I appreciate your feed back.
The $20.58/boe you calculated seems to already take into account
about half of the price drop this year. If we assume that NTO meets
its target of over 3000 boe/d by year-end, the price of oil would have
to drop quite a bit further to erode the share value to below $1.40,
don't you think?
I got the release from Stockwatch. You're right, the 3mos finacials
were released long ago, perhaps this is an attempt by NTO to bring it
to the attention of the market again. Here's the release again, with
fixed font:
****
Neutrino Resources Inc NTO
Shares issued 24,760,701 Jun 18 close $1.40
Thu 19 Jun 97 Financial Statements
STATEMENT OF EARNINGS
Three months ended March 31
1997 1996
Revenues
Petroleum &
natural gas $4,550,820 $2,574,905
Royalties (954,391) (491,902)
Other 14,284 37,416
---------- ----------
3,610,713 2,120,419
---------- ----------
Expenses
Operating 983,168 949,366
Depletion &
depreciation 988,404 629,860
General & admin 425,075 246,778
Provision for
future site
restoration 142,725 121,806
Interest on
long term debt 118,366 63,226
---------- ----------
2,657,738 2,011,036
---------- ----------
Income from
operations 952,975 109,383
Equity income
from investments - 1,153
Loss on sale
of limited
partnerships - (69,805)
---------- ----------
- (68,652)
---------- ----------
Income before
income taxes 952,975 40,731
Provision for
income taxes (18,005) (30,626)
---------- ----------
Net income $ 934,970 $ 10,105
========== ==========
******
Revnues of 3,610,713 over 24,760,701 shares = 0.1475/share, X 4Q =
0.59/s.
Net income of 934,970 / 24,760,701 = .0278/s X 4Q = 0.15/s.
These simplistic comments weren't meant to be an exhaustive analysis,
of course. I realize that it is not entirely valid to annualize these
numbers because of the dropping price of oil and other variables. My
point was that this company is not doing too badly when compared to
its peers, especially when you consider NTO is planning for 35 wells
by year-end, and that some other juniors are caught without drill
rigs.
I won't make a prediction about the stock price, other than that I
don't think it will fall much below current levels - Unless, of
course, oil drops below $16/bbl. I can't rule that out, either.
The 1Q $20.58/boe you calculated seems to already take into account
about half of the price drop this year. If we assume that NTO meets
its target of over 3000 boe/d by year-end, the price of oil would have
to drop quite a bit further to erode the share value to below $1.40,
don't you think?
I noticed the price of the warrants has jumped recently. Do you read
anything into that?
ae |
