This company has KNOWN oil deposits in the ground which have been independantly valued at $12 million.
Now that oil is increasing in value and a world shortage this valuation must now be worth considerably more. THE SHARE PRICE IS TOTALLY UNDERVALUED and will have to be re-rated upwards. Any views or up dates on this suggestion.

Bruce Rowan's Sunvest Group have a stake of 8.000.000 million shares or 10.8% Bruce Rowan is involved with Share Shop PLC An investment company I beleive.

Texas Oil and Gas are making real money.

Thanks to Sagem for starting the thread.

With the current Bullish outlook on all things energy, I have started to look for other companies that may offer long term good value. On the surface TXO seem to provide just that. The TA is very positive; RSI / MACD amd MA all indicate further strength.



The recent results are also very encouraging and at arriving at an approxmiate value of 30p, the CEO has used an Oil Price of just $30.

Texas Oil and Gas PLC
20 September 2004

Texas Oil and Gas plc ('Texas Oil and Gas' or 'the Company')



Results for the 12 months ended 31 March 2004





Texas Oil and Gas announces that it has today posted its Annual Report and
Accounts and Notice of AGM to its shareholders. The Chairman's statement, review
of operations and summary financial information are set out below.



The Annual General Meeting of the Company will be held in the Beauchamp Room of
Grange City Hotel, 8-10 Coopers Row, London EC3N 2BD on 22 November 2004 at
11.00 a.m.



Copies of the Annual Report and Accounts are available from the Company's head
office.



9th Floor

St Alphage House

2 Fore St, London EC2Y 5DA



Contact: Andrew Glendinning, Finance Director or Bianca Speedie

Tel: 0207 448 9752

Fax : 0207 448 9753



CHAIRMAN'S STATEMENT AND REVIEW OF OPERATIONS



Turnover for the year was 359,438 (2003 286,989) and there was a reduced loss
of 209,964 (2003 380,530).



During the year under review we completed the acquisition of 11 new wells on the
B.C.Christian lease, which were subsequently reworked and are in production
yielding significantly higher volumes than expected.



These accounts, however, do not reflect the significant acquisition of further
wells in the East Texas Oilfield, details of which were contained in the
circular to shareholders dated 29 June 2004, or the recent sharp rise in the oil
price.



The Annual General Meeting will be held on 22 November 2004 and the Notice of
this meeting is sent out with these Accounts.



Our wells



At the beginning of the financial year we had an interest in 86 wells (31 wells
with a 100% working interest and 55 wells with a 50% working interest) with a
further 11 wells being added during the year taking us to a total of 97 wells
(31 wells with a 100% working interest and 66 wells with a 50% working
interest).



Following completion, post year end, of the acquisitions approved by
shareholders on 22 July 2004, the Company owns interests in a total of 201 wells
in the East Texas Oilfield. Of those the company has a 100% working interest in
96 wells and a 50% working interest in 105 wells.



M-C Production and Drilling, our operating partner, owns the remaining 50%
working interest in the 105 wells, and the Company now has an interest in all of
M-C Production and Drilling's operated wells.



Royalties payable are a consistent 20% across the board.



Our production and sales



The successful completion of the BC Christian wells during the year helped to
contribute to a 23% increase in production. Sales for the year to 31 March 2004
were 24,845 barrels, which compares with sales for the year to 31st March 2003
of 20,204 barrels. Of the 201 wells owned at 31 July 2004, 61 wells were in
production, of which 11 were 100% owned and 50 were 50% owned.



We commenced our workover programme in August 2004 to bring the new wells back
into production at a projected rate of 8 wells per month. The recent rise in the
oil price has been well documented and we will benefit from this in the current
financial year even more as our production levels rise. We continue to sell our
oil to Sunoco under the terms of a longstanding agreement and receive a premium
of U.S $2.60 per barrel over the posted prices.



Our reserves



Following completion of the recent acquisitions the independent reserve reports
prepared by Keith Long in June 2004 indicate that the total Proved Reserves
amounted to 8,232,993 barrels with a net present value of $39,813,973 (assuming
an oil price of $30 per barrel). This equates to approximately 30 pence per
share.



