It is difficult to compare OEL and BYE . But no , I do not think...

It is difficult to compare OEL and BYE .
But no , I do not think BYE deserves a higher MC than OEL .
OEL should try and maintain its position with BYE as a favored partner .

Hilcorp does not need to drill with a partner .
They drill with a partner that pays a disproportionate share of the costs so as to raise their risked return on investment for their exploration budget .
They will be trying to get the best deal in the market .
OEL has stressed the good business values and ethics of there new partner which is good to hear but they are not going to be Santa Claus .

There is a lot of luck as well as skill in exploration , however I think that it is likely that the deals with BYE will be better value than those with Hilcorp .
I am very glad the Hilcorp deal has come along and it appears to be a good one , however I would like to see OEL do more new drills with BYE as well if they become available .

There are valid reasons imo why BYE is valued more than OEL but as I have said before I think that OEL is better value at the present time because of its higher revenue per $ of EV .
BYE and OEL are not clones they have different skills and business strategies .

BYE is on my watch list and I might make an investment in the future .


gltah