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.

I wonder how many times you have posted on here before yuff?

More like duff this share the past 2 mnths. Hit 17p, overbought and now down to 13p. It's quite simple really. As I say, it has been a great short of a very overbought stock. Any chartist will tell you that!

And now it looks to be over sold; so what, although it's been a welcome opportunity for getting a few more

Interesting piece in the Times today re AMER.

Rumour of the day

Amerisur Resources, which is drilling for oil and gas in Colombia, fell p to 14p amid rumours of a dry well. However, these are thought to be wide of the mark. The company pointed out that testing of its Iguasa-1 well is not due to start until this week And early signs, Amerisur insisted, were very promising.

Rex has topped up then!!

Yes, ML. Been doing so quietly since Christmas, it would appear. Around 7.5m tucked away while everyone else gets bored or panics and sells up. Classic.

I think I will buy The Times today, copy that snippet, enlarge it, frame it and hang it on the wall. It will be a reminder of how things work in this game.

Would anyone like to estimate what confirmed reserves of say 120mb - 140mb would be worth to Amerisur. That is a range that seems to be expected by some from Fenix if the testing goes as expected.

The RH stake is reassuring - 9% + is a good platform.

About 40p a share!

Thanks M/L, That's a good start..... and then there are the rest of the prospects and also Pararguay. Just hope that the market is paying for reserves. Surprising that this little stock doesn't acheive more of a following.

Sounds good chaps. I wonder how long will it take for them to establish that figure though.
As for Rex H, I have no doubt that he will take full advantage in the meantime, continuing to buy at the discounted price while the rest of the market dithers. Certainly before any news about the signifance of Fenix is officially announced.

dealerdear - 01 Feb 2010 15:48 - 1736 of 1745
I wonder how many times you have posted on here before yuff?

And your point is dd????????

RH is astute-check out his portfolio-buys low and hangs on. Most of his purchases in other stocks have done very very well.
I assume he has investment gurus working for him and advising him accordingly. How many more RH's are there looking in from the outside waiting to buy?

Perhaps DD is one of them?

Good to see confirmation today that the workover rig is in place at Fenix with a timetable for testing - plus second well lined up for drill and test straight afterwards. They want to get on with the job here.

Should hear more about Plat and Paraguay before the end of Feb as well.

Tis like a love-in on here!

I think, if I remember correctly my target was 7p or therabouts.

Nothing has happened to change my view.

Who cares

You will if it goes there!!

It won't

Sudden turn around.
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