Hi,
I have had a look at the $40 situation as I know it is isn't correct from a sale of interest point of view. I probably should have thought about this a bit more. It isn't economical from FAR"s point of view because of not having money to stump up for share of development costs even in my opinion with a 20% reduction in costs.
At the project level at $40 oil the NPV is $3.19 and IRR 11.22% with field size 330 mill (my sheet with no cost discounts). At a retail level FAR's 15% share is ~$158 mill. Roughly applying a 25% discount to this in a sale and $US exchange adjustment gives about 4 cents / share to FAR. Then roughly double that for each additional 330 mill size.
According to my sheet project level break even is $28 US with no changes to costs.
I will rethink how a sale of interest might work and post some updated share price figures.
DYOR IMO etc
Hi, I have had a look at the $40 situation as I know it is isn't...
-
- There are more pages in this discussion • 14 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Add FAR (ASX) to my watchlist
 (20min delay)
|
|||||
|
Last
50.0¢ |
Change
-0.015(2.91%) |
Mkt cap ! $46.20M | |||
| Open | High | Low | Value | Volume |
| 52.5¢ | 52.5¢ | 50.0¢ | $45.91K | 88.73K |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 2 | 5993 | 50.0¢ |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| 50.5¢ | 5982 | 1 |
View Market Depth
| Last trade - 15.08pm 28/06/2024 (20 minute delay) ? |
| FAR (ASX) Chart |