RE:RE:New Stratus Energy Announces an Operations UpdateYeah Stiffupperlip I don't know how the market values companies. NSE has 50% of Gold Pillar who in turn have 40 % working interest in 6 oil fields in Venezuela. One of the six oil fields is Limon which is estimated to have recoverable reserves of 104 million barrels according to the link below.
50% of 40% = 20%. So NSE has reserves of 20% of 104 million barrels at Limon or about 20 million barrels for NSE. Assuming that the other 5 fields have comperable recoverable reserves then NSE may have reserves of 100 million barrels. Heavy oil is fetching over $80 per barrel these days which is higher than Brent or West Texas. So their netbacks per barrel (selling price minus break even cost) must be over $50 per barrel. So in theory the company is looking at a net asset value of $5 billion.
But then we have lots of political instability currently happening in Venezuela. The International Criminal Court announced 2 days ago that they are investigating the Maduro regime for crimes against humanity. If found guilty then what happens? Does the current government go into "circle the wagons" mode with a coup in order to never give up power? Anyway most retail investors are keeping most of their powder dry waiting to see how things shake out in this power struggle. We're talking trillions of dollars of oil revenues given that Venezuela has over 300 million barrels of recoverable oil. So I'm sure that many powerful interests are involved. Anyway here's the link: https://www.gem.wiki/Limon_Oil_and_Gas_Field_(Venezuela)