Excitement wells at FAR’s ‘huge potential upside’, says CEO Cath Norman, page-26

This is part of the article in The Australian.


It outlines plans for two appraisal wells and an exploration well (plus three uncommitted wells), starting in October, to get the SNE find in particular on a pathway to first production by 2020, potentially as a 100,000 barrels-a-day producer. “So in other respects, I would have to say that I am not feeling vulnerable as any sensible predator would wait to see the (risk-reducing nature) of the appraisal drilling program before they made a move,’’ Ms Norman said.


Should Cairn’s expectation of the joint venture being on to a one billion-plus new oil province come to pass, the NPV number for FAR cranks up to $US1.5bn ($1.86bn or 60c a share). Those figures reflect FAR’s vulnerability to a takeover bid.

Thats Caths Quotes from article. So .40c is rediculous and she states that any sensible predator would wait for appraisal. Thats Cath saying that. I don't think majors speculate. If it goes wrong the SH's would linch them. They would rather pay a premium and be sure they have something. IMO of course.  Any thoughts??