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gavin1982

05/20/08 9:58 PM

#9178 RE: instructmba #9177

Doesn't the trust get just 11.25% of the income from West Delta 61?
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badnews2

05/20/08 11:58 PM

#9180 RE: instructmba #9177

Whoa you almost had me there took me a minute to figure out why the numbers didn't wash. You are using commercial spot prices as you cost basis for the gas. If the trust was it's own producer, transporter and provider to the commercial spot market $11 dollars just might be true. But the trust does none of those, it has to sell the gas at the wellhead price and be done with it. so try multiplying by about $8.99 if you want to be on the optimistic side. This will give you a nice gross number under ideal transport and sales conditions. For more on how gas sales work and recent price you should consult http://tonto.eia.doe.gov/oog/info/ngw/ngupdate.asp

Happy trading and good nite.
Doing your research wears me out.
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WALL STREET KID

05/21/08 12:55 AM

#9182 RE: instructmba #9177

PXD must be gettin desperate to send in all these new guys to the MOSH board