Abraxas Petroleum Corp (fka AXAS)

[littlejohn]

My estimate, and only an estimate, is

that there may be up

to $60/share of net oil lease

land valuation to root for...


Not looking at 2020 year end

filing numbers due out...

2019 10k filing link...

https://www.otcmarkets.com/filing/html?id=14242551&guid=v2lnUFgc1319Abh


At year end 2019, AXAS showed

about 19,288 of net acres held

in North Dakota...

with no production, land values

average 2,100/acre, more or less...

about 40,000,000...


At year end 2019, AXAS showed

about 25,170 of net acres held

Delaware Basin, Texas...


Recent valuation link...


https://apnews.com/article/pandemics-houston-coronavirus-pandemic-texas-3197940449cf06f79d5239ec643f6943


Land held by production in

that area in November, 2020

was valued at around 30,000/acre...


25,000 acres rounding, more or less...


about $750,000,000...


$750 mil plus $40 mil

equals $790 mil Divided by

8,400,000 shares equals about

$94 per share...

but then debt must be subtracted...


at 09/30/2020 total liabilities

were about $230,000,000 or divided

by 8,400,000 shares equals about

$27.50 per share of liabilities...


$94 minus $27.50 equals about

$66.50 per share net estimate...


I found no additional land lease

sales in 2020 quarterly filings

disclosed to change the estimate

from 2019 year end net acres...


But if undisclosed, that could

lower estimated values...


This estimates tosses out all

employee and other expenses and

is like a fire sale estimate to

sell out the company to a prospect

that would keep Texas producing,

and use North Dakota for winter

recreation retreat...


North Dakota isn't highly regarded

now even with higher oil prices...


And it would seem that the large

shareholder who filed on Thursday

should have a greater interest in

seeing proper valuations for AXAS

than many of us Peon holders...


But all investors, large or small

should be seeking positive results...


So we watch...LJ