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.

Tfc

It was debated on another board but general consensus was it was filled over the last week when price rose from 14.5 to 17p.
Obviously reason that last couple of days 500k was stuck on the offer to stop price running too high.
See the pi's once again have been stitched up in favour of the big inst's, as you would say c'est la vie!!!!!!!

Another 2 m buy today

TFC - yes, I saw it and took the same view as Nasdaq.
For a variety of reasons, I'm more relaxed about news updates than previously.
One of them was reminding myself about how pessimistic everyone was this time last year when the sp was sub 3p. I now tend to concentrate on the view six to 12 months from now - and the daily fluctuations seem much less important.

... er, forget that. I'm beginning to feel hugely irritated again.
While accepting that the medium- to long-term view is good, I hate to see the sp being punished because of news management.

BWD-absolutely spot on-this need not be happening if they told us what is happening now. Not everything is price sensitive. Just give us an update and from that we will make our own judgements.

In my view we are paying the price of having a chairman who is quite happy to see this drift whilst the remainder of the clean up operation is completed, even though it is pretty certain he would be able to announce the deep level production now. He would do well to read what happened to Photo-me - although in that case it was manipulation for the suppression of bad news.
Interesting to see if another chunk of shares are bought at these levels as institutions are given time to fill their requirements at the expense of bored PI's who sell up. I don't think GC cares about private PI's one jot - time he went in my opinion, and I am not alone in that thought.

How would we get him replaced? I assume some of the big-hitters with voting rights could apply some pressure - but if they're the ones benefitting from the current scenario then probably not.
Surely there are others who have a say on what news should be announced and when? Don't RBCCM have any influence in this respect?

GC still smarting from having to pay more for his 3m options, sod the pi's.
2517

And so through goes another big chunk of shares - what a surprise! Re getting a new chairman - he and his friends have nothing like the voting power they need to defeat the blocks held by those who may be reckoned to be in the anti lobby. The AGM might prove interesting if he doesn't show a bit more respect for the very folk that he is meant to answer to.

SS there is no news for a reason-pretty obvious. However the reason must in their eyes carry an awful lot of confidence in not coming to market.Agree the sp will drift 7 days down now out of 8 and we are all getting a little bit p"""""d off with it.

BUT-I am still of the opinion that when it comes we will see 20p+

I have to say it would be foolish to have GC leave the company.

Y,

I agree. Can't see what benefit there would be to PIs or other investors. He isn't going to anyway I suspect.

This was posted by The Basher on the 3is thread. I am sure he won't mind me copying it here. It's an email repsonse from the FD.

As soon as we have any information to disclose we will of course disclose it to the market. A lack of RNS's does not necessarily mean a lack of activity or progress but rather a reflection that the work being undertaken is long and painstaking and has not yet come to fruition. As you are aware our agm is scheduled for the 4th August and our accounts will be circulated in early July together with the release of the prelims. These, as usual, will include and update of the years activities by the chairman and CEO.

Regards

Well our chairman seems to be quite happy to ring up some shareholders to reassure them that Fenix is going very well but each time he is asked to put out an RNS he claims that he cannot say anything until the ANH has sanctioned it. That is becoming a rather tired excuse in my view when you watch large shareholdings being amassed on the cheap from existing and very patient PI's who are probably less well informed. I think that smells. Others may be more forgiving - I cannot see why they should be.

SS,

I wasn't aware that some shareholders were being given news. He hasn't called me, but that's probably because he doesn't have my number.

Whilst having of late kept my powder dry reg the suitability and effectiveness of our rather colourful chairman -GC- l believe the criticisms SS voices are both valid and most relavent reg the mans attitude towards the smaller PI and that grey area called price sensitive informations . l agree with SS sentiments 100% - all of which which i shall be airing in no uncertain and rauchous terms at forthcoming AGM . My own concerns regard not only his preoccupation with his somewhat hectic social calander but also his numerous other business interests including those via Westleigh investments.- an obscure entity based in Cardiff {which incidentally begs the question as to whether AMER AGM location was primarily selected based on this very variable, and fully in the knowledge that many of the very small PI s with relatively small holdings are most unlikely to make a trek to a place like bloody Cardiff } But levity aside mon amis ; My point being; Now recently GC through Westleigh purchased 3.62 million cmn stock at 7.5p p/s in Mercury recycling ( constituting approx 10% of companies issued stk) which is both rather bloody odd, and rather effing clever, considering the s/p of Mercury was 8.5p before Westleigh made their purchase and has NEVER been as low as Westleighs buying price - as stated lt was 8.5p immediately prior to Westleigh making their purchase and now trades at a mid of 11p with respective bid /offer of 10p / 12p ......a 30% return in less than 3 weeks .........ca pue..!! ...................Please dont get me wrong here as i happen to believe we at AMER with JW as CEO are on a are on a big winner here...Even Hugo next door admits Columbia is the new frontier play in oil world ..............................................................................................................with P A T i E N C E being the key..............juste follow the big money and realise its implications .......stop watching the manipulated daily trading and enjoy the sun and summer .....and dont be suckered out of your shares on a whim ........

Depends Blackdown on how big a shareholder you are ..... like holding say 2% of the shares.

a,

I wish.

TFC, thanks, there are still some who believe in our chairman but I sense a growing number who wonder at his value to us. In my view John Wardle is the key to this being the success that I am certain it will be. There are plenty of folk who could do what GC is doing and some of those might even have more knowledge of oil which could be a help. One shareholder supporter of GC says that he believes I am being unfair in not accepting that the ANH has a right to approve ALL information that is released. suspect that it could also be that for their own reasons someone is wishing to pile up the news to make a bigger impact. Interims within 10 days should prove interesting reading.

Tfc/ss

I suspect if what you are saying is the case then this would not be happening unless good news was imminent otherwise why go through all the potential hassle at the upcoming agm.
If all these sneaky buys are slipping through manipulated they wouldn't be doing it if bad news was on the horizon.
I look forward to seeing tfc giving gc a hard time at the agm if gc doesn't come up with the goods prior to the meeting but will tfc be so hard if the sp is 20p+ which IMO is where it should be if what is in phenix is announced.