After seeing the hype that surrounds Karoon at the moment I...

After seeing the hype that surrounds Karoon at the moment I thought it might be worthwile to compare to Nexus.

The hype aroud Karoon is due to the current drill program which could lead to a 16-20 Tcf gas field plus associated liquids. This, according to Karoon boss Scott Hosking, is an upper bound figure which cannot be confirmed with the current drill program, ie more wells are needed. Karoon is currently valued by the market at $1.5 billion.

In the latest investor presentation by Nexus, Echuca Shoals has 2 Tcf of gas in place + 2 Tcf of exploration potential with an upside of 13 Tcf of gas plus liquids. From memory it is very high in liquids content which can only add to the potential.

Given that Longtom will be generating income very soon, the potential of a partner to develop Crux and Echuca Shoals on top, Nexus seems to be a steal at a market cap. of $200 million.

I believe the share price should be multiples of where it is now once a partner for Crux is on board. Interested to know what others think.