SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Gold/Mining/Energy : Oil Sands and Related Stocks
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: upanddown who wrote (12572)9/22/2006 11:35:01 AM
From: CommanderCricket   of 25575
 
John,

Kurt Wulff did an analysis on SU. Posted earlier the CWEI iVillage thread

McDep on SU..$95 a share at $60 a barrel and $75 a share at $50 a barrel

mcdep.com

Buy-recommended Suncor (SU) offers 15% appreciation potential to estimated net present value (NPV) of US$95 a share presuming a long-term oil price of $60 a barrel. We raised our estimate
of NPV from $75 a share when we revised our oil price from $50 a barrel on June 6. All of the company revolves around its wholly owned oil sands mining and upgrading project, Canada’s
first. Suncor produced more than Canada’s second project, Syncrude, in the first four months of 2006, tied in May, and produced less in July (see chart). On the quarterly call on August 3, Vice President John Rogers offered volume guidance for the rest of the year at 260 thousand barrels daily (mbd). Suncor is expanding capacity to 350 mbd to be operating in a couple of years.

Syncrude has completed and is now starting up an expansion to 350 mbd. Our valuation of all of Suncor equates to 93% of our value of Syncrude. Finally, interpolating between our estimates of $95 a share at $60 a barrel and $75 a share at $50 a barrel, it looks like current stock price of $83 relates to $54 a barrel. The futures quote for delivery over the next six years is $75 a barrel.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News