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Gold/Mining/Energy : OEL.V Osprey Energy Limited -- Ignore unavailable to you. Want to Upgrade?

To: Stew who wrote (609)	10/26/2000 2:39:19 PM
From: The Osprey	Read Replies (2) \| Respond to of 1134

If Osprey has 36Million US in proven reserves multiplied by 147% to convert to Canadian Values = $52,920,000.00 in proven reserves as calculated by an independent geological engineering report. If there are 11,500,000 shares fully diluted in this company and you divide these shares into the reserves calculation doesn't the asset to share ratio equate to 4.60/share.If this is the case why is the stock not being looked at by other small companies as a potential takeover play?I am just postulating here....LOL. Also if they have production of 5 wells producing 40 barrells of oil per day per well on Cotton Valley(low side) and 750MCF of gas using 5X 150mcf per well, while being choked back, and 7 wells on Bayou Choctau which are each producing 30 barrells of oil per day and Livingston with 2 wells producing 40 barrells per day Pool producing 60mcf and T,K, Giddens producing 200MCF(Ospreys share)and add to that Osprey's share in the Alberta properties at 90 barrels per day this is coming along fine. I am sure someone will criticize my math but I have the production totaled at 742 BOEPD.... Cotton Valley.......oil 5 wells X 40= 200BOPD gas 5 wells X 150 MCF= 750MCF X 6.00=$4500.00 divided by 30.00= 150BOEPD Cotton Valley Total = 350 BOEPD Livingston 40 BOPD Bayou Choctau7 wells X 30 BOPD= 210 BOPD TK Giddens and Pool= 250MCF x 6.00 divided by 30.00= 50BOEPD Jenner wells(Alberta)= 90BOEPD Using the low figures I get 740 BOEPD X 30.00US=22,200.00USF/day Now if you multiply this by 340 days of production this equates to $7,548,000.00USF and then if you convert this to Canadian dollars using 147% conversion you get $11,095,560.00(Can) as annual projected revenue at these levels but we know that they have them choked back and there are other wells to come on stream as they stated. So if we look at revenue per share,we divide projected revenue by total shares Outstanding at 5,322,000 and arrive at revenue per share of 2.08/share.If we take fully diluted at 11,500,000 we get .96 per share revenue.Why such a low price that it is trading at.If one assumes it costs them 20% in operating costs(no expensive exploration)you can take 20% off of the 2.08 for a net cash flow of 1.66 on total outstanding stock and .768/share fully diluted.Apply a multiple to these valuation projections of 3 and the stock is very under valued IMHO but I am sure someone will disagree with me.I am looking at 3.00 in less than a month or higher....FWIW Keep in mind that alot of these wells are choked back awaiting salt water disposal permits.What is the true potential here when they are in place?What about Crosby 36A when it is hooked in and run via Crosby 25's infrstructure that is in place???? The Osprey