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Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?

To: kollmhn who wrote (15632)	12/10/2002 11:34:24 AM
From: jim_p	Respond to of 206403

moneycentral.msn.com Which one would you buy???? Jim

To: kollmhn who wrote (15632)	12/10/2002 10:57:38 PM
From: Ed Ajootian	Read Replies (5) \| Respond to of 206403

kollmhn, ATPG -- The fact that you are asking this question means 1 of 2 things to me. Either you are yanking my chain big time or you don't even know the basics of E&P financial analysis. My cash flow # comes from the 3Q PR and the footnotes to the data table therein will walk you through how that is obtained. When someone talks about "cash flow" for an E&P stock, it is generally understood (unless the term is otherwise qualified) that they are refering to what some call "cash flow before working capital changes" or "discretionary cash flow". Folks calculate the number in different ways (the ATP approach is a little unusual but it basically gets to the same place). I have been following E&P stocks for about 8 years now and I've _never seen anyone use the "cash flow from operations" number off the GAAP cash flow statement when refering to "cash flow". It boggles my mind that you did not know that -- or are you just yanking my chain? Regarding the Helvellyn farmout, I need to correct a statement I made earlier about that. The 3Q 10Q said they spent $5 M for development costs in the UK for YTD 3Q. Probably this was all Helvellyn. Now, this would have to be _after the farmout, so you need to gross up the $5 M by the $17 M farmout amount. Finally, you need to add development costs that ATP incurred during '01 in the UK, which, per the '01 10K, were $1 M. So, the farmout did not pay all of the project costs. Total project, $23 M, ATP's share $6 M, First Oil's share, $17 M. I was pleasantly surprised to get a response to my post on ATP and I always want to encourage questions, but somehow I feel like I am just teaching a class on "E&P Analysis 101" and am getting little in return. Given that you have already stated your opinion on the stock, the fact that you continue to ask questions leads me to the conclusion that you are probably trying to decide whether to short it or not. No one else has joined in the conversation here, so at best we are just wasting bytes and at worst I am educating someone that is interested in shorting a stock I own. Unless someone else joins the chat here I will gracefully bow out. I hope you can understand, and hope that this does not discourage other comments & questions.