Ann: Trading Halt, page-65

Brad, those figures r for 2 separate scenarios.

1) NPV model:
US$75/bbl minus $45/bbls will b used in their NPV modelling, for a production profile of say 40kbpd x 15-20yr field life. Fairly straight-fwd analysis to work out annual net revenue & then discount it by 10% & extend it for 20 yrs. That's what Bob has quoted. NPV of US$3bil (100% basis, reduce that to 65% now) with production around 2018.

That $45/bbl should b apprx inline with PBR's numbers. U can download the entire spreadsheet for their qtrly costs historically from that link I posted earlier. This figure could have been less, but PBR r restricted by the FPSO's capacity, ie 80k bpd capacity. They use the bigger FPSO's for deep water fields to keep their costs relatively down, eg Lula etc.

2) IGV valuation:
The US$5/boe refers to as metric used for in-ground valuation for a discovery, which includes a riskfactor (either chance of success or chance of develpmnt). On this basis u calculate a risked & unrisked value for Kangaroo. That's the metric Swan's referring to.

eg: (88 mmbbls net x $5/boe x 60% CoS) / 245mil shares = US1.077/sh risked value (or US1.79/sh unrisked value) U can convert this to AUD @ 88c FOREX.

Then u have the cash backing of 699/245= A$2.85 which is where the SP has been hovering of late. Hope this helps.