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 : Red Sea Oil Corporation (RSO)
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Tomas who wrote (272)1/18/2000 4:37:00 PM
From: Icebrg  Read Replies (1) of 332
 
In the June 1 conference call, Ashley Heppenstall had the following to say about the valuation of RSO.

Quote
What does that mean in terms of cash flow or valuation to Red Sea? We have a very detailed economic model. If you plug all these numbers through the model, at $15 a barrel, generates about $17.5 million of cash flow. If you look at that on a cash flow multiple, it equates to $2.50 Canadian per share. Now, that's based upon number of shares outstanding after the rights issue. If you do it on an MPV basis, which is another measure of valuation, then $15 a barrel, it equates to $2.25 per Red Sea share.
Unquote

And since the oil price now is substantially higher, I do not really see why they should be paying less.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News