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.

RBC told me that the report that their firm will put out will only be available to institutions because that is only who they deal with - no matter if you are in the market for a significant block of shares depending upon what it says. Confirms the view that this Board do not really value having private shareholders.
As for when that report will be issued the dealing part of RBC say that they do not know in advance as it is prepared independently of them. Guess one shouldn't be cynical but would be surprised if it is not fairly imminent.

Thanks SS. The RBC note will have moths on it at this rate.
I got the impression from someone quite senior in RBC that AMER would make the report public (as they did with Astaire's). Maybe that's changed since I made contact last month.

life is a paradox; so l am told. And the market is no different. So be the way of things. They say never get too sentimental about a stock. Yet surely it is pure sentiment that feeds the inertia/ momentum that sends a stock into orbit . l am extremely bullish about this stock ;of that i make no secret and after months of watching its individual trading idiosyncracies l am more bullish than ever; but with hindsight it was perhaps an error in judgement to have made known the size of my holding as it leaves anything i might wish to say open to accusations of ramping. lncidentally PTH ........qui s'excuse s'accuse ...{reg post 2379 ) l have no sinister agenda as you farcically suggest when you state i will dissappear altogether if AMER bombs or return attired in glory claiming credit if it should it hit the jackpot FFS .l dont need a free b/b to bolster my ego as you seem to think. l apologise if i gave you that impression; but l stand or fall on my own trading decisions.- tout a' fait !! Furthermore BHUNT posting 2381 l have sold NON of my holding as you have erroneously stated -au contraire - l have added. Where did you dream that nonsense ? Reg. My recent absence to which PTH catalogues a list of bizzarre possibilities and to which i resent in the strongest terms.Am i your lackey to be at your beck and call ........ l have a fu434g life you know.and in life the elements conspire on occassion in an attempt to put your ase in the hot seat .Mine was in a preliminary disciplinary hearing before my regulator which was "struck out" but not without causing a great amount of sleepless nights, and intrusive outrageous intrusive questioning to which i am not accustomed and more importantly could have led to criminal proceedings .-somehow that diminishes ones interest in stock trading .................................. and that is all i am prepared to say reg.the utter tiresome twaddle you twitter on about ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,. SS . l concur 100%-. GC is running this company like it was his private concern .His attitude reminds me of the many autocratic pre IPO company managing directors with whom l have had the fortune/ misfortune to have to negotiate prior to their admission to the market .But can we condemn him altogether? He is popular in a number of circles and successfully brings in investment , and is not scared to invest himself But i get your point .He can manage to smile and prattle on for a couple of hours at an AGM - but once outside that environment he is very reluctant to even locate let alone question. And that is unfortunately a very big negative for a chairman of what is an emerging public company with a huge s/ register which he undoubtadly abhors..As for RBC. You have a better chance of giving Mike Tyson a good hiding than getting anything out of them . Merchant bankers talk in a jargon that says a lot but means so little / REG AMER - lf Schlumberger have corrected the diverse complicated situ at lggy in remedying and preventing propogation of the cracks in the host rock ( and this will only be known when production itself commences ) and succeeded in isolating and rerouting basins of gas the said production will be cranked up nice and slowly to optimum levels of tolerance - it could