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Microcap & Penny Stocks : NAMX -- North American Expl.-- Que Sera Sera! -- Ignore unavailable to you. Want to Upgrade?

To: george who wrote (4115)	7/19/1998 10:38:00 PM
From: Terry Lyon	Read Replies (1) \| Respond to of 4736

George, thanks for posting the AOL message on this thread. While the message paints a rosey picture for NAMX, I think we will need a better picture of their debt. I'm long NAMX, holding all my shares, and still aquiring. I really would like to find more information on EM-Sounder that isn't tainted! Thanks again!

To: george who wrote (4115)	7/19/1998 11:08:00 PM
From: M. M. Jones	Read Replies (1) \| Respond to of 4736

George!!! This is terrible! - - - - - - - - - - - - - - - - - - - - - - - - - Melios :Jim Webber of Kne told him that well revenue is: $700 per wells Larry: Jim Webber of KNe told him they have contract for: 60 wells Daily revenues for 60 wells: $700 x 60 wells= $42,000 Annual revenues for 60 wells: $42,000 x 365= $15,330,000 Each Well flows for least 10 years-asset valuation: $15,330,000 X10 years=$153,300,000 profit base on 5% =$7,766,5000 Number of outstanding share is: 84,000,000 (assumed that 60,000,000 will be cancelled) Earning per share-base on total asset:..092 Average Multiple for O&G technology is 10- .092 x10 = .92 cent per share - - - - - - - - - - - - - - - - - - - - - - - - - ****THE ANNUAL REVENUE IS $15,330,000.***** That's all he needs to know. The "asset valuation" is irrelevant, and IMO you can't get it by multiplying the annual earnings by 10. The 5% also has been misapplied (assuming 5% is currently a low-ball return on assets). If you don't know what the asset valuation is, why take 5% of 10 years of straightforward earnings? And then divide THAT by the number of shares outstanding!!! To get the annual earnings per share after all that you'd have to divide by 10 again, getting a figure of .0092, or 1›. But we already know that the annual revenue per share is $.1825. "PROOF": $15,330,000 ö 84,000,000 is $.1825 revenue per share. Say NAMX makes a 5% profit on that. It would be $.009 per share -- or 1›. Same result!!! Multiply that by a P/E of 10 and you get $.09 per share.!!!! If NAMX is only getting half of the $700 per well (it's not clear whether that is NAMX's share alone or the whole thing), then NAMX would see a price of $.045. Or, about what it is right now. We need to know what their expenses are, or will be, that is, what kind of profit they will make on their revenues. M.M.