Yeah, they are only into oil and not gas but are being compared with RFE. This is a portion of an article that was posted on the AOK thread. The article was published a couple of weeks ago:-
"Looking at it another way, AusTex's current share price is 11c. Using a popular, rule of thumb oil company valuation, which takes the enterprise value (market cap less cash at bank) and divides it by the company's 2P reserves, Hanuman calculates an investor is buying into Austex's oil assets at A$1.41 per barrel at a 12.5c share price. That's US$1.76/bbl at an Aussie of US$0.80.
That may seem an incredible bargain, and in short, it is. Hanuman calls it a "compelling risk reward prospect" and noted in May that shares in peer Aussie junior Red Fork Energy ((RFE)), with a similar project in Oklahoma and only marginally more production than AusTex, were trading at 54c. Today they are trading at 96c."
RFE Price at posting:
$1.08 Sentiment: Buy Disclosure: Held
