An interesting aspect of the Euroz report is that their...

An interesting aspect of the Euroz report is that their valuation already includes 40 cents per share for exploration - which seems high to the extent that they put limited value on the rest of the producing portfolio (I am typing this from memory as I glanced at the report on Friday. Hopefully I am recalling correctly).

They also seem to put a reasonable emphasis on the PE ratio of 12 not being cheap. Given the substantial depreciation, I kind of wonder if valuing this on a cash-flow / earnings basis is more realistic? This would reduce the ratio from 12 to, say, 8 which I'd put in the reasonable value category.

Anyway, in the past I have mused to friends that the market is not liking the low profits - and not recognising the cash flow. The market dictates what is "right", so I will conceed defeat for the time being.

As an aside, AMU has not bought back shares for some time. Is there something brewing on the acquisition front? I can only imagine they are involved in something material so don't want to risk buying in a market that is not fully informed.

Any thoughts on any of the above?

MJS