NTTG, Mate, I've got no idea how to value this sort of stuff. I...

NTTG,

Mate, I've got no idea how to value this sort of stuff. I dont' know enough about it.

All I can do is the simple maths based on what ELK market cap is now vs. the value of the asset using the current oil price. (and in fact, I did that this morning and stuffed that up too!!)

From what I've been able to work out, it would appear that ELK is significantly undervalued when you consider the assets that it is sitting on. How much by, I will leave to others who know more than me.

Even with 11.4m barrels, the asset is worth $1.25bn (GROSS) as best as I can work out.

Take half of that out in costs, you're still sitting on an asset worth 600m, which is $10 per share.

I don't think we're gonna see $10 per share any time soon, but it does show undervaluation at the present time.