Replies to post #1398 on Chelsea Oil and Gas Ltd. (fka COGLF)

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Chelsea has 64,056,876 common shares issued and outstanding. The probable oil reserve NPV per share, discounted at 10%, is US$0.08 per share. The probable plus possible oil reserve NPV per share, discounted at 10%, is US$0.23 per share.

The probable natural gas and NGL reserves NPV per share, discounted at 10%, is A$0.43 per share. The probable plus possible natural gas and NGL reserves NPV per share, discounted at 10%, is A$2.58 per share.

Undeveloped Land

The largest undeveloped license in Chelsea's portfolio is ATP 582. This license is approximately 5.02 million acres in size and provides exposure to two separate sedimentary basins: the Georgina Basin and the Simpson Basin.

In 2012, Total S.A. ("Total") entered into the Georgina Basin through a farm-in whereby it would spend up to A$190.0 million by 2016 to earn up to a 68% working interest in an offsetting operators Georgina Basin lands. As well in 2012, Statoil ASA ("Statoil") entered into the Georgina Basin through a farm-in whereby it would spend up to A$210.0 million in separate offsetting Georgina Basin lands to earn up to an 80% working interest. The average of these farm-ins on an Australian dollar per acre basis is approximately A$32.78 / acre. Ryder Scott estimate ATP 582 contains approximately 0.91 million acres of Georgina Basin sediments. After giving effect to the A$ / acre on offsetting lands, this would suggest Chelsea's Georgina Basin undeveloped acreage could have a value of up to A$29.8 million.

In 2012, Santos Ltd. entered into the Amadeus, Pedirka and Simpson Basin's through a farm-in with another operator whereby it would spend up to A$150.0 million to earn up to a 70% working interest. The total potential investment on an Australian dollar per acre basis is A$11.28 / acre. Chelsea estimates it has up to 2.0 million acres of Simpson basin sediments. After giving effect to the A$ / acre on offsetting lands, this would suggest Chelsea's Simpson Basin undeveloped acreage could have a value in excess of up to A$22.6 million.

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40,000 bought at the ask...