At 31 March 2003 the company owned a 50% interest in 55 wells on 15 leases and a
100% interest in 31 wells on 9 leases. At that time these leases were estimated
to contain 2,766,325 barrels of oil and 825,416 mcf of gas with an estimated
future value of $12,622,109.



During the year these wells produced a total of 44,991 barrels of oil (24,845
barrels net to TXO before royalties) and a 50% interest in a further 11 wells
were purchased and reworked.



At 31 March 2004 the company owned a 50% interest in 66 wells on 15 leases and a
100% interest in 31 wells on 9 leases. These leases have been estimated to
contain 3,480,841 barrels of oil and 537,829 mcf of gas with an estimated future
value of $19,042,277.



The reserves were valued by Keith A. Long an independent petroleum consultant in
June 2003 and June 2004.



The valuation in June 2003 used an oil price of $24.50 per barrel and a gas
price of $3.50 per mcf.



The valuation in June 2004 used an oil price of $30.00 per barrel and a gas
price of $5.00 per mcf.



Share capital



At 31st August 2004 our issued shares increased to 73,297,673 ordinary shares of
5 pence. Included in this were 11,420,000 shares issued during the financial
year upon the exercise of warrants (a take up of 98 %) and 14,100,000 new shares
issued in July which have been used for the acquisition of new wells and to
finance the workover programme.



Our workover programme



From the recent placing and ongoing cash flow we believe we have sufficient
funds to complete the workover programme which will bring all the wells in which
we now have an interest into production.



We are expanding our interests in the proven East Texas Oilfield and will
continue to do so as opportunities arise. Our close association with M-C
Production and Drilling ensures that all such opportunities are seen and
evaluated by us at an early stage. Today we are one of the major independent
operators in that field.



I hope this review indicates the strength of our current situation and the
confidence of your Board going forward into 2005.



Since the last Annual General Meeting there have been no changes in the members
of the Board and I thank my colleagues for their continuing support, advice and
wisdom.



Robin Baum

Chairman




GROUP PROFIT AND LOSS ACCOUNT





For the year ended 31 March 2004


2004 2003






Turnover 359,438 286,989


Operating costs (241,957) (206,812)

Gross profit 117,481 80,177


Administrative expenses (281,073) (355,097)

Operating loss (163,592) (274,920)

Interest receivable 2,719 829
Interest payable (49,091) (106,439)

Loss on ordinary activities before taxation (209,964) (380,530)

Taxation on ordinary activities - -

Loss for the financial year (209,964) (380,530)




Loss per share (pence) (0.43) (0.98)




All amounts derive wholly from continuing activities.


GROUP BALANCE SHEET



As at 31 March 2004






2004 2003



Fixed assets
Intangible fixed asset - negative goodwill (3,200,746) (3,713,243)
Tangible fixed assets 6,036,112 6,630,423
2,835,366 2,917,180
Current assets
Debtors 176,350 10,756
Cash and deposits 319,819 33,780
496,169 44,536
Creditors: Amounts falling due within one year (171,042) (277,718)

Net current assets/(liabilities) 325,127 (233,182)

Total assets less current liabilities 3,160,493 2,683,998

Creditors: Amounts falling due after more than one (114,800) (340,089)
year

Net assets 3,045,693 2,343,909

Capital and reserves
Called up share capital 2,957,833 2,079,800
Share premium account 2,022,712 1,613,675
Profit and loss account (1,934,852) (1,349,566)

Total equity shareholders' funds 3,045,693 2,343,909










This information is provided by RNS
The company news service from the London Stock Exchange





This company appears to be undervalued, all IMHO fo course. Any other opinions?

Regards

PTH

nearly 2 monthes no news,how many bopd,any one knows,only have some knowledgeof no.of wells in production.

From my forraging through their web site, it seems that their annual production is circa 24000 Bo ( 65 bpd ) With revamping of older disused wells this will increase. I read on another site that the average production on these sites is 5 bopd. Check www.texasoilandgasplc.com

Thanks solipa,still a TXO holder at 17 slid down since i bought.

Thanks solipa,still a TXO holder at 17 slid down since i bought.

