Another newcomer to the main market...anybody any idea what the production figures are ?

HOIL HERITAGE OIL

More on the Broker upgrade yesterday....

UBS has upgraded its rating for oil and gas group Heritage Oil from neutral to buy following the recent weakness in the shares.

The Swiss broker notes that since February, the stock has de-rated and the shares are now down 22% year-to-date in US$ terms, having underperformed other exploration and production companies (E&Ps) by 45%.

"We see this as unjustified and given unchanged underlying fundamentals we upgrade to buy," UBS said

New Broker Buy note out late
yesterday from GMP Securities.....

Heritage Oil PLC

FORECASTS 2012 2013
Date Rec Pre-tax (£) EPS (p) DPS (p) Pre-tax (£) EPS (p) DPS (p)

GMP Securities [R]
23-04-12 BUY -8.21 -8.21

HOIL Heritage Oil

Could do with some more volume here
but technicals gradually turning positive...

I think you might find Page (26) interesting chaps...

http://issuu.com/spreadbetmagazine/docs/spreadbet-magazine-v4_generic

Goldfinger, thanks for the link and an interesting read, very tempted now though to increase my futures in the stock. 165 was mentioned as the trigger and I average 180 something currently...... Lets see if it starts to tick up over the next few days before jumping in.

Indeed indeed shortie. Fingers crossed.

Better still double click on this one for bigger
fonts. Click on IE header bar, VIEW then ZOOM then 150% to get bigger text.

From Money Week, 2 weeks ago.

http://d3j5vwomefv46c.cloudfront.net/photos/full/565126151.jpg?key=640525&Expires=1335579312&Key-Pair-Id=APKAIYVGSUJFNRFZBBTA&Signature=D6btzR3BKUK7lXmnODrbVWZU407Uaxg6Jfjt86FfbdDCjjUIhvYLg1eVT99tfkscYC7q7hMENFAzdOZ~0YYIoFCWO1zUUE~k0tBVBWfKOO4Bi-I13Fz6obq~thwKyD07J1FX7TmI-OG0HqCiODcA29czWwfCdKRRm~FHHNiNBDg_

We have joined your happy band, hope they play a good tune.

ohhhh so do I.

Interim Management Statement.


Highlights

· The Miran West-3 well was drilled to a total depth of 3,528 metres and the primary target of the Jurassic gas reservoir was successfully tested. The well is being suspended pending completion as a production well

· Well testing of the main Jurassic reservoir resulted in a constrained flow of up to 22 MMscf/d of wet gas with a yield of 20 bbl/MMscf of 55˚ API condensate

· It is estimated that this well will be capable of delivering 50 MMscf/d of wet gas and 1,000 bbl/d condensate when put into production

· The Miran East-1 well is currently at a depth of 2,020 metres. Oil shows encountered whilst drilling in the Upper Cretaceous are consistent with wireline log interpretation indicating the presence of hydrocarbons and pressure data indicates that the East and West structures are in communication

· Operations on Miran East-1 well are on schedule and drilling is expected to take a further five months

· The full processed 3D seismic, across the Miran Block, is now available and initial interpretation of the data has been completed

· Tanzania work programme commenced in the recently awarded Kyela and Rukwa licences with the acquisition of a high resolution gravity survey, following which a seismic programme is planned

· Production for the first quarter 2012 averaged 605 bopd, an increase of 40% on the same period in the prior year

· Cash position of approximately US$154 million, excluding amounts related to the Ugandan tax dispute, as at 31 March 2012

Bought at 187 on a June future and now 115, all looks promising but wheres the support?? Maybe when production increases we'll see it, question now is do I bother rolling my June future through to September?

a great deal rests with the outcome of their multi million dollar Ugandan court case.

read back page of today's ST biz section

I think the CEO, authorised the purchase pof a larger jet plane which I understand cost about $43ms. I should have thought they could have spent shareholder money better than that. Things like this do not help share prices. Plus a lot of uncertainty with court cases - think Re Tullow Oil and Uganda. = All may come right, but I prefer to invest elsewhere thank you
Not a loved share at present I think

I think the CEO, authorised the purchase of a larger jet plane which I understand cost about $43ms. I should have thought they could have spent shareholder money better than that. Things like this do not help share prices. Plus a lot of uncertainty with court cases - think Re Tullow Oil and Uganda. = All may come right, but I prefer to invest elsewhere thank you
Not a loved share at present I think

Heritage Oil - Unloved, forgotten and materially undervalued


http://www.oilvoice.com/n/Heritage_Oil_Unloved_forgotten_and_materially_undervalued/f8d93a853bad.aspx

..Heritage Oil next for clash over pay

By Emily Gosden | Telegraph – 1 hour 14 minutes ago

Heritage Oil faces a showdown over executive pay at its annual meeting on Thursday, after leading shareholder groups criticised its policies and urged investors to vote them down.

