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

No haven't had a chance yet, i'll add it to my stockwatch though and i'll have a look tomorrow.

L2 back to the overhang pattern with L2 showing 1 v 1 with WINS bidding and HOOD's on the offer.

NO trades showing to justify such a drop. Typical MM tree-shake to try to get cheap stock back? Or large T buy to come through later.

MJR whats your views after the big SER fall??? Still in overhang??

there is some game playing going on with this,bounced off .27 some buying at end of day. if it was a tree shake mm didnot get many,cleVer though go down any lower then buyers would pile in .price of oil should keep moVing up so we wont be down for long.its only oils going up look at the markets.

Cellby, could it not be possibly info. leak ahead of an imminent trading update due any time now!

jamee106 15% is not much in this type of co, if there was a leak it would be to someone with a few more shares than were traded today.the price went down early afternoon so any large delayed trades had time to show before close.

The spread has widened bid .25, offer .31, open .33... Seams the MMs want higher prices but buyers aren't prepared to pay for them. Last trade 500,000 at .27.
An RNS now would be well timed to set the sp free..

MM's want HIGHER prices?? It looks like the other way around to me, yesterday someone happily bought 3M+ at 0.36p and today they dash it down 17% on about 1M more sells than buys!!

Pure manipulation.

I think there is good news due, and the MM's know this. If so, they will want to get shares in as cheap as possible while they still can - they don't want to let it go up yet!

Regarding the overhang, the selling, what there is of it is now of a different nature, we are no longer seeing the 1M/500k chunks going through throughout the day in response to buys, but a few short-term punters selling out.
So don't know either way yet whether it's still with us.

The share seams to me to still be in a buyers market.... Easy enough to buy 1m shares but another story if your looking to sell... Hence the widening of the spread

Talk of oil price of $70 by end of the week. Sefton are RAKING IT IN.

its got to be as safe as oils can be ,not up the jungle with the gun toting bandets.back out the red not many of those today.

High expenditure and development costs are where the profits are going... Not very attractive for investors as no return. Maybe a small dividend would help!!

not many geting out of this today,looks like the oVer hang is cleared or the seller may be on his holidays.theres not much fat to trim off ser price unlike a lot of other stocks today and maybe a good few trading days yet. what a mess.

explosive, care to expand on your post 325 - what high expenditure and development costs - expenditure on what and development of what? Do you know something we don't?

Anyway, if you really believe that then I think you will have a pleasant suprise come the results in March/April.

MJR, the price has taken a real thumping over the last week, what makes you think the overhang is cleared

The overhang is not yet cleared another few weeks yet I think.

Pete, if that is true then the sp will be just as volatile for another fortnight or so,,, so perhaps its not a bad idea to jump on board again!

Are results due in MArch??? Any predictions

I didn't actually think it was cleared yet. For a while it seemed like it might have been but it does look like it'll be a bit longer yet.

Never mind, just think of it as more chances to top-up at dirt-cheap prices!

Its not the results of last year that matter, they will show a loss i would have thought. However, production now being at a regular 6000 barrels per month we should see a cash generative and profitable company going forward. Its the next 2/3 years that will be exciting for SER if they drill more wells etc.