There are a LOT of variables that must be considered when doing...

There are a LOT of variables that must be considered when doing financial analytics on TMK, For example:

Percentage of reserves (WI) owned by TMK after farm-in deal (etc.) considered.
NRI on WI.
Wellhead price for 1 MCF of natural gas in Mongolia (note: TMK's concession is relatively close to China's pipeline infrastructure).
Rate of production and production decline curve to calculate NPV-10 of reserves.
CAPEX for drilling, completions, surface production facilities, pipeline linkage, etc. to be in full field production.

Of course, none of the reserves can be booked as proved reserves... yet. But if the numbers mentioned in the Release are even close to accurate (i.e.., ~6 TCF of prospective gas), then the current market cap of $31M means that Mr. Market is currently valuing gross possible reserves at about $0.05 (five cents AUD) per MCF.

Again, I realize there are a lot of variables not included in my back of the envelope calculation (i.e.., geological risk and those factors listed above). But it is easy to imagine how this stock could quickly become a ten bagger as the additional three exploratory wells get drilled. Time will tell. If anybody has knowledge regarding the variables I listed above, please provide them (e.g., TMK's percentage ownership, NRI, etc.).