Potential SP Value5 May 2022 23:12
As frustrated as I am with UKOG's past performance, trying to work out what this could be realistically worth in this current O&G market.
I came to a fair valuation of 0.67p based solely on revenues from HorseHill on following:
16.24b shares in issue (May 2022)
$90 average (£72)/ Brent Crude Oil barrel
200bopd average (based on 5 Nov 2020 RNS HH-1)
£72 x 200 = £14400
14400 x 300 operating days = £4,320,000 annual revenue
Average O&G industry P/E ratio = 25
4320000 x 25 = £108m
0.67p x 16,240,000,000 = £108m market cap
Current mcap £26m
The above is based on assuming HH-1 flow rates continue as reported in Nov 2020 RNS and excludes any value in the other assets (Loxley, Turkey etc).
Keen to hear other thoughts as my calculations e.g. 25x on P/E could be wrong.
GLA