Before Tallaganda was drilled the market valued WA-351-P at $120 M ($30,153,000 X 100/25). Tap's 20% share of the permit (before Tallaganda was drilled) was therefore valued at $24 M.
Now that gas has been discovered in the Tallaganda well what would the value of the permit be now?
Valuing Zola/Bianchi/Antiope is harder as the joint venturers haven't told us how much Apache paid Tap for a 10% share of WA-290-P except to say that it was on a "promoted basis". I don't think anyone would argue that at this stage Zola/Bianchi is a much better asset than Tallaganda/WA-351-P
I really think that $50 M, now the Joint venturers have spent money on seismic, interpretation of the data and spending $200M (?) putting down four wells (with excellent results) is a realistic value of Zola/Bianchi/Antiope and Tallaganda.
If that is all Tap can get for both prospects they are in the wrong game.
TAP Price at posting:
54.5¢ Sentiment: Hold Disclosure: Held
