value of amu , page-10

Newieboy.
There are also many companies where the market ascribes no value to exploration permits, look at COE, BPT, TAP. The problem with AMU has average margin oil in USD which is over many little wells, this results in a Continual fast drop off rate and a requirement to continunually drill. This is why despite the seemingly large reserves and production profile they were unable to pay down debt at any decent rate for years or generate serious cash flow. Half the companies reserved were sold for 60 million USD, or about 59aud. Why one would value the rest of the company at anything above 115 million which is very generous is beyond me
Anyway who thinks it is worth more than 35 cents including permits, I would love to see the numbers to justify it. I think 35 will full value it , unless there is significant exploRation success.

Please note i still think it's a buy at these levels but do not expect to double my money. Perhpas 30-40 percent