LINC ENERGY LTD (LNC) (LNC ) A$4.38
Linc Energy - Increase in Oil Price assumptions BUY

Thursday, June 19, 2008 Jeremy Tobias

Recommendation - BUY

DCF Valuation - A$6.44/sh

12-Month Share Price Target - A$5.50/sh

In line with the revised oil price assumptions released today, we will be updating our financial model for Linc Energy (LNC). Our long term oil price assumption is now US$75/bbl (prev US$65/bbl).

Not changing any other assumptions as per our previous note on LNC (12 June 2008), our DCF valuation for Chinchilla only increases to A$6.40/sh. We leave our price target at A$5.50/sh until successful commissioning of the pilot plant in Chinchilla is announced.

Disclaimer
This document has been prepared (in Australia) by BBY Limited ABN 80 006 707 777 (AFSL 238095) (BBY), a Participant of Australian Stock Exchange Group and regulated by the Financial Services Authority (FSA) of the United Kingdom.

Analyst Certification
I, Jeremy Tobias, research analyst and the author of this report, hereby certify that all of the views expressed in this report accurately reflect my personal views about any and all of the subject issuer(s) and it or their or securities. I also certify that no part of my compensation was, is, or will be directly or indirectly related to the specific recommendation(s) in this report.

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