11-27-2012, 12:23 PM
I could not imagine anybody stressing enough the difference between $1.50/mcf (i.e. million BTU's) that the disenchanted suggest might be the "market price" for IOC gas and the $17.70 China paid, recalling the cost of LNG processing is around $5/mcf and IOC current valuation of $0.50/mc (and that only considering the E/A resource!).
The tough part is for IOC management to continue to deflect the slings and arrows of the shorts while they hold out and demand an appropriate price for the gas. When the story of this stock is written students will be astonished at the effectiveness of the naysayers.
The tough part is for IOC management to continue to deflect the slings and arrows of the shorts while they hold out and demand an appropriate price for the gas. When the story of this stock is written students will be astonished at the effectiveness of the naysayers.