GREY:CLLZF - Post by User
Comment by
Wellsitteron Dec 01, 2010 11:50am
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Post# 17783661
RE: CLL BillionBarrels Worth$$ in Buyout $3/share
RE: CLL BillionBarrels Worth$$ in Buyout $3/shareRellum, you are dead wrong in your assertion that the price of oil has nothing to do with CLL fortunes. The differential is the difference between the heavy oil price and the WTI price. They don't move independently like WTI and natural gas do. If the price of oil rises then the price for heavy crude and bitumen rises too.
Secondly, you're missing the big picture. CLL currently has over 600 million barrels of proven resource. If you value the oil in the ground at only $10/bbl the asset is worth $6 billion or $13.95/share. At a minuscule $5/barrel the per share price is $6.98. At $2 per proven barrel each share is worth $2.79.
So you are intimating that the company is walking a fine edge of a knife with no prospects for financing or take-over because of the process or the debt and you completely discount the value of the major asset so I have to ask, do you think that a take-over would be entertained based on an offer of 75 cents per barrel in the ground?