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International Frontier Resources Corp V.IFR

Alternate Symbol(s):  IFRTF

International Frontier Resources Corporation is a Canadian company, which is focused on advancing oil and gas projects. Through its Mexican subsidiary, Petro Frontera S.A.P.I de CV (Frontera) and strategic joint ventures, it is advancing the development of petroleum and natural gas assets in Mexico. It also has projects in Canada and the United States, including the Northwest Territories, and Montana.


TSXV:IFR - Post by User

Comment by RetailRubeon May 31, 2009 8:55pm
503 Views
Post# 16031633

RE: Speculation

RE: SpeculationYou said 10-bagger if Bowmore works.  I thought you said it tongue-in-cheek, but then I did the math.  WOW!

Tell me if I'm interpreting this correctly:  (I multiplied the quoted numbers by 2 to show IFR's 10% interest assuming they don't farm-out any.  I also divided by 60 million shares.)  NPV @ 10% after-tax assuming forward pricing forecasts and the mid-case for reserves equals $1.43 per share NAV for Bowmore.  I assumed the Capex is paid for in the NPV calculation although they would have to raise the money.  Not having any oil industry experience, I don't know if that's their practice or if you have to deduct Capex separately .  I also assumed no help from the tax pools generated by the dry holes at Laurel Valley etc.  Those would boost the value higher toward the pre-tax NPV valuation.  And the high case would be $3.75 per share, a 37-bagger.  (I'm a long-suffering shareholder.  I like to dream.)

"If" they find the reserves, Bowmore could be huge for IFR.
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