Amerisur Resources Share Discussion Threads

[ghhghh] 17/4/2019 09:20

Talked to analyst who follows AMER. His view pretty much summed up by this board. Greedy directors with record of underachieving targets. Out of favour with the City.

However crazy valuation at this price, especially re farm out. And pipeline could finally start delivering...

Needs a hostile bid! I agree with others here that a corporate deal must be on the cards but not for a couple of years.

I've been buying.

[avsome1968] 17/4/2019 09:17

AL101uk

Thanks for that AL been through all data from 2012, realise now why long termers here are pretty fed up I certainly don't want to be here 6 years with my investment 2-3 years top, Amer to me are leaving themselves wide open for a cheeky bid if share price carries dripping down, JW sold before leopards don't change there spots if the price is right, progress just seems too slow here maybe for a reason, but if a bid comes happy to take anything over 20p and move on.

[paradores] 17/4/2019 09:05

...but the deal making has been canny. Now they need to kick-on.

Agree with above, Plat has more to give. Likely the w/o team have now moved onto Plat 7 t-sand perforation. Next ops update will be interesting.

[deanroberthunt] 17/4/2019 08:59

did anyone buy BLOE like I said when it was 5.9p on the offer, now 11p...?

[kipper62] 17/4/2019 08:44

Thanks for all the reminders Al101UK. Perhaps it might make the naive newbies think/research before they heap praise on the management.

[ammu12] 17/4/2019 08:01

Brent at 72.Ridiculous mcap for a company that has 44m cash, recent discovering producing roughly 5k bopd and decent assets.The only downside is the management

[tyler durden1] 17/4/2019 07:46

So Plat is now 'a mature field' is it. So why wasn't it mentioned as a mature field in 2014 when 12,000bopd was on the cards?

Its only being termed a mature field now because its a convenient excuse for failing in previous RNS predictions

Personally I think there's much more to come at Plat., but whether there is the incentive is another matter as if LTIP rewards each year for what, its no longer an incentive scheme but a disencentive to do too much too soon as there's always next year's LTIP.

Yet my opinion is this is getting lined up for more production and a sell off

[moneylender] 17/4/2019 07:19

Al101uk and that's exactly why we are still at 13p. I don't know why the II don't face up to the board and pressure them to be more honest. 13p FFS!

[wskill] 17/4/2019 05:02

With our new partners things will change cannot see Oxy or ONGC keeping results hidden really think this is a new ball game now. Plat is now a mature field so nothing much is expected from it but still producing decent cash to invest in our new acreage.

[al101uk] 17/4/2019 01:34

Some people have lived through this, while being told that Plat was being shut due to the oil price decline and the transport costs. Being told the pipeline was imminent and would allow Plat to ramp back up, being told that the "oil isn't going anywhere", that 12k bopd plateau rate was a prudent estimate.

Some people sometimes get grumpy and maybe are not quite as open minded as new investors.

Hopefully the above gives a few indications as to why.

[al101uk] 17/4/2019 01:29

Part 3

January 2012 Amerisur issued an RNS around their Share Options being replaced by an LTIP, the award was based on "shareholder returns, the price on which it was based was 17.38p.

100% vesting required a 73% compound increase over three years.




By 2015 the LTIP award was so agregious Amerisur had to RNS this:

"Amerisur Resources Plc ("Amerisur" or the "Company"), the oil and gas producer and explorer focused on South America, announces that following a thorough consultation process with the Company's significant shareholders and their corporate governance departments, conducted by Stephen Foss, the Company's Senior Independent Director, the Remuneration Committee intends to revise the LTIP awards, announced on 9th February 2015, once the Company is expected to be out of a close period on 8th April 2015 following announcement of its year ended 31 December 2014 results."

[al101uk] 17/4/2019 01:28

Part 2

In February 2014 the company had this to day about the OBA:

"The Environmental license application for the Ecuadorian part of the pipeline is currently under review by the Ecuadorian authority and the application to the Colombian licensing agency will be made in the next few days. The design and technical requirements are also under review by PetroAmazonas and Secretaria de Hidrocarburos of Ecuador and approval is expected shortly. In addition the Company has received from the Ecuadorian Ministry the schedule of transport tariffs for the project. These tariffs are substantially lower than current costs of trucking oil, and usage of the pipeline will result in an 85% reduction in transport costs compared to Rio Loro - Dina, where a large proportion of current production is delivered. The Company expects the line to be in operation in the second half of the year."

