Discount Rate

Welcome to the Connacher Oil and Gas Hub on AGORACOM

Connacher is a growing exploration, development and production company with a focus on producing bitumen and expanding its in-situ oil sands projects located near Fort McMurray, Alberta

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CKanner

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Discount Rate

posted on Nov 23, 2007 11:48AM

Just curious what discount rate you all are using on Connacher. I know this company is very cheap and I love the business model, but I’d like to create some sort of an intrinsic value based of DCF. Has anyone done the waited cost of capital? If no one else has I will work on this and post it to the forum. I also have an excel spread sheet that shows production vs. current reserves, but also allows you to manipulate the price deck of crude oil and factor in inflation. If anyone would like this I would be more than happy to email it to them. I don’t think I am able to post documents yet on this site. Email me at Kanner@EISCapital.com if you want this. Otherwise, I’m very interested in hearing what discount rate you all are using.