BUR Burleson Energy

[donnie]

BUR starts drilling soon in Texas, they seem to have pretty good ground with good potential for big gains.

[ELYOB]

BUR : seems to be heating up with its current well . Could be the next "USA oil bolter!" .....as one oiler Analyst put it recently on the w/e .

Just a post here to let you people know it is around and have a chance to research and rate ye chances with it .

I hold BURO ; please DYOR

[Serpie]

Our own BUR thread. Excellent.
I've picked this one as my representative for the X Club.
Hopefully we'll get the announcement today regarding progress on Yegua 1. I was expecting it yesterday, but suspect they may be holding off until they complete the well.
Already 11 gas kicks in the secondary (Georgetown) lateral, and a gas kick as they passed by the first (Austin).
I'm holding with an average of 20c, and looking for 30c over the next couple of months.

[Serpie]

Announcement out today.
We've gone from gas kicks in the secondary, to "continuous" gas shows in the primary.
The pipeline's being run, so they should be producing within weeks.

Another gain in the SP today. It just keeps going and going and . . .

[shasta]

Presentation just out Serpie - looks very impressive & will join my "watch list" for further evaluation.

[Serpie]

Very happy with BUR Shasta.

I suspect that the presentation may have been thrown on the table this evening for a reason.
I'm looking for a headline ann tomorrow with the completion of Y1, so potential investors may well be looking for more information on BUR.

Bring on the flow rates!

[Serpie]

It just keeps going . . .
Until you exit a stock, and take your profits, you can't comment on the overall experience, but this is a dream.

By now they should've finished drilling, and will be inserting the liners. The pipeline is already there. No testing programme - just hook it up, pull the plug, and let it flow. And then on to No 2 of the 25 well programme.

Someone pinch me!

[Crypto Crude]

quote:Serpie-Someone pinch me!

why do that when I can do this..... "Smack"....
[:p]
.^sc-good stuff serp, I thought you said you were selling at 26.5?...

[Serpie]

Sold a third of BUR Shrewdy. Needed some funds to get back into DYL before those Namibian drill results.
Hanging on to the rest of BUR for a while yet.

[Serpie]

Welcome aboard AA.
I like your timing.

[Serpie]

A nice announcement out for BUR this afternoon.

The first well, Y1, has stabilised at 4.2mmcf/d under a choke, and producing 60 barrels of condensate per day.

Looks like they've hit a sweetspot first up.

[Crypto Crude]

quote:Serpie-
A nice announcement out for BUR this afternoon.

yeah, but wheres your green star
[:p]
.^sc

[Serpie]

I suppose I need to salute you now do I?

How does BUR's 4.2mmcf/d compare to TEX's first flow rate? 10x?
Sorry, I just can't help myself.

[Crypto Crude]

good come back serp,
Well BUR is 2.5times the market cap of TEX...
and TEX has 3 seperate discoverys, BUR has only 1 right?...
so for TEX with a much smaller cap and a 3 to 1 ratio on the discoverys side...
Then i'd say that TEX looks mighty fine thankyou...
[8D]
.^sc

[Serpie]

Good buying AA.
BUR's little green arrow stands out like a beacon today. I'm holding the heads, but the oppies would've been the smart move.

[Crypto Crude]

Burleson's Worth another look at these prices I reckon...
All the way up, then all the way back down...
buro trading at 7cents... long expiry date.... 7 confirmed wells... planning 25...
:cool:
.^sc

[STRAT]

Shes been in a confirmed down trend since July. How do you fellas stay so positive? Not meaning to be rude but Im looking hard at BUR right now. Can someone tell me where does one go to find option conversion prices and expiry dates, not just for BURO but in general. Ive looked at their web site, the Exchange and Direct Broking and have failed to find this info. :confused::o

[macduffy]

Option details are in yesterday's company presentation - on their website.

Disc: Not held.

[Crypto Crude]

the reat strat,
Ive just been following BUR since me mate Sir pee started spouting on about them... Its only since its come all the way back down that I've really started looking at them because I hate investing in runaways steam trains for this very reason....was thinking about picking up some at 17c yesterday....

Got my goggles on and heres what I found for you...
BURO....
exercise price 25c....
expiry date 31-august-2010....
:D
.^sc

[STRAT]

Macduffy and the real Crude, Thanks fellas :D

You would think such info would be on the quote/details page on the exchange:confused: rather than having to trace the issue date and then look up the ann to find out what is an essential piece of info.

[Brut]

Hi Strat,

If you go to the Direct Broking website and type in BURO instead of BUR it will give you a quote of all the Option prices.

Hope this helps?

[STRAT]

Hi Strat,

If you go to the Direct Broking website and type in BURO instead of BUR it will give you a quote of all the Option prices.

Hope this helps?Thanks Brute for your reply but thats not what I ment. See Shrewds reply ;)

[STRAT]

Hi Strat, yes buying in a downtrend like ive been doing is not wise and rather silly accually,I been buying to average down my buy in price as cashflow is available, im confident ill make money, but could have done things better.
Im in it for the long haul though e.g 2010.


hope this helps
,
http://markets.theage.com.au/apps/qt/quote.ac;jsessionid=7DF9F9F1AE660CDEB3E45C2D33FB91 B1?code=buro&section=summary&submit=Go&submit=


regards


AAThanks for that link AA. Perfect:D

You are obviously very bullish on this baby long term

[Serpie]

Sold mine at 37.5 - more out of luck than any skill. Bought a few back at 35c (which proves the lack of skill!) but topped up again at 19c.

The latest drill seems to have taken an age, and the rumours about a second rig coming on board haven't eventuated so far. But the 25 well infill programme suggests a low risk, long term winner. Mike Sandy has gone a bit quiet too, but hopefully the second well will flow soon, and we'll hear from him again.

Nice to have some company in this one.

[STRAT]

we'll hear from him again.

Nice to have some company in this one.Not in yet but considering it

[brettdale]

Over at the forum hotcopper, people think the price will take off, and is on its way to a ten bagger, then again, they said that about eight months ago.

[STRAT]

Out of interest Absolute Advance, why have you gone with/ stayed with the oppies which require a fair amount of share price recovery to be in the money?

[STRAT]

Thanks again AA for your reply

[Thumpa]

Well , after kicking the tires for a while with this stock , wondering what might be wrong with it to justify these prices lately , I jumped in at 16cents.

With YPU 1 producing and Rocket 2 nearly ready , looking good.

Mind you , same could be said at all along the downward slide.

Seems to have bottomed around this level I hope. :)

[Serpie]

As I've picked BUR in the ChCh Convention picking competition I'd better start pushing the BUR barrow.

YPU1 is producing at 1.24 mmcf/d. Rocket 2 has been completed, and is being prepared for production. Jet 3 has spudded, and should be producing in 60 days.

Following is a quote from "Stevemosh" on HC. Not vouching for the content, but it suggests a possible "best case scenario":

Quote - "Redid my sums on BUR this morning with the new Gas / oil prices which keep going up. Using a stock price of 16.5c this is what I came up with, and trying to be conservative with the forecasted rates below. I am unsure how the tax works, so used a flat rate 30% tax.

Currently BUR has a PE ratio of 13.9 from YPU1

If Rocket 2 only makes say 3mmcfd and 0 condensate BUR will then have a PE ratio of 7.86

If Jet 3 makes 5mmcfd and 0 condensate, BUR will then be looking at a PE ratio of 3

Using a PE ratio of 15, that’s an equivalent stock price of 82.5c by that time.

If you use a more common PE ratio of 17 - 22 for oilers and possibly higher flow rates on the wells as I am trying to be conservative here, that’s a price of $1.50 and with luck by Easter"

- end quote

While 3mmcf/d from Rocket 2 would be great, I think that may be optomistic considering they had to cut the lateral section short.

Jet 3 is an unknown, so we'll take 5mmcf/d if we can get it!

And I was pleased to see Mike Sandy back in front of the microphone selling the company again. I hope we can enjoy regular updates for the rest of the year.

Unloved by the market at the moment, but the fundamentals are coming together.

[ScrappyO]

I've got on board at .17. Looks cheap...waiting on some money to come through so i can pick up some more if the price stays low. Interesting to see it drop away from the high .30s. Had it in my watchlist for ages....Hoping Santa turns up on this one..

[brettdale]

Up 5.5 cents to 21 cents, about ten minutes from the close in Aussie today. I guess people like the Drilling update!

[ScrappyO]

Yes..very nice, bought more yesterday at .155 so very happy.sold a few stocks yesterday to buy more BUR only hold tex and Bur now on the ASX. Looking forward to a really cold winter in the states.

[bermuda]

Serpie,
Looking good eh? Well done.
This sharetrader ChCh contest starting to shake a leg or two.
I would buy some but you cant own everything!

[Serpie]

Serpie,
Looking good eh? Well done.
This sharetrader ChCh contest starting to shake a leg or two.
I would buy some but you cant own everything!

I think I still need another good day today to catch up to your pick - the mighty BOW.

Interest in BUR started yesterday morning. Stirling Energy (one of BUR's partners in Rocket 2) released the flows rates a few hours before BUR did. BUR jumped 16%, and then when BUR released the news jumped again for a 36% close.
HCopper has it's knockers, but if you followed the BUR thread on there then there was an opportunity to get a head start on the market, as the posters on HC found the Stirling Report first.

With Jet3 drilling ahead at a good rate there's no reason to sell, and every reason to buy, so may be another green day.

[Serpie]

I wouldn't be surprised to see Mike Sandy pop up on BRR either today or Monday - he likes passing on good news in person.

Only holding the heads at this stage, but might look to gain some leverage through a few options early next week.

[Serpie]

BUR held up well today.

Following the big gains yesterday, and on a red day, it only dropped 1c of the 5.5c gained yesterday.

2 out of 2 so far. Bring on Jet3.

[shasta]

BUR held up well today.

Following the big gains yesterday, and on a red day, it only dropped 1c of the 5.5c gained yesterday.

2 out of 2 so far. Bring on Jet3.

Serpie

If you are this bullish on BUR, perhaps i should take another look!

I dont like options as a rule, why have you gone with heads & oppies?

You sold your DYL? :eek: (Funny the SP NEVER recovered after i left!)

[Serpie]

Hey Shasta,

I was trying to slip quietly out of the DYL backdoor, but I see I've been spotted. I still think it's a great company, but it's too long term for my new, more aggressive strategy.

I've been confident about BUR for ages, but the market lost interest after it's big run earlier in the year. I was worried about the problems they had on Rocket2, but that looks to have gone well, which gives me even more confidence going forward.
Jet3 is supposed to have the best potential yet, and BUR have a greater interest (40%) in that.

Loads of cash ($5M) in the kitty, and getting close to self funding on the 2 succesful wells to date means that dilution is unlikely and unnecessary.

