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.

Sharesure,
Remember how this used to go up just on rumour of new acerage and licenses,
Now there is a supposedly roumer that they are about to announce a major oil find,and the SP is finding it difficult to keep its 7p level,I have noticed over recent weeks the very large trades at mid price so one is not able to see if people are buying or selling!.

cape - we are in a very different market now though, where rumours dont really count for anything. This stock is very much news driven, the market has not reacted great to the past news, it is about time that it takes notice of whatever they announce next.

They are awaiting a 'Production licence' from ANH. You don't need one if you have no oil to pump!

What's all the fuss about. Waiting a few weeks for news isn't such a big deal.

UPONTHEDOWN,guess you need one if you think you might have oil too?,i was referring to the news about rumour og big oil discovery by the way,not the news we already have.

They appealed to the oil minister at the Cartagena conference. He is understood to be moving it along. Bureaucracy in Colombia takes forever; we know that of old.
I am fed up with the delay but they will tell us as soon as they know.
100% we get something before end of Q1.

UOTD,well at least we have had a little discussion on here which makes a change,lets hope we can celebrate soon.

I think we have had the "News" it just wasnt RNS'd, they just
leaked it out to several news agencies!

I must admit, why do two large multi nationals that have
had an interest in Alea for 30 yrs or more now all of a sudden want to dispose of it, when Oil is $105 a barrel. OK I understand Repsol, they want out of large parts of S. America, but why Ecopetrol??? If the upper sands are productive then surely Alea must have 100mbo, or does it??? Certainly the thought of another placing for us, we will need all of it to got alone.
Is it the terrorist thing, that has come to a head, I doubt it, but there
must be a reason, WHAT is it???

Questions questions questions, NO answers!!!

M

capetown,

I saw the headline about a large oil discovery, I think that is old news and it refers to the discovery statement in the last RNS where they stated 450 bopd and 430 bopd at Plat 2 and were to lodge an announcement of an oil discovery with the ANH.

Something like that anyway

DYOR, IMHO.

Thanks stewart3250
For anyone who has not seen it,there is a write up on, upstreamonline.com.

Are people in the know begining to bail out,i wonder,all SELLS today.

More likely to be a private punter who can't afford to wait any longer.

Blackdown,drinks on me if you are right!

Was that a 100,000,000 sell

It looks like it,and if so confirms my worries of yesterday as selling in LARGE quantities seems to be the momentum,worried but hopefull,no point in my selling now.
Good luck to all.

Not showing on here but has been deleted on another monitor.

100 million sold@ 6.5p?

So who held 12% of AMER ?
2517

May have been holding the sp back for some time...

Perhaps more interesting to learn the name of the significant new shareholder?