buyers building, page-35

Coversion of 6 is what's commonly used, however it comes down to the gas composition in the end. Until HC's r confirmed via any flowrates, one could apply a 20% risk factr (also known as GCoS) as a base case.

They r still yet to decide the final locations of the wells after the recent 3Dseismics. So that valuation of $1+ isn't right.

1) For Cua La prospect, one could look at calc's:
(3983 bcf x 25% equity x 50c/GJ x 20% riskFactr)/550mil = 18c/sh

2) Ca Lang: (461 MMbbls x 25% X $5/bbl x 20%)550mil = 21c/sh
Total: 39c/share risked valuation.

Most discoveries are associated with a wave of euphoria so one never knows how the SP will react on good news flow, so fingers crossed.

Noticed Exxon have been really tight abt their discovery. Anyways, for now Talisman-Mitra JV spudded a well with the Ensco-107 rig on the 4th of May (see link below) & Songa Mercur is somewhere offshore Cuba drilling for a Russian operator.

http://mitraenergylimited.com/press_room.php?id=131

http://www.songaoffshore.no/media/CSR_10May13.pdf