This stock looks like the most undervalued oil company on the stock exchange. >
Sefton Resources epic SER. It is currently trading at a price of 0.275p valueing the whole company at just 4M.

You might look at the market cap and assume that this company is just an explorer or a shell, but in fact Sefton is producing over 6000 barrels of oil per month with a monthly revenue of over $300k. It's recent work on it's Tapia oilfield exceeded expectations, meaning the company hit it's 200BOPD target 5 months early, and is now expecting resource and production estimates to be further upgraded. This is before it embarks on a steam-assisted programme early next year which
could see production rates multiplied 2-4 times! It is also looking at drilling further wells on the rich Tapia field in the light of the better than expected results.

So why is it only valued at 4M? The primary reason is lack of awareness of the stock, the sub-1p price puts many people off straight away, and a large overhang.

A year or so ago the company was put in financial dire straits by a
well blowout and had to undertake large discounted placings to get
itself back on track, which it has done with a vengeance. However,
some of these placing shares, which represent some 25% of the company
are being sold into the market, depressing the price so that despite the fact that the companies prospects have improved dramatically over
the past year, the price has dropped by nearly 60%.

This makes the company an absolute bargain at these rock-bottom prices. In 6 months time I expect this to be worth 3-5 times the current price. SERIOUSLY.

There is plenty of research to get your teeth into, the best place to start is the website :

www.seftonresources.com

There are 2 excellent articles on Sefton on the following website by Ian Mclelland (Jan/Feb 2006) - well worth a read to get up to speed on this company and it's prospects:

www.proactiveinvestors.com

mj - I think the only people that are missing out are us share holders as this years performance has been crap!

Yeah, well, no offence, but nobody said you would get rich overnight in this stock. We all know that eventually, the overhang will run out, the selling will dry up and the stock will return to a more deserving valuation. We all know that this price is ridiculously cheap, and the Directors obviously agree. So why worry?

Just try and accumulate more shares while the price is still so cheap, and think about the rewards to come later.

moonshine1 - 21 Dec'05 - 12:18 - 3897 of 3919


I have this morning had a telephone conversation with Jeremy Delmar-Morgan:

Jim Ellerton's purchase was part of a much larger order (JDM didn't say how large) placed with his broker at .25p. The broker probably had a seller and was thus able to fulfill part of the order at 25p. JDM didn't know if the limit order was still in place and if it was, he did not think it would be filled at that price.

JDM & David Millham visited Oilbarrel last week to keep them up-to-date with progress at Sefton. As a result Oilbarrel may provide an update to Sefton's current articles.

We discussed the overhang again. He thought that it would take about 6 weeks to clear at the current volumes.

The person responsible for the website is Gary Dillabaugh, the company secretary. JDM has asked Gary to update the articles and keep the website as current as possible, and he will ask again.

Sefton are going to drill more wells at Tapia Canyon, don't know how many or over what time span, but they do believe the oil at tapia is more extensive. One of the wells at Tapia is apparently directly on the fault identified by geologists. As a result the oil was heated and flowed better than expected. Thermal stimulation will be beneficial, and that will be used at Tapia in the future. They are remapping Eureka.

JDM said that two research analysts were looking into Sefton at the moment; Ian McClelland(?) and a guy from Hardman's.

The company is now cash positive on a daily basis, and he is very positive about the future.

it must be the most boring share on the AIM except for DMR now that is shit

sounds interesting...

spud - If you looked a little furhter than the end of your nose you'll see progress Sefton made in 2005... If not may you'd be better off reading comic books and placing your money in an ISA!!

Seig Heil Mein Hexplosiven Furhter,

talking of comics, you are the best,lololol!!!!!!!

Best regards to all posters here for christmas and new year...

We will be in the money fairly soon with this one.

The wait will be worth it....

666

its now the end of seftons acounting year ,trying to put some numbers together. oil production up oVer 400% from less than 50bopd to 200bopd,0il reVenue last year $500000 this year should be nearly $2.5 million .last year end there was 2.5 mil cash,by half year $.5mil showing so we are going to haVe 2mil or more or expences.i think we will haVe a loss of $.3 to $.5mil for this year. for 06 if we get steam going could be at 400bopd around june giVing 06 a posible turnoVer oVer $6mil we will need around $3mil for any expantion to push up prodution.this could be the year we start puting on some serious growth.

Bling - Really you suprise me with your post 193..... I had you down as an educated shorter and not another fool!! Nothing to short here though so not exactly your game now..

Cellby, wat r ur views on this in summary. Are we saying that its buy! SER is very thin on press releases and informing shareholders... But Im not sure... I did invest in this late last year and then pulled out on par didn't seem very volatile although I didnt stay in for any long period. So what are ur views on this stock????

i am hoping for around .6 on a run up to result in april also start of steaming to help production.my target for end 06 is 1.46p if they can double there bopd to near 400 we should be on course for profit in 07.

sellby thanks for that. I better hope back-on as quick as I came off! I'm on come Thurday

jamee106 take your time we are still in a down trend you may get in .25-.26,lots of sells coming through.

cellyb, thanks im a beginner at the races so I guess ur comments are welcomed! MJR another footpriner refers earlier that he/she has had a discussion with the ceo and notes the comments, is that relied on by you experts in this room

Whats a footpriner?

My post earlier was copied from another shareholder on another board who phoned Jeremy Delmar-Morgan (not the CEO).

As far as I know that shareholder is a genuine honest person. I know another shareholder who has also spoken to the same guy several times, and got similar info.

my apologies if i was at any time questioning the credibility of your comments. Was just asking re. how much reliance should we place on it. I mean fellow footprinter (another person on chat posting his messages)

MJR1234 so wat you think, re SER. I made a mistake and sold short a while ago and its not really past the .29 mark. But you seem to be confident (rightlyso) from theose comments that this could be a winner.... Have you got any more info. on SER and by when we expect production to increase and thus sp too???? comments warmly welcomed.. Im still a novis at this game having only started late last year. Cheers

jameel06,

There's a bit more info in the thread header.

Out of interest, who did you short this with and how? I didn't realise it was possible to short shares with such a low market cap? Not via spread betting or CFD's anyway.

mis-spelt, I mean sold early!

mis-spelt, I mean sold early!