I was intriqued by Rick Mills theory of 5 times cash flow valuation.

I realize Prospekt got the $113million/year number from the presentation slideshow.

But does anyone know if this figure is under the base case analysis?

Reason I ask is that I was trying to look up the sensitivity analysis and in Figure 22.4 , NCF under ROV is much higher than NCF under the Base Case analysis.

So without all the tweaking, just looking purely at a real option valution, our NCF should more than the $113 figure. If so, I feel the $113/year figure should be somewhat of a worst case scenario number.