are they good value yet, page-13

Dargie,

The last independent reserves audit was Gaffney Cline Dec 31st 2007.

It had 2P reserves at 11.4mmbo to CVN.

Page 10 of the June 2008 Investor presentation quotes a crude sale price of approx 75% to 85% of WTI

So using US$120 bbl x 80% we get US$96bbl.

11,400,000 x US$96 = US$1,094,400,000

Page 10 of the June investor presentation quotes Gaffney Cline "company take equates to approx 30% future nett revenue after taxes and costs"

For the purpose of a line in the sand, we will use that approximation of operating costs, royalty, SRB and company tax.

Thus US$1,094,400,000 x 30% = US$328,320,000

With approx 672,000,000 shares on issue -

US$328,320,000 / 672,000,000 = US$0.4886 cents per share

Say Aust$ = 0.90 US$

We get Aust$0.5429 per share.

This is using reserves figures from Dec 31st 2007. Since then even with a few dusters, there is every indication that reserves will be significantly higher.

But if revenue streams ratchet up, I assume the 30% figure will become more effected by windfall profits tax.

Nevertheless we see a worth for CVN closer to mid 50's than mid 30s. Good time to hop on.