The Association of British Insurers (ABI) is understood to have issued a “red-top” alert against the FTSE 250 (FTSE: ^FTMC - news) oil explorer, its highest level of criticism, in objection to the two-year notice period of its executive directors.

Heritage Oil acknowledges that the policy, which applies to its chief executive, Anthony Buckingham, and chief financial officer, Paul Atherton, defies the London Stock Exchange’s best practice recommendations. But it said the notice periods “were set in place contractually prior to the Company’s listing on the LSE” in 2008. At last year’s meeting, when the policy was also red-topped by the ABI, more than 18pc of the shareholder vote was cast against the remuneration report. Investor sentiment has been more critical this year in the “shareholder spring”.

Pensions Investment Research Consultants (Pirc) urged shareholders to oppose Heritage’s remuneration report, criticising both the notice periods and Mr Buckingham’s £1.36m pay package, which included an annual bonus of £531,600.

Pirc said directors’ bonuses were “astonishing for a year in which the company racked up losses of $66.9m, lost over two thirds of its share price in 18 months, and is in dispute with the Ugandan Revenue Authority and Tullow Oil (Stuttgart: 591219 - news) over approximately $400m of tax liabilities, relating to the sale of its Ugandan oil and gas interests.”

Heritage Oil said the annual bonus, 25pc of the maximum possible, had been awarded based on a “rounded view” including non-financial performance measures, such as “the company’s excellent health and safety record”.

..

Commencement of Drilling

Heritage Oil Plc (LSE: HOIL), an independent upstream exploration and production company, announces that it has commenced drilling the Miran West-4 appraisal well in Kurdistan.

Highlights

· The Miran West-4 appraisal well has commenced drilling on the Miran Block in Kurdistan

· This is the fifth well to be drilled on the large Miran field and the fourth on the Western structure.

· The well is designed to further appraise the Upper Cretaceous oil reservoir

· The Company intends to test and evaluate several intervals as the well is drilled to a target depth of c.1,550 metres

· It is planned to drill a c.500 metre horizontal section in the oil bearing reservoir in order to maximise penetration of fractures

· The well is expected to take approximately three and a half months to drill and test

· On completion of the drilling, Heritage plans to undertake an extended well test of these oil bearing reservoirs selling between 3,000 to 5,000 barrels of oil gross per day into the local market

Crazy prices for some of these oil companies...lots of them ...way, way undervalued.....hold and wait...and add here and there.....and patience.....recovery...big recovery...this autumn....

From Sunday Telegraph - Emily Gosden:

Heritage Oil has agreed to buy a parcel of Nigerian assets from Royal Dutch Shell and its partners for $850m (£541m), as it seeks to build a major presence in the country.

The FTSE 250 company, led by chief executive Tony Buckingham, has formed a Nigerian joint-venture called Shoreline to buy a 45pc stake in a major onshore oil producing block known as OML 30. Shell owned 30pc of the block, with Total and ENI as minority partners. The majority 55pc stake is held by the Nigerian National Petroleum Corporation.

The deal, Heritage’s first foray into the country, will significantly increase its production, from 605 barrels of oil per day (bpd) currently to 11,354bpd. Heritage’s management believes production can be increased further.

The pending acquisition will also represent a more than three-fold increase in Heritage’s proven and probable reserves, to 278m barrels.

Mr Buckingham said the deal would be “transformational” for Heritage.

The deal will be funded through a $550m bridge finance loan from Standard Bank, and a subsequent $370m rights issue. The transaction is classified as a reverse takeover under listing rules, as Heritage’s market value on Friday night was £318m, and as such will need shareholder approval.

Shares will be suspended on Monday, pending an extraordinary general meeting.