OANDO ENERGY RESOURCES INC WTS T.OER.W

Valuations - OER vs MMT

[Greenchips]

With Ebendo 4 producing at 2,000 BOPD (855 net to OER), this should bring OER up to approximately 5,000 BOPD from Ebendo and OML 125..

MMT reports field production of 12,000 BOPD which should equal between 9,900 BOPD net (82.5% of oil before capital recovery) and 6,000 BOPD (50% of oil after capex recovered).

OER market cap $100 million, MMT $600 million.

What are we missing here?

[BlindBat_1]

With Ebendo 4 producing at 2,000 BOPD (855 net to OER), this should bring OER up to approximately 5,000 BOPD from Ebendo and OML 125.. MMT reports field production of 12,000 BOPD which should equal between 9,900 BOPD net (82.5% of oil before capital recovery) and 6,000 BOPD (50% of oil after capex recovered). OER market cap $100 million, MMT $600 million. What are we missing here? ==========

[afolabi27]

You are safer with your money in another stock than any company associated with Mart and OER. Please check the corporate governance issues around these companies in Nigeria, and you will realise they are not set up to return profit to their non-major shareholders. Mart has a subsidiary in Nigeria called NRG, please do some investigation on NRG and Oando.    

[BlindBat_1]

You are safer with your money in another stock than any company associated with Mart and OER. Please check the corporate governance issues around these companies in Nigeria, and you will realise they are not set up to return profit to their non-major shareholders. Mart has a subsidiary in Nigeria called NRG, please do some investigation on NRG and Oando. ================ Thxs for the dooms day

[Greenchips]

BlindBat and I do not always see eye to eye but we sure do on this one, Oando PLC is a $3.5 billion revenue company listed on J'berg Stock Exchange with a strong institutional shareholder base. Mart's partners are highly respected in Nigeria, they pay substantial cash dividends, very difficult to fake that. Investing in Nigeria is riskier than Canada - unless you are a Progress shareholder

[Greenchips]

BlindBat, good analysis as usual, would quibble with you on some points but with OER having only 16% of MMT market cap but 50% of the production, I think that more than compensates for some of the differences you have pointed out. Two other points; OER has access to all the resources of a very powerful and well connected parent company. OER does not need an indigenous partner (who needs to be

[BlindBat_1]

BlindBat, good analysis as usual, would quibble with you on some points but with OER having only 16% of MMT market cap but 50% of the production, I think that more than compensates for some of the differences you have pointed out. Two other points; OER has access to all the resources of a very powerful and well connected parent company. OER does not need an indigenous partner (who needs to