B . Niko Resources*Give me a sign, any sign!When markets sell off like they did last week, any positive sign should be taken to heart. Niko, which recently raised $500-million by issuing 4.762 million shares at $105.00 apiece, has seen its shares tumble with the market downturn. Shares are down about 20% from were Niko raised their money. Insider reports, which were filed late last week, show Niko’s President and CEO buying nearly $1 million (12,600 common shares at prices ranging from $79.30-79.90) of stock through the public market. That’s a nice sign. The current market weakness may have created a buying opportunity. Canaccord Adams Oil & Gas Analyst Terry Peters says that while equity markets are struggling, Niko’s fundamentals are on solid ground. The company has over $600 million in cash, will have access to another $600 million through its credit facility, and is less than 12 months away from the start up of the largest offshore gas field in India that at its current planned peak, would take Niko’s total production to over 450 mmcf/d over the next 24 months, from the current 85 mmcf/d. In addition, the exploration component in Niko continues to provide high-impact potential, through additional drilling at D6, NEC25, D4, Cauvery, and in time Pakistan.
from http:www.amprogram.com
Showing posts with label Natural gas. Show all posts
Showing posts with label Natural gas. Show all posts
Tuesday, August 21, 2007
Tuesday, August 7, 2007
Stay away from Natural Gas Producers
from amprogram.com The AMP has sold out of the nat gas sector - still bullish on oil.
But - we do not like Natural Gas The number one position on the watchlist for nat gas stocks is Peyto (PEY.UN) . simply one of the best run natural gas producers in Canada. Their President's position in a recent release was although the short term price was not good , the long term price and long term reserves would do well for the Company. As an investor , I believe that analysis is correct - but my money can be working elsewhere today - and be in the nat gas sector - when and if the turn occurs. Many small natural gas exploration/producer companies rely on a " friendly " banker to stay in the business. Today’s prices do not make for great profit reports - the banks are going to be less friendly. Credit is being tightened and this sector has little to recommend it - except the potential of hurricanes and a dreadful winter. That is not much security for the bank or you and me
But - we do not like Natural Gas The number one position on the watchlist for nat gas stocks is Peyto (PEY.UN) . simply one of the best run natural gas producers in Canada. Their President's position in a recent release was although the short term price was not good , the long term price and long term reserves would do well for the Company. As an investor , I believe that analysis is correct - but my money can be working elsewhere today - and be in the nat gas sector - when and if the turn occurs. Many small natural gas exploration/producer companies rely on a " friendly " banker to stay in the business. Today’s prices do not make for great profit reports - the banks are going to be less friendly. Credit is being tightened and this sector has little to recommend it - except the potential of hurricanes and a dreadful winter. That is not much security for the bank or you and me
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