LONDON (AFX) - Chaco Resources PLC said it is proposing the reverse takeover
of two Paraguayan companies -- Amerisur SA and Bohemia SA -- from Candey SA and
Daniel Sztern in exchange for 27,322,404 new ordinary shares in the company.
It also plans to raise up to 750,000 stg before expenses in a placing of
36,585,365 new ordinary shares.
The company's shares were suspended on Sept 3 and it said it expects this to
be lifted today. It has called an EGM for Nov 15 to approve the acquisition and
placing plans.
Amerisur holds two oil and gas prospecting permits in Paraguay and is the
registered applicant for exploration and exploitation concession contracts over
the same permit areas. Bohemia holds registered applications for an oil and gas
prospecting permit in Paraguay and for an exploration and exploitation
concession contract over the same area.
The exploration areas covered by these three applications comprise a total of
approximately 48,000 square kilometres of the Curypayty and Parana Basins.
Chaco said these basins extend respectively into Bolivia and Brazil, where
commercial oil and gas production has been established for many years from
similar geological sections.

KJ'S figures look very low to me!It would be great to get some good news early this week.

From my google alert, I see it says still holding,


Sunday Telegraph

Jan 2 2006

Western Mail


During 2005 the Sunday Telegraph commented on 270 shares, of which 203 had gone up in value by the end of the year. It recommended selling 37 shares which continued to rise in value, although in many cases this was to lock in decent profits.

Its best tips were junior explorers Egdon Resources, which it tipped at 33.75p and sold at 61p, and Chaco Resources, which it bought at 2p and is still holding at 7.07p. Its worst tip was outdoor advertising firm Maiden Group whose shares fell by 58% from 227p when it was tipped in March to end the year at less than a pound.

The Financial Mail has created two share portfolios for 2006 - one for cautious investors and one for more courageous ones.

It says cautious investors should consider buying mobile phone group Vodafone, insurer Legal & General, restaurant group Gondola Holdings and miner Anglo American. It said that while there was no guarantee prices would not fall, the shares offered solid value for the risk-averse, and even if prices do drop, they should outperform the market as a whole.

For braver investors it suggests putting money into biotech group Cambridge Antibody Technology, Polyfuel, which develops plastic membranes that are used in fuel cells and could replace batteries, and oil group Northern Petroleum. It claims the risks of this portfolio are big, but so are the potential profits, and shares in the companies could rocket.

Stewart
The publicity will help!

Large buy over on CDS-hopefully good news for Chaco

Not sure that I class 7,200 as a large buy - assuming thqat I am looking at the same purchase of 80,000 as you are ??

bhunt1910,

Looking at that trade now, is it a buy ? regretably it looks like a sell @ 7p to me, although I agree I don't think that trade indicates anything.

Clutching at straws, LOL

This is a post from another board, I would be interested in anyone's thoughts on it, Alfred are you about, how do you see this compared to Chaco's application, their market cap is nearly 100M but even so not much of an increase so far


Based on the Global Energy new licence we might expect only a 5% increase in share price if their experience is anything to go by today.

*********
GLOBAL ENERGY DEVELOPMENT PLC

NEW CONTRACT SIGNED IN COLOMBIA

CARACOLI AREA WITHIN THE PROMINENT MARACAIBO BASIN

Global Energy Development PLC ("Global" or the "Company"), the Latin America
focused petroleum exploration and production company (LSE-AIM: "GED"), is
pleased to announce that it has signed a new exclusive Exploration and
Production Concession contract for the Caracoli area (the "Caracoli Contract")
with the National Hydrocarbons Agency of the Republic of Colombia. The Caracoli
Contract brings to seven the number of contracts Global now holds in Colombia,
all of which are 100% owned by Global.

The Caracoli Contract covers approximately 90,000 acres in the Catatumbo basin
located in north-eastern Colombia, with this basin being a sub-basin of the
prominent Maracaibo basin which extends in a south-westerly direction from
Venezuela into Colombia.

The Maracaibo basin exported its first oil in 1918, from 1927 to 1970 was the
largest oil exporter in the world, and today remains the second most
petroliferous basin in the world according to the U.S. Department of Energy and
Petroleos de Venezuela S. A. ("PDVSA"), Venezuela's state oil company. PDVSA
estimates total original hydrocarbons in place are 320 billion barrels of oil
plus 90 trillion cubic feet of natural gas, with approximately 40 billion
barrels of hydrocarbons produced through to the end of 2004.

