OTCPK:MAUXF - Post by User
Post by
BCPInveston Nov 06, 2007 4:11pm
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Post# 13762454
10,000 Bbls. per day.....
10,000 Bbls. per day.....Now we are are going places!! The stock is trading real well and the chart looks excellent. I fully expect they will be doing 10,000 bbls. by January or soon after. Using US$100 for oil that works out to $1 million per day in revenue or US$365 million annualized. Even with the 300 million shares outstanding this still looks like a cash flow of about .80 cents more or less for next year and with a 4 multiple that calculates to a share price of CAN$3.20. However, out of this cash flow MMT first recovers costs then the deal becomes a normal joint venture with the Nigerian partners. So, just for the sake of working with round numbers lets cut my estimate by half. This bring us to CAN$1.60 for the stock. Still respectable. This is finally looking to be a good trade despite the incredible mismanagement of the program during the last year. Company management is fully aware of the negative perception and are moving more carefully these days in order to restore confidence. It will take time......and about 10,000 bbls of production.
Even I will forget about the sorry year it has been. There are some really incredible possibilities for this company if they can execute properly. I think they will. With a truck full of cash to work with we should expect some super results.