cooper on sale at 5 cents above cash, page-16

Recoop

I use cash equivalents, this includes cash, investments and trader receivables, ie oil sold that the will be paid for within 60 or 90 days(I cant remember which one)

This figure was 74 million as at the end of June. I am assuming about 13 million revenue this quarter plus about 500K in bank interest. Of this given less spending for seismic that we had last quarter I am assuming about 6 million in the bank. If you want to be more conservative use 77 Million as the figure. So on that basis(77 million) cooper MC about 7 million over cash equivalents backing. Compnay will make at least 35 million in revenue this year more likely to be forty plus.

You correctly point out the realised Tapis price should still be a healthy $125 even after recent correction. The other point you make which I agree with is this bear market if managed well by the company may alllow it to add significantly value medium term, they are one of the few companies with cash that can be used to make a difference. at current prices I see no better investment than its own shares.

EL,

I think you raise a very valid point about expertise with gas assets, I would assume the company would seek to retain talent, may not retain CEO or directors, but one would think by issuing some options to key technical staff could do the trick, its a commonly employed tactic by many firms post takeover or merger.

To me whether a buy back is commenced would be a validation of good management. I think MS should seriously be concerned they dont get taken over themselves at these levels, a buy back would shore up the defences