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

I'm another lurker. Been building a little stake in SER. Currently 2.5m.

I,m fedup with these games 1.7m traded today lowest for good few days 6% drop we need a bit more news flow or a good drop so can sell some dogs and top up here a few weeks i was happy to buy at .35 but been spoilt by the lows.

Dropping on very low volumes - just MM activity. It's a bullish sign when there is low volume on down days and high volumes on up days.

If they drop the offer / raise the bid tomorrow to narrow the spread, I think we will see a lot more buyers at this level. Can't see many more sellers though other than "the seller" (if he's still around).

looks like a persistent seller there, 3 x 250,0000, niced and spaced out every two hours or so.

Maybe some overhang still remaining?

Could be, but 250k shares is only 750

Don't see why one person would bother to sell 750k in 3 lots.
There was no point during the day when I couldn't get a quote to sell 750k, at a 0.01p or so above the bid price.

Looks more like short-term "traders" (T traders?) who bought in last week hoping to make a fast buck.

I am interested but the spread is so massive there is a big notional loss instantly. That's why I remain on the sidelines.

Coeliac

Wise move at the moment... Wait for narrow or drop...

Cnile

You won't regret it...

All...

Patience must be exercised... Just let the chicks n pigs run...

666

D666

Cheers- eyes are peeled.
O/T are there any views on this stock versus the various Falklands players?

Coeliac

To be honest, regardless of current expectations for this one, if you can get in around 0.3 (buy) when it moves back to normal trading levels of 0.4+ (sell) you can make an easy 30% + gain in the short term...

In reality, even 0.35 is still good value... BUT... the way it's currently trading, it is surely worth watching like a hawk...

Another thing that has helped me was telephoning for a quote... You'd be surprised what price you will get offered sometimes... well below the offer on volume buys or sells...

Sure you know this stuff but:

A good suggestion would be to look at a chart for the past 12 months so you can see it's normal trading levels... With all the expectation around Sefton re: now pumping - awaiting show of profits news - many have jumped on expecting a quick buck or 'news'... Truth is, things don't always work that way.... I'd have thought those getting off the ride are in essence 'chasing the market'... something that should never be done as it can punish you severely if you get it wrong... A thing most newbies learn to the detriment of their capital...

DYOR obviously...

666

D666 -ty again. That large spread could multiply if you bet the wrong way.

Agree on newbies.I am not one but I have a limited repertoir and not really into massive speculations.I trade online and am not sure you get a great deal that way and often have to phone because of the miserable volume limits and I find that frustrating as I see the price move while I am waiting..

Any views on DES,FOGL,RHK or are they off your radar? I reckon rig companies must be doing pretty well!

Coeliac

I'm into absolute returns.... Especially ones that repeat patterns...

If I don't see an absolute gain I won't trade regardless of what any info source has to say.... I watch the oils BUT only trade to my own system... That way, I take full responsibility for my actions...

Great thing about sefton is it has been a % gain yoyo throughout the year more than once... Personal opions, DYOR obviously...

D~666 - Lets see what the US winter brings, returns are looking good on current forecasts however lessons from history have caused this share to be where it is now.... Fingers crossed for no flooding....!

Explo

Know the feeling.... Sure they have learned and put 'plans' in place for this winter...

All

First quarter was dismal as the floods delayed things... Key points I see are:

1) In first quarter - little pumping - little new cash - only 200 bpd...

2) Since pumping 200 - 500 bpd +, news of earnings still to come - futures still high so figures should be good. Even with the bad news in Q1 - opp. to close out at 0.5+ ....

3) Mid year 'dilution' had little effect on trading levels...

Those in at sub 0.35 will all be able to make a nice % gain - with patience...

666

Bargain basement time yet again.

a few sell today add up to 10-12k its a Very nerVous stock down 18% im going to get some more if it drop another couple of point and no bad news comes out eVen just for trading i was up 1k on my 2mil so if i get another 2mil thats 20% the way we are jumping it could work keep my main holding for the big push.

With the OPEC report today advising it could increase oil production by another 2mbopd if needed the price of oil looks like it will hold or see a slight fall.... Lets hope it gets abit colder then to help push the price the other way!!

this is one of few oils to hold up today txo is an oil i hold there production 4400 per month a lot below 6000bopd we are geting they will both make good but ser has a much greater multibager potential. hoping for some news of steam asst come soon

got it wrong 6000 per month not as last post oil price is sliping something will come to push it back eVen so the point about this co it has transformed itself into a progresiVe producer of oil and they may haVe some gas at tapia to add Value.

Cellby can't imagine the steam will come before summer does...

All,

Nice increasing trend... nice $PB futures prices too...

666