why nge should go up, page-8

Hey all, was great that Talisman bought into both 269 and 268. 269 as we all know has had some seismic work done on it to show that it holds at least 230 MMBOE. Please note (1 barrel of oil equivalent = 1 barrel of crude oil = 5,487 cubic feet of gas).

Lets say that only half of the mmboe is recoverable which is 130 MMBOE.

Lets also say its rather expensive to get out of the ground so only 10$ profit is made combined by talisman and NGE. NGE’s cut of that is 3$ after drilling etc (assuming all wells are drilled). A simple multiplication puts a price at $390Mil. At around 600Mil shares on offer that puts a price at around 65 cents a share. Remember this is only half of the seismic shown reserves for one PPL (269). Lets say we half that be it less reserves or NGE has a heap of expenses or what ever, that puts the price per share at $0.325, and that’s why the price should go up from here. Lets hope Papua Petroleum and Sassol move on PPL 265 (would be a great alliance in my view both politically and economically). Unlike many others I think the Jewel will be PPL 277, as it just has a lot of the right stuff for me, although will be expensive to work on as in the hills, so wont happen for some time I wouldn’t think. Nice post this morning to Londoner its nice to see some humanity on here. Lots of buying and selling over the next weeks on NGE so you have a chance to increase your holdings in the stock without risking more cash. Good luck all.

Cheers
edd