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5.4¢ byron energy limited

One small problem, the platform is maxxed out at 5000 bopd. But...

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matyd

4,148 Posts.

219

03/04/18

12:40

Post #: 32183497
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Originally posted by lakun ↑

My (novice) analysis:

2500 bopd at a "reduced rate".
Current Crude Oil price = US$63
Assume total cost to produce = US$15
Profit = US$48 per barrel
$48 x 2500 = US$120,000 per day
Assume 330 days production in a year (allow for downtime/maintenance etc)
$120 x 330 = US$39.6m annual profit
FX rate = 1.30
$39.6 x 1.3 = AUD$51.5m annual profit
BYE has 50% interest, so $26m or so profit for Byron
Market Capitalisation is 263m.. or 10x profit

Now if we assumed the "reduced rate" is unchoked and oil flows at say 3,000 bopd (conservative as F1/F2 initially flowed at 4,000). And then we add on F3 which is meant to be a bigger payload, of say 3,000 bopd.. as a combined rate of 6,000bopd, the same calculations above give AUD$123m profit, of which BYE gets $62m. At Market Cap of 263m, thats a PE ratio of just 4.3. This is before any future opportunities are drilled etc

Is it just me or is this a screaming BUY??

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One small problem, the platform is maxxed out at 5000 bopd. But yes I still think its a screaming buy.

BYE Price at posting: 41.0¢ Sentiment: Buy Disclosure: Held
3 Upvote

0 Great analysis

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