The discount from that of course is because they are only worth...

The discount from that of course is because they are only worth about about a PE of 12 for potential profit (PE of 15 discounted for the fact that one day the resource is gone and the Utah operation is then worthless). They can only extract and pipe maybe 1.5-3 bcf per annum from one well, earning maybe $4-8 million PA after costs, justifying a MC of only maybe $50 million from one well on the basis of earnings, so they'll need 2-3 more (expensive) wells to even justify the current SP, and there won't be a dividend until at least three -five wells are producing as money from sales will be channeled into ongoing drilling until then.

If there is 440bcf gas then the SP will go to $3-4 because several more wells will be drilled and generate the income to justify this (and more) within a few years. It may be that the next few wells target production from the upper formations as a 10000 foot well costs about a third that of a 16000 foot well.

One of ClarkKents better posts a week ago was to compare GDN to Santos MC - Santos are a massive company with multiple operating sites and large income with a MC of about 3 billion, and GDN aren't going to get anywhere near that high (would be $15 per share for GDN) on the basis of ONE single gas well. This is why my goal is a SP of $3 this year or early next once two wells are succesfully in production, and who knows, maybe $10-$15 in 5 years with another gas field or two, a U mine, a gold mine or two and Iron ore royalties pouring in.