did some calcs this week, STU reported 3.08mbo 2P reserves on 31-10-07
Peter from StockAnalysis guesstimates STU had ~$8mil debt at 23-01-08.
STU budget ~300,000 brls production for June HY 2008
At that rate I reckon STU will have zero debt at the end of March qtr (considering no drilling atm), and 2.75mbo remaining 2P reserves.
At 96.5cps, that equates to an Enterprise value of $60mil and EV/brl 2P developed reserves = AUD22
At sp $1.15 EV/brl = AUD26
At sp $1.30 EV/brl = AUD30
Bazzard doesnt seem to figure into the equation atm unless the market is pre writing off the $20mil drilling cost from STU's balance sheet without adding anything in for the risked expltn value.
Bazzard will cost STU $20million or 30cps
Bazzard risked is 85cps and unrisked $5.60/sh
despite looking cheap, I remain confident I can slowly accumulate this one under $1.00 for the next coupla months
STU Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
