FEC Resources Inc. (FECOF)

[styl]

Hey Edward


Fecof is a "holding company" and not a growth company. They posted earnings. Ecause the got some cash for some of there forum shares stolen by pxp many months ago when pxp could smell a deal brewing and used their 51% ownership of fecof to just ok the transaction they wanted in pxp's benefit.
That cash looks like earnings and there fore there is a p.e.

In my opinion you simply need to value this differently. Comparison evaluation in their equity holding in forum shares compared to other companies like like pxp. Apx. And Ab. (Atok big wedge) all trading in the philipines.

Or you can compare it to the success of malampaya. Ive read that malampaya was anywhere from an 100billion dollar well to a 210 billion dollar well...... let's say 100 billion lifetime..... if its 3 times the size as malampaya which I've heard even possibly 5 times.... let's just say 3 times. .... then it's 300 bil. Divide it by half to China....150 bil. And fecof has just under 5% of the entire sc72 contract. That's 7 billion lifetime earnings of it doesn't get bought out. That would be over 18 dollars a share earnings in their lifetime. 25 years? Maybe in dividends. Maybe just in that stock price. That's if they retain that equity %. And do not get bought out. Even if for some crazy reason they dilute again on the cheap instead of taking a loan....it's not wrong to say this 10 million dollar company can get to a billion in some form of earnings. Maybe we get equal shares of pxp in a buyout and let those pxp shares ride up. Philex mining shareholders actually got pxp shares before pxp listed as a spinoff. So that is all within their realm.

Bottom line. Huuuuuge opportunity. No guarantees.