$1.1mm for a section at LochendNov 2 Alberta land sale results are out and there was a $1.1mm bid for 1 section at Cochrane (5-03-026), which is the same township where some of TOL's recent successful wells have been. My guess is that this was NAL buying (it was under broker name). You can see it for yourself here: https://www.energy.alberta.ca/Tenure/1314.asp
TOL has 57 net sections at Lochend, implying $62.7mm for Lochend land only, or $2.00 per share (valued at $1.1mm per section)ignoring current production and reserves. I estimate current Lochendproduction to be worth ~$30mm+ of an additional $1.00 per share.
This is ignoring their other valuable assets: Tableland and PRA are worth $60mm-$90mm, adding another $2.00 - $3.00 per share.
This is also ignoring their huge new light oil discovery, which could be significant.
Addthis all up and you quickly get a sum-of-parts NAV for TOL of $5.00 -$6.00 per share. Note that shares are trading sub $2.00. Not sure howlong this anomaly can last. I just can't believe some would sell their shares at this level.
Anyone have a guess at where this new light oil play is? Cheers,