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Ecopetrol ADR Representing 20 Ord Shs V.EC


Primary Symbol: EC

Ecopetrol S.A. is an oil company. The Company operates in Colombia, Peru, Brazil and the United States Gulf Coast. The Company's segments include Exploration and Production, Transportation and Logistics, and Refining, Petrochemicals and Biofuels. The Company's Exploration and Production segment includes exploration, development and production activities in Colombia and abroad. The Company's Transportation and Logistics segment includes the transportation of crude oil, motor fuels, fuel oil and other refined products, including diesel and biofuels. The Company's main crude oil pipeline systems' operating capacity is approximately 1.34 million barrels per day (BPD). The Company's main refineries are the Barrancabermeja refinery, which it directly owns and operates, and a refinery in the Free Trade Zone in Cartagena that is operated by Reficar S.A., a subsidiary of the Company. The Company also owns and operates two other minor refineries: Orito and Apiay.


NYSE:EC - Post by User

Post by smallcappunteron Jul 30, 2013 5:39pm
340 Views
Post# 21640038

@M139. a 55 cent value?

@M139. a 55 cent value?If your figures are correct, the $3 million divided by 50% for the partnership is $1.5 million. Take another 50% discount to be safe. $750,000 to Ecometals. multiply by 12 months is $6 million in yearly sales to Ecometals. using a 10% discount for five years of sales, this is $25 million to Ecometals. i think there are 90 million shares outstanding. but increase this by 45 million shares (50%)  just be safe. this is 18.5 cents of earnings per share. ($25 million / 135 million shares) put the 18.5 cents on a price:earnings ratio of three times equals 55.5 cents. 

i know there are a lot of assumptions here and i took a lot off the numbers to be safe. Where have i gone wrong? i am open to be corrected higher or lower if my numbers are off. 

Then the gold property must have some amount of value also. Even if it was worth $4 million, this is about 3 cents per share.

Finally the possible payment from the sale of the iron ore property. is that  worth something?

am i missing something in this rough valuation?

SCP.
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