TDO 0.00% 8.4¢ 3d energi limited

If you read the analyst report- It had a discovery at sealion at...

  1. 517 Posts.
    If you read the analyst report- It had a discovery at sealion at about 8c value- Read the australian article and it says not much can happen with the oil drilling- prospects too small and only had a small %.

    In fact- the drilling was part of the hibiscus deal 16 months ago when oil price was up and they thought that buying the drill rig from TDO was a steal. Turns out they paid through the roof for an non-commercial asset- an obselete drill rig (which has halved in value)- and a prospect which has just proven to be non-commercial.

    So Hibiscus has forked over nearly $80million for assets that would today not find a buyer- even for $1.

    TDO has rolled the cash from that deal in to a gas permit(cost-$0)- shot seismic(and farmed down to beach) and have a prospect with 1.4TCF RECOVERABLE.

    There looks like
    -fantastic seal
    -proximity to infrastructure
    -shallow water(low drill cost)
    -massive short term shortage on the east coast gas market- (articles galore-- DYOR)


    means the majors will be at the door to drill ASAP.

    Recovery of seismic costs-??
    Free carried drill of well(s)??
    CASH COMPONENTS??
    Free carried on seismic to the south??

    A good deal will value TDO's held prospect at 70-80M on the value of the deal-
    150M on the potential of a discovery
    400-600M on the good chance (gas prospects have higher strike rates than oil) of a discovery

    Soooooooo....
    TDO could be worth-
    25c in 3 months
    75c in 9 months
    $2 in 12-18 months.....

    And they are 4c........

    Please DYOR- all of this information is on hand if you care to read the annual reports- the quarterly- and analyst/journalist articles.
 
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