be huge - shesssh- over two levels totalling over 350 feet of hydrocarbon saturation with drill stem tests showing light sweet crude oil on one level weighing in at 35.6 degrees -thats top dollar oil basically sayeth the RNS of Decembre 3rd 2009 .....thats a lot of oil mon amis -and an amount that would render irrelevant the sheer volume of shares in circulation and if brought to surface yield an s/p of 115 to 195p .... and thats in a single lead within the prospect - and after spending months studying the permissive geology of the prospect i STRONGLY suspect lggy will prove to be the first well of a field formation. Of that i am convinced. Totally.Seen this very pattern of trading lead to success for oil minnows so many times ..... ......you simply cant walk away from a find of that size and i would humbly suggest l think more than a couple of offset wells will be spudded here in the forecoming programme of high impact drilling . .lts a disgrace really that even to this very day most investors have no idea what is going on at lggy .l dont fully myself. lt must be one of the best kept secrets in the junior oil market yet perversely had the mkt known the worst scenario possible in that we expirienced a gas surge in the wellbore which nearly blew it into Honduras the s/p would, i admit, have been utterly decimated .With thier tardiness AMER, through lack of regulation, bought themselves the time to at least attempt to rectify matters and allowed the mkt to think what it wanted As i said earliar life is a paradox ; and here we have one staring us in the face.Everyone thought the high kilopascal mudweight was the cause of the problem, when in fact it was the cure to what could have been a disasterous blowout ...................Reg the markets - Now while l place a great deal of the blame at the door of AIM regulation, l think the board, and esp GC has totally excerbated the situation and given mms free reign to play this stock like a piano. - but accept it - thats their job !! Their job is simple- to make ,and stimulate, a market and not simply destroy it juste for the sake of it as some PI s tend to think .This recent pruning in s/p has all the hallmarks of a good old fashioned treeshake..with silly little buys adding 0.5p to offer on a number of occassions ....mms picking them up cheap now only to resell in a few months at a nice premium .They are collecting and not the reverse as dealer would have you believe. lf they thought this was a turkey it would be 8p already mms are no more than bookies at the end of the day- with a very a sharp nose for peoples fear and greed ..Furthermore, and on this point i rest my case - we are surrounded on all sides by producing fields - some producing 10,000 bpdoe- at both our Platinillo and Tigra/Fenix prospects .Literally surrounded by producers who share adjacent prospects with identical permissive geology -companies like Petrominerales whose last 4 strikes of 6,000 10,000,11,00,15,000, bpdoe respectively were all found in adjacent prospects to ours. Same story at Pacific Rubiales . Finally PTH is quite wrong . You can ONLY measure the future success of a micro oil expo/ producer by the quality of its senior geologists and their success ratio and in John Wardle we have one of the very best. As with gold prospectors it is no coincidence the cream of the oilmen dont make juste one truly great find -they have a tendancy to repeat it time and time again .Accredited for identifying three prospects for BP in Columbia ( which very recently sold for $1.9 billion) ,and later transforming Emerald energy drilling in Columbia from a company with an s/p of 2p into one that sold for $530 million to Sinopec, l would suggest this individual knows his marbles when it comes to the geology of Columbia .And with the numerous big finds in columbia recently and several components of big oil sniffing around i juste cant resist it ............ramping ? moi ?? mais non !!! :-) ............l would simply suggest to GC its safe now to come out of the bunker and come clean . now let this deliciously cruel game play itself out ,,,,,,,,,,,,

