Benign banter and price predictions, page-92

Ashes I'm the same, I cant read the attachments.

I was just musing on the LNG import terminals that are being proposed for Vic and NSW. With a current (Japanese) LNG price of USD8.2/MM BTU, it will leave a very expensive gas being imported via these facilities, circa A$11 per GJ.

I have a rough model on this project, as I do with all my major investments, and I get some really impressive IRR's at that pricing, even considering the current state of gas transportation tariffs to market.

I am surprised that this has not rallied further to date, on the basis of the inevitable progress towards gas flaring. I guess it pays to be patient, but at some point, the elastic band will be released and this thing will move well to the upside.

I also note that there are a large number of unlisted executive options, which have a strike price of 30 cents. I would see that as a target for management in this case.

An old mentor used to tell me to follow the money in looking at share valuations and this one has bright light on it.

Cheers, AL