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Re: Mr. Zen post# 79

Thursday, 04/14/2005 3:20:52 PM

Thursday, April 14, 2005 3:20:52 PM

Post# of 1197
Doubloon,

I am guessing you are using based on $40 oil, the $1.19 ebitda estimate which includes acquisition.

Excluding acquisition, I believe they say ebitda of $11 million for year based on 22M = 50 cents/share.

How does one get net income off $1.19 ebitda which is probably going to be conservative as far as we know?

Just a totatally uneducated guess of 60 cents/share.

Established p/e is perhaps 15-18 and depends on reserves.

If for this company I picked a pe of 20 on the 60 cents, then $12.

Lots and lots of guesses on my part.

sam

sam

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