Hartleys has a new report out on Amadeus 11/6/09"Re-rating...

Hartleys has a new report out on Amadeus 11/6/09

"Re-rating imminent on cheap reserves"

AMU currently trading at an EV/2P ratio of $10 boe
peer average more like $16 boe

gas is imo an important part of the future for AMU but currently oil is the driver forming over 80% of production income and 72% of reserves

Worth noting that AMU market cap is still less than half the enterprise value of approx $143m

The report notes that recent drill success at longville represents approx 1yr production and is yet to be priced in

the long life (20 yrs+) nature of the assets coupled with low lifting costs and companies ability to increase reserves with the drill are cause for a re-rate

Given recent announcement and current commodity and financial climate Hartleys believe that AMU's debt position should no longer be regarded as an issue by investors, and that the companies financiers are clearly very comfortable with their exposure