Quick back of the envelope effort here regarding the acreage valuation of the AUT sale and as far as I can tell from the AUT presentation of late they are operating 36 200 acres in the EFS.
Baytex is happy to stump up 1840 million for these pretty much proven acreages which equates to $50,828.72 per acre on my calculator. The very reason I got into the TXN in the first place a while back.
So now we run the ruler over what SEA have ...
Net operated acreages of 8100 in McMullen County which eguates to $411 712 707 equivalence on the AUT deal. That values our remaining assets at just under 37 million.
In the past I have suggested SEA assets have been undervalued on the ASX and that a potential US buyer could emerge down the track once the US listing goes ahead.
My sentiment remains unchanged-strong long term buy.
SEA Price at posting:
$1.08 Sentiment: LT Buy Disclosure: Held
