Niko Resources Ltd NKRSF

RE:RE:RE:Value

[mining_pays_my_bills]

Yeh BP paid 7B$ for their 30% stake originally. Which originally would have valued NKO's 10% at around 2.2B$. But, the KG-D6 block is producing less than 20% of what it was originally forecast to produce, so I'd assign less than 20% of that 2.2B$. Say 500M$. Then, consider that original value was for the value of the field and all it's future production. Over the years KG-D6 has been depleted somewhat and the operators have profited from it, so the original value is not all there anymore. So, knock our value back a bit to 400M$. Then assign a discount because it's a hostile market for Oil and Gas E&P Co's right now.... so 300M$ is my guess at NKO's 10% stake in KG-D6. I'm not bashing- I own NKO like all the rest of you, and I'm as long on it as anyone. I'm just also a realist. This valuation is conservative, and yet still adds about 600% to current share price. Get some bidding wars in there and who knows- NKO's 10% could go for 5 or 6 hundred million, but I doubt it'll be a billion. Nassau- I think your conservative estimate of 5$/share after debt is paid off is possible.