Petro Vista Energy Corp. PTVYF

RE: Potential for PTV's Shallow Water Play

[longrider1964]

Hey Cal,

             Those are nice numbers but maybe a bit too aggressive. They have two wells being worked over so lets say they get 1000 barrels each for 2000 bod to start. Using cash flow from that they drill 8 more for 10 wells producing 10000 barrels a day by end of 2012. Their share last year was 27,000 barrels and they netted 1.3 million on a gross of 3 million so about a 45% net back. If we apply that to a 10000 barrel day production we get 2730 barrels (27.3% of daily production) times $45 on a $100 barrel average. So @$120000 a day or $44 million a year. Still a ton of money to attack the offshore deepwater stuff as they only have to fund their third of the drilling costs. And applying a very conservative 5 times P/E multiple would give a market cap $220 million or about $1.50 per share which is a 10-15 bagger from these levels. Should the deepwater stuff hit anything of commercial size and you would be looking at a share price similiar to Africa Oil! All very interesting and | would agree that this company and Keith Hill have just begun what should be a VERY rewarding journey for all shareholders. All imho :)

Longrider