Long Run Explor Ltd Ord WFREF

RE:RE:RE:RE:RE:RE:1.30

[99999gold]

JohnJBond wrote: It doesn't take intelligence to recognize that oil and gas producers decline in share price when oil or gas prices decline.

It doesn't take intelligence to make forcasts, or express opinions.   A broken clock is still right twice a day - it doesn't make it useful.

The relevant question is 

"how long will it take for US shale production to level off and decline following the reduction in 2015 spending"

Shale wells decline up to 70% in year one.

There will be wells that were drilled in the last 2 months, that are being tied in now.

Fundamental analysis is about long term changes and opportunities.   

ps, whats so bad about US$60 WTI?    Not so long ago, that was a good price.

As far as asset write downs, how much is going to get written down at US$60?    Answer - not that much, as NAV uses forward strip pricing, which was $80 ish, and is now $70 ish, and discounting that back to PV will make it pretty minor.

LRE is already trading way under its book value.    Book is an unhelpful number so I don't memorize it - that being said, I seem to remember it being about $5ish.

you are absolutely hopeless. 

Everyone  - ignore this rant, he has absolutely no idea what he's talking about.