In July 2012 I did a valuation on SSN. A year on I have made...

In July 2012 I did a valuation on SSN. A year on I have made some adjustments so you can see the difference in 12 months.



Valuation on SSN 2012.



$30M Cash (Approx)

$18M Hawk Springs calculation of $1000 per acre 18,000 acres in total

$20M Roosevelt calculation of $1000 per acre 20,000 acres
1st Tranche (No buy back option from FPEC )

$17M North Dakota Approx infill wells from SSN

$4M Proved Reserves (as quoted from SSN)

$0M ORRI (at this stage)

$89M in total


4.5 cents fully diluted


If you use the Enercom report it puts an updated figure of $500 per acre on Hawk Springs and with current results from Roosevelt, if you put the same value of $500 per acre you would have a valuation of SSN of approx 3.5 cents per share fully diluted.




In July 2013 here are the adjustments I have made to the valuation on current events.


$30M Cash (Approx)

$18M Hawk Springs calculation of $1000 per acre 18,000 acres in total


$17M North Dakota Approx infill wells from SSN

$4M Proved Reserves (as quoted from SSN)

$0M ORRI (at this stage)

$69M in total

The cash position would be similar today with the sale of Roosevelt and the RI.

I have made no adjustments for the 4 infill wells at a cost of approx $25 million or approx 1 cent fully diluted.

Take out the Roosevelt project which has been sold and included in the cash amount.

A total of $69M with 2,229,165,163 shares on issue would give you a current value before results on North Stock yards of .031 cents per share.

Or $60M if you value Hawk Springs at $500 per acre or .027 cents per share.

There are different ways you can value a company so more than happy for any thoughts.

I have not put any value on the infill development until results are known and SSN can prove themselves as operators.



Cheers Matsim