Options strike price is 25c, and we've got 2.5 years of development (April 2010) in which to build on that exercise price base, so good value for a bit of leverage. I'm almost hoping for a wee retrace so I can accumulate some of the oppies (in competition with AA and Brutus no doubt!).

I bought back in at 22, 19 & 18, so the last couple of days have been very welcome to turn at least some RED portfolio lines to GREEN (finally).

[STRAT]

Hey Shasta,

I was trying to slip quietly out of the DYL backdoor, but I see I've been spotted. .Haha sprung ;) Being a DYL fan did you notice the old DYL guys in MHL were part of the Team that took DYL from under 10c to 50c :D

Sorry for being off topic fellas:o

[bermuda]

Hi Serpie,
You got yourself a good one here havnt you?

Sold my PES today to get some more VPEO but I just might get me a parcel of BURO instead.

I was trying to reduce the number of stocks I own ( Gnomes of Zurich theory ) but after some reasonable research have decided that BURO is worth a crack.

This thing is a bit like NZO. Money going into the bank at a faster rate than their capitalisation would suggest.Plus this horizontal drilling in the USA is proving very successful.

Hey,
What did you think about the SHG announcement to export their CBM (which is adjacent to BOW/VPE ) to Japan????? Far out.

After some thought I might stick with my VPEO purchase for two reasons

1. I dont have to purchase an additional stock (Gnomes of Zurich philosophy ) and

2. VPE are going through a capital raising at this moment that will see them fully funded for quite a while. With BUR they will need more dosh.
Cheers

[strayda]

Bermuda,

Management have said they want to avoid capital raising. Hence the slow, almost boring nature of the drilling, with just the one rig.

With 5m in the bank, and 3 producing wells, if they're successful in a few more wells, they may be able to self-fund each well without resorting to capital raisings. (thats the plan anyway)...

I hold a bunch of the options and despite the SP, it all looks to be panning out just fine. Concern is some of their drilling difficulties...

[Serpie]

Happy with BUR Bermuda, despite the current SP.

Actually, because of the current SP, I not only bought myself another small parcel on Wednesday, but also swung all of the kids funds from MRX (which is going nowhere in the next month due to the current SPP) into BUR yesterday.

The kids already had some BUR, but are now 100% invested in Mike Sandy and his team.

I know they say that you shouldn't average down, but the more money that BUR makes, the cheaper their SP gets. There's no dilution to worry about, so seems like a no-brainer.

I've been reading about oil/gas geology lately. Getting a bit of an idea as to how it all works, but can you suggest any "Oil/Gas Geology for Dummies" books that might help with my understanding?

My limited understanding to date makes me much more comfortable with the short lateral on J3. Looks like good pressure, and another producer.

I'll have a look back at the other 2 programmes today and get a feeling for the timing of completion. Anyone know off the top of their head how long it takes to run the liners, demobilise and set up for production?
I'm assuming the pipeline is already close. And of course no need for testing once again. All good.

[Serpie]

I reckon about 35 days allowing for Christmas, which puts production from J3 at about 17/01/08.
Estimate based on how long it took them to do R2.

[yogi-in-oz]

:)

Hi folks,

BUR ... will be alert for some news this week,
which may be enough to lift BUR off its lows:


17-18122007 ... spike ahead of anticipated news ???

20122007 ... minor news expected

21-24122007 ... minor and positive cycle

02-03012008 ... 2 minor and negative cycles here

08012008 ... minor and positive news expected

18-21012008 ... minor and positive

24012008 ... minor and negative cycle

15022008 ... minor and positive ... finance-related??

18-19022008 ... negative spotlight on BUR

03-04031008 ... minor and negative cycle

12-14032008 ... 2 cycles ... significant negative news???

20032008 ... positive spotlight on BUR ..... :)

02042008 ... positive news expected here

04-07042008 ... significant and positive cycle

Updated BUR chart, below:

http://forum.incrediblecharts.com/messages/8/burupdate14122008-1353133.pdf

happy days

paul

:)

=====

[Serpie]

Super duper announcement out:

"The Jet Unit 3 well has been briefly tested as part of an initial clean-up phase, involving expelling drilling fluids while the testing crew adjusts controls and equipment.
Gas flows of 10.8 million cubic feet per day (MMCFD) through a 26/64” choke were recorded, with flowing pressures continuing to build during this operation."

“This is an extremely encouraging result with a very strong initial gas flow from Jet Unit #3.
During the final stages of the clean up phase Jet 3 well head gas pressures showed further
evidence of improvement but it is not possible to predict a stabilised flow rate as gas wells of this nature typically decline from the initial strongest gas flows.
However, these initial results seem to vindicate two decisions in relation to Jet 3; Firstly BUR’s decision to increase its equity in Jet 3 to a working interest of 37.5% (was 20%). Secondly, the decision last week by the engineers to stop drilling the lateral rather than attempt to clear or sidetrack around the obstruction. Such moves would have endangered the 1612’ of lateral (and excellent shows) which had been drilled.”

-end

Jet 3 looks like being the best one yet.

[Ptolemy]

Hi Serpie

More of the same from Mr Market though with the share price hardly moving. There seems to be some determined sellers (perhaps noteholders, perhaps not) keeping the price of this share down.

A 10.8 MCF flow rate adds about 7 million dollars to the top line. Assuming this flow rate is confirmed this company will have revenue of approx, 10 mill pa and net earnings of approx $8mill. Based on approximately 95 million shares on issue this equates to a PE of about 2.

All very rough figures off the top of my head.

This is Well 3 into a drill programme of 25 wells in a proven producing area.

Am I missing something or is this amazingly undervalued. I must be missing something.

PT

[soltrader]

I also think it's mainly a traders' share at this moment.

I noticed the share price rises almost every Wednesday when
the drilling progress report is out, only to move back towards the
support line at the end of the week.

[Huang Chung]

I'm sorry, but I just don't understand this.....thought that BUR might have bounced today after the Jet 3 result, but no one could give two hoots.

Whoever came up with the 'efficient market hypothesis' should be have had their head read.

[Huang Chung]

Bur is being tampered with, The share price does not reflect the fundamental value,hence my focused attention regarding the company.


But there was only 216k worth of shares traded today!

Call me naive, but I can't see how BUR is being manipulated. You would think that the punters would be falling overthemselves to take a position, either pushing the price up, or being met with some keen selling that would keep the price in check. We don't seem to have seen either of these things occurring.

[STRAT]

Im gettin keener by the day to jump in fellas. Are you sure you arent over analizing the situation considering its a couple of days to Christmas and people may have been cashing up or pre occupied with other things?

[Serpie]

No disrespect AA, but I'm always sceptical about claims of stocks being tampered with. Why would you bother? To tamper with a stock you need to hold it, and the claims, from many quarters, about BUR being manipulated don't make any sense to me.

There's talk about the convertible note holders dumping 50k parcels on the market at regular intervals, and that this is preventing it from running. Why wouldn't they just let it run if it wants to? The fundamentals are certainly there to allow this. They could then sell at a higher price later.

Don't get me wrong - I've seen stock prices get manipulated, but it's usually intraday, and it's usually pretty obvious in hindsight. And sure, someone did buy 2 BUR shares today for the grand total of 33c for some reason, but if there was enough buying interest in BUR it would overcome all of this. As HC says, limited volume today. At these "bargain" prices why isn't BUR getting swallowed in huge lumps, regardless of any attempts at suppressing the SP?

I'm holding BUR, and BURO, and am as frustrated as anyone at it's inability to fly despite some of the strongest news that we've heard from a gas explorer, but maybe it's just a sign of the times.

Would appreciate any feedback.

Off to bed to dream of 10.8mmcfd wells, and the riches that they SHOULD bring.

[Huang Chung]

Secret would be to suppress to maintain the down trend,and restrict breakout, momentum would do the rest.

common practice..

AA


AA, I will defer to your expertise in this regard, but it still seems like a distinct lack of buyer interest to me. Maybe Strat's right, and everyone is down at the pub filling themselves with Christmas cheer. :)

On another point, is production from Jet 3 of around 10 mmcfd sustainable, or will this drop off quickly? Any views?

[STRAT]

someone did buy 2 BUR shares today for the grand total of 33c for some reason,
Would appreciate any feedback.
Hi Serpie, Cant tell ya what is holding BUR back but the 2 shares will only be a matter of part of a semi completed order being filled.

[Huang Chung]

Agree AA that a face value, BUR looks cheap.....but I don't know enough about gas production to know if the 10 mmcfd is a sustainable production rate or not. If, say, in 12 months its producing at only half the rate, the maths don't look quite so attractive.

[ScrappyO]

Good to see they have started the next Drill...Just waiting on confirmation of flow rates for jet 3. SP still in stagnant mode.
Topped up with a few more this week in anticipation of a good rise soon.

[Serpie]

Watch out for flow rates announcement today. Good luck.

[Serpie]

A day late. My apologies.

Jet3 is producing at 8mmcf/d. $17,000 after tax net revenue per day to tiny little BUR.
That's $5M per year (assuming 300 days per year producing at that rate) after tax net.

Add that to the cash already in the bank, and there's your SP underwritten right there.

Current market cap $15M.

[bermuda]

Serpie,
Bit concerned that Peter Strachan's article in latest newsletter. wasnt that glamorous.

For that matter I wasnt too impressed with his 2008 analysis but but i do rate him.

Grateful your advice on Strachan's article......ps encouraging article out today by ResourceStoks on BOW.

[ScrappyO]

AA do you know anything of the 17,793,750 (Burak) ordinary shares restricted to May 2008.

With the market the way it is people seem to just be waiting for that sure thing. A whole range of stocks are getting cheaper...But BUR does look good on paper at the moment.

Just have to wait this one out....Just hopefully not too long.

[SMan]

BUR has reached an new low of .13! :eek: At this price with a drilling update due out wednesday it is well worth a look. I topped up at .15 but am more than happy with that, IMO it is just a matter of time before this one takes off and am in it for the long run. At current production rates the first 3 wells they have participated in should pay for a new well (~30% PI) every approx 3-4 months to begin with... considering they are drilling at a rate of 1 well every 2 months or so they should be self funding pretty soon. Bring on MARLIN test flows! (Maybe next week :)).

[STRAT]

BUR has now been on my watch list for 6 months with no sign of the down trend letting up.

AA and Serpie. are there any significant changes to the Fundimentals here fellas or more to the point can you see anything on the horison that will turn this one around? Marlin maybe?

Now at 11c for heads and 4.5 for the options it must be getting close surely?

[Serpie]

Fundamentals just keep getting stronger Strat, but market doesn't care.

Marlin, with good gas shows, makes it 4 from 4. High depletion rates, but subsequent wells are more than making up for this.

Very little buy interest in the options. I have a few BURO, but I don't have enough experience with option trading to offer a suggestion as to whether they better value than the heads at this stage.

I've got a couple of hundy in the kids account, so I might buy a couple of thousand just to get rid of that little red arrow today.

