Yes some very "rough calcs" indeed, wouldn't be basing a valuation or investment on those figures. It's really hard to value the company due to the qrtly/FS's being next to impossible to interpret and tax/royalty regime needing some clarification to get your head around where all the revenue is going. $25pb field operating costs leaves approx $35pb for all other overheads/liabilities, so what i can glean from the last report is they're running at a slight loss? The cash receipts look to be well under what they should be considering 10kbbl net to BAS per month (i assume this is to do with the gov. tax setup??), the only thing that put them in the green to the tune of 159k was the 312k settlement payment recieved.
Tino is no slouch and looks to be building a really solid foundation for a successful company going forward. Really refreshing to see this approach when 99.9% of oilers in this space are just wildcatting with the well worn CR/dilution model. It is essential they move to the next phase though in the coming 12-24 months IMO, to get ahead of the oil cycle and not be at the mercy of any future downturn. Looks like next qrtly should be pretty healthy but i also note higher expected production expenditure (due to drilling Bunian 5?). At a guess (and that's all it is without clear figures to work on) you'd think next quarter should see BAS turning a small profit. If they can keep this up and increase production to stabalise the bank balance then leverage into more of the same type assets they look to be setting up a good little company here. However, it really is crucial they get the current KSO turning a profit so as to leverage from that base, looks like they're close to achieving it.
@El Jefe did you ever recieve any clarification on the tax set up? I'd be interested in trying to calculate a per barrel profit margin and receipts vs sales just don't seem to add up.......i like the management and the business model but I'm not willing to invest until I've got a better understanding as to what the real breakdown costs are, $25 field operating cost means nothing when there seems to be other factors largely erroding the profit margins. What is the breakdown/schedule of loan repayment to COE?
