I think $3 is the lowest price we could expect and it could very well go beyond that. They have found new producing targets at Helper and CC they could add significantly to reserves as well.
Realistically I thought we would be looking at TOTAL reserves of 750BCF - 1200BCF with much been 1P say 1/3 of total. I priced 1P at $3 and 2P at $2 and that is a pretty low price considering the current and foreseable gas prices. At 750BCF thats $1.75 Bill or aroud $5.50 per share ? At 1200BCF thats $2.8 BILL ! or $8.80 per share.
I don't know if this is a realistic calc ? how did this number of 3-3.50 come to be? I was hearing from people last year this time and before that it could be $7 easily and that was before high gas prices
MAE Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
