now producing oil and gas, page-13

R15, just stay away from car yards a little longer:)

It is also worth looking at the recent AUT ann for our benchmarking value. Their reported net production for last quarter was 18,200 boe/d, they had $40m in the bank.

18,200 x $90k/bbl = $1,785,420,000
Plus cash = $1,827,420,000

Purchase offer is - $1,840,000,000

I'm not comparing us to AUT but the offer gives further substance to the value metrics we have discussed. GGE are currently producing around 221 boe/d, it appears to be stable, at $90k/boe/d plus our cash that gives $20m.

Value is arbitrary really but the O&G sector looks pretty crook atm. Cash and actual production is all that we can measure as drilling increases risk in difficult times and there is no guarantee that drilling will be successful.

I have no prediction about the share price but if remotely correct we can have some confidence that our downside is manageable.

Opinion only, DYOR etc
Cheers