absurdly small NPV has been put on the in-place oil by the market. Given the reported in-place oil of 120 million barrels is always going to be a minimum estimate as per the requirements of reporting the market is assuming they will only get about a 3-5% recovery of that low-end figure.
Another way to look at this is that with a market cap of $189m the company is valued at less than 2 million barrels of oil, despite having oil-in-place of over 120M barrels (maybe double that) with low-end recovery about 10% of 120 million barrels ( 10-12 million barrels), most likely recovery about 15% of 150 million barrels (22 million barrels) and potential recovery of 30% of 250 million barrels, or 75 million barrels.
This has BARGAIN written all over it at this price.
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