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.

SS.. l was being tongue in cheek when suggesting the strike price for options were influenced by current problems at the well / self contrition . But this does not alter the simple fact that the well was comprimised by lack of due diligence . Albeit API regs were not openly flouted ,the mud weight was inappropriate for purpose. ln saying that my Alexander book of oil/gas connections shows the damage to be minimal and while unneccessary monies will be needed to be spent to rectify the matter,l cannot see this posing a serious threat to APERs future. ...............................................................................................................One thing we are in total agreement is that Wardle is an ex baron of "Big oil "-respected by both institutions and the city itself - YOU dont work for his ex employers for so long without learning a trick or two .......and to lose him would indeed be an own goal - and to bring him to task over options would be more in the sphere of self flagulation .

TFC I like what you say and agree wholeheartedly.

TFC - they may have goofed over the mud weight - that's too technical for me! The main fact is that we are now less than 2-3 weeks away from having news on reserve figures. If their optimistic noises on those are well placed then mud densities won't much matter anyway.

In the meantime announcing a tie up on Paraguay would be welcome?

SS: Were you like me disappointed by the latest production figures? The increase in bpd reported seems to be nominal and quite disappointing on the basis that injection pumps were to be fitted to boost flow rates.

Annie,

I don't think the increase has been implemented yet. See SS's note above - three weeks to wait.

Annie, I do think that we have not been shown the real potential output from the existing drills - however,if that is so, the company no doubt knows why that is a good move at this time. A cynic might comment that now the options strike price issue has been re-addressed that would be one reason for there to be no continued need to hold back. Ther could be a number of other reasons too. Purely conjecture on my part.

SS, I am a cynic also!
No doubt in my mind that the latest RNS was watered down for a reason.
That reason is now out of the way and we can move onwards and
upwards.

22nd March 2010

Amerisur Resources Plc ("Amerisur" or the "Company")

Operations Update Isabel-1

Amerisur Resources Plc, the oil and gas producer and explorer focused on South
America, is pleased to provide the following update on operations in the Fenix
Block, Colombia.

The 8.1/2" Pilot Hole of Isabel-1 was drilled to a final depth of 1,365ft. The
hole has been logged and plugged back to allow the deviated part of the well to
be drilled directionally from higher in the pilot wellbore.

The results up to now have been encouraging and in line with the Companys
expectations. The top sand of the Esmeraldas-La Paz formation was encountered at
1,002 ft Wire Line Depth, confirming the pre-drill prognosis. An apparent net
thickness of approximately 280 ft of good quality sandstones was encountered
with strong shows of gas, oil, oil on cuttings samples and also free oil visible
on the shale shaker throughout this section. The mud weight used through this
section was 9.2 ppg.

The well is currently being directionally drilled to position the well bore in
the most advantageous position to evaluate the sands.

Final target depth is estimated at 1,850ft measured depth with an inclination of
up to approximately 56 degrees from the vertical.

Mmmmmm! Looks like posts 1965 & 1966 may not have been so cynical! Anyway, the way now seems clear for quite a busy & positive newsflow.

ok,ok ,Johnny boy.. .Lets play ball .... Now dont let me down ....S L O W and E A S Y .Now while not altogether convinced by the companys past performance i remain a great believer in actualism in that the present is a key to the past which totally underscores the accepted theory of oil formation ..namely that organic matter living in the ocean sinks to the bottom and under anoxic/euxinic conditions forms crude oil .Now while l am aware that this en vogue paradigm of oil formation has come under attack since the discovery of the buckyball{ full name - buck minsterfullerene ( the C60 molecule) by Rick Smalley of Shell in 1985, l cant yet dismiss sentiments i have held since i began oil trading and esp. in a trading environment that is still shaped by the theory of peak oil ......NOW simply imagine the global land mass before the great continents fractured and split ....Columbia and Brazil- like Venezuela- are to me extensions of the West African oilfields and theres oil here. of that i have no doubt ,,And if anyone can get it out its my man ..Dont shaft me JW-its you im investing in .......An opening gambitt ...im in @ 16.19p ... ..... { You can all laugh and scoff later ................

and 9.2 ppq mudweight showing hydrocarbon on shale shaker / ,,,,,,nice ,,,,,,slight edit lest Yuffs sensitivities be inflamed

Language TFC-glad to see you on board mon ami.

You would have thought it was the end of the world last week, the way some people were carrying on (not here). JW knows what he is doing, and minor glitches aside, he will deliver.

Agree BWD-this mornings RNS has surprised me somewhat.It reached its depth quickly and with only 9ppg-not 14 or 15. They seemed to have picked up on that point.Also and more importantly if Iguasa is done for and this is a big if-I dont believe it is-we have Isabel 1 now in place as 1. a safety net and 2. an alternative source of oil flow.

http://colombiareports.com/colombia-news/economy/8843-in-10-years-colombia-could-produce-more-oil-than-venezuela.html

l missed that Roly-but i never doubted oil was here in abundance ..Never . What i seriously doubted was the ability of AMER to bring it to market. Some of the past directors and senior tier management including that ignorant, vacillitating. feckless ex CEO were a disgrace ...ln short; Wardle has changed the rules . No room for democracy in the world of oil ..Hes the only reason this company survived . lts public face ..He got the neccassary funding ...But whats even more important is that the very business model..eg the fields Pacific Rubelias have turned from producing a few thousand bblsoe/pd into producing in excess of 100,000 bblsoe /pd, are not disimilar to the very same business model Chaco started but utterly F&&&&& up but which Wardle will exploit . Lets face it BOTH pacific and AMER are loooking in places that have already been identied as oil producing prospects And Wardle has seen it all . No novelty in all this for him ,,,,,,Juste mucho $$ ......

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Simon Griffin, chartist in Shares mag has a sell on AMER with a target price of 8.5p.
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2517, on what basis does he rate it a sell ?

Being a chartist he's quoting various retracement levels with the favourite being 61.8% drop to 8.5p. He is also saying AMER have been at these heady levels 3 times previously and then rotated downwards each time losing at least a third of it's value.----- My take is that AMER are a lot further down the road to profitability now and hopefully a significant retracement will not happen.
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