February 2015 they said this:

"Permissions are moving forward, and the Operation Letter of Intent (LOI) with PetroAmazonas, the Operator of the Cuyabeño gathering system is expected to be signed this week and the Board is confident it will be in a position to commission, construct and operate the Ecuador interconnector in H1 2015"

February 2016 they said this:

"The Company has begun the drilling of the under river crossing and the installation of the under river pipeline. These operations are expected to take approximately 35 days. Concurrently, the Company and its contractors have commenced the construction, corrosion proofing, testing and burial of the line from the VHR-20 location to the point of landfall of the under river crossing."

October 2016 they said this:

Amerisur Resources Plc ("Amerisur" or the "Company"), the oil and gas producer and explorer focused on South America, is pleased to provide an update on its wholly owned OBA interconnector pipeline between Colombia and Ecuador. Construction is complete and all necessary instrumentation testing has been successfully completed. The full documentation of the line systems, together with the successful testing results have been delivered to SHE / ARCH, the regulatory bodies of Ecuador.  As soon as ARCH issues the decree to begin operations pumping will begin at an initial rate of 1,500 BOPD.Â

2017 we hit the 5k bopd cap and remained there, producing less oil for less profit than was being produced in 2014 when the OBA was to be "transformational". The Charitza pumping station requirement was only revealed in an exclusive presentation at a later date and then updated as if everyone already knew.

[al101uk] 17/4/2019 01:28

History lesson:

On the 22nd April 2014 we get this quote from the Results for the period ending 31st Dec 2013

“2013 has seen great progress with the Company’s drilling and production programme, with success across our assets. The current production is at a rate exceeding 7,000BOPD, albeit constrained by export options, which we are working very hard to remove.”

On the 25th April 2014 it is reported that, as regards Plats drilling program "... once completed it will support a prudent plateau oil rate in the absence of export constraints of some 12,000 BOPD"

7th September 2015 average production was down to 4337bopd. The wells shut in on commercial grounds were receiving chemical treatments to improve their production profile.

By 2017 the company were targeting (their long term incentive on) an exit rate in excess of 7000bopd and relying on the Mariposa-1 drill at CPO-5 to do it. That is less than they were already producing in 2013 and substantially less than their “unconstrained commercial production” or the "prudent" plateau oil rate for Plat.

[avsome1968] 16/4/2019 23:53

Tommy 1m O trade was a sell but who cares, something just doesn't feel right here, spent 2 hours reading through all rns everything looks good to me except depressed share price slow news ect, are we missing something?

[lucyp00p] 16/4/2019 21:52

Not recently. It's a target for Rex to manage.

[tommygriff] 16/4/2019 20:06

1m buy gone through at close

[eddie_yates] 16/4/2019 17:35

Can anybody clarify whether or not the share price target criteria for previously “awarded”; LTIP options has been achieved before??
Thanks in advance

[moneylender] 16/4/2019 16:30

They always used to rush off to London to see RH or another big hitter after the AGM. I suppose now they can do the business in the morning and GC can get home to Bristol to see the test match as Aceuk says!

[aceuk] 16/4/2019 16:16

Giles hasn't moved it because the 1st Test is on ;-)

[swerves1] 16/4/2019 16:09

Why is it significant?

[moneylender] 16/4/2019 16:05

I certainly do Baz!!!!

[bigbas] 16/4/2019 15:48

does anyone else think that moving the AGM to London is significant ?? - I do.

[eddie_yates] 16/4/2019 15:42

Can anybody clarify whether or not the share price target criteria for previously “awarded”; LTIP options has been achieved before??
Thanks in advance

[paradores] 16/4/2019 13:48

Perhaps, but we’re a darn sight closer to that illusive transformation than ever before in the company’s history. That’s what makes this situation doubly frustrating!

IMHO The BoD should be given another year, but they need to tune-in and clutch-in.

Rather than trust and expect things, investors will now DEMAND sight of realistic/coherent, joint-party (as required) near-term plans for priority assets like CPO5 and Put8.

Trust is low and reputations need to be restored and in its current form the LTIP is certainly on thin ice.

Something needs to ‘Chan-chanR17; rapidamente, else it promises to be a bruising AGM. More than smoke and mirrors, rabbits and hats etc. Not this time. Oh no.