hdr 'cheaper' now than it was at 0.04 HDR is cheaper now than it...

hdr 'cheaper' now than it was at 0.04 HDR is cheaper now than it was in '97 when you could pick it up for 0.04. Why? When I purchased HDR for 4 cents back in 97 I was buying nothing but blue sky. It seemed unlikely that Mauritania would result in anything significant. HDR had little cash, Shell had abandoned the prospect and several earlier wells in the 70s were dusters. For 0.04 what I purchased was high risk blue sky.

Two weeks ago I topped up my HDR shareholding at 1.24. I consider this to be cheaper than the 0.04 I paid in 97. (Cheaper being the relative discount to estimated intrinsic value). For 1.24 I am only paying for Ching and Tioff, according to broker valuations of these prospects. I am effectively getting the blue sky potential of dozens of undrilled prospects for FREE. In 97 I paid 4 cents for these high risk prospects, in '04 I get em for nothing, and instead of being high risk prospects they are now medium to low risk prospects (at least for the Miocene salt domes).

The moral of this story. HDR is still an incredible bargain. The current price barely reflects what has been found and does not factor in any premium for future strikes. Buy and hold, ride out any volatility with stoic determination and you will win big in the long run. The hundreds of millions of dollars of wealth which Ted has created belongs to us small retail investors, not the cowardly institutional investors who have jumped onto the bandwagon in the past few weeks. Buy and hold.