timber, page-36

the true value of the asset.

That is to the buyer.

And the buyer, will have understanding, that while the IRR is 2/3 of what it was this morning, it is on an ecomomic calculation, on lower gas prices, with its "reserves" has been scaled back.

They will also understand, that the reverse applies, that, on higher gas prices, it will also inflate.

So if i was a buyer, i would want to buy a gas play, whose IRR has been scaled back, and present me, with a very simple means of increasing the reserves, simply based on gas prices inevitable returning to higher levels.

And to that, the industry, is known for simply turning supply taps off, and saying, enough is enough, lets get a better price. When? That is for the buyers, and their big boy collective.

The value to shareholders, i agree, maybe less, if you gauge the sale price soley based on that.

But factor in, that due to the nature of the reduction, and therefor on offer to the buyer and opportunity to enter at this 1/3 discount, that the likelihood of more than one buyer being interesting, has increased.

As to shareholder value, 2/3 of this mornings sale price trader precept, is and remains significantly greater than 39c. This is why longs bought today.