?Medco?s offer price neither fair nor reasonable?

An independent consultant hired by Australian oil, gas company Novus Petroleum Limited said on Wednesday that the ?fair? price value for Novus? shares ranged from A$1.96-$2.75 per share, far above the $1.74 per share price Indonesian company PT. Medco Energi International Tbk. is offering in its take over bid.

Consultant Grant Samuel & Associates concluded in its report that the $1.96 - $2.75 per share valuation reflected both Novus?s portfolio of mature gas producing assets and its attractive exploration interests.

It opined that Novus?s exploration plays in the United States and the Middle East have the potential to generate substantial value (although exploration activity is inherently risky).

?The Medco Offer of $1.74 per share is well below Grant Samuel?s valuation range of $1.96-2.75 per share. Effectively, the Medco Offer attributes no value to Novus?s exploration upside. Accordingly, Grant Samuel has concluded that the Medco Offer is neither fair nor reasonable.?

Another bidder, Hog Kong based Crosby Capital Partners, together with Novus CEO Bob William, had launched rival bid, offering to buy Novus? shares at $1.77 per share.(alex)