Silicon Investor (SI) -- The First Internet Community

STOCKTALK

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 : Tracer Petroleum (TCXXF) -- Ignore unavailable to you. Want to Upgrade?

To: virginijus poshkus who wrote (886)	12/15/1998 5:35:00 PM
From: Saracen	Read Replies (2) \| Respond to of 1261

I may have been a little harsh in my assessment of the value of the new deal in Indonesia: I was told today that even if you use an oil price of $9 per barrel, and then increase it by $1 per year, you still come up with a positive net present value of $7.5 million for this new deal (using a 15% discount). Assuming that Tracer has to sell 3 million shares at $1 to fund this deal which brings shares outstanding to 6.7 million, this works out to $1.12 per share. This isn't huge, but it is a lot better than the current trading price. Now, hopefully, Mr. Mullins can come back from Iran with some good deals for Tracer, to add to this value per share.