Share Tip – Sound Oil

Make some black gold noise…

On their journey to mid-cap status, Sound Oil PLC (LSE:SOU.L) are an AIM listed small cap with a pure Italian play of operations.  On the discussion forums of the ii and lse, investors are currently awaiting news of rig arrival and impending production post June/July at Nervesa.

Earlier this month first gas was delivered at Rapagnano with a production rate of 14,600m cubic metres daily. However analyst Fox Davies are expressing caution with regards to Rapagnanos concessional downgrade in the recent weeks.

7.5p – 8p has been a significant holding region for the last few months and analyst have a rating of around 24p short term.

sou.l
Graph credit – Interactive Investor

Sound have also been tweeting some sporadic messages, that include photos of progress – nice to see a company using social media to interact with potential and current investors.  Their LinkedIn account currently shows the unloading of trucks at site!

 

Shares….The Miners!

MinersIt has been a while since I posted anything concerning the shares – This year has proven to be an absolute nightmare for any private investor with the markets showing a loss right across the board.

The AIM market has been hit particularly hard, most of the shares I was holding lost at least 60 – 70% of their value in the course of 6 months and to date have not recovered.

An article published 15/12/11 on the iii by Sarah Modlock and Fiona Bond covering the mining sector covers a few choice penny stocks in this area which are tipped for bigger things.

Granted, good value amongst these stocks, but where is Central Rand Gold (CRND.L) in this article?  4p a share earlier this year in January, tumbled to its lowest around 0.22p when their mining rights were revoked in September.  Good news has since flowed and mining rights have been granted allowing operations to continue.

Obviously this is a risky investment, but rights granted and a 2 year forecast back to 4p you can be sure to put a small punt in an ISA for tax free profits.

CRND is currently trading at 0.7p @ market close on the 16th December.

Shares….TRP

5 weeks to go….bang or bust

Hotting up now; 5 weeks to go to spudding and more pressure on 2p placement holders to sell out in the 4-5p range.  So far the last few days have seen a flurry of buying and several large individual 40K plus buys in two days.

Up 7% alone today has brought more attention to company as the general market became a sea of red as investors fear for short term outlook.

In the words of the great man himself, Del Boy – HE WHO DARES, WINS!  I’m holding out to double my money and hopefully riding the free shares long term.

Keeping an eye out for my next move into either MXP.L, IERE.L, AST.L or even further CHAR.L

Shares….TRP rising

trp1

Moving onwards! A few weeks ago TRP, tipped for Feb 2010 spudding has started to move from the dusty bowls of Uganda. Now at 4.03p 4.10p to buy – movement from 2.35p has been quick over the Christmas period the iii board rallying for news in anticipation.

Reduction of MM’s holdings through PI buying meant that hedging the SP at 5-6p would see most investors doubling their capital and awaiting news for an oil strike in the well to produce a possible 15p SP or a potential takeover of +20p.

Great news for the PI’s – It is likely that 5p will see a sell out for those doubling money and anticipating a fall to 2p with free shares to top up in the event of a duster.  If they do strike oil, which is high probability in this region, the share price is looking for speculated 7-8p prior spudding and those in the know will hold out past 12p.

Current strategy is to double my money and leave the free shares to ride – pure profit in my portfolio.

News….GKP splurt!

gkp_oil

Upgraded to Probable Takeover from Possible

Gulf Keystone Petroleum Ltd (GKP.L) said on Monday it found additional oil in an Iraqi well, sending the oil and gas explorer’s shares up 7.8 percent this morning to 125p and resting at around 107p throughout the day.

The new Triassic discovery flowed at 10,000 barrels of oil equivalent (boe) per day and the section currently shows potential aggregate rates of about 24,000 boe per day, the company said.  In layman’s terms – more oil!

Gulf Keystone, the field’s operator and majority owner, said the Jurassic and Triassic tests in the well have so far resulted in an aggregate actual test rate of 20,000 boe per day.

Further interest is bound to pick up over the next few days – this news has taken fund managers targets to 175p short term and buy out price of between £3 and £5.  Not bad for a share that was 20p in March.

Shares….Tower Resources PLC

trp1

From the dust…. Purely a speculation – Fancy a bit of easy money up to the New Year? Who doesn’t!

