Sale of Twining and PenholdThe sale of these two light oil assets is expected to boost the cash position to their target of $250 million by exit 2011.
The data room has been open since mid-oct and have attracted a large number of potential bidders.
Twining has 12 mmboe with a discounted NPV of $114 million while Penhold's NPV has yet to be released.
There has been some noise that the sale has been delayed, as a potential buyer has been looking over Connacher, as a complete package, rather than as a JV partner.
The net asset value of Connacher is well above the $2 billion level ( $3.1 billion in 2P reserves plus $200 million for the refinery and infrastructure less $950 million in debt ) which would imply about $4 + per share.
Its not likley that this will be the takeover price but $2 would not be unreasonable.
New update is expected before Xmas.