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.

Uponthedown,
Your above post is killing me!

Sorry cape. I wish I could alleviate and lessen the anxiety of waiting by giving an accurate date for the revelations.
The only recrimination I can hand out is that they look like they are not now going to adhere to their 30-day promise to reveal Plat-2 drill results.
You can't control everything I suppose however hard you try.
The Dow has had a huge increase tonight which is encouraging in that it has been said before that bouyant exchanges will result in a good rise in the sp rather than the despicable 'shorting' that permeates the market at the present time.
Another day of upbeat trading might do the trick..who knows? I don't.
I hope GC does.

UOTLD-yes waiting is the hard part of this play.

This is a PBB and I do not now or ever intend to talk about who my contacts are.

Enough said.

Fair enough Sivad and uotld.

.

Encouraging and interesting update issued today.

driver-I told you-say no more.
Price already blue.

I knew there was a reason I should own this share :>)

Long awaited news at last,
I guess the sp will stay steady untill we recieve further updates and i wonder how the market will digest the cost of the buy out.

Sivad: Well done ! I have admired your resolute discreetness in the past and you have left a few looking a bit silly this morning. Regards.

More 'flow-testing' on Alea to come. After the pump is installed! Flow rate currently is just practicable and sensible. Repsol negotiations not complete, as yet!

sivad
OK Pic removed only a bit of fun.

fair enough his/her prediction was more accurate than the rest but they announced around a month ago that news would shortly be on the way and delivered, no real suprise there.
or are you john wardle in disguise sivad?

Some bigs ones going through! come on price >

Brief mention in Daily Express market report today: "Oil and gas explorer Amerisur flowed 0.13p north to 7p after announcing deals to take full control of the Fenix exploration block in Colombia."

I can see this sliding south before next update,and i will take the chance to buy more if possible.

Thought we might get a view from Sharesure at this point.

Blackdown. I've been away. Not really much to add at the moment. 14 days of testing and maybe securing Repsol's stake in Platinillo next few weeks + an update on Paraguay and more on Fenix. Not the time to sell in my view.

6.75 ? what is going on, I thought the news was scheduled and of a reasonably good nature???

I think they want your shares. Cheap at this price in my view - although still some risk.