TSXV:ART.H - Post by User
Post by
goldtoeon Jan 24, 2010 12:29pm
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Post# 16712705
expenses
expenses
The PSC calls for the companys involved in drilling in Kurdistan to recover expenses right off the top when production starts. Obviously drilling is a major expense so although i don't have the terms of the PSC before me i would assume there would be some expense recovered in this area.
Thinking back when FO began drilling for gas/oil in Europe they had somewhere in the neighbourhood of 700 to 800M shares out and prior to drilling the stock went to about $7. There was a major marketing push for FO at the time. ENG was also pre-drill at the time and they had a 10% stake in offshore drilling/well off the coast of Africa... Angolia.. i think.
If one was to review all 3 companies then you would see that Vast is by far a superior risk/reward play. The odds are in their favour of hitting a monster oil reserve at black mountain with Niko as the operator.
Folks can say what they want but the bottom line here is that Vast will see a huge increase in their s/p if/when they hit oil on their initial drill. Even with 300M shares out i can tell ya that a $210M M/C company sitting on the prospects that they have.. has a very cheap evaluation... and nobody will be surprised when we see their s/p increase dramatically from here... even though many have been lulled to sleep because thus far Vast's s/p hasn't been able to hold any gains it's seen on news events. This is about to change.. there's little doubt about it. :)
salute