colonization and takeover, page-10

Thanks rainmaker.

Yes net assets or net t assets cannot be the basis of a share valuation, despite the question being raised many times on various threads on HC. (I was only referring to the asset q as an illustration of what I thought was a relatively pessimistic point re the valuation of acreage). I think my angst and frustration re the losses suffered on SHv this week are showing through in my post!

I'm encouraged by the suggestion that 40c eps is a possiblity. I'm budgeting conservatively on 34c eps and 16c dps for 2012.

Another interesting point you make is the market perception of SHV as 'not being investment grade'. About 6 years ago I held SHV and sold-out after sitting through a presentation by the CEO: his content, delivery and answers to questions communicated an implicit negativity, simply by not actually saying anything and giving one sentence answers. As shareholders, we really are entitled to have a simple summary of maturity of the acreage. Management will have such reports. I like the stock and bought back in last year and have also bought today at 2.21.

If your projected 40c eps is correct then this has to be a Buy, particularly with WA yet to produce; it would be interesting to know whether any of the WA development has yet been been expensed.