[Serpie]

Well , whaddaya know - BUR is in the green and my portfolio looks heaps better for the day!

Someone will come and stuff it up, but at least the kids have got another couple of thousand shares.

[STRAT]

Well , whaddaya know - BUR is in the green and my portfolio looks heaps better for the day!

Someone will come and stuff it up, but at least the kids have got another couple of thousand shares.Hate to burst ya bubble mate but it was on one trade for 2000 shares.:(

[Serpie]

I confessed to "manipulating" the share price Strat. Have another look at my posts.
See what BUR has reduced me to!

[STRAT]

I confessed to "manipulating" the share price Strat. Have another look at my posts.
See what BUR has reduced me to!Oh yeah LOL.:eek:

You should change your profile comment from Bermuda's Doubles Partner
Market Manipulator :D

Lets see if it holds through to another trade:D

[Serpie]

If we lose to Shrewdy and Jim tomorrow then I will!

Full disclosure at all times Strat - them's the rules. BUR doesn't deserve to be at 11c. Justice has been done.

You're not going to cock it up for me are you? Buy 1000 at 12.5 and then dump them at 11.5?

[STRAT]

If we lose to Shrewdy and Jim tomorrow then I will!

Full disclosure at all times Strat - them's the rules. BUR doesn't deserve to be at 11c. Justice has been done.

You're not going to cock it up for me are you? Buy 1000 at 12.5 and then dump them at 11.5?Hell no, Im not that nasty and if I was Id dump em at 9c

On a completely different note Im a bit worried about this dancing with the boys stuff. If I ever make it to one of the ST National Conventions should I be bringing a banjo and be picking up a few live porkers on the way?:eek::eek::eek:

[Serpie]

You've been working on that one for a while haven't you! You'd be a good banjo player, what with having 6 fingers on your right hand and all.

No my friend, tennis is our game of choice tomorrow, not dancing. Although Bermuda's probably good at dancing too. You may have missed Shrewdy strutting with MacDunk at the first Auckland meeting, but if you'd seen it you'd know that he's no dancer (sorry SC).

And speaking of porkers - I'm off for a run. Carrying far too much crackling at the moment.

Looks like a strong close for BUR!

[bermuda]

You've been working on that one for a while haven't you! You'd be a good banjo player, what with having 6 fingers on your right hand and all.

No my friend, tennis is our game of choice tomorrow, not dancing. Although Bermuda's probably good at dancing too. You may have missed Shrewdy strutting with MacDunk at the first Auckland meeting, but if you'd seen it you'd know that he's no dancer (sorry SC).

And speaking of porkers - I'm off for a run. Carrying far too much crackling at the moment.

Looks like a strong close for BUR!

Serpie,
Just came home from Clearwater after shooting 80 in a stiff easterly and winning the comp. Am worried about the tennis as I am pretty average. Good to see that you are an ex champion. Even went for a run this morning. Shrewdy must be getting a bit worried too.. Had $500 on the Poms to win so will probably get back $450. Great game!!
If England wins on Saturday I wonder what happens to Shrewdies bet?

Anyway back to Burleson. It has been going down ever since Peter Strachan gave it a bit of a bum wrap just before Christmas. Strachan reckons the fields they have found have high depletion rates. Watching with interest but I am far keener on BOW and VPE and RPM which Strachan does rate.

See you 2moro.

[Serpie]

Depletion is a factor Bermuda.

I'm hoping that Marlin is a winner, because they announced today that they are suspending their Champions drilling programme and moving back into Burleson County to concentrate on condensate / oil plays.

"A drilling programme is being formulated and a smaller rig is being sourced for this work. Champions area drilling is expected to re-commence later in the year".

With the rising oil price they're changing tack, and this was mentioned in their last quarterly:

"BUR is considering a well re-entry project on existing BUR acreage. This involves re-entering a previously drilled well which has oil pay missed by earlier production phases. Significant reserves can be acessed at low cost and the current strong oil price enhances the economics of such projects."

BUR need Marlin to flow at decent rates to stabilise their income while they make this transition. Marlin's a step out, rather than an infill, so depletion may not be as dramatic hopefully.

I've got no experience with re-entry projects. Can anyone shed any light on the ins and outs of this. Cost? Time?

80 at Clearwater is pretty sharp Bermuda.

[Crypto Crude]

Serpie,
after the second game I put a few hundie on a drawn series at $9 to $1....
I PM'ed bermuda and told him at the time...
Game on saturday... what are the outcomes....

If NZ win the final game, I make a good return...
If its a draw/tie, NZ win the series...
If England win, its a drawn series and I make $100 after all costs for paying my bet that I placed on NZ to win the ODI series at $2.65 before it started...
perfect hedge now...
GO NZ....
....
80 at clearwater,
Is that 80 for the front Nine or for the Back Nine?
:cool:
.^sc

[bermuda]

Serpie,
after the second game I put a few hundie on a drawn series at $9 to $1....
I PM'ed bermuda and told him at the time...
Game on saturday... what are the outcomes....

If NZ win the final game, I make a good return...
If its a draw/tie, NZ win the series...
If England win, its a drawn series and I make $100 after all costs for paying my bet that I placed on NZ to win the ODI series at $2.65 before it started...
perfect hedge now...
GO NZ....
....
80 at clearwater,
Is that 80 for the front Nine or for the Back Nine?
:cool:
.^sc

You had better be good at tennis mate. Serpie's coming early for a warm up.

[bermuda]

You had better be good at tennis mate. Serpie's coming early for a warm up.

Got some butterfly prawns and some fresh cod fillets for a little snack. Beer will be cold.

[yogi-in-oz]

Hi folks,

BUR ...

18-19022008 ... negative spotlight on BUR

03-04031008 ... minor and negative cycle

12-14032008 ... 2 cycles ... significant negative news???

20032008 ... positive spotlight on BUR ..... :)

02042008 ... positive news expected here

04-07042008 ... significant and positive cycle

Updated BUR chart, below:

http://forum.incrediblecharts.com/messages/8/burupdate14122008-1353133.pdf

happy days

paul

=====

:)

Hi folks,

BUR ... as posted above, negative cycles bring in the lows and with more
negativity expected (see cycles posted above), BUR will likely bounce along
the bottom, over the next week or two ..... :)

happy days

paul

:)

=====

[SMan]

Hi folks who floow BUR.

I've posted some data on HC so thought I'd share it here too.

The data can be obtained from:

http://webapps.rrc.state.tx.us/PDQ/generalReportAction.do

and

http://webapps.rrc.state.tx.us/DP/initializePublicQueryAction.do

Check out:
Lease #'s
23175 - 10,000bbl
23257 - 60,000bbl
23350 - 20,000bbl

plus others..

Looking at the Burleson county data it appears they (AKG) have completed 13 re-entries/recompletions since '95 and the total production from all of them is quite significant (at todays oil/gas prices but wouldn't have been as lucritive at the time). I have copied the data below. *Note this is total annual production from the Burleson county only. They have also re-entered once in the Brazos county.

**Burleson county data only**

Operator Name: AKG OPERATING COMPANY, Operator No: 009566
County Statewide Onshore
Annual Totals, Jun 1993 - Jan 2007

Date Oil(BBL) Casinghead(MCF) GW Gas(MCF) Condensate(BBL)
1993 52 1 11,187 0
1994 47 818 15,489 0
1995 1,446 11,867 9,012 0
1996 11,699 47,074 742 0
1997 71,949 250,574 0 0
1998 27,937 176,407 0 0
1999 16,447 131,747 13,493 80
2000 17,287 127,159 16,247 106
2001 13,458 123,085 51,352 47
2002 11,397 104,626 57,284 207
2003 8,217 73,806 47,214 192
2004 7,307 59,344 43,257 280
2005 11,631 61,913 35,877 23
2006 9,395 49,070 23,650 76
2007* 1,126 4,612 4,546 16 **January only**
Total 209,395 1,222,103 329,350 1,027

Works out on average per re-entry to be ~ 16,000bbl and 115mmcf which is around $2M a well thus far. A 10 year time period is quite some time but these wells are still continuing to produce (Some were only re-entered in the last 5 years).

It does appear these re-entry projects will be profitable, perhaps even more so with new technology/reduced costs/higher oil and gas prices.

At an estimate of $1M (completely off the top of my head... anyone have any real estimates????) per re-entry I would say each well should pay itself off within a year (max).

Interstingly flow rates are high initially and then drop and level off (similar to gas) so initial cash flow is favourable.


Disc: Hold (slowly accumulating at these levels)

[SMan]

For anyone who follows/holds BUR (is there anyone else?) here is some information I have come accross relating to a 12 well re-entry project in the Giddings feild.

http://arcousa1.com/docs/amerex_giddings_field.pdf


BUR:
3 wells producing thus far.. awaiting completion and flowback testing of a fourth one.

Any comments relating to SP?? Has it bottomed??

[Serpie]

There's a few of us still in BUR SMan, but we're keeping quiet about it after the recent performance!

I think that we're all a bit bemused about holding a company that does nothing wrong, but that keeps dropping in value.

Has it hit bottom? To be honest I don't think so. It all depends on whether Marlin can prop the SP up for logn enough for them to get their re-entry project underway. Still awaiting details about that.

[Serpie]

Burleson's partner in Marlin 1 (Sterling Energy PLC) released an annoucement overnight.

http://www.sterlingenergyplc.com/gas%20descovert%2014%20march.aspx

Looks like Marlin 1 is a winner. Judging by Sterling's release (which also forewarned us of the Jet 3 result) Marlin is flowing at 13-14mcf/d, which makes it a monster.
The operators drilled the full lateral this time as well, so we can expect the flow rate to decline much more slowly than in previous wells.

With gas prices floating around $10 mcf this equates to around $30k per day to BUR. A nice little earner. BUR already had $4.1M in the bank at the end of February.

The market has completely ignored good news from BUR lately. Let's see how it reacts to this.

I'll also be interested in Strachans next update.

http://www.stockanalysis.com.au/samples/sample1.pdf

Strachan says that BUR needs to demonstrate that it can do more than just repay wages before rating further interest. Fair comment. Hopefully Marlin will be the catalyst for this further interest.

[Serpie]

Shovel from SS has reported that Stirling's SP went up 15% on Friday following the Marlin news.
Stirling has a market cap of £148M, and has a similar interest in Marlin to BUR. BUR have a market cap of Aus$10M
This means a lot more to BUR than it does to Stirling.

When Jet started production BUR's daily revenue went from $8k to $14k. Marlin should take it to over $40k per day even allowing for across the board depletion.
I'd expect revenue from existing projects to be (conservatively) well over $10M in the next months. Not bad for a company with a market cap of $10M. What's that as a P/E ratio!

There's talk of fraccing the first well (YPU1) which is producing, but hasn't been stimulated yet. All good.

BUR are cashed up, and cash flow positive. We might get back to 2007 levels yet.