Good to have you back.

Yes Good to have you back "J"

juste about Roly ...juste about mon ami ,,,,my friend was sentanced to six months the other day for insider trading so everything feels a little hollow at the moment - mind you he always said he would get the FT front page one day but somehow i dont think he meant it in that manner ,,,,....is nice to speak to you also ,,as always ......,doyourself a favour and retain all gold stock now its broken $1275 and an even bigger favour and find a junior play on silver ,,,,,,,,vox et praeterea nihil

Tfc

Were you at the agm?
Have to say amer is a conundrum currently as iguasa should be worth more to amer than rkh's find, from the rns.
How long do you see these silly mm games continuing?

A great read TFC

apologies in the delay in replying to your posting Nas;was on a long flight home . While i do indeed have a a degree of empathy with your statement that mms are playing games with the s/p i cant help but think matters could be a lot worse; and upon scrutizing trading patterns one could form the argument that on several occassions mms have been most generous to us as i can illustrate examples of mms having lifted the b/o (esp. the bid ) on the back of selling and accorded it pip north on a single buy of 1200 .Now ask yourself - Are mms ever generous ? if your running a book why on earth would you do that ? l can think of only one sane logical rational reason ... lf share manipulation is in play, and for the sake of argument ,let us agree to assume[ for quite different reasons] there is, then the blame for the most part can only be laid at the door of AMER itself reg. its extreme reluctance to propogate informations to ALL investors and not only its instutional ,city and hi value clients .lts simply down to lack of news reg. a number of critical issues which SS has continually and succinctly catalogued on a number of occassions- and could answer this particular question much better than i ever could .....but news of Schlumbergers remedial work on lggy is absutely essential as are their respective stimulation programmes. That would be a nice start .News of our reserves on tigra/fenix and Platinillo blocks should be known .Look how the s/p shot up on the back of the poitive news of Dec. 3rd 2009 reg lggy RNS ...Declining s/p simply down to dearth of news causing the nervous to either crystalize profit or minimize losses .....Personally i believe a heck of a lot of information ( the meat ) is known to a few the real meat ..i am led to believe plat 3 or 4 is merely a matter of a workover of an old well mothballed as uneconmical when oil was $12 p/b...awww before i start a long tedious mail do you honestly believe AMER is trading at 13.25 on revenues of 250/ 500 bbloe p/d in this dog of a market. ? Do me a favour .Dont forget this stock was 2p this time last year - and if mms believed they could take it back there- they would But they know its intrinsic value down to a penny - but more importantly its potential. On every single occassion a few buy trades have appeared the mms have had this stock out of the starting blocks like a whippet.And believe me theres a very good reason for that. .....lggy2 to be spudded very soon and lsa 2 not long after ...then the long platinillo programme- couple these facts with trading pattern and the sheer volume of sizeable strikes in adjacent prospects to ours enjoyed by a plethora of recently formed oil companies drilling in Columbia fills me with a supreme feeling of optimism .....both our locations-one in the middle magdelena west of the the Santa Marta fault line in the north and Platinillo in the South are literally surrounded by a truly amazing number of successful strikes from this said army of new players.-right on our doorstep...................trouble being Nas so few people can be bothered doing their own RESEARCH and rely on brokers notes, reckies from the financial media like lC ,money weekly ,Shares mag , crazy tipster sheets,and worst of all general media fodder and quickly lose interest in a stock not given all the pizzazz of the city........mad when you consider the wealth of information in the public domain reg. our neighbors amazing success......Why should we not enjoy the same success ? ..,,,,The great irony being that personally speaking the only time a spark of negativety EVER enters my mind reg. AMER is after reading these damn BBS When will some people learn to ferkin invest and not churn their portfolios chasing the latest "in stock " .....This is not a punt to me. lts the inception of something good

Hi tfc

Thanks for the reply.
Timetable has changed for the drilling programme as per the agm presentation which is available on amer website. Isabel 2 is to be drilled, before iggy 2, end of this year and next platanillo well q1 next year followed by 9 other wells through 2011. Capex is expected at $80m for work to be done. They have $25m in bank rest from cash-flow so they need to up production pretty pronto!!!!!

From the FT today - if analysts are valuing RKH's find at $10/barrel, and then there was the recent sale of BP's assets in Colombia at $30/barrel, we have plenty to be optimistic about.

Hey tfc - good to hear from you again - and my profound apologies if I posted inaccurate info about you. I, and I guess many others assumed you had sold your holding as you had made no comment on the board for some time - which is unlike you - and the general chat at the AGM was that you had had to sell - that will teach me to listen to Gossip - so again my apologies.

Unfortunately, I have no sympathy for your friend if he was truly guilty of insider dealing - it would be better though if the powers concentrated on the big fish rather than the small fry. (Assuming of course tha your friend was indeed snmall fry)

BH- Thank you for your apology which is accepted with the same grace it is given . lt is refreshing to see that some people do have good manners in this "golden" age of barbaric cretinism .....Equal thanks to Nas for correcting my error in drilling intinary. l must need an optician pretty desperately as have the very website chart outlining drilling activity about a metre square on my pinboard .....either that or senility is creeping in ... .....gimme a break here and put it down to jetlag ;-)....................lf capex for estimated drilling prog is $80 mill and we have a banked $25 million then we can only face another placing or JWs metaphorical comment at agm reg. lggy 1 being akin to an errant child becoming a high achiever must have a grain of truth in it..What seemed wild and fanciful rumours of it being cranked up to 1000/2000 bpdoe might not be as excessive as people think for as i have stated before it certainly has the potential to dwarf lsa and alea combined . JW could hardly have given even rough fag packet estimates as that would have demanded an immediate RNS .....SS/ a penny, or a million SEO shares for your thoughts...incidentally before we used schlumberger we used weatherfords as services provider.

"j" have you gone back into exile [tax] ?

Anyway all the best

ps .... am making 20% on my recent palm oil investment [ PAL ]

TFC, any chance you can post the details of the insider dealing case? I'm always interested in these things, but I haven't read anything recently nor can I find anything on the tinternet. As the case resulted in a conviction the details will be in the public domain somewhere, merci beaucoup.

tfc
I can't rememeber who quoted the $80m figure at the agm but i think it might have been Nick Harrison and he was definitely insinuating it would come from production, one of the resolutions that was passed was also to buy back the shares!!!!
That would be nice ifit happened.

Operational update out - 550 bopd

so what does that mean for the share price

I guess you'll find out in about 17 mins monsieur Roly!

Seriously though, the increase is not fantastic but adds to the bottom line, depends if the Market views it as a disappointment or an indication of progress.