Touchstone Exploration Inc T.TXP

utkant: show your back of envelope calculations.

[drunk@noon]

Clearly, if 100 million barrels of recoverable is liekly, this IS INDEED a bargin. But it doesn't seem likely given the market response.

[Utkant123]

STOOIP = 7758 (bbls/acre-ft) x Oil Reservoir Area (acres) x Average Net Pay Thickness (ft) x Porosity (fraction) x Oil Saturation (fraction) x Oil Shrinkage (1/Bo) 7758 x 3156 acres x 1000 feet x 0,26 poro x 0,5 (50% water?) x 0,8 (shrinkage) = 2 546 361 792 With a recovery factor of 20% you get 509 million barrels!  

[WelshGeo]

@utkant There are some errors in your volumetric calculation.  You have assumed 1,000 feet of vertical closure over 3156 acres.  What you have forgotten about is the geometric shape i.e. the area tapers or gets smaller with shallower depths.  Normally you would get the area under-closure from the seismic workstation,failing that you would digitize (planimeter the map).  In this

[Utkant123]

I never said mycalculations were spot on. They were back of the envelop using whatever  parameters I have. Yours are more reasonable though. But 70-80 mill barrels onshore should seriously reprice this share. It is still a large onshore find. The ones we dream of finding. We also have to take into account that it will be bigger since the bottom have not been found yet. Need to figure out the

[Dave4444]

If the market was always right, there would be no point investing as all stocks would exactly correctly priced, no bargains to be had.  But we know that is not true, the market is often wrong.  TXP has a very low market cap. given all the discoveries and potential, so I believe the market is wrong for one reason or the other.  I am buying more today, and willing to hold until the