Tower Resources PLC are due to commence drilling February 2010 in Uganda and also in the run up to news on estimation spud in 30 days (or less) for Iti-1 well.  At 2.3p a share, AIM listed Tower Resources is high risk and a purely speculated exploration company. RNS from company website released this week confirms agreement and proposed project with Ugandan Government.

Why so cheap? Sentiment from back in June when TRP hit a duster caused massive selling and a drop from 7.5p to 2p and a repeat of the climb on drilling news will bring a possible 5p up to Feb and on discovery possible 15p.

A word of warning, failure to find oil will probably send the share price down to 0.5p – 1p so worth doing your own research beforehand.

click graph for larger view – opens in new window

trp_graph

Shares….Swing high, swing low sweet chariot?

chariot

Chariot Oil and Gas

Up 8% today with support at 24p for the third time this month, it looks like a debt free Chariot oil has found the new resistance levels for investors to jump on board.  A busy time leading up to Christmas and building on gains made on Tuesday, investors can find opportunities to jump aboard the chariot after the company’s market capitalisation falls close to its cash level.

Could this be an opportunity for some pre-new year festivities and a blinding start to 2010?

As quoted from their website, Chariot Oil and Gas Limited (AIM: CHAR.L) is an independent oil and gas exploration company with interests in Namibia – Enigma Oil and Gas Exploration Limited is a wholly owned subsidiary of Chariot and is the operator of the license areas.  All of these blocks are in the exploration phase and Chariot is focused on investigating these using state of the art technologies which have previously led to giant oil finds. Other oil giants in the area include BHP Biliton, Tullow Oil, Circle Oil and Arcadia Petroleum.

Chariot Closed today 26.75 with a day high of 27.0 and low of 24.00 offers a of 3% on the spread means there is certainly some singing to be done in the near future.  Swing high swing low sweet chariot………

Worth a look for medium to long term with prospect of 50p near Christmas.

Shares….GKP.L & CHAR.L

shares

Interesting!
With the FTSE opening a little stagnant this week, GKP & CHAR are making gains unseen for a while in the unsettled market – rumour of takeovers and much awaited news brings a flurry of interest to the shares and both anticipate +30% gains in a matter of days.

CHAR.L found a new support point at 25p from 14p now that a big seller has gone and GKP has broken past the 100p into new territory at 130p. With both shares undervalued and worth considerably much more than current market value it appears that the gains have been anticipated for a while.

GKP no longer represents the high risk it was from earlier this year at 10p and a new breed of investor will be attracted to this AIM share with current price above the pound. Many PI’s who jumped aboard the train in March have seen a ten fold return on their original investment, albeit a very risky one at the time.

CHAR could be the next GKP, based on recent activity and surges of buying means that the price will not stick around in the 30’s for a long time. With speculation of at least 50p by November this represents a good value for the short term investor with news due in weeks.

Shares….XTA.L

XTA

XTA new entry point

Could 800p be the new entry point for the mining company XTA ? – previous high of 1000p has been a while and with prices heading south in line with FTSE100 performance, looks a good deal at these trades with short term and medium term returns around 10 – 15%.

Think medium term on this share, to reach back up to 1050p by December which is around £330 profit on 3K to fund the Christmas spending!

Long term is a good hold, with possible take over funding further growth from the likes of big boys BLT.

Shares….VIY

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News in two weeks
Taken from website : ViaLogy was founded in 1999 as a spin-off of the National Aeronautics and Space Administration (NASA) Jet Propulsion Laboratories operated by the California Institute of Technology. In 2006, the company merged with its largest investor, Original Investments PLC, and became a publicly-quoted company on the London Stock Exchange’s Alternative Investment Market (LSE:viy).

The company markets its products to systems integrators as well as directly to government and enterprise customers in North America, Europe, and Asia Pacific. Customers include defense, enterprise operations, and oil and gas organizations concerned with integrated security, safety, business continuity, and surveillance.
Currently around 6-7p a share, possible 10p in two weeks pending positive updates.

Another ideal share for medium term is Dragon Oil (DGO.L) currently resting at 400p a share and good support – news of gas pipeline updates will see this into 450p region with prospects for a takeover.

As usual do some research before buying any stock!