Chen Lin
Chen Lin, What Is Chen Buying? What Is Chen Selling? (11/4/16)
"Pan Orient Energy Corp. is very close to the key catalyst of East Jabung. Once they start building the road, we will be set. . .the long lead items were ordered for Q1 2017 drilling. The medium case success is NAV 15-20 CAD range, with high case 50 even 100 CAD. . .POE is trading at around 1.2 CAD with about 90c cash in the bank and quite a few properties. Amazing value out there."
I don't take Chen Lin too seriously, but running the numbers for the possibilities if Repsol does hit something significant is fun. I get a 17.5% percent interest in the project from 0.5 Repsol times 0.35 for the gov't of Indo's share. With the best estimate success case being 73 MMbbls we multiply that by 17.5% to get 12 MMbbls. Multiply that by what?- 20, 30, 40 dollars a barrel depending on production costs...? That gives a value of 240, 360, or 480 million respectively, again of course assuming they hit. Divide those numbers by 55 million shares, and I get 4.3, 6.5 and 8.6 respectively which the property could be worth to the share price in the best estimate case. The high case is according to the same method is closer to $40. All of that before NAV discount rates and taxes, but also excluding Sawn Lake and cash in the bank. The high case would definitely make my year... ;) Please let me know your thoughts or corrections - amateur at work here.
GLTA,
Seanyboy