[lakeys]

lets hope so sepie, roll on monday

[Serpie]

A disappointing day for BUR. Up only 5% following a confirmation, of sorts, that Marlin 1 is a strong producing gas well. BUR says 9.7mmcf/d. Stirling says 13.5mmcf/d. Either is a great result.
BUR's announcement stated that a proper announcement would be made later in the week when the sales flow rates have been established.

BUR have changed their announcement style from optomistic to super conservative. If they're waiting for a good market day, then they may be waiting for a while.

The frustration continues.

Time to decide whether you're a true believer or not.

[shasta]

A disappointing day for BUR. Up only 5% following a confirmation, of sorts, that Marlin 1 is a strong producing gas well. BUR says 9.7mmcf/d. Stirling says 13.5mmcf/d. Either is a great result.
BUR's announcement stated that a proper announcement would be made later in the week when the sales flow rates have been established.

BUR have changed their announcement style from optomistic to super conservative. If they're waiting for a good market day, then they may be waiting for a while.

The frustration continues.

Time to decide whether you're a true believer or not.

Serpie

You have been in BUR for a while, & it seems to me to have some small but meaningful revenue that can grow, albeit on a small scale.

In your opinion are the options a better punt?

[Serpie]

Options expire in April 2010, and have an exercise price of 25c, so plenty of time and a realistic strike price. They're not very liquid though, and tend to sit a big gaps, so you'll need plenty of patience if you want to trade them.

They've got a market cap of $10M, and revenue in the next 12 months from current projects will be around $15M without another drill bit going into the ground. Add $4M that they have inthe bank and it's a no brainer.

But the market is not at all interested in BUR at the moment, so would I recommend it to someone else? Nope.

My average is around 15-16c after buying recently at 11c and 12c, so I'm already down quite a few percent. I'll stick it out and hopefully once the quarterlies start reflecting the profits I'll get some money back.
If the SP continues to drop I'll dribble away at BUR to drop my average, because I believe that the fundamentals will eventually come through, and in this market it's better the "devil you know".

BUR is still the stock that I've made the most money in during my brief trading career (when it ran from 17 to 38 last year) so I'm more emotionally attached to it than I should be. And of course the lower it goes the more attractive it becomes.

[shasta]

Options expire in April 2010, and have an exercise price of 25c, so plenty of time and a realistic strike price. They're not very liquid though, and tend to sit a big gaps, so you'll need plenty of patience if you want to trade them.

They've got a market cap of $10M, and revenue in the next 12 months from current projects will be around $15M without another drill bit going into the ground. Add $4M that they have inthe bank and it's a no brainer.

But the market is not at all interested in BUR at the moment, so would I recommend it to someone else? Nope.

My average is around 15-16c after buying recently at 11c and 12c, so I'm already down quite a few percent. I'll stick it out and hopefully once the quarterlies start reflecting the profits I'll get some money back.
If the SP continues to drop I'll dribble away at BUR to drop my average, because I believe that the fundamentals will eventually come through, and in this market it's better the "devil you know".

BUR is still the stock that I've made the most money in during my brief trading career (when it ran from 17 to 38 last year) so I'm more emotionally attached to it than I should be. And of course the lower it goes the more attractive it becomes.

The options look very tradeable to me...

[Serpie]

Sorry, should have been more specific. Options are certainly tradeable, but not intraday. If you've got a longer view (a few weeks) then you should be ok.
BURO has been in free-fall for the last few months, so if you can pick the bottom there's plenty of leverage there.

[ScrappyO]

Whoops

Wrong one

[Serpie]

BUR just announced that the latest well, Marlin, has been wound up to 13mmcf/d, and can still go higher!
Just restrained by the size of the pipeline.

Beautiful.

[Wysiwyg]

BUR just announced that the latest well, Marlin, has been wound up to 13mmcf/d, and can still go higher!
Just restrained by the size of the pipeline.

Beautiful.

Yes, good news again.

[SMan]

BUR have been making small gains over the last few weeks. Gas flow still pipeline restricted and pulling in around $500k NET per month from the last well Marlin1. Add another $200k NET from the first 3 wells plus $5M in the bank and the $12M market cap looks pretty small. They have recently released an investor presentation and are doing a roadshow at the moment. Took a jump up today on news of Director buying on market.

Could be worth a look for those who are into US onshore gas - DYOR

[STRAT]

Off to a flying start, hope some from ST have been watching this one.

It is too undervalued at these levels, the market has been slow to wake up, With the pressure marlin is pushing it could flow at twice the current rate if not choked back.

In general the Bulls are moving back into Gas and rightly so, Gas plays are so undervalued at the moment.

AAAA,
You read my mind and beat me to the post :D Im in @ 13.5

[SMan]

The choke on Marlin 1 is about have the size of that on Jet3 yet is flowing 5x as much gas. That shows just how much pressure they have struck with Marlin1, also indicates a potentially massive EUR. If this well produced 5-7bcf total that equates to $10-15M US Net to BUR at a sales price of $9mcf. Thats equal to the market cap.

[Serpie]

You're in Strat!

Hopefully you have more fun riding this one up than I did riding it down.
Sitting on a 17.? average, so plenty of upside still needed.
Permit for Marlin2 has been issued, so they'll be hoping for a repeat of Marlin1.

[STRAT]

https://www.directbroking.co.nz/cgi-bin/sparkle.dll/Superchart?session=B38CC7C6-2F8D-4391-B29E-0E35B5DFE2E6&instrument=BUR&exchange=ASX&period=6M&ps=&vs=LINE&ct=LINE&comps=&compi=&ma1=30&ma2=90&bb=Y&ind=MACD&template=dblsuperchart&adj=yes&ra=2
Yeah Serpie. Time will tell eh? :D

[STRAT]

Sold these today for 1/2 a cent less than I paid for them.:o

Timing is everything but Volume is everything too :rolleyes:

[Serpie]

Fair enough too Strat. More interesting playthings out there at the moment.

[brettdale]

Im a firm holder of BUR.

Very steady and stable.

[Serpie]

Me too Brettdale, but I wish it would be a little less stable, and a little more upwardly mobile. The last update failed to raise any interest, so I guess we'll have to wait for Marlin2 to deliver the goods.

[bermuda]

Me too Brettdale, but I wish it would be a little less stable, and a little more upwardly mobile. The last update failed to raise any interest, so I guess we'll have to wait for Marlin2 to deliver the goods.

Serpie,

Do you think that this stock will double inside 5 months?

If not sell and do some research on Coal Seam Gas

All the best with this one.

[Serpie]

Super B,

Oiler and Matty told me that CSG was a bubble.



Just kidding!

[bermuda]

Super B,

Oiler and Matty told me that CSG was a bubble.



Just kidding!

It's full of champagne. Especially after what I have just read this morning.

[Dr_Who]

It's full of champagne. Especially after what I have just read this morning.

What did you read?

[bermuda]

What did you read?

The Queensland Gas 2007 Annual Report plus a few things on VPE.

[brettdale]

Good announcement, ready for production in two weeks

[STRAT]

AA,
You still clutching a bunch of these?

[shasta]

AA,
You still clutching a bunch of these?

BUR - Activities Update

http://www.stocknessmonster.com/news-item?S=BUR&E=ASX&N=420522

[brettdale]

It's beginning to look a lot like Xmas!!!!

Wow, that announcement came out of left field, just what i needed on a day like this.

http://research.iress.com.au/ids/current/20090303/00933225.pdf?uid=4C5D6525A96654A7047823359F4AD8690 94500004A9FF4097078E340F1AB0000F4120000&ppv=

[STRAT]

It's beginning to look a lot like Xmas!!!!

Wow, that announcement came out of left field, just what i needed on a day like this.

http://research.iress.com.au/ids/current/20090303/00933225.pdf?uid=4C5D6525A96654A7047823359F4AD8690 94500004A9FF4097078E340F1AB0000F4120000&ppv=Thats a clever way of saying the neighbours struck oil :D

[brettdale]

Yep, but if your neighbours struck oil, you would be digging like crazy in yuor own backyard.

[ELYOB]

This company is in the pinchers I hear ; might not survive the year out ?

Opinions on this welcome ....

[brettdale]

This company is in the pinchers I hear ; might not survive the year out ?

Opinions on this welcome ....

Well if they have what the neigbours have, they should see out the next couple of decades.

[Crypto Crude]

ELYOB,
Burleson have a few quarters of cash left if that... it is going to continue to spend more than it earns, (just like TEX)....
yesterdays announcement reads well...it increases the value of BUR's Colorado acerage... BUT BUR will have to farm it away to have BUR's costs covered (hopefully farmed out at a greater value) ...
The only way out for BUR is to farmout all its drilling costs for a free carry in all its future projects, in this market with operators/companies pulling out of projects, it remains hard to think that BUR will retain decent exposure to make any sort of difference to its balance sheet....
two years ago me and my mate serpie were betting wheather TEX or BUR would hit 35c first (I think that price)... both were around 20c, and both got there...
serpie won that bet....
now which one will file for chapter 11 first?
TEX has more cash but is channeling down the same path of spending more than it earns......
my moneys on TEX to remain in business longer...
....
im over onshore USA...
never bought back into TEX after sold in 2007 when the fundamentals still looked reasonably strong... had a punt on texo recently... ive cleaned out the closet... dumped all those stocks last year which could have been ripped away by the market, and that happened...
time to move on from all of this...
I think we have all learnt from Onshore US/GOM stocks..... some of us have been lucky to learn with profits...

sell BURO at any price you can get and use it to buy a few beers at the pub....
:cool:
.^sc

[Serpie]

I think they'll both be ok Shrewdy. BUR's still getting revenue from Marlin, and doesn't burn much. They'll tick along for a while yet.

I see that our other little bet got a little closer to fruition this morning. 226 points to go. Have you got that bottle ready?

I dont think my BURO's would buy even one beer after brokerage!

[Crypto Crude]

serpie-I dont think my BURO's would buy even one beer after brokerage


pak in save Moorehouse are selling a dozen castle lagers for 7 bucks....
take em home then....;)


last quarter BUR spend 986k more than it earnt...
it had 1.9 million of cash...
revenues of 600k per quarter....
exploration costs expected to increase 250k this quarter...
not looking good at all...
and only one month left in this quarter to go...
:cool:
.^sc

[Serpie]

pak in save Moorehouse are selling a dozen castle lagers for 7 bucks....
take em home then....;)


last quarter BUR spend 986k more than it earnt...
it had 1.9 million of cash...
revenues of 600k per quarter....
exploration costs expected to increase 250k this quarter...
not looking good at all...
and only one month left in this quarter to go...
:cool:
.^sc


Lets hope this 3D tells them where to dig a hole, and fast!

They've got a few of things in their favour:
- The Kuglers
- Gas prices haven't been smashed as much as oil prices
- They haven't bled their shareholders (yet)
- A revenue stream

You're not a student anymore Shrewdy - stop drinking the cheap stuff.

