Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.

CGX Energy Inc V.OYL

Alternate Symbol(s):  CGXEF

CGX Energy Inc. is a Canada-based oil and gas exploration company. It is focused on the exploration of oil in the Guyana-Suriname Basin and the development of a deep-water port in Berbice, Guyana. The Company, through one of its subsidiaries, holds an interest in a Petroleum Prospecting Licence (PPL) and related Petroleum Agreement (PA) on the Corentyne block in the Guyana Basin, offshore Guyana. The Company, through its subsidiary Grand Canal Industrial Estates, is constructing the Berbice Deep Water Port. This facility, located on the eastern bank of the Berbice River, adjacent to and north of Crab Island in Region 6, Guyana, is being constructed on 30 acres with 400 m of river frontage. Its subsidiaries include CGX Resources Inc., GCIE Holdings Limited and CGX Energy Management Corp. It is the operator of the Corentyne block and holds a 27.48% working interest. Its Wei-1 exploration well is located west of the Kawa-1 discovery in the northern region of the Corentyne block.


TSXV:OYL - Post by User

Bullboard Posts
Post by OIL_RUNon Apr 30, 2020 9:49am
203 Views
Post# 30970663

ECO v CGX VALUATIONS

ECO v CGX VALUATIONSECO MARKET CAP: $84M CAD; or, US $60.5M


Assume conservative US $10M for ECO's non-Guyana assets = leaves US $50.5M for ECO's Guyana assets.


US $50.5M / Eco's 15% interest in Orinduik = US $3.36M per 1% interest


US $3.36M * CGX's 66.7% interest in Demarara (adjacent to Orinduik and larger license) = US $224,556,622. Or, US $0.75/CGX sh; or, CAD $1.04/CGX sh. Note, this simple comparison excludes corentyne, berbice, or the deepwater port.


It's difficult to approximate value when their is no independent resource report to rely upon for Demarara - typically used by third party analysts to properly assess valaution of exploration companies. Surely, we will see news on that in the near future... 


Regardless, assuming the prospectivity of Orinduik is comparable to Demarara (and discounting other CGX assets / licenses) - we are presently valued at a discounted multiple of more than 4x.


I am sure this will be all sorted in time...



Bullboard Posts