Thx SPILL - IAE = Real MoneyIt's not an explorer punching holes in the ground. They have REAL production and a pipe-line of REAL projects, there's no maybe about it.
And at much lower project costs as before making pay-back time of projects a lot quicker.
$ 2.50 is not unreasonable and $ 5 at $ 100 oil.
Since we finally had a break through I see this run to $ 1.20 easily and that's only 2xcf:
At 65 $ oil & OC of 21:
Jacky/Beatrice/Alpha- 6500 bopd x 330 x 44 = 94 mln devided by 173 mln fd is 0.54 $ is 0.60 cad (conservative cf)
Fair value of IAE is more in the neighbourhood of 3x cf = 1.80 CAD
R.