JPDM view5 Aug 2025 17:58
Ladies n Gents,
Well, its been an interesting few days. My purchase from last week at sub 0.5p is certainly doing well and, I did subsequently top up further. I still find it hard to fathom that end of last week, for less than £5,000 you could buy enough shares to own 0.5% of the entire company! I see we have an RNS out which is not surprising given 4 fold+ increase in share price other than you could add to the end of their statement something along the lines of “other than the fact that WTE is undervalued compared to the other players in the Falklands”
To re-cap..
We have RKH valued at circa £500M right next door to PL001 which JHI own and WTE have 6% interest in via JHI. RKH have a partner and are first in line to hopefully drill that gives RKH significant extra value.
We have BOR who hold valuable acreage but no drill programme BUT still valued at almost £90M
We have JHI (Private) sitting on potentially 3B to 10B of oil right next to RKH. Question…. Would you consider that JHI acreage could therefore be valued at a similar level to at least that of BOR? Next door to RKH, shallower water etc etc….
I for one would say that using the most basic of maths and simplification would value the JHI acreage at same level as BOR at least.
So… If we take a valuation of £90M and WTE have 6% of that then we get about 5.4M. That gives a share price just in excess of 3.5p. I really can’t see how WTE can be valued any less than that given the valuations of the other Falkland players. I may be totally wrong but at some stage in the future JHI may decide to float. Where would that value JHI? Where would that subsequently value WTE with 6% of JHI? I’m sure the RNS speeding fine will trigger some profit taking but even at 2.7p close I regard this as undervalued compared to its Falkland peers. I for one will be holding but each to their own.
I maintain the initial simplistic price targets I mention here a few days ago of:-
3.5p short term
21p Medium term
84p Long term
All the above IMHO and DYOR. The Medium and definitely Long term px targets very much subject to continued success drill programme progress with RKH at least.
Good luck to each and all with you investments
My Best Regards
JPDM FM
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