Painted Pony Pete Ltd PDPYF

RE:To Think UGR Cost Almost $300 Million

[dalerules88]

bonjovi501 wrote:
"and we gained 8500boed and our market cap today is $325 million and you wonder why that deal killed us. If Patrick had to do it again I bet he would have walked away. I will be a buyer at $1.50 in the spring."

THIS is what I see:

300mil for 8500 boed works out to 35,000/barrel;
Cenovus paid some 62,000 if I recall; Tou paid about 55k (way more liquids though); CJ paid 62k before their royalty interests; 

CVE netbacks are not even double of Pony
CJ netbacks roughly double;
Tou netbacks, after liquids, are somewhat higher than Pony's;

so, 35,000/barrel is almost a fair price for production alone, especially considering there are some good liquids areas (>30bbl/mcfe)

on top of that we got distribution, plus UNUSED pipeline capacity, PLUS a load of acerage;

to me that sounds like a VERY GOOD deal, on original purchase "price" alone;
then add to it the fact that we paid with shares valued @ 5.60 and now we're at basically 2/5 - this makes the UGR purchase, AT CURRENT Pony valuation, effectively cost us about 120mil - just think about that for a second - that's 13,000/boed equivalent for existing production, PLUS all that other stuff above for free!

how is that not a smoking deal??