I won't deny that this announcement is positive, and that it is the most likely explanation for the resumption of the upward price movement. Tui has maintained that the CSG potential is huge and I'm not going to argue.
What I would like to see is how the figures of 70c to $1.00 per share are arived at. I'm not one to take such things at face value. Without some reasoning to back them up they are just numbers IMO :)
Maybe if I go back through all of the CSG announcements and do some research on likely prices for CSG then I will come up with similar figures, but at the moment I don't really have the time to do so.
I need to make a call at some point as to whether to take some of my profits and I'd like to know whether these figures are realistic or just pulled out of a hat :)
I can remember preso's from VPE that were claiming similar figures per share for the Cooper basin wells, and that was BEFORE the 10:1 consolidation (so 70c per share would now be $7.00 per share)... I take these types of figures with an extremely large grain of salt when it comes to VPE... I always suspected (but never had confirmed) that the price per share figures used back then, were the value per share over then entire production life of the particular assets... That in my book is very different to the potential to add that ammount to the current share price.
Tony.
VPE Price at posting:
38.0¢ Sentiment: Hold Disclosure: Held
