Kahuna,
I think I see a reason for some of our differences.
I'm a small cap specialist - anyone above $200m in market cap, I tend to ignore, as I big stocks have more and better ananlysis than small ones, and therefore I am more likely to have an information advantage nthan for small ones.
Small Australian gas producers tend to have to take fixed-price contracts from consumers or Santos, and these prices include toll charges and so on - thus the $2.50/mcf number.
Big producers - Woodside - can and do get USD demoninated take-or-pay contracts that have escalator contracts.
So, say, a GOG with a theoretical 5 mmcf/day from onshore Cooper wells is in a very different position from a Woodside, as GOG has to take prices, and Woodside can to some extent make them.
Added to this the lack of a spot market for gas in Australia, and small producers can't easily monetise gas, and are more-or-less at the mercy of consumers.
The US is a different story, as there, you can turn even fifty thousand cubic feet a day into money.
For the record, I like Woodies, if just because I like Mauritania a lot.
As far as accounting issues go, I think that accounting standards deal poorly with E+P companies - it's difficult to determine exactly what a field's net revenue is, and reservoir assessment is a black art at the best of times (as an aside, I think the SEC "proved reserves only" approach is the wrong way to go, as it discourages exploration and wildcats, and encourages growth by acquisition).
Ian Whitchurch
- Forums
- ASX - General
- ASX
- oil/gas the crisis looming beyond 2020
oil/gas the crisis looming beyond 2020, page-37
-
-
- There are more pages in this discussion • 3 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add ASX (ASX) to my watchlist
(20min delay)
|
|||||
Last
$66.80 |
Change
0.840(1.27%) |
Mkt cap ! $12.95B |
Open | High | Low | Value | Volume |
$66.15 | $66.87 | $65.63 | $23.98M | 360.4K |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
1 | 8 | $66.74 |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
$66.85 | 500 | 1 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
1 | 8 | 66.740 |
1 | 8 | 66.730 |
1 | 8 | 66.710 |
1 | 335 | 66.650 |
1 | 8 | 66.640 |
Price($) | Vol. | No. |
---|---|---|
66.850 | 500 | 1 |
66.890 | 421 | 2 |
66.970 | 100 | 1 |
66.980 | 1535 | 2 |
66.990 | 10 | 1 |
Last trade - 16.10pm 15/10/2024 (20 minute delay) ? |
Featured News
ASX (ASX) Chart |
The Watchlist
JBY
JAMES BAY MINERALS LIMITED
Andrew Dornan, Executive Director
Andrew Dornan
Executive Director
SPONSORED BY The Market Online