appropriate value? $1-68??, page-42

Dyno

Agree to that, Shell seems 2b a potential suitor yet again.

Would b interesting if the others, Mitsui, Sinopec & Petronas, AWE or Total see more value then Shell would. (just my smart guestimate on the bidding parties)

Shell have a 34% stake in WA-377 (Echuca shoals) & 65% in AC-P41 where Libra was recently drilled. The current mkt represents more of a buying opportunity for a cashed up player & Shell are well familiar with this acreage (AC/P23-Crux). Why wait until Jan 2021 to start prodn from a depleted field by drilling more injection wells to ramp up production?

Now looking at the numbers for NXS, from a total t/o perspective,

Cash: $75m, Debt: 240m, Mkt Cap: 245.2m,
EV: $410.25m, Total 2P-Reserves: 128 mmboe,
EV/Res value is $3.2/boe, which is a bargain, IMO

Current EV of $410m is far cheaper for anyone to make a 100% move with a suitable premium. Can this happen, who knows, stranger things have happened.

As for PC43's point, to an extent NXS is on the floor as they need cash going fwd to develop Crux. Longtom will generate revenue for them by Mid-09, which will b a first. NXS plan to drill Auriga in May & perhaps another well later in the year, besides, development costs for Crux will require capital, hence the need for a partial sale now &/or tapping the banks/mkt at some stage for a Capital raise, IMO.

If AED could find a White Knight in Sinopec to fund $600m for its Puffin field, surely NXS can do better with a variety of assets in place that need development activity not exploration drilling.

Just my thoughts.