Amerisur Resources is exploring for oil and gas in South America, currently in Colombia and later it plans to exploit its licences in Paraguay. It has a new Board of Directors and following a recent Placing at 6p (250m shares) sufficient cash to see through its current drilling plans and carry out some further corporate asset improvement opportunities.

Valuation of Amerisur Resources : 'Rule of Thumb' based on c.800m shares and using 10% DCF on oil at $70/barrel is 0.75p on the sp for every 1m barrels (CHP's share) that is proved in the ground.

Amerisur (formerly Chaco Resources) now has two exploration blocks in Colombia which it is currently evaluating and preparing to drill, one of these in the last quarter of 2007. It has also applied for further blocks in Colombia which are also believed to offer near term production. It also has three substantial areas in Paraguay and is awaiting news on a fourth. The next six months (May-November 2008) should see a steady news flow as it establishes the companys transformation from being an exploration company to becoming a significant oil production company. Set out below are some of the milestones which should produce announcements and have a positive effect on the share price. Any potential reserves are quoted in recoverable oil assets.



Platinillo, Colombia :

100% interest in a field currently assessed at holding 38.1m barrels of light sweet crude oil. Previously this a well flowed at 533 b/d before it was capped.Modern extraction methods may achieve up to double this output/well. Drilling completed for assessment and details of reserve figures and resumption of production daily figures awaited at Dec.2009. (Some guessestimates suggest the field might contain as much as 70m-100m barrels.)

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Tigra/Fenix block

100%% Further 3D seismic is completed; previous drilling has resulted in 30,000 barrels of oil from this block. Other blocks nearby in the Magdalena basin have also produced well. Drilled 11/2009; optimistic RNS (17 leads to follow)but reserve figures awaited

RNS :Expect further news on this block imminently and maybe a JV or other arrangement to speed up the timescale to production



Additional blocks to be announced

New local management team, in particular the CEO, is reputed to have some excellent contacts which will bring some high quality blocks to Amerisur in the coming months.

Curupayty Block, Paraguay :

1.39m hectares in north, close to Bolivia. Two wells previously drilled and both showed oil.

RNS : Expect JV with larger producer.



San Pedro Block, Paraguay :

1m hectares in south-east. Previous drilling showed oil.

RNS : Expect JV with larger producer.



Parana Basin, Paraguay :

Canindeyu block covering 1,789,000 hectares. Bordering Brazil. Oil field on Brazilian side already drilled. Chaco also expect to find oil and, at a deeper level, considerable quantities of gas. Chaco has obtained valuable historic seismic for re-evaluation.

RNS : Presidential Decree received 2/11/06.. Petrobras has announced its intention to increase substantially its effort to exploit Paraguay's hydrocarbons and has announced a farm-in on CDS's adjacent block. Possibility that they or another major will do likewise with Amerisur



Corporate Activity : The new Chairman is believed to have been brought on board to prove some or all of the existing Colombian assets and get these oil producing, arrange a JV on the Paraguayan assets before negotiating a sale of the company as consolidation of explorers in the region continues. An exit sp north of 1.00 over the next 12 months might be a reasonable target provided the drilling programme lives up to expectations, the price of oil remains at/above current levels and an approach is made for the company.

from 6/7p?????????????
you are a very very very brave man to predict that ...... or you are kidding yourself!

Why Cynic?,its gone from 6 to 17 in the past,all we need is some good news.

Wait and see; on Platinillo an improved % and a full to spill point drilling (not too much to hope for, given the history of the area) should be more than sufficient. If the upper sands are also oil bearing then that will be just icing on the cake.

and the reason it went from 17 to 6 is because of the lack of same!

The very same applies Cynic if we get good news it will go back up.

Cynic,

Being analytical and objective is being positive and intyeresting. Being contrarian for the sake of it is becoming just plain boring for everyone - including yourself I should think.

1 Million T trades showing as a buy,lets hope its a good sign.

For those who could not attend the AGM, it is worth having a look at the company's updated website www.amerisurresources.com
The chairman's report has the key facts, figures, maps, drilling schedule etc. Good for a quick reference for where we are headed.
I note we have drifted down a bit but there are still plenty of large buys coming through. I guess we may find out who took an interest in the placing the tomorrow, assuming they reached the appropriate percentage.

16 million @6.38L Trade,does this mwan we are due an rns?

The lack of news is surprising given the AGM comments about drilling in August, new areas in both Colombia and Paraguay, plus negotiations for an increased share of Platinillo. Still think that the new Board could say much more without seeming to be pushing the attributes of Amerisur, but they do not seem that fussed that some are getting bored and selling up; however seems an odd time to do that if shares have been held through the last 4 months.

Very odd indeed, as you say, you would have thought that after the turbulent past few months with the dusters being announced, that the new board would be trying to instill some confidence in its investors by at least keeping everyone up to date with the current goings on. It doesnt always need to be significant news, but updates are not a lot to ask for really. Only my opinion

My guess is that the management team is progressing something fairly significant and is keeping things under wraps for the moment.

I agree that they are likely to be progressing in the background and that they would be highly likely to leave any progress report until they can spring an announcement that they have actually completed a particular action. Meanwhile I would still like to see a confirmation about whether they managed to complete on getting some or all of Repsol's Platinillo share.

S/S
At least some upward movement.

Sold out at a loss

explosive, odd time to sell unless you had to; I would accept that if 3 months from now the sp hasn't moved upwards then we may as well all pack our bags on this one but there must be a very high possibility that that will not be necessary.

My sympathies, explosive. It has been a long wait; too long for many. I am looking at this as a new company: it has new mgt team and a completely different attitude to the old CHP guard. It has inherited the best prospect though - the one which we always hoped would be targeted first. We could do with a positive update soon - and if things are going according to plan I would anticipate an escape from 6p doldrums fairly quickly.

2 x 600k buys lets hope they keep coming.

Didn't say I wouldn't be back though! I see this downward trend continuing so a cut me losses exercise... Also have been keen to invest elsewhere so required funding.

plus que c'a change (from Chaco to Amerisur) le plus que n'a change pas