Oleo e Gas Participacoes Sa, Brazil (fka OGXPY)

[BVE]

Hi dayneyus,

Thanks for digging this up and very interesting to say the least. I think now it is just a matter as to when OGPar will come out of this bankruptcy protection and can trade freely in Brazil. To me it seems that pricing in Brazil is artificially controlled by ?? and therefore keeps hovering around this R$0.17 to 0.19 value.

With the recent sales of the gas fields in Maranhao they seem to have fulfilled almost all of the Court requirements so I hope they come out of bankruptcy protection sooner than later.

Based on current production (15,000 bpd) I would say they should be values at about 3 times what they trade today. The US$ 1.5 billion would imply a production of (simply divided by 365 and US$100 / barrel): 40,000 bpd. I think they are a few years away from that.

Note that investors barely give value anymore to what is in the ground, only production and profits counts. You could say that what's in the ground is a safety layer and a reason to stay invested in the company and not run for the exits.

BVE