Post by
bullbleep on Aug 21, 2014 11:09pm
how cheap?
some larger blocks have traded recently around the 38+ cent range and the market appears to be handling these without much of a problem. And so the price is obviously capped until this overhang is cleaned up. Production should be about 700 bopd, before the Rutland well comes on. And two more drills in Evesham underway. Just a guess as to where we will be at if all these are successful and put on....but lets say 850+ bopd. With a market cap and debt, of say $6M, totaling just under $26M, that gives a value of $30,500 per barrel day. I would think heavy oil assets are trading in the $50,000 and up range.
Comment by
hawkowl1 on Aug 22, 2014 2:31pm
Pretty good numbers. A similar sized company would be Hawk oil .They have faltered lately and I have been selling. Tuscany with much better prospects and a bargain compared to Hawk. Hawk a year and a half a go had opportunities to chase really cheap assets and put together a better land package and chose to play it safe.