PYX Resources: Achieving volume and diversification milestones. Watch the video here.
Thanks for posting. Had a look at the report and it relates to the renumeration issues from a year or so back and also a request for better shareholder communication, both areas which were subsequently improved upon. Interesting that such an organisation - who are generally involved with bigger fish - got involved here. Surprising that institutional investors have to resort to such a firm to voice their concerns and reflects no doubt an element of stubborness on the board (no names mentioned). Negative in the sense that governance issues were left wanting but positive that these have been addressed to a greater extent.
Another good post jtd. I think your final paragraph sums up the sentiment of many here - why has the share price not responded to what is now a very respectable oil price? Can't put it down to regional issues with Colombia as it is now looking more attractive than in previous years. Possibly a lack of confidence in management after previous mistakes. Personally I feel that many investors are looking back and not forward and a rerate will occur when the balance sheet proves a corner has been turned. I topped up again this morning so I hope I am right! I am not in "eggs in one basket" territory yet but the Amerisur one is getting quite heavy.
I often find these RNSes generate as many questions in my mind as they provide answers. I do wonder how much the pipeline issues have impacted on our current production figures and also the drilling programme timetable? Difficult for a layperson such as myself to say but i tend to agree with you wuffle that the pipeline tail is wagging the dog a bit here. That's why a bit more clarity from management would be welcome. At the moment they are talking about 20,000 bopd mid term production so how quickly will the pipeline be able to facilitate the increase required? Presumably this pumping station will do the job and it is just a case of Amer having success with the drillbit?
Good to see progress being made to increase throughput - we will surely need it with the upcoming drilling programme. Hopefully the builders at Chiritza will keep to the timetable a bit better than the OBA lot (though in truth they are probably the same guys!). Would be good to see another investor presentation from the company with a bit more meat on the bone as to how they see production increasing this year.
Thanks for the info leas, will give it a look. Always valued your opions back in the day. I made a bit of a ricket with IQE, sold out too early unfortunately - still made a nice profit but it could have been so much more. I guess it is all part of the learning process but still grates when I think of it! Apologies to others for off topic but good to meet up with you again.
Hey leas, great to hear from you. Hope you are well? I'm no longer invested in SLP - it always looked like a company with great potential but never did quite deliver. Quite a few people are tipping gold (have a few investments there) and precious metals over the next few years so could be their time. Re Colombia, yes there is risk but things are improving there and also in South America generally. A journalist recently commented that Venezuela has been a beacon on how not to run a country and now countries such as Argentina, Ecuador and Colombia are becoming more open and friendly to foreign investment. All the best to you.
A bit of negativity here and I can understand that with the share price behaving as it does. All constructive debate should be welcome as sometimes you learn more from the negatives than anything else. Personally I am generally positive about the coming year but the management will still need to deliver in terms of upping production. Plus, of course, we will still require a healthy oil price to keep things ticking along. Can't agree that we have stood still since 2013. We have the OBA, several acquisitions and are debt free with a financed drilling programme coming up. Surviving the last few years is also an achievement in itself. That's not to say I don't have any doubts about the probability of success here. I do think Amer are in a good position at the moment though, with a key twelve months ahead.
I wonder what GC and the Ecuadorian President will be discussing at their meeting? No doubt pipeline issues but the message from the interview suggests we may be looking at land there. A further tie in to the pipeline perhaps? https://www.rigzone.com/news/wire/ecuador_to_offer_oil_blocks_under_new_bidding_terms_in_jan-06-oct-2017-152014-article/?all=hg2
Wow, they finally brought GC out of storage and put him in front of the camera! Probably his once a year interview but great to see him all the same and like JW a few months back he was in a relaxed and positive mood. Interesting comments about CPO-5 which they will no doubt sell in due course - what a great bit of business that looks like being. Also noted his comments re Ecuador and possible deals to be done there. JW also hinted at further deals so they are not standing still. Doubt we will ever see a divi as think we will be taken out before then but thumbs up to Malcy for asking the question.
Has the share price gone up a whole penny in one morning or am I dreaming? Perhaps the end of sub 20p prices, certainly feels like it.
