k111, if you think the SP is going to perform just as well whether it's petro or cairn then you are in a fairyland where unicorns prance around and melbourne actually wins games of football...
When did I say 40c btw? I said mid 40s, probably - but dependent on the specifics of the deal. A good deal could see us rise still. Say if we had 25% of Artemis then price would definitely go up.
Cairn Energy market cap is what A$10 billion? Petrobras is closer to A$200 billion+. (Those figures are not spot on but they are in the ballpark according to a quick google search).
Who do you think will have the money to get this baby off the ground? "The company unveiled in January a huge plan to invest $174 billion between 2009 and 2013"... That's Petrobras, btw. A company who obviously can commercialise any gas finds and would have more expertise and better access to markets than Cairn.
Umm, so yeah, I stand by my assertion that big brother is better.
Btw, jak I said at least 10%. It doesn't hurt to be conservative with MEO IMO...
Bottom line, everyone here has been saying for months how undervalued the SP is. Most say it should be close to a dollar right now (I believe it should be around 60c pre-ann). It is not. Obviously a partner like petro would help the SP but one cannot guess how much with any confidence given recent history.
MEO Price at posting:
49.5¢ Sentiment: LT Buy Disclosure: Held
