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.

heading in the right direction, (well for today at least)...:)

I am rattling on the hermetically sealed windows of his elevated carriage.
A difficult proposition given my lowly mud-spattered situation, I can tell you..
He has instructed the footman to tell the chap up top to get the coach a move-on, as far as I can determine from his gestures. Either that or he's indicating two weeks, or it is two wells?.
I am just a smidgin worried about the chap riding shotgun with the cocked blunderbuss but he does look a benign sort.

I believe we are about to get out of the rut and accelerate away onto newly tarmac'd road!

As Churchill would have put it; "Now this is not the end. It is not even the beginning of the end. but it is, perhaps, the end of the beginning."

M

2 days of good gains. making up some lost ground.

so it's not time to face the final curtain....(just yet anyhow...)

Just another 1 pence and then i break even.

lucky you, mine's 11p.....still some way to go for me

I`ll see your 11p and raise you another 2.6p

Stright flush!!!

Bit surprising nobody said this got a mention in the Express on Friday. It said it had gone up 0.63 to 6p (on Thurs) because brokers were expecting an update with positive drilling news.

Good news when it happens.

unless that was them pricing it in of course

Wish i could find out if the 6p trades are buys or sells,it may give some indication of sentiment,there have been several large buys at mid price of late.

Anni. Perhaps people were distracted by Friday's the sea of red! For the record though: "South American oil and gas explorer Amerisur Resources, formerly Chaco Resources, rose 0.63p to 6p as traders reckoned a positive drilling update from Colombia was in the pipeline."

i tend not to read the express, but the more coverage the better

surely better to have oil in the pipeline - lol!

Well one would tend to reap the other cynic

didn't know they carried sand and dust in pipelines! ...... not sure there would be much call by an end-user anyway - lol!

promise i'm not gloating, for there is nothing to gloat about in these markets unless you have a load of shorts ....... a wry comment merely relating back to something written a few days back ...... of the two total crap companies, at least GOO is standing up better than AMER - or at least not falling over

post removed by poster.
Just amazed by the lack of thought in the ramblings of some posters.