rough calcs

Hi all

Just doing some rough back of the envelope calcs which is always fun !

TEX latest presso indicated reserves of:
1.237 mmboe (12/08)

Assuming $40 margin - we get 1,237,000 * 40 = ~$50m
Currently at 6.2c the Market Cap is 9.7m (assuming 157m shares on issue - im not including TEXO and any other oppies). So that means we are valued at 9.7/50 = 19.4% of reserves.

With margins increased to $50, we are valued at roughly 15.6% of reserves. I believe this is still abit low and should be valued at 25-30% of reserves at aleast.

Now if highway comes in, the total reserves is est to be 3.500 mmboe.

Since reserves go up 2.8x (3500/1237), assuming $50 margin and the market valuing TEX on 30% of reserves, the market cap should be around 50M = 32c.

Okay, now please be easy on me.
Cheers