Whoop whoop CERP12 Sep 2019 19:09
Columbus Energy – 2019 Entry price 2.9p. Y/E Target Price 14p.
CERP has assets in Trinidad and Tobago. At last count, the company was producing around 750 bopd. Not much is it? But with a market cap of just £23m, CERP’s cash flows are positive with PoO around $50pb. The company has a proven CEO in Leo Koot. He’s had to spend the bulk of 2018 sorting out spanish issues as well as old legacy stuff left by past poor management. Leo’s idea is a simple one. Get CERP producing over 1000bopd and use the cash flows to explore the companys deep exploration targets. Some of these targets could hold 100’s of millions of barrels. Any drill in the SWP area would present investors with a relatively free ride on high impact returns as CERP would be underpinned by solid production. There are some companies out there that have zero production and yet command market caps 3 x the size of CERP based on exploration opportunities alone. CERP have all the ingredients for the investor looking for risk off exposure to high impact exploration. Target Price 14p for Year End..
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