[Serpie]

two years ago me and my mate serpie were betting wheather TEX or BUR would hit 35c first (I think that price)... both were around 20c, and both got there...
serpie won that bet....
now which one will file for chapter 11 first?
.^sc

They're both still going Shrewdy - and I've still got some BUR in a drawer somewhere. BUR's up 40% in the last few days (true - bugger all volume) and has nosed in front of your old favourite TEX once again.

Another wager?

[Serpie]

I bought some more BUR on close today. They're drilling the first of the Wilcox prospects (spudded this week) with a view to completion in about 30 days.

The recent cap raising and sale of their production chalk wells has given them the $3m cash they need to drill the initial 4 Wilcox prospects. If they all come up dry then BUR itself will become a P&A, but success on just one could transform the company.

By cap raising and selling assets they've managed to retain 38% working interests in these first 4 wells, and still have a 38% interest in the larger Edwards / Sligo prospect, but they've really put all of their eggs in this next basket.

According to their latest investor presentation discovery of a large Wilcox field will be worth >$1.00 per share, and an Edwards / Sligo find >$2.00 per share. Current share price 6.9c.

Investor presentation February 2010:
http://www.burlesonenergyltd.com/documents/512.pdf

I've had a holding in BUR for years, and they've never missed a drill target. If they hit gas and condensate in the Wilcox field then it's all good. If they have success in Edwards / Sligo then it's party time.

If they miss then it's lights out.

[Serpie]

Updated investor presentation for anyone that's interested. Reflects recent sale of chalk assets and increased level of cash in the bank (A$1m in Feb - now A$5.5m).

http://www.asx.com.au/asxpdf/20100412/pdf/31pqf808cyhy50.pdf

Again - big punt and holders may lose the lot if Wilcox targets are dry.

[Serpie]

Brasher is on production today.

Only expecting around 0.3mmcf from this one, but the value in Brasher was in proving the seismic data going into the Wilcox drills. First Wilcox should be at TD now, and reports are of strong gas shows. I'm hoping for confirmation of a completed drill, and preparations for completion for production, his week.

SP up to 8.4c today, but on screen buyers are thin, with most buying today coming from off screen.

Technically 8c has been breached, but I think 9c will be more significant if it gets there.

[STRAT]

I think you are onto something Serpie

[Serpie]

Strat my old buddy!

MACD (12,24) looks good too. Backed up by fundamentals this time though, which is why I'm hoping it's got legs. It's important that it holds it's gains and closes about 8c though.

I'm not sure if the W1 rig is booked to go straight onto W2 (the monster) but I'll find out.

Yep - contracted for 2 wells plus an option on a third.

[crooky]

Hi serpie,
have been following your posts with BUR , was a holder for a while, ended up a tax loss . Must admit BUR looking quite good atm.
Was going to go it but have a rights issue coming up with WCL , keep up the good work.

[Serpie]

Hi serpie,
have been following your posts with BUR , was a holder for a while, ended up a tax loss . Must admit BUR looking quite good atm.
Was going to go it but have a rights issue coming up with WCL , keep up the good work.

An angel came in on close last night and bought everything up and including 8c, so the chart officially held that 8c support, but not by much.
I'm hoping on an announcement today confirming that they've completed W1 and are logging it, and hopefully a comment on gas and condensate shows.
Fingers crossed.

[Serpie]

Bingo. Right on cue.

"Burleson Energy Limited (‘BUR’) has been advised by the AKG Operating Company that the
Heintschel #1 in Colorado County, Texas has reached its planned total depth and is being
prepared for logging. Logging is expected to occur within the next 24 hours. The target objective in
the Wilcox has been encountered over significantly larger intervals than originally anticipated and
has given multiple extensive hydrocarbon shows which occurred during fast drilling breaks, and
resulted in gas-cut mud weights, gas to the surface, condensate in the mud, and included
pressures higher than anticipated.
It should be noted that whilst all of this is very encouraging, petrophysical logs will give a more
definitive indication of producible hydrocarbons and reservoir quality. A further update will be
provided once logs have been run."

I'm off to the pub to schmooze some clients. Have a great weekend!

[denpal]

Serpie, Great, I'm in NSE one of the partners in this campaign, solid sp growth this last few weeks and looking very good today on release of this ann.

[Serpie]

Serpie, Great, I'm in NSE one of the partners in this campaign, solid sp growth this last few weeks and looking very good today on release of this ann.

Good stuff Denpal! NSE outperformed BUR today with a 21% gain. With the markets being closed on Monday investors were getting set for the logging results over the weekend. Let's hope the ride continues for both NSE and BUR.

[STRAT]

Bingo. Right on cue.


I'm off to the pub to schmooze some clients. Have a great weekend!Nicely predicted Serpie you cunning ol bugger :D

[Serpie]

Nicely predicted Serpie you cunning ol bugger :D

Not so much of the "ol" eh!

With this drill (W1) they were targetting a resource worth $50M, so BUR's 38% share (as with NSE) around $20M if it's a producer. Sounds pretty promising so far, and may even have exceeded expectations if the preliminary findings are confirmed.

Current market cap after Friday's action (9.4c close) of around $18M, with cash in bank at around $5M. In their latest presentation they've suggested that a large Wilcox field could add 20c - 75c to the share price. Down from the $1.00 estimate per share in the February presentation, but still a healthy return if the market agrees with their sums.

This is the first of up to 25 Wilcox targets to drill, and the next one (W2) is targetting a field that is 10 times bigger than W1.

Then onto Edwards / Sligo fields that are potentially 6 times bigger than W2.

As always it will be the drill bit that does the talking, but they still haven't missed - now 7 for 7. Let's hope that the logs are positive, and that the well can be completed without failures and put on production ASAP (pipelines are never far away in this area). Could be worth $100k -$200k revenue per month to BUR for gas alone, with condensate (if any) on top of that.

It would be nice to get over 10c and get ticker changing in larger chunks. So far so good.

[STRAT]

Not so much of the "ol" eh!

.Haha I wouldnt have been so cheeky if you actually were old ;)

[Serpie]

Great announcement for BUR, confirming findings that exceeded their expectations.

BUR may have a short term problem now though, as millions went through at 11c, and then it stalled. So there are heaps of shares out there in the hands of people who are not really true fans of BUR, and may want to offload before the end of the day, espeicially following 2 reasonable days on the DOW.

So I ditched my trading parcel at 10c, and will look to get back in on close at a discount.

Or tomorrow or the next day.

Announcement is here:
http://www.asx.com.au/asxpdf/20100427/pdf/31pz40vkhcp5dk.pdf

[STRAT]

You might have to change that name to recycled day trader

[Serpie]

Haha - just trying to keep my hand in young fella. And trying to break the monotony of a day at the PC doing work stuff.

4 trades since getting back on the horse in late January, but still just baby steps. I just want to have something to talk about at the meeting this weekend, and possibly the next Wellington meeting . . .

[soulman]

I got lucky and exited on open at 11.5. Bought in last Friday at close for 9.4 so a good short-term result.

Seeing that BUR is now under selling pressure, this is definitely a buy on rumour, sell on fact classic example.

[Serpie]

Agreed Soulman. Nice work.

I've still got a long term holding, and still have a target price for in excess of where we are now, but it's nice to have a trading parcel to test some short term theories with.

I think the only thing holding the sellers back at the moment is the lack of quantity in the buy queue. So we'll see where it ends the day at. I suspect it may be back at your entry price or below, then we can jump in again before production and W2.

[soulman]

The seller's que is quite congested at the mo. I suspect the buyers at 11.5 and 12 this morning are trying to exit, seeing their trade has stalled and gone the wrong way. Very good volume today so anything can happen tomorrow. I bought on Fri thinking that this will happen. Seeing what happen to a similar stock like BCC last year (they went to as high as 17), there is a chance BUR will test the mid teens if traders and gamblers alike join the party and buy up. I will sit on the sideline now as the margin of safety and R and R ratio diminishes since BUR has gone up 40% since last week.

[denpal]

firming up now, ann. today that Moeller 1 (W2) has spudded and drilling well.

[Serpie]

firming up now, ann. today that Moeller 1 (W2) has spudded and drilling well.

I topped up my long term holdings today Denpal. Im impressed that Moeller has spudded so quickly. Hopefully they'll have more success with the drillbit, and with fraccing W1

[gazprom1]

I topped up my long term holdings today Denpal. Im impressed that Moeller has spudded so quickly. Hopefully they'll have more success with the drillbit, and with fraccing W1

Serpie,

Thanks for your posts on this one. I have bought a couple of parcels on Friday and yesterday at the open. Should see some movement today and as the drill news comes in.

Gazprom

[Serpie]

I hope so Gaz.

Looks like the drill is going reasonably smoothly. Should be a TD on the weekend.

No new of gas shows as yet, but they're nowhere near their target yet, so none expected.

I was having a beer with Bermuda last night and he hit me up about BUR. I couldn't look him in the eye, with 100% confidence, and say "buy". Too risky to be recommending. So if it flies I may be in big trouble with Super B.

For now the problem it has is that it's stuck in that 10-10.5c ticker range, which always represents the easiest available percentage on the ASX, so some will be trying to churn it.

[gazprom1]

For now the problem it has is that it's stuck in that 10-10.5c ticker range, which always represents the easiest available percentage on the ASX, so some will be trying to churn it.[/QUOTE]

Serpie,

She is away to the races today....I sold 40% of my holding at 11 cents...couldn't resist. I bought my first parcel at 8.3 on Friday so locked in a profit. However, I am excited about the prospect and will hold the rest until drill news unless the price leaps another 20% or so. Could close at 12!!

Gazprom

[Serpie]

I was out this afternoon so a close 20% up was a nice surprise. Easy money for you Gaz - great trade.
I participated in the cap raising earlier this year at 6c, so I've just about got a bagger, and it's been a long time between baggers!

I was just re-reading the announcement about Heintschel 1, and see that it's been plugged for 2 months until fraccing equipment is available in late June. So news on Moeller 1 is all we're waiting on for now. Approx 1000ft/day puts them at 10,000ft on a 12,500ft target.

100bcf and 2.4 million barrels being targeted - 38.5% to BUR. Fingers crossed. Good luck holders!

[gazprom1]

100bcf and 2.4 million barrels being targeted - 38.5% to BUR. Fingers crossed. Good luck holders![/QUOTE]

Serpie,

Plenty of interest in anticipation of the news.....wonder whether or not we will hear anything tomorrow or will it be Monday? If the price went to 13 cents, I would be tempted to offload some more. Just over 50% since Monday/ Friday! Can't be too greedy.

Gazprom

[Serpie]

I dont reckon we'll hear anything until Monday or Tuesday Gaz.

I'm going to let this one ride I think. They've either got gas or they haven't, which means it's either 5c or 30c in the next couple of weeks.

I'm pretty much playing Black or Red at the casino.

[bermuda]

I dont reckon we'll hear anything until Monday or Tuesday Gaz.

I'm going to let this one ride I think. They've either got gas or they haven't, which means it's either 5c or 30c in the next couple of weeks.

I'm pretty much playing Black or Red at the casino.

Serpie,
You have always liked this stock. I am pleased you are going to ride it out come what may. Good luck. Watching with interest.

[Serpie]

Thanks Bermuda,

As you've always said - the drill bit does the talking. Holding and hoping now.

[gazprom1]

[QUOTE=Serpie;304560]I dont reckon we'll hear anything until Monday or Tuesday Gaz.

I'm going to let this one ride I think. They've either got gas or they haven't, which means it's either 5c or 30c in the next couple of weeks.

Serpie,

I think we will hear something today!!!! It has been a week since the last announcement. They should be close to the final depth right?

Gazprom

[Serpie]

Announcement out Gaz.

Still 400m to go, and they look to be proceeding with caution. No problem with that. If they have the pressure down there that they are targetting then they need to take it nice and easy.
It was an odd announcement though - saying that they were going to drill another 3 metres and then run logs. Why not do that, and release the ann tomorrow instead? I suppose they've promised weekly anns and so ran out of time.
More news (good or bad) this week, but happy so far.

[gazprom1]

Serpie,

Just realised I have bought another 85,000 shares at 9.1 during this carnage. What a train wreck!!! Where is the good news?? Don't think good drill results would help too much....maybe a little.

Gazprom

[Serpie]

Serpie,

Just realised I have bought another 85,000 shares at 9.1 during this carnage. What a train wreck!!! Where is the good news?? Don't think good drill results would help too much....maybe a little.

Gazprom

If you bought at 9.1c then you're already in the money! You might be the only one making money today (although I see my NWE has a little green arrow next to it).

The story is the same Gaz - hit gas on Moeller and we're sweet - miss and we're falling back. The interference from the DOW is just noise.

I was tempted to buy today but the voices in my head were saying "never add to a losing position". My average on BUR is sub 10c so maybe it's not a losing position, and I should have added?

During the "crash" I kept buying all the way down (not BUR but others) so I've learnt that it's safer to stick my hands in my pockets on days like today.

Good luck for those extra 85k shares. Big bounce on the DOW tonight, and a positive ann on Monday, and you'll be able to offload them and have a nice holiday in the Islands for a couple of weeks. :-)

[gazprom1]

Hey Serpie,

I hope BUR will treat us well. Fingers crossed for a find.

I have made the mistake again of buying in a falling market...going to take a long time to recover the losses. Hoping to make some trading profits on the side. Made a little on a MAK trade today. Have bought CVN aas it is too cheap!

It is an interesting road this one...can't be too depressed about it all!!!

Have a great weekend!

gazprom

[Serpie]

It is an interesting road this one...can't be too depressed about it all!!!

Have a great weekend!

gazprom

Hey Gaz,

Great call! It's interesting, and not at all depressing (in the long run). Good days and bad days. Ya win some and ya lose some.

I've held BUR from 10c up to 34c and back down to 6c again. I've bought and sold along the way, but have always had something invested in them. As long as you're in the game in enjoying it - that's the main thing.

Have a great weekend!

[soulman]

Yeah, good luck Gaz and Serp. I still got some BUR I bought from last week. Down and looking to cut loose for a loss. I am bringing WCL into the weekend, along with TLS, which were both bought today.

[gazprom1]

Soulman/ Serpie,

Difficult week all around. Only did 7 trades....two bad trades MAK at 25 and CVN at 35.5 and another just out of the money CFE at 39.5. Ok trades were MAK at 21.5 and sold at 23.5 and CVN at 31.5..and BUR at 9.1. I am still holding some BUR from the beginning of last week at 8.3. Like you said Serpie, will either rise very stongly or sink back to 6ish on the drill news.

Good luck Soulman with WCL/ TLS.

Gazprom

[soulman]

Thanks Gaz. Got TLS at 292 and WCL for 38. The other 3 trade was NAB, CAZ and PIR. Shoulda bought EKM at 10 but missed that opportunity.

The thing I noticed being a trader is that we always give back the dough somehow. Win some, lose some but what are the ratio for good (70/30?). Things are cheap but as Phaedrus said, no no to buying. Sometimes we buy a dog and ruin all the good work from previous trade. The solution I guess is, stop buying dogs and if you did, let the dogs out ASAP.

[STRAT]

WCL for 38. .Nice price Soulman

[gazprom1]

Serpie,

No news on the drill. Weekly announement due out tomorrow. I am a little nervous that they have found nothing of substance as they should have been through the zone well before today. Thoughts?

Gazprom

[Serpie]

Serpie,

No news on the drill. Weekly announement due out tomorrow. I am a little nervous that they have found nothing of substance as they should have been through the zone well before today. Thoughts?

Gazprom

No idea to be honest Gaz. It has been sold down over the past week along with the general market. But there's no volume there so we know the ship isn't leaking.
Personally I think that if there was nothing there then we would know by now. If you're not finding anything then drilling is a lot faster. It's also possible they've had technical problems and have experienced delays.

I'll take a punt and say that after tomorrow's update we'll be none the wiser, and we'll be playing a waiting game again until later in the week.

[Serpie]

Announcement coming down the pipe. Will it be good? Will it be bad? Will it be an anti climax . . . . .

Delay due to rig repairs.

Stand down.

[soulman]

Nice price Soulman

I am glad I sold BUR for a loss yesterday at 10.5. Better to stay away in these turbulence time.

Anyway, the index can fall to about 4000 points, so a wait and see approach is prudent.

STRAT, I sold the WCL for 43.5 yesterday and I see they are down today. Also glad I sold TLS for 295 and WBC for 2293 yesterday.

[gazprom1]

Announcement coming down the pipe. Will it be good? Will it be bad? Will it be an anti climax . . . . .

Delay due to rig repairs.

Stand down.

Serpie,

Much as you thought, delays!! 7-10 days is now the timeframe. I hope it has been worth the wait as the SP has fallen back significantly. Need a good announcement!!

Gazprom

[Serpie]

Good call getting out at 10.5 Soulman. If you're a believer in BUR then you've got a week of opportunity to jump back in at a lower price. If not then the sideline offers a good view at the moment.
I'm hanging in there because the story hasn't changed, and it's still a punt on the drill programme. The problem I might have is that if it continues to drop it may reach a price where I can't not buy more - based on the value of it's assets. We're not there yet.

Delays are ok Gaz. They're drilling a prospect that they've identified as a "company maker". For all I care they can dig it with a teaspoon if it guarantees success. I've held stocks where they've cocked up the reservoir with poor drilling, and then have had to spend time and money trying to frac it. So I can wait.

[soulman]

Good call getting out at 10.5 Soulman. If you're a believer in BUR then you've got a week of opportunity to jump back in at a lower price. If not then the sideline offers a good view at the moment.
I'm hanging in there because the story hasn't changed, and it's still a punt on the drill programme. The problem I might have is that if it continues to drop it may reach a price where I can't not buy more - based on the value of it's assets. We're not there yet.

Delays are ok Gaz. They're drilling a prospect that they've identified as a "company maker". For all I care they can dig it with a teaspoon if it guarantees success. I've held stocks where they've cocked up the reservoir with poor drilling, and then have had to spend time and money trying to frac it. So I can wait.

Yeah, I was lucky someone took me out. It looks like without any good news, BUR will drift no where for a few weeks. Good luck with your holdings. Also, if I want exposure, I am most likely buying some NSE, since NSE has some exposure to BRU as well.

[Serpie]

I listened to the NSE BRR broadcast today, and bought more BUR. I'm weak! Weak weak weak! Not a lot. Just a wee top up.
The NSE dude was making all of the right noises about the Wilcox programme, both on H1 and M1.

See what you think:
http://www.brr.com.au/event/66041/partner/theaustralian

[gazprom1]

I listened to the NSE BRR broadcast today, and bought more BUR. I'm weak! Weak weak weak! Not a lot. Just a wee top up.
The NSE dude was making all of the right noises about the Wilcox programme, both on H1 and M1.

See what you think:
http://www.brr.com.au/event/66041/partner/theaustralian

Serpie,

Great buying yesterday...well done. Could be news on Monday???? Would like to see a strong US market overnight to provide a good lead on Monday followed by a postive announcement.

Gazprom

[Serpie]

Good rises for both BUR and their drilling partner NSE today Gaz.

I'd settle for a flat night on the DOW tonight so the M1 results are allowed to stand or fall on their own merits, rather than being skewed by market sentiment.

They said 7-10 days on Tuesday, but I was surprised by how long they wanted. I'd like to think we'll know something on Monday.

I might have another listen to that NSE presentation tonight. I wasn't really concentrating on the last part because I was too busy trying to scrape all of my loose change together as fast as I could to get a buy order in.

[bermuda]

Serpie,
I am confident you will be shouting on Monday night. I can feel it. Wouldn't mind some good news from NZO too but both might be later in the week. Look forward to seeing you on Monday. Saw what I thought was Trackers tonight No.4....but it turned out to be The Plunger! ( Andrew ) See you Monday

[Serpie]

I hope so Super B. Got a good feeling about this one too. The speed (or lack of) that they are entering the pay zone has me hoping that they're targetting the mother lode.
Let's hope that I arrive at this meeting in as good a mood as I did for the last one!
No 4 eh - fantastic place to hide out on a cold and windy night.

[bermuda]

I hope so Super B. Got a good feeling about this one too. The speed (or lack of) that they are entering the pay zone has me hoping that they're targetting the mother lode.
Let's hope that I arrive at this meeting in as good a mood as I did for the last one!
No 4 eh - fantastic place to hide out on a cold and windy night.

Serpie,
Last time you arrived you had just won a contract. This time you just might strike it again. Good luck. Hey, NZO might come in too.

Look forward to seeing you and a few the guys on Monday.

[Serpie]

Burleson is enjoying it's 2 minutes of fame on top of the ASX Movers and Shakers board. Might have something to do with the order in the ASX opens the market, and the fact that BUR starts with a "B", but the view is still fantastic from up here!

Blast - just knocked off by GES with 35%. That was fun while it lasted.

[gazprom1]

Hey Serpie,

I was taken out of half my holding but still hold half...I think the story could develop next week as the results come out.

It has been a great few days investing...NGE has been good as has CFE. Looking forward to the NGE drill this month.....

Gazprom

[Serpie]

Hey Serpie,

I was taken out of half my holding but still hold half...

Hopefully that included the ones that you bought accidentally at 9.1c Gaz!

[Serpie]

BUR Update

H1 - Completed for production and awaiting fraccing. Should be fracced before the end of June.
M1 - Completed for production, and awaiting perforation and flow testing. Assuming good flow results should be tied into sales line by end of June.
J1 - Spudded yesterday. Last of the 3 drill Wilcox programme. Targetting a similar prospect to H1.

Share price - still where it was 2 months ago.

I've been adding to my position over the past few weeks as the wells have been completed and some of the risk has been removed. I'm happy with progress so far, and looking forward to some postive flow results, and some hydrocarbon shows from J1 in 26 days time.

Good luck to anyone else still holding.

[Serpie]

BUR Update

H1 - Completed for production and awaiting fraccing. Should be fracced before the end of June.
M1 - Completed for production, and awaiting perforation and flow testing. Assuming good flow results should be tied into sales line by end of June.
J1 - Spudded yesterday. Last of the 3 drill Wilcox programme. Targetting a similar prospect to H1.

Share price - still where it was 2 months ago.

I've been adding to my position over the past few weeks as the wells have been completed and some of the risk has been removed. I'm happy with progress so far, and looking forward to some postive flow results, and some hydrocarbon shows from J1 in 26 days time.

Good luck to anyone else still holding.

J1 confirmed as hitting gas. More news to come within 48 hours following wireline log results. Also expect news of flow rates from M1 within 24 hours.
New of the fraccing date for H1 should be out soon as well. Could be a busy week for BUR.

[Serpie]

Incredibly fast AA. I dont understand the references to "flourescence" so I'll be spending a bit of time on the Google tonight.

That's the last drill of the current contract though, so it's time to get H1, M1 and J1 on line, and get an income stream established.

These guys still haven't put a foot wrong. I hope their luck holds through the perfin', fraccin' and flowin'.

[Oiler]

Incredibly fast AA. I dont understand the references to "flourescence" so I'll be spending a bit of time on the Google tonight.

That's the last drill of the current contract though, so it's time to get H1, M1 and J1 on line, and get an income stream established.

These guys still haven't put a foot wrong. I hope their luck holds through the perfin', fraccin' and flowin'.

Serpie your gettin to sound like a real Texas oerl man with ya perfin and fraccin. All ya need now is the big buckle and them cowboy boots and yuz a real oilman. :t_up:

[Serpie]

Serpie your gettin to sound like a real Texas oerl man with ya perfin and fraccin. All ya need now is the big buckle and them cowboy boots and yuz a real oilman. :t_up:

You're forgetting about the most important missing ingredient - OIL!!! Need some of that!

[soulman]

Getting smack hard. The news must be so bad that a coy can lose nearly half its value.

I don't hold any and will not be buying in the forseeable future.

You guys still in this, Serpie, Gazprom?

[Serpie]

Still here Soulman.
Been holding for 5 years. Selling is for quitters!

[gazprom1]

Hi Serpie,

Been away for a couple of months but have been watching. I was holding BUR when the price sank...HELP. Went back in for a trade at 5.5 cents a while ago and exited for 6.7 cents. Still down overall. Due an update any day re fraccin and flows. Still hold the shares that held at the time of the price drop and trying to add a few at 5.7 cents.

Gazprom

[Serpie]

Gidday Gaz,

BUR's been smashed but I'm still upbeat, and actually think it's been de-risked somewhat since it was hanging around the 10c mark. I haven't bought any more since it plummeted on the M1 news - having learnt the hard way that you should never add to a losing position! My average is around 10c, so if it passes that mark again I'll have another look.
I'mlooking forward to flow rates from H1 and J1.

[Serpie]

Nice ann out for BUR this morning.

http://www.asx.com.au/asxpdf/20100728/pdf/31rjzdbdsb26qq.pdf

Mid case for revenue from Hientschel of $125M. Development costs of $13M. Operating costs of $0.3M per annum. Market cap was $12M, but that's gone up a bit today.

A hard act to follow, but fingers crossed that J1 and M1 also deliver the goods.

I see that their partner NSE is talking about a 12 well development programme for Hientschel, starting in October, so a cap raising looks likely.

[gazprom1]

Hey Serpie,

Good announcement....should be able to deliver strong cashflows reasonably quickly. Interesting that SP is still 50% below the M1 drill result despite H1 being outstanding....markets for ya!!! I am happy.

Thinking about adding more if we have a market correction from current levels. Any views Serpie?

Cheers
Gaz

[Serpie]

Hey Serpie,

Good announcement....should be able to deliver strong cashflows reasonably quickly. Interesting that SP is still 50% below the M1 drill result despite H1 being outstanding....markets for ya!!! I am happy.

Thinking about adding more if we have a market correction from current levels. Any views Serpie?

Cheers
Gaz

Gidday Gaz,

Yes a great result. H1 was estimated (pre-drill) to be around 7.2bcf & 100mb of condensate. Now that they've drilled and tested it they're saying 59bcf and 1.1mmb of condensate as a mid range guess. Which is just about half asbig as the target at M1.
I still think M1 is a runner, but they'll have to re-drill it.
I'm now looking forward to results from J1 more than anything.

As to adding more - up to you. My timing usually sucks.

Good luck!

[gazprom1]

Does anyone know the record date for the rights issue??

[trackers]

Does anyone know the record date for the rights issue??

Unknown at this stage I think, was eying that up myself as its a fairly generous issue. 1 for 3 on the cheap plus half the entitlement worth of oppies

[gazprom1]

Hi trackers,

Good deal as fully underwritten as well. Wrote a little bit y'day under some other heading addressed to Bermuda re BUR. I tride to scoop a few but have missed for the moment. IMHO BUR is going to reward holders exceptionally well in the short to medium term.

Was meaning to say congrats on your EKMO. If we had some good drill results the sky is the limit.

Gazprom

[trackers]

Hi trackers,

Good deal as fully underwritten as well. Wrote a little bit y'day under some other heading addressed to Bermuda re BUR. I tride to scoop a few but have missed for the moment. IMHO BUR is going to reward holders exceptionally well in the short to medium term.

Was meaning to say congrats on your EKMO. If we had some good drill results the sky is the limit.

Gazprom

Hey Gaz, cheers for that you have been doing well lately too? Might be time for another tractor soon the rate the markets going...

Might check these guys out next week (after ASB Securities finds the 5-figures of mine they've misplaced... and yes unfortunately/tragically I'm serious), its that eternal question of whether to jump in on the issue or wait for the sp to drop to compensate for it... I'll have faith that it won't be retrospective (but you never know).

My ears always pick up when I hear Patersons are fully underwriting something... They picked up a hell of a lot of AVB a while back, and are in on the current ARV issue so will be interesting to see how it all pans out.

[gazprom1]

Hey Gaz, cheers for that you have been doing well lately too? Might be time for another tractor soon the rate the markets going...

Might check these guys out next week (after ASB Securities finds the 5-figures of mine they've misplaced... and yes unfortunately/tragically I'm serious), its that eternal question of whether to jump in on the issue or wait for the sp to drop to compensate for it... I'll have faith that it won't be retrospective (but you never know).

My ears always pick up when I hear Patersons are fully underwriting something... They picked up a hell of a lot of AVB a while back, and are in on the current ARV issue so will be interesting to see how it all pans out.

I agree with your comments trackers.

I bought another 250,000 shares today at 6.5 and 6.8. If we believe the market should act rationally (which it doesn't but anyway) to the rights offer, the SP was 7.3 cents before the trading holt. A 1 for every 3 shares held for 5.5 cents should see the SP at 6.85 (7.3 x 3 plus 1x5.5 divided by 4). It did in fact finish at 6.8. There is also one option for every 2 new shares thrown in which could be worth something. Will be interesting to see the record date...would be nice if todays purchases will be entitled to the rights issue but thinking they will probably not be.

IMHO there is some money to be made in BUR by Xmas -......maybe plenty if the markets remain friendly. I think we will find that the news flow on exploration and fraccing will be timely and I believe they know a little more than they are letting on.

Yeah trackers, we have had a good run on a few stocks . Only one regret this week....PLV...missed 40%. Did not see it coming and sold out. I bought a Celli spike rotor for the tractor and that sucked up plenty of cash. Trying to squeeze in a holiday at the end of the week...

Enjoy the weekend.

Gaz

[gazprom1]

I can see that there are lots of interest in BUR so will write another snippet for myself and hope it works like machines posts=) Ex entitlement y'day and theoretical price should have been 6.17 cents (1 for 3 at 5.5 cents plus free option). Closed at 6 y'day. trading at 6.8 today...fracc equipment turning up one month early. I always wonder whether or not they know this in advance of raisings like this??? Will be a home run for BUR if fracccing works and mid case for well is determined (or better).

Gaz

Discl: Hold

[gazprom1]

Still enjoying writing to myself. It has been a stellar week for BUR...finished at 8 cents but there is a 7.7 sell there. Bid on BURR at 2 cents which is great... going to subscribe for my lot and a few more at 5.5 cents...potentially 2.5 cents per share to be made or 45%. They are supposed to be fraccing on the 26th but not sure how much news they will disclose before rights issue closes. Stated may take a month for results to be fully known despite fraccing taking a day or so.

Gazprom

[Corporate]

Hey Gaz...I'm liking the looking of BUR. At this point, what is your view on the best entrance? Just buy heads or go after some rights?

Cheers
C

[gazprom1]

Hey Corporate,

Problem is that rights can be taken up at 5.5 cents and current SP 7.6 may see punters lock into the 2.1 cent profit and sell heads which will depress the price...this may be more evident on issue of the "new" shares but could happen at any time. On the flip side, the heintschel fracc is taking place tomorrow which is a potentially very large field for BUR. If results were good then obviously the SP could test past highs of 12.5 of the past 6 months. No firm timeline for release of results but they have stated that it will take a while (up to a m onth I think they stated somewhere) to anazlyse those results.

One option may be to pick up BURR at 1 cent from a punter who cannot afford the 5.5 cent conversion. Gives you a 6.5 cent entry. If Heintschel was found to be a lot smaller than "low" case scenario then price may only slip back to the 5.5 cent offering price. If Heintschel is on the high side of estimates then will push through past 10 cents IMHO.

How is the rest of your portfolio looking??? Have you taken a look at ADD. ex rights issue at the moment. rights were at 2cents and closes around the 17th of November I think from memory. Bid in at 2.2. No trading of rights. Look at their releases.....picking they will announce that all is fine with agreements and that they are going to commence operations pre Xmas and then a reserves upgrade.

Gaz

[gazprom1]

Rights issue successfully away....BUROA at 2.8 cents up 21% for the day. SP at 6.7 down from 7.6 a few weeks back. Drilling due to commence today.....interesting times.

Gazprom

[gazprom1]

BUR is chugging along ok. Research note out from Patersons (underwriters to the cap raising!!) and they have spec buy on it. Closed at 7.1 cents today which is the highest it has been for a couple of weeks.

Drilly - can you give me a little insight (if you have the time) into the TA side of where BUR sits at the moment.

Gaz

[Serpie]

I'm still in BUR Gaz, and took part in the cap raising last month at 5.5c.
The current drill will bbe helpful in further defining the field, and the following drill (H2) should add to cashflow without too much capex.
Steady as she goes.

[gazprom1]

I'm still in BUR Gaz, and took part in the cap raising last month at 5.5c.
The current drill will bbe helpful in further defining the field, and the following drill (H2) should add to cashflow without too much capex.
Steady as she goes.

Hey Serpie,

I didn't know that you hold - I am glad there is someone else out there. Cap raising was excellent for the company and s/holders. Agree with your comments. High side on the condensate estimates looks possible and that will be great for cashflow. Ann out this am that have acquired more Wilcox prospects...these guys seem to be heading in the right direction. Tend not to over promise.

Gaz

[drillfix]

Hi Gaz,

Here is a chart for BUR

http://i55.tinypic.com/2wnmm8h.png

I dont follow BUR very much so dont know too much about this stock except oil or gas maybe? LOL

To me the chart shows its been trading in a range.

Parabolic sar shows it may move up a little, but as its in a range, these dots may not last for too long compared to other upward moves.

As you can see by some of the lines, they are getting Lower, and Lower highs.

The OBV and RSI has not risen and currently show below previous movements by shown in the lines on each indicator.

MACD also shows little Histogram and Signal line activity as it has for the past while.

Its like this boat is waiting for a direction and there is no conviction or belief therefore little by little traders are getting out of the story which is becoming less interesting. So the chart shows anyway.

The other thing to note would be the side white line drawn, which should have potentially been a repeating range, which it has failed to do.

No recommendation here, but its not the sort of ranges or stock that I would prefer to trade, but thats just me, longer termers may feel different about that or for those who continue to buy the bigger dips.

[gazprom1]

Excellent thanks DF. I used to trade the stock but now am a longer term holder because I like what they are onto. They are into gas mainly although they tend to discover condensate with the gas. They have just been through a cap raising and are trying to determine via app drilling the size of a discovery they have made. I am comfortable with what you have posted and what I know.

Thanks again DF...enjoy the weekend.
Gaz

[drillfix]

No worries Gaz, you and the rest of the ST gang have a great weekend too.

[Serpie]

No movement today, and no ann. Weekly update due tomorrow.
Just sent you a PM Gaz.

[gazprom1]

No movement today, and no ann. Weekly update due tomorrow.
Just sent you a PM Gaz.

Cheers Serpie. Tomorrow will be the day for BUR to update us on the gas. It is a bit of the fingers crossed and hope. Just sent you a PM.

Gaz

[Serpie]

Good ann for BUR today with D.Truchard confirmed as being completed for production. 90m of hydrocarbons, and further confirmation of the high side of estimates for the Heintschel field. This was a big step out, so very pleased with the result.
Rig being moved to H2, with both due for fraccing at the end of January.
Still no sales from Joann though.

[gazprom1]

Good ann for BUR today with D.Truchard confirmed as being completed for production. 90m of hydrocarbons, and further confirmation of the high side of estimates for the Heintschel field. This was a big step out, so very pleased with the result.
Rig being moved to H2, with both due for fraccing at the end of January.
Still no sales from Joann though.

Hey Serpie,

It is a very good result and I relieved more than anything. Will be interesting to see the flows after the fraccing. Also, they indicated there could be zones outside the 90m column. Straight onto to H2 which should continue the good news flow. SP spiked at 7.8 but currently at 6.9. IMHO, I think that some investors/ punters are taking some rights money off the table - they were in at 5.5 - nice 40%+. SP should track higher if H2 is successful.

gaz

[Serpie]

Hey Serpie,

It is a very good result and I relieved more than anything. Will be interesting to see the flows after the fraccing. Also, they indicated there could be zones outside the 90m column. Straight onto to H2 which should continue the good news flow. SP spiked at 7.8 but currently at 6.9. IMHO, I think that some investors/ punters are taking some rights money off the table - they were in at 5.5 - nice 40%+. SP should track higher if H2 is successful.

gaz

Great result Gaz.
We should see DT, H2 and J1 all connected to sales within a few weeks at the beginning of next year, and then another dozen plus wells in the field to fully develop it. We can relax over Christmas now.

[gazprom1]

Great result Gaz.
We should see DT, H2 and J1 all connected to sales within a few weeks at the beginning of next year, and then another dozen plus wells in the field to fully develop it. We can relax over Christmas now.

Serpie,

Interesting price movement on BUR past couple of days. Withstood selling pressure y'day to end the day flat after being down most of the day. Good volume going through today and up a nice 4%...from a TA perspective a wonder if it is breaking out of its trading range???

H2 is over 3km down....hope it confirms H1 and they are able to bring it online quickly. Fraccing of DT shortly...I am a happy camper!!!

Gazprom

[Serpie]

Looks like it's getting squeezed a bit Gaz - hopefully it will break out of the top, and get past 7.9 which has provided a bit of resistance in the past. The buy side is looking a little heavier than usual, and just needs a wee nudge.

A better rise for DGR today though - strong buying at the close!

[gazprom1]

Looks like it's getting squeezed a bit Gaz - hopefully it will break out of the top, and get past 7.9 which has provided a bit of resistance in the past. The buy side is looking a little heavier than usual, and just needs a wee nudge.

A better rise for DGR today though - strong buying at the close!

Nice gain for DGR...lucky to get in y'day I think.

The depth in BUR is looking very good and I haven't seen it for a while. Be interesting to see if it goes on a run tomorrow....would be great to get a strong lead from the US/ Europe overnight. I guess there will be news from H2 early next week??

Gaz

[gazprom1]

We are away again today Serpie....depth is increasing on the buy side...H2????

Gaz

[Serpie]

We are away again today Serpie....depth is increasing on the buy side...H2????

Gaz

More gas at H2 Gaz, and as usual a cautious and conservative anouncement from the joint partners.
3 wells now ready to come on line (2 after fraccing this month) should hopefully get us to 10mmcf/d within a few weeks, plus a healthy amount of condensate.

Net $600k per month for our wee company?

[gazprom1]

More gas at H2 Gaz, and as usual a cautious and conservative anouncement from the joint partners.
3 wells now ready to come on line (2 after fraccing this month) should hopefully get us to 10mmcf/d within a few weeks, plus a healthy amount of condensate.

Net $600k per month for our wee company?

They are doing a great job and the drills seem to proceed without any real issues or hold ups. Waiting for the fraccing equipment seems more of an issue as obviously there is huge demand at the moment.

IMO there are 3 near term drivers of the SP:

1. High level of condesates in field;
2. Successful hook up of the 2 wells into the sales network; and
3. Farm out and drill schedule for the "Whoppa" prospect.

If H2 confirms the "high side" estimates and the fraccing goes well they will look to drill more wells and book the reserves. More news on H2 in a couple of days...

Gaz

[Serpie]

They are doing a great job and the drills seem to proceed without any real issues or hold ups. Waiting for the fraccing equipment seems more of an issue as obviously there is huge demand at the moment.

IMO there are 3 near term drivers of the SP:

1. High level of condesates in field;
2. Successful hook up of the 2 wells into the sales network; and
3. Farm out and drill schedule for the "Whoppa" prospect.

If H2 confirms the "high side" estimates and the fraccing goes well they will look to drill more wells and book the reserves. More news on H2 in a couple of days...

Gaz

Add to that hook up of the third well (H2, DT, and J1) and confirmation of flow rates throughout.
I believe that H1, H2 and DT allows them to book reserves for the Heinstchel field?

I'd like to see them step out again to further define the field. Perhaps a repeat of the current 2 drill programme with one development and one exploration well within this field.
Fraccing equipment booked for last week of January I believe.

[gazprom1]

Add to that hook up of the third well (H2, DT, and J1) and confirmation of flow rates throughout.
I believe that H1, H2 and DT allows them to book reserves for the Heinstchel field?

I'd like to see them step out again to further define the field. Perhaps a repeat of the current 2 drill programme with one development and one exploration well within this field.
Fraccing equipment booked for last week of January I believe.

Re the booking of reserves, they have been talking about that in relation to getting these 3 wells drilled (H1, H2 and DT) but I have no idea what is required in terms of proving up a reserve especially when there are different depths of gas over the field, etc. You would think they would need to step out like you mention to further define the parameters of the field.

I am sure what value investors would put to the booking of reserves???? AMU was a little disappointing with its sales process and it had booked P1 reserves. I think it is vital for us as S/H's to get wells hooked up asap to get the revenues flowing...if they did a 12 well program (and they talk up to 24) at 100 barrels of condensate per well (like H1) then BUR's share would be around $1 million (38% of 1200 BOPD x $80) a month and then there is the gas!!!!! That would be interesting.

Gaz

[gazprom1]

Hey Serpie,

Well, I gave into temptation and sold 100k at 8.1. Just taking a few of those 5.5 cent rights off the table. Really healthy breakout and volume - very happy. Highest it has been for a while. News tomorrow re the wire logs....

Gaz

[Serpie]

Hey Serpie,

Well, I gave into temptation and sold 100k at 8.1. Just taking a few of those 5.5 cent rights off the table. Really healthy breakout and volume - very happy. Highest it has been for a while. News tomorrow re the wire logs....

Gaz

Good on ya Gaz!
It ran a bit hard today, so I think you might have a chance to get back in again at sub 8c - depending on tomorrow's announcement of course.
I haven't picked up a "bagger" for a while so I'm looking at those 5.5c ones as my best shot.

I'm hoping it holds above 7.8c today, while shaking out a few of the rights holders at the same time. I'll be watching the close with interest.

[gazprom1]

Good on ya Gaz!
It ran a bit hard today, so I think you might have a chance to get back in again at sub 8c - depending on tomorrow's announcement of course.
I haven't picked up a "bagger" for a while so I'm looking at those 5.5c ones as my best shot.

I'm hoping it holds above 7.8c today, while shaking out a few of the rights holders at the same time. I'll be watching the close with interest.

Good close Serpie on strong volume. I hope it keeps on moving up....happy not to be given the chance to buy back the ones I sold!!!!

Hope we get some positive news tomorrow.

Have a good one.

Gaz

[gazprom1]

Ann out Serpie. Very good result for H2 by the looks of it. Confirms what they thought might be there plus maybe some more in lower sands. Great they are fraccing before end of Jan and bringing on line the 3 wells. Want to see that condensate production.

Gaz

[Serpie]

All going nicely to plan Gaz. Fairly muted reaction from the market, but good gains over the last couple of days in anticipation of this ann.
Especially nice to see the Joann info.
Condensate will be interesting.

[gazprom1]

I think we could see it move higher from here by the close and as you say Serpie, we hav had very good gains the past couple days. More news in a couple of weeks.

Gaz

[Serpie]

Reasonable close Gaz.
Just tried to PM you but your inbox is chocka block.

[gazprom1]

Sorry Serpie. Send it through now as I have cleared