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swanlinbar

01/06/12 4:07 PM

#172 RE: Ed Ajootian #171

Nice data post from you on si. Osage Exploration (OEDV.OB) -- this piece has some great data showing, by major play, who has the most acres per million shares and acres per million $$ of market cap in that play. SandRidge is clearly the leader in the Mississippian play, but with $2.8 B of debt plus a lot of "gas baggage" from their gas-centric past, many investors might not have much appetite for that stock even though they might be the leader in one of the most economic plays currently going.

As a way to get exposure to the Miss. play without any gas baggage, folks may want to consider Osage. As shown below, they compare very favorably to SD with respect to the degree to which they are exposed to the Miss. play:


..........Mkt. Cap........ Debt..........EV......Acres Per Sh. (MM).......Acres Per $MM Mkt. Cap...Acres Per $MM EV

SD.....$3,598...........$2,813...$6,411..........3.64.................................416.94.........................................233.97

OEDV ...$24......................0..........24......106.38.................................209.20.........................................209.20