Well now the dust(er) has settled its time to take stock of GBP and have a look at how oversold it has become.
Understandably, dissappointment is casting shadows but I note there is sentiment by some posters to hold on and wait for the SP to recover before potentially unloading.
The real risk for GBP now is for it to sink back into oblivion as per the last duster in uganda.
However the fundamentals have changed significantly since the last time round and should continue to improve overall.
Not enough credence IMO has been given in discussions thus far to revenue growth. (Dec Qtr figures dont reflect full picture)
According to Co. ASX ann's, GBP's share of the Leighton prospect, now 5 wells, is approx. 177 BOPED.
On top of GBP's 13/14c CPS cash position, a potential windfall from court action, a growing reserves base (note esp. Eagle Ford )
How much does 177 BOPED (GBP share) contribute to the SP?
What is the cashflow value of the next approx 10 wells in the leighton prospect (ave between 300 and 500 boped per well with a 100% success rate so far)?
Seems to me, 177,000,000 shares versus $23 mil cash + $4.2 mil p.a. revenue (still new to showing up in accounts)
or: 2.2 CPS x (years) multiplier, = way oversold.
With no risk of dilution, near cashflow positive (improving accounts), plenty of cash for the right aquisition, plenty of upside built in, surely this unloved stock can muster up a bit more ongoing attention from here on?
The company seem to be unconcerned with this 'unloved status'if the website is anything to go by, but now we have a few more posters on here with an interest in seeing the SP rise back to a more indicative level, perhaps a bit of 'stirring' might be appropriate.
How do the fundamentals compare to other similar O&G stocks?
With the higher end yield potential in the Eagle Ford discovery (142' pay zone)coming up for activation in Q3,
why cant GBP move from a half empty towards a half full status?
I guess my question is:
What is stopping GBP from 'getting discovered' now, in light of its improving /oversold status, as against just being the Co with the duster + cash per share parity that is consigned to the 'ignore' bin until the next 'big one'
Needs some TLC.
Can anyone with some experience of this type of play/situation offer up some light on the subject?
DYOR etc
Cheers all & enjoy your weekend.
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