ARPETROL LTD V.RPT

Data and fundaments for Latin America cos

[Miner1967]

There are two SA articles with comparisons of oil companies, some from Latin America with Argentina included:

https://seekingalpha.com/article/2562065-petroamerica-oil-welcome-to-the-cheapest-oil-producer-worldwide-part-2

Maybe both could be useful for ArPetrol holders as well.

[sanspeine]

This post has been removed in accordance with Community Policy

[westcoast1000]

Good point, sans. And that ratio ingnores the gas plant and some other assets for which there is no 2p estimate yet.

[trivela]

How can anyone compare enterprise value with reserves of such a different nature: PTA is almost 100% oil, production receives world market prices; RPT is nearly 100% natural gas, and prices are fixed by local government. Makes no sense. The gas plant is a nice asset, but does it earn a decent return on equity? I doubt it, based on the supposed value or replacement cost of $80/$100 million.What

[TheRock07]

You have a point but it's not as insensible as you make out. The market cap here only partially includes the unencumbered cash flows of the gas plant and its 65% gross margins. PTA must spend a fortune just to maintain its reserves whereas no such requirement is needed for the gas plant. All valuation indices have some pros and cons. The astute investor is one who reads the correct valuation