Thinking of buying in for a fairly rapid (6 months) doubling in price. Have emailed FD for news of when March 2005 accounts to be published. Recommended by Tom Bulford in May RHPSG after meeting with Mike Chandler - seems very positive about low risk prospects for making shut in wells economic at $30-50 per barrell. At $60 should start to see some action.

My guess is these shares are below the parapet of most investors currently. Anyone know who holds these in volume?

Looks like we may have hit a bottom, but we could drift further back to the 11-12p suport level of 2003. I'd love an RNS with an update on production/proftability.

sd

Anyone still in TXO ?
I'm thinking of buying some this week.... Finals are due in Aug. should be some potential for the SP to rise ?

Anyone still in TXO ?
I'm thinking of buying some this week.... Finals are due in Aug. should be some potential for the SP to rise ?

Watching them closely since RHPS recommended them - like the proposition, simple easily understood business. Get an old well with 40% of its contents removed under natural pressure, install a submersible pump and pump out another 20-40% into a $60 per barrel oil price. Nothing fancy, just profitable - and he has a couple of hundred or so of them.

sd

BTW - I got a reply to my enquiry whiuch I forgot to post. Here it is.

TXO will be issuing their year end results towards the end of this month, which will be followed by the publication of their annual report.

Kind regards,
Yvonne


Yvonne Bate
Aquila Financial Limited
90 Long Acre
Covent Garden
London
WC2E 9RZ

Big question - buy now on spec - or wait for results and risk missing the first jump in SP??

Any suggestions?

sd

stockdog.... thank you for the information about the results timing - likewise I have been watching them closely as well since RHPS recommended them -
I'm not going to wait..will buy in next couple of days... SP is near the bottom of it's trading range so downside ought to be minimal... however,,, when i go into a share it normally goes down fo a variety of reasons I hadn't reckoned on... so ... in for a penny in for pound as they say !

I got a dummy trade quote of 15.19p this morning - I think that's as good as it will get, although it would be aesthetically pleasing to get under 15p.



Forget all that - just checked the price and bought at 14.7p!

sd

If TXO are posting their end of year results soon, and the share price at this stage is at its lowest, I feel that it may be a fair indication that the results may not be that great. What do you think?

They will not be brilliant for last year, since they have only started to bring their newest acquisitions into commission late in last trading year. But the trading update for the first few months of this year should be highly encouraging.

I am keeping to a tight stop loss on these in case you are right.

sd

Well, I'm in ! had to pay .155p... as always, the offer ticked up as I made my mind up to buy in ... this is normal for me and the stocks I go in for...Also, another warning.!!!!.. the shares i buy that are tipped to double..... usually loose 50% of their value in the first few weeks/months and then do nothing ! don't know why I bother most of the time...
Let's see if it's different with this one ! :)

Thanks Skyhigh for that encouraging commentary - would you mind if I made my profit before you bought in and jinxed them next time please!

This is a bit of a speculative one for me - I like the story and, at $50-60 a barrell, makes good money. But can't read the market in these shares which is very thin most of the time as to timing. If we do fall through the recent 14p support on results then we could go back down to 11.5p, but I set my hopes on a bog standard expected result for last year and healthy forward looking prospects for the current year which may well lift the SP back up through the 200dma to the 17-20p trading range where it may mark time until the half year trading update at end of September before moving higher towards double its current price within 12 months from now. Any intervening good news will accelerate this process.

Anyway, that's my game plan. My actions will be governed by the deviation of reality from it.

BTW don't fret about paying 15.5p - the extra .5p is irrelevant to the broad success or failure of your investment. Enjoy the ride.

sd

What's happening today?

Spread widened to 18%! bid stays the same at 14.5p, offer goes up to 17.5p - don't MMs want to sell whilst we wait for results in next few days (end July I was told by both the company and their PR co - that's today, but I don't see it yet - probably Mon or Tue)?

Any ideas?

sd

Can't be bad... bid has now moved up as well ! looking good since i went in last week.... hoping for big leap in SP on results release... :) also oil socks strong today...

nice end to the week on a strong note, ready fior action next week on results, I hope. Chart looking perky too.

stockdog,

well i think id like to see the downtrend pierced before any purchase!!!

on the watchlist for now