earth assets
RE:Spyglass sale of Red Earth assetsIt's difficult to use the Spyglass metric as a value for Pinecrest.A perfect example was the sale of Surge in 2011 for $ 83 000 per BOE and Renegade 2012 for $ 220 000 per BOE both players in the Red Earth oil formation. PRY is second behind Penn West in land holdings with 176 210 net acres worth today between $ 1200 and $ 1500 an acre which gives a value between 211 million & 264 million.Recent enterprise value for BOE is $ 180 million and let's not forget the 350 million they spent on exploration and development costs related to land acquisition which normally holds 1/4 capex to a potential suitor giving us another 87 million