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.

restock on powder for christmas!

Yes, am sure they are doing what they said they would. They are playing the long game here - they said as much at the AGM in the summer. At least we are not being subject to rumour and leak with this co. GC said he would release facts when they are known, and when they are allowed to under the rules. Fair enough by me.

Is something happening today, fair amount of transactions?

nothing good!

Maybe just the friendless AIM market and the sinking oil price. Given the various countries which need an oil price north of $75 a manipulated recovery to around that level looks a reasonable prospect once the end of this downturn looks to be on the horizon.
Cynic never has a good word for any oil stocks that I know about - regrettably the feeble management of many of the AIM oilers have a habit of proving him right.
I still believe that the underlying potential of Amerisur is there and that once this sector even approaches coming back into fashion, this stock has better than the average chance of staging a good recovery.

Sharesure,in for a penny and all that,i topped up this am,and average now at 4.75.

try getting it right Sharesure ..... in their time, i have been a fan of TLW, PMO, BUR and PFC (though this one is not strictly an oilie) and currently hold IEC, HAWK and EO ..... in fact, you are clearly badly wrong in your assertion and quite probably with throwing money at AMER

as I said as far as I know... but then I am not a regular follower of your comments. If it doesn't risk you being sued I am sure that many would be interested in what you consider to be so wrong with Amer - is it the management, the assets, the area of exploration or what else????

AMER have threatened solid news for far far too long, and come up with zilch! ..... my gut feeling is therefore that i shall certainly not live long enough to see any, should it even materialise ..... i also readily admit that i allowed greed to take hold a good time back and suffered the consequences both here and with GOO .... in both instances i eventually bit the bullet

Well that's a relief that it is only a case of being bored with waiting; aren't we all? The fact that Colombia and Paraguay remain largely unexploited as far as their hydrocarbons are concerned is probably explained by the snail's pace that progress seems to take. China has been the same but has produced some stunning returns (50 baggers) for those that waited and weathered the dips in sp along the way. Doubt now that this will ever be quite as dramatic but 10 or 20 bagger must be a possibility from the current sp - but in what timescale I wouldn't want to speculate a view. I'm prepared to wait another year... if that is necessary.

and many if not most who dived into china have ended up with broken cups and saucers and floods of tears before bedtime!

Well, not me. Just a shame that I used it to get in here at between 3p -6p. It looked a good decision for all of a few months!

This is still a very good punt. Someone was forced out today. The market is not a kind place presently.
There is good news to come; lots of it.
They have production figures to reveal for Alea, and they have a JV partner in Fenix. They may have more than one suitor.
"El dinero grande en la tabla y la abundancia engrasan subterreamente."

all this good news is guaranteed of course and not just wishful thinking

Time will tell.

No one wanted to buy these @2.09 yesterday,and now paying 2.50!

FSA Fines Two Private Investors
MoneyAM


The Financial Services Authority has fined Stewart McKegg and Brian Valentine Taylor for market abuse.

Mr McKegg was fined 14,411.25 and Mr Taylor was fined 4,642.50.

In both cases this was the disgorgement of profits made on transactions where they had inside information. If it were not for their financial circumstances both would have been fined an additional 20,000.

Mr McKegg and Mr Taylor were private investors in Amerisur Resources (Amerisur, then known as Chaco Resources ). They were individually contacted by Amerisurs broker on 23 May 2007 to inform them of a placing of Amerisur shares to be announced the following day.

This was at a substantial discount to the market price. During the telephone calls they were informed that this was inside information and confidential.

Both committed market abuse by selling some or all of their existing shareholding prior to the public announcement of the placement.

They both then rebuilt their position in Amerisur stock by subscribing for discounted shares in the placing.

Tracey McDermott, head of wholesale in the FSAs enforcement division, said:Mr Taylor and Mr McKegg were given privileged access to information about the placing because they already held shares in the company.

"They took advantage of that information by selling existing shares, despite knowing that they must not do so. They made a profit from other, unwitting, shareholders who did not have that information.

Retail investors who are given inside information must observe, like any other market participant, the responsibilities this information brings.

1.4 million buy,and the 2.12 are also buys,interims due soon,i hope we have good news soon.

We've certainly had a long wait.

blackdown,indeed we have,i topped up this am @2.12.