|$10.130||BULLISH on ENERGY||OIL & GAS||Yes|
A call on natural gas and West Coast LNG. This is the most likely take out candidate for 2013. Very much a one-year call. Expect there is a 50%-100% upside from today from $10. They were neighbouring Progress Energy that was taken out at a tremendous premium. There was a 2nd bidder so there is someone with $6 billion cash burning a hole in their pocket that needs feedstock for LNG. Baseline value for him is their 2 P reserve value (Proven + Probable), roughly $14.50.
Portfolio Manager, Sprott Assett Management