sea & txn merger

AOK holders should look at this. SEA is merging with TXN and taking on their Eagle Ford Shale assets. Other TXN assets are being spun out as a new company. The EFS assets are being valued at approx $100M and holders of BOTH companies see this as underalued (ie SEA is getting the better of the deal). So lets compare the TXN-EFS with AOK.

(TXN-EFS / AOK*)

Production (BOEPD) (511 /400)

Cash (0 / 3M)

Reserves
1P ( 1.7 / 3.8)
1P+2P (5.2 / 6.6)
1P+2P+3P (11.3 / 13.4)

NPV 10 $ (268M / 389M)

IRR (55% / 97%)


* Bear in mind this is AOK in its entirity, so not all of it is ML. However I would argue by the time we get to 700BOPD, just the ML component will beat TXN's EFS on every single metric.

My estimate of reaching 700BOPD production is within 6 months.