roc positive on stronger cash position, page-14

Thanks for that peter,

I know back on 1 July 2009, Huntley place a valuation of $2.00 per share:

"ROC is yet to provide full details on the SPP so we don't know what if any cap exists on the size of the raising. A rule of thumb is about a 30% take-up but 13% wasn't much of a price discount to market so it could be less. We assume around a 25% take-up at an average of $10,000 or $60m for the purposes of calculating our post-capital raising valuation, down 17% to $2.00ps. The lower valuation is only relevant for shareholders who don't take up their SPP entitlements."


I am still waiting on Macquarie Equities update since the June Quarterly Report. I am expecting a downgrade in earnings from lower production from BMG and losses from Hedges and sale on NXS shares. There last report was on the 290609 but have not given a valuation since 020309. Back on the 020309 they valued ROC at A$0.80 per share as follows:
.............................................Per Share
................................A$M........ ..A$
Zhao Dong Block ................263......... 0.45
Basker Manta Gummy..............224......... 0.38
Cliff Head......................140..........0.24
Chinguetti.......................-2..........0.00
UK............................. 146..........0.25
Discovered Undeveloped
risked valuation ................39..........0.07
Exploration......................67..........0.11
Corporate......................-269.........-0.46
Cash & Investments...............66..........0.11
Debt...........................-206.........-0.35
Group NPV.......................469..........0.80

If you were take the same valuations, adjusted for cash raisings, asset sales and revised number of shares, I guess you would get the following valuation:

................................A$M
Zhao Dong Block ................263
Basker Manta Gummy..............168
Cliff Head......................140
Chinguetti.......................-2
UK............................. 146
Discovered Undeveloped
risked valuation ................39
Exploration......................67
Corporate......................-269
Net Debt....................... -11
Group NPV.......................541

Shares on Issue.................676M

Value per share................ 0.80

Observations:
Very High negative for Corporate of -$254M
Very Low valuations for undeveloped/exploration of A$106M;

Their latest Reserach Report shows the current producing assets making on average A$130M after tax operating cash flow over the next four years (09 to 12).

I guess the upside is from increasing the value of the undeveloped assets, high oil prices and from some prospective exploration results. I am hopefull of the 20% holding in permit 351 off WA. Adjacent permits have found some very prospective targets next door.

Regards

SP