Long Run Explor Ltd Ord WFREF

RE:this is probably too simple???

[JohnJBond]

Yes way too simple.

If you want to go a little less simple, take a dollar per flowing barrel number and apply that to the liquid production.   Add in the value of undeveloped land, gas and facilities, tax loss pools, and substract off the debt.

Bottomline, LRE is worth more than its debt, and comes with a major call option on the price of oil and natural gas.   Count yourself lucky if you have cash to invest at these levels.

ps, some of the insiders appear to be aware of the above, and have buying (remember they could have bought any of their competitors...............it looks like they put their own money into LRE, rather that WCP or LEG or the others.

Personally I am very happy with the situation - I see about 4 months of elevated oil consumption since prices started to decline in October.    I see evidence of peaking US field production of crude.     I see a lot of rigs being sidelined.    I see a big price reversal in Brent (closing in on US$60, and thats with the stronger US$).........looks to me like the (non WTI part of the world - which is most of it)  is working through its oil glut faster then the US!

I see this as a get it while you can situation.

LRE is likely to be held back by relative to some of its peers, by its gas holdings, but I expect gas to get a big boost next winter when the market clues in that it wasn't just oil production that was cut back in the US.