Twin Butte Energy Ltd TBTEF

RE: ROCK ENERGY is better than AVALON (TBE acquisi

[bshort92]

I'm not sure that RE is worth $3.46 a share. If sold for $32 K per flowing boe (like EME, Avalon and Waseca) they would fetch a $1.80 a share. They spend close to $900 k per well drilling 800-1000 meters at their core property (50% of Capex) at Mantario. TBE's new acquisition Waseca just pulled two licences to drill 425 meter wells at Greenstreet/Tangleflags which cost $550 K to drill. Production rates between the two comparisons are both in the 40-80 boe/d range. RE's Q2 earnings said their netbacks were around $19 a barrel. Their 83 K undeveloped acreage might not be in TBE's core in the Lloydminster corridor. Lots of factors go into a purchase and I'm of the belief that TBE would rather seek out privately held concerns rather than publically traded companies. Just an opinion. Stay tuned.