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07:44
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Originally posted by huaneng:
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yes you are right Alexei. When you check the Africa Oil and Eco Atlantic Oil and Gas press releases about their deal you see that Pancontinental is currently cheap The block 3b/4b in the Orange Basin on the South African side is just an exploration block without any exploration well. They have mapped some very promising prospects and leads, thats it. Recently Aoi and Eco swapped their shares in this block and you could calculate that AOI paid roughly $8 million US for 1% of 3b/4b, which may hold 4 billion barrels in deep water. The Saturn prospect contains perhaps 40 billion bbl oil in place, meaning Pcl should get 80 million $ for one percent of Saturn. Pcl got 20% of Saturn which means, today Pcl should have a market cap of 1.6 billion US$ whereas Pcl got just a market cap of 83 million US$ (122 million Australian $). With these assumptions, the share price should and could be at around 30 cents US (or around 0,43 Australian $) currently. Perhaps you could argue about the 40 billion bbl in Saturn, but nobody knows if there are 4 billion bbl in 3b/4b or not as well. In Jan 2024: Pancontinental Executive Director, Barry Rushworth commented "While patience is required withwell placed for an exciting 2024 and beyond." Well, till now 2024 was not so exciting, according to the potential of the share price. Of course the more the Saturn is derisked the higher the value respectively price of Saturn. And than we talk about a share price in the range of X US$ per share . I hope Pcl does not accept any early premature low price offers.
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All great points huaneng, well put! You did however say " I hope Pcl does not accept any early premature low price offers." I do not think can happen, and please correct me if I'm wrong, but PCL CAN NOT accept any offer without the shareholders blessing. We, the General public own 74.6% of the shares on issue, where as Private Companies and individual insiders own the balance. So in order for PCL to even think about looking at offers they would first need to run it by the majority of shareholders, that being us. I am happy to be corrected. Cheers!
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