This was from one their latest interviews with corporate file regarding the purchase in Canada.
"However, we valued the acreage on its fundamentals. That is, we assessed the risks and costs associated with finding and proving gas reserves in the area. While we paid less than $2 per acre, this does not reflect our view of value. More recent transactions in the area have been reported at prices up to $150 per acre.
Every project we acquire has had previous exploration work that demonstrated a substantial gas resource existed, which was often in-excess of 1,000PJ and where, with successful exploration or technology, the gas accumulation can be converted into significant reserves to support large, long life cash flows."
MPO Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
