RE: A 4.18M market cap is sooo low!17 Jul 2025 18:15
Someone posted this earlier,
Empyrean Energy (EME): High-Reward Opportunity for New Investors:
I’ve summarised my iconic post from 12.04 today:
My analysis highlights Empyrean Energy as a highly undervalued opportunity based on its 8.5% stake in the Mako Gas Field (Indonesia), after securing under a favourable long-term Gas Sales Agreement (GSA).
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🔑 Deal Highlights:
• Interest: 8.5% in the Mako Gas Field
• Contract Size: 392 trillion BTUs
• Term: Now to Jan 2037 (~11.5 years)
• Pricing: Fully linked to Indonesian Crude Price (ICP) – not capped by domestic rates
• Buyer: PLN EPI (Indonesian state-owned, BBB-rated)
• Infrastructure: PLN funds the pipeline – no capital cost to Empyrean
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📊 Valuation Summary:
• Total Field Revenue: ~$2.74 billion
• Empyrean’s Share: ~$233 million
• Net Cash Flow (post-costs): ~$116 million
• Discounted NPV (8.5% rate): ~$85.5 million USD / £63.8 million GBP
• Current Market Cap: updated for 0.11p = £4.9m
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🚀 Upside Potential:
• Based on risk-adjusted NPV, the share trades at a deep discount.
• If we obtained a conservative 35% of the NPV on a sale or re-rate that is £22.3m or 0.499p v 0.11p (at 1.30pm even with a 500% rise so far today)
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💡 Conclusion:
Empyrean’s recent GSA secures revenue, removes infrastructure costs, and locks in premium pricing. For a sub-£5M market cap, this presents a compelling, risk-reward skewed opportunity for early investors.