RE:RE:12% of POU value is in NVA sharesKonaboy - the market will wake up to what is happening.
NVA shares closed at $13.80 today, 515 million dollars sitting on the balance sheet. NVA has a $16.30 price target on the stock based on 5 analysts, or this would equate to 610 million dollars for POU just for the NVA stock.
Westbrick Energy Add 100 million for Westbrick
Westbrick energy ( POU has a significant ownership stake (50,000 + boe/day))
This is how underpriced i think POU is, compared to NVA, I think POU has less net debt than NVA and higher production, so i will give POU 100 million debt advantage
Nva = 3.1 Billion Mkt/Cap Prod = 68792 boe/day(q3)
POU= 4.3 Billion Mkt/Cap Prod = 97601 boe/day
POU 3.6 billion produces 97601 = 36,000 boe (700 million at least on balance sheet)
NVA 3.1 billion produces 68792 = 45,000 boe
POU subtract 700 million for balance sheet assets
So if POU traded at 45,000 boe = 5.17 billion market cap or trade over 36 dollars a share.
Currently POU is trading at a 20% discount to NVA giving no value to Wilesden Green or Duvernay, Clear Water, or the other million acres of land.
Analysts have price targets for POU of $40 dollars, but considering it should trade at 36 dollars to be evaluated fairly with NVA, i think that is pretty conservative.
POU is forecast to produce 105,000 boe/day Q4 that is 34,000 boe so POU should really be trading close to $40 dollars currently.
IMHO