signifcant upside based upon sto value, page-2

acrushor

Why 65%?? The STO/Petronas deal is about CSG with a LNG market. That's not the case for ESG's gas in the foreseeable future. Gas for local use attracts a much lower price ... I'm not sure how much but its orders of magnitude. I guess youcan add something for local carbon credits once they are introduced as ESG's gas is targeted at power generation. Its probably fairer to use something like 35%.

Its actually quite hard to value ESG. All I know is that it has very good management and a team of ex-Origin exploration and development staff .. so it has growth plans. Its in the right sector at the right time. And it could be attractive to the major players particularly STO, QGC or even BG (as an adjunct to their Origin ambitions).

H