Another approx. 40 mil B/S improvement "Equal estimates that its overall decommissioning provision on its balance sheet will drop by approximately two thirds when the asset disposition is closed."
As at June 30, 2012 the decommissioning provision was approx. $33 mil. Two thirds of that = $22 mil. When you add that to the 17.4 mil in cash being received, that is a $40 mil. improvement on the balance sheet. Not bad at all.
So far they have received $40 mil + $20 mil for the northern OK properties, that 18 months ago we had not placed any value on, plus now $40 mil in cash and reduction of liabilities. A grand total of approx.$100 mil. improvement of the balance sheet.
I suspect this is mainly it. We will become a much stronger company with 8,300 bopd production and low debt. In my view, this should lead to a renewal of growth and a possible doubling or more in share price, once the fundamentals assert themselves. Should NG and NGL prices improve further, then that would become a very conservative projection.