The trolls will arrive when things start to hot up I guess. Maybe talk of trolls is a forerunner to this happening although 20p is proving hard to crack at the moment. Enjoy the peace while it lasts.
Thanks for the info jtd, interesting points you make and reinforces what a good portfolio Amerisur was able to create during the downturn. They obviously realise the potential at Tacacho as they cherry-picked it in the Petro Dorado deal and subsequently took up 100% ownership. The drilling plans for 2018 are all focused around the OBA cluster which makes sense. Only so much they can do so they have to prioritise but it is exciting when you think of the numerous prospects we now have and see how activity in the area is hotting up.
It feels a bit like the glass is half full and half empty at the same time. Good to see that the average daily production was up near 7,000 as I thought there would be an impact from the Christmas holiday period. Peak daily production was 7,061 so they must have been working throughout (nice bonuses perhaps?) At the same time I look back to previous years and note we were producing above 7,000 back in 2013 and previously had a target of 7,500 - 8,500 barrels set for 2017. I know we cut back due to the oil price but it seems a slow process getting things back up again when you consider the addition of Mariposa. I'd like to see a bit more guidance from the management with regard to this aspect and what challenges (if any) they are facing. At the moment all we have are target figures which they then change at a later date. Overall though the company is still wildly undervalued if the production cost figures stated are anyway near accurate. Happy to continue holding but would like a bit more meat on the bones from the management. If they are making the money we think they are making then they need to be a bit more vocal about it.
Yep, not a bad start to the year although a lot of holders will still be nursing losses. Just need some good December production figures from the company and we might even hit the magic 20. I wonder how many days holiday they had over Christmas?
A happy new year to all Amer holders out there. 2017 was a year to forget in terms of the share price and an exit of sub 20p was not a fair reflection, in my opinion, of the potential here. On the plus side it did give us the chance to add to our holdings. Nice to see a few tipsters giving us a mention and, as ever, Malcy is our biggest cheerleader (in more ways than one). He has made me a few quid in the past and I'm happy to wait it out and let things develop. It should be a good year if the management play their cards right.
Thanks RSI and JTD. I saw the first snowdrop yesterday so Spring is officially on the way! Perhaps these trades are an early indicator of better times ahead for us long suffering shareholders. Anyway, wishing you all out there a very happy Christmas whatever you are up to and hopefully we will have less to moan about in the New Year. All the best.
Yes, lots of positives here despite the terrible share price performance. As well as a more stable oil price, the general sentiment towards investing in South America and Colombia has warmed over the past year. I'll try and post details below of an article about how Venezuela is keeping Latin America on track for growth (Amer gets a small mention). Also, I have seen a couple of travel articles recently describing Medellin (yes, Medellin) as the must visit destination for travellers. Think I might stick to Bognor but it is good news all the same. https://moneyweek.com/how-venezuela-is-keeping-latin-america-on-track-for-growth
GC's track record is to build up a company up and then sell it on. He has also publicly stated that Amerisur could be a takeover target. Agree that for us shareholders now would be a poor time for this to happen but from the predator's viewpoint it would mean a cheaper price. I also have a 40p target here which doesn't seem unreasonable unless the management make a complete mess of things. I will feel a lot happier when we are back in the mid 20s.
Great find jtd. I just had a look at their website and production figures over the past five years are very impressive with year on year increases (even during the downturn). Top marks to their management for getting the job done. As you say, it goes to show what can be achieved in Colombia and does make you query why Amer has been dragging its feet. Granted that Parex are further developed and had a greater buffer in terms of production to see them through the downturn but it does make you wonder why we are still where we are. We really do need to see significant progress in the production figures at Amer in 2018.
At times like these we are all grasping for a logical reason as to why the price is as it is. JTD points out that most of his oilies are behaving poorly at the moment and a lot of my holdings (both oil and non-oil) have edged lower in recent months. The markets are definitely more gloom laden of late. Amerisur forums elsewhere have mentioned the Rex effect but who knows? The market has never been particular transparent so we have to come up with our own conclusions. At times like these you just have to batten down the hatches and trust that your assessment of the company is correct. I topped up again a few days back (lousy timing as usual) - that's it now though, am fully invested and currently in the red.