Dave, the asset value per share of .04 is less than the current price per share. They real kicker is that the asset value does not include AMEP's most valuable asset by far, ...the 7,000 acres of Barnett Shale 'producible' gas and oil reserves.
Even more interesting, is the current SP does not reflect any future wells drilled on the 7,000 acres and their producible revenues with two company owned drilling rigs. Even at a generous 160 acre spacing yields a potential of 43 horizontal wells, or 86 vertical wells at an 80 acre spacing.
Another potentially heavy producing formation for AMEP is the Marble Falls Lime, which is about 300 ft thick and lies above the Barnett. There are also several other producing formations, ie Stawn, Conglomerates, Caddo, etc, that intermittently cover the leases. So far, every well drilled into the Barnett has multiple pay zone reserves behind the pipe, and available for production at a later date.
Point is, IMVHO the current SP is far below the liquidation value of the assets, yet that does not include the major asset - the Barnett; and certainly does not reflect the future production and income from the 7,000 Barnett acres with two drilling rigs; plus the PRI 193 oil wells project which has turned positive.
That said, it is time for AMEP to show that it can increase total oil and gas production, and generate additional revenues by bringing new wells on line. It has taken longer than anyone had expected to know the results of new wells drilled with company acquired rig. The delays have had a negative effect on the SP, .....but hopefully the time is near for the stabilized results of their first series of wells drilled with the company owned rig; along with the re-frac results.
IMHO by the time the Padgett #11 is PRed - the last well drilled AMEP, AMEP will have a strong positive cash flow balance sheet and on it's way to being a very profitable company. But that is speculation on my part, the actual revenue results is what will print in the 10Q as AMEP drops the BDC status in the future. It will be interesting to see what the actual numbers will be.
GLTY,
...hawk
News 
Market Data 
Discover 
AI
