It is a pity that Castello continues to cloud the very positive picture of Silarno...as last quarter production meant they had paid $3.5m off in debt from cash flows...
Cash flow generation from this asset alone warrants a better share price alone but negative sentiment from problems at Castello continue to drag it down...
I mean you are looking at $16m in revenue per annum from that alone and at 80% margin that is $12m in cash flow...not to mention development potential of other acreage (lets just forget Castello for the moment).....
And in comparison based on todays share price you are looking at market cap of approx $25m...
In some way I wish they would just put a cap on Castello on focus on Silarno and developing other acreage plays in terms of exploration...
PVE Price at posting:
25.5¢ Sentiment: None Disclosure: Held
