RE: $ 40 BILLION VALUE FOR LFD....You are taking Prospective Resource numbers and giving them a value of $80 for each barrel.
Prospective Resource is by definition... undiscovered potential. Don't forget that, undiscovered. It is completely
unrisked, as compared to reserves. You need to multiply the risk of discovery by the chance for development, which,
is sure to be less than 10%.
I might add, this undiscovered resource must be oil, not gas, and it must fill the entire area by volume
with oil.
Let's put it in perspective, Proved and Producing Reserves have an asset value of about $15/bbl, based on
historic sales of assets. Undeveloped oil in the ground, appraised sufficiently to be classified as 2P oil reserves,
are worth about $4/bbl.
You are giving value for something undiscovered, completely unrisked, and exaggerating that value by a factor of 20,
without even considering capital expense, nor operating expense. Let's not even get into the political instability
which might make any discovery considerably less in value, compared to a stable environment.
If you truly believed your statements taxdemicco... and you were actually buying and not selling... those statements
wouldn't be made.