The Catatumbo sub-basin has produced over 800 million barrels of oil to date,
according to the Colombian Ministry of Mines and Energy, from a number of
different fields to the north of and adjacent to the Caracoli Contract area.

Due to the high expectations the management of Global have for the Caracoli
Contract, Global and its technical staff have already extensively studied the
area, completed preliminary geologic analysis and selected the location of
seismic acquisition. Several mapped structures in the Contract area have the
same geologic history as the prolific adjacent oil fields. As a consequence, the
management of Global consider the Caracoli area to have a favourable potential
for major oil discoveries.

Global will own 100% of the Caracoli Contract subject only to an initial 8%
royalty, with the size of the royalty to be determined by future production
le

vels.

What time is it?......."CHACO TIME"......When are we going to hear anything?.....My divorce settlement is coming through soon and I need the cash!!! Holding out as long as I can!!!

as an eternal optomist
may I suggets that you settle PRIOR to 'Chaco Time'
unless you are not positive that is!

Another week for news I hear!

Who from?

I'd be interested to know that too as I believe that CHP couldn't answer that at the moment; they are at the mercy of civil servants who probably like a long Xmas break and will only deal with the decision/paperwork when they decide to. I suspect that CHP won't have to wait that long but putting an exact timescale on these decisions has proved impossible on the first two deals. The important thing is that they get the right decision - hurrying a civil servant may be the wrong way to achieve that aim!

Sharesure
On another bb a reliable poster said that the PV application would be approved in mid to late January_sorry not a week!

Bodeng, the 2nd/3rd week of Jan. fits with what I understand will happen, although so far the official confirmations from the Colombian Authorities have tended to take their time.

Amities / l am aware of the potential acreage in Paraguay /Columbia. After all it boasts one of the real gushers of recent times -Cusiana field in the Llanlos foothills. A number of majors have ambitions here. And Oil Ministries prefer doing busines with " Big oil" with its bulging coffers and generous hospitality .. But to be honest--ln a country like Columbia l cant see Chaco having the " clout" nor the sheer fiscal ability{ Looking at their balance sheet/ cashflow } to dig a hole in my back garden let alone do business in the savage corrupt business climate that is in fact both Columbia and Paraguay. . This appears to be a story of yet another oil/mining concern that has come on the Aim market with the unfortunate usual shortcoming .Desperately lnsufficient funds from very inception; and what with the cashburn of oil companies i see this as a saga of placing after placing after placing , and thats before a site is even established . .l really hope i am mistaken but i am not at all convinced about this project one little bit . . But not one for people who are heavily risk adverse. @+ J . They are on the very first rung of the ladder in iniating an oil concern with all the " real " cost yet to be bourne by the Operator Yet they have a mere 1.3 million banked . Average costs of the Operators drilling crews have doubled to 51,000 a day for a properly numbered team of on coast workers and over 100,000 p/d off coast . ,,,How long before they are in need of cash ? .......

The French Connection, Colombian legislation has recently been revised to suit any oil company that will get on with the job and extract the oil quickly, large or small. Chaco's management have shrewdly latched onto this and obtained assets using that very legislation.

The government has made the decision that big oil companies sitting on numerous fields and only working on a few is not in their best interests, so are awarding E&P licences to companies such as Chaco. Of course they will only grant these licences to companies that have the funding and capability to complete the extraction, so your concern that chaco does not have the "clout" as you say is misguided.

TFC, you are mistaken on this one. Of course it's a risky venture although already underpinned by a lot of progress in gaining assets. Apart from researching the company's website take a look at the alliance they have already formed with Ecofin. I am expecting them to get another alliance for their Paraguay interests, possibly with a company the size of Petrobas before too long - perhaps after CDS have paved the way by confirming good drilling results on their neighbouring asset in Paraguay. Agreed there are plenty of cash strapped explorers who end up getting taken to the cleaners by the oil majors. My money says that this is going to be the 'Cairn Energy of South America'. Having only recently sold my stake in Cairn, I bought Chaco as its replacement; so much about Chaco is similar, taking over discarded assets of oil majors and having good quality mgt. being two particular similarities which come to mind. If you don't like Chaco don't buy any and go elsewhere rather than knock it. If you are shorting it, I think you are risking much on adverse odds. Your choice.

Sharesure hi,
you said previously that Alea will be producing by march/april, is that still your view?
Although we are all waiting for news on latest licence application, we could also see update on Alea if march/april is still on target could we not.

dibbles, Mar/April is still the target production date. Ecofin are hoping to get a rig there in the near future to make that a reality.