Ann: Investor Update , page-25

daniel99,

SEA have stated it's their plan to divest their other Bakken properties in the near future, which could fetch around ~$80-90 million imo. That would leave them with plenty of breathing room if they wanted to acquire an asset valued at TXN EFS project's level (albeit they wouldn't be as cashed up as they are now). They also do have a current credit facility (based on their existing reserves) at the moment as well.

From Sundance's Annual report:

"over the next six to nine months, organic growth will remain important but we will be actively seeking a step change in the company's growth trajectory via acquisition".

I would be very keen for TXN to retain a ~20% interest in the EFS project, as I definitely agree with the notion that significant market value isn't just achieved on acreage alone these days, production and reserves are necessary. I really don't like the notion of TXN going back to square one and having to completely re-establish a production/reserves profile.

I never really agreed with TXN's original intentions to divest the EFS project, but I believe a pretty healty mid-range can be achieved. (i.e. a farmout with TXN retaining 20%). IMO anyway.