Amerisur Resources Share Discussion Threads

[harrisun] 02/3/2018 18:09

yellowdog and others

If a company spends £80m especially an oil and gas explorer/producer you can't then suggest that because income/cashflow might be £40m that it equates to losses or poor management.By necessity you have to drill a well, complete the well if you find oil, when that expenditure results in more production and more income/cashflow.

A good indicator of that is the OBA

Underhill we don't know what the market wants to see only what we presume but what we do know is RH is selling millions of shares that are hitting the market.

Amerisur major holders apart from him are not offloading which presumably they would if they were disenchanted. Some have added and that gives more credibility to them knowing Amerisur situation being supportive of Amerisur and no doubt part of the privileged few that know what is going on. These major holder might not want to see wholesale drilling or good news if it doesn't reflect in an increased SP, and the fact is good news has not resulted in increased share price so why waste that good news in the face of drip drip selling by RH

[juuunx2] 02/3/2018 18:05

Yes it would be special :-)

[davwal] 02/3/2018 17:47

That AMER might pay a special dividend.

[juuunx2] 02/3/2018 17:47

Means pay us a div of course

[currypasty] 02/3/2018 17:31

wtf does malky mean with this..


It would not be beyond the realms of possibility to assume that the company might decide to do what the market has failed to do recently and reward shareholders who have been more than patient

[underhill2] 02/3/2018 17:30

Why do most posters here always take what Malcy says as gospel !He is often wrong with his facts.

[yellowdog] 02/3/2018 17:19

Al101uk. I think you've said what I was trying to say / thought. Lots of potential here but, as you stated, as with a number of O&G cos., they spend what they make. Which I guess is why the share is under 20p.I admit I don't understand accountants/ balance sheets but if cash generated is £45m and they spend £80m the figures, very simplistically, don't add up. It maybe fine if they find lots of oil but surely it's a company with exploration risk not a cash cow which it's being promoted as?

Malcy says at $60 Amer is making proper money but it's not as posts above say $45 / $50 netback.

[kaos3] 02/3/2018 17:05

as I am new at AMER - is OBA offtake guaranteed to certain level? or is this export efficiency wonder also a potential risk? what is a duration of the offtake if there is one?

[underhill2] 02/3/2018 17:03

Sorry tyler but I dont agree eith your comments. You are of course entitled to your opinion. Rex now holds under 5%. His off loading of shares is not the only reason for the depressed share price The Market wants to see targets being met or exceeded. Thats not happening at present. I invested her recently as a long term investment. This will come good but we will have to be very patient. That is the same scenario with Giles Clarkes other companies.

[kaos3] 02/3/2018 16:56

TD1 - well - what drilling is going on atm and why not? What rigsare booked for how long? etc North sands Will be drilled when? why so late? etc

operations at the moment are really moving slow. did they lend cash for a few months?

[underhill2] 02/3/2018 16:35

Good post. The ROCE must improve before we see a re rate here. Amerisur has not been reaching its potential for a while now. Thats why I have previously said that we could do with new Management to accelerate progress here. We are now moving at a snails pace hence the very low share price.

[thegreatgeraldo] 02/3/2018 16:20

Laptop15
2 Mar '18 - 16:10 - 7398 of 7399
0 0 0
Yellow dog you are wrong, if u do the maths monthly production per rns, capex costs, average wti oil prrice for last 6 months of 2017 you should see a profit in your calculations.

...Sigh.....capex doesn't feature on the P&L account.

[underhill2] 02/3/2018 16:16

Malcy is a City gent who is a City gent who knows nothing about the oil business. Whilst he comes ovwr as a rather nice guy I would never buy shares he tips. His comments about Amerisur are only what we already know.

[laptop15] 02/3/2018 16:10

Yellow dog you are wrong, if u do the maths monthly production per rns, capex costs, average wti oil prrice for last 6 months of 2017 you should see a profit in your calculations. If not i suggest you buy another calculator ;-) this will rerate when profitability is annouced in April:)

[moneylender] 02/3/2018 15:38

Malcy for those that listen to him.

Amerisur Resources
Monthly production numbers from AMER were almost in line with expectations, a daily average of 6,749 bopd with a peak of 6,960, whilst the OBA saw 5,424 and 5,939. These numbers are down slightly but only temporarily, due to a workover on Platanillo-6 which will take around 300 bopd off the schedule until the middle of March.

The company has also announced that on 20th of February the 2 millionth barrel went through the OBA, this was a saving of $20.3m in the fifteen months of operation. With the OBA costing $18m to build and reducing transport costs from $14.05 to $3.90 and operating opex of $15 per barrel, the pipeline has paid for itself after just 15 months of operations and is set to increase the cost savings as production from the Putumayo increases.

At anything over $60 Amerisur is making proper revenues and it needs not many of its dozen planned wells to come in to increase that number by a meaningful amount. It would not be beyond the realms of possibility to assume that the company might decide to do what the market has failed to do recently and reward shareholders who have been more than patient.

[seball] 02/3/2018 15:31

They are making over $300k a day. Strong Buy

[seball] 02/3/2018 15:29

Net back is currently around $45 per barrel. This is a cash cow on the making. Potential dividend at some point. Good luck all

[blackdown2] 02/3/2018 15:07

Net back per barrel is currently about $45. $30/barrel was the 2018 budgeted figure using $45/barrel as the oil price.

[33mick] 02/3/2018 14:59

Investors Chronicle

News & Tips: Verona Pharma, Amerisur & more...by...Graeme Davies

Production from Amerisur Resources’ (AMER) two fields, Platanillo and Mariposa-1 averaged 6,749 barrels of oil a day in February, though exports from the OBA pipeline were short of that figure at an average of 5,424bopd. This morning, the Colombia-focused E&P also said that the OBA pipeline has now paid for itself, 15 months after coming into operation. Average transport costs are now just $4 a barrel, thereby reducing per-barrel operating expenditure to $15. We will revisit our buy call at full-year results.

[chopper harris1] 02/3/2018 14:54

And isn't netback per barrel now closer to $40?

[thegreatgeraldo] 02/3/2018 14:51

yellowdog
2 Mar '18 - 14:35 - 7389 of 7390
0 0 0
So net revenue of no more than $76m this year. Capex this year is $82m so a biggish loss and no cash generated

...usually best not to confuse/conflate the cashflow & P&L position.

[juuunx2] 02/3/2018 14:40

Isn't capex including the drilling of wells funded already by a an earlier placing therefore irrelevant?

[yellowdog] 02/3/2018 14:35

Netback per barrel is $30. So net revenue of no more than $76m this year. Capex this year is $82m so a biggish loss and no cash generated. I am a holder and would love this to be a cash cow but the figures say differently.
I'd like to be wrong so please tell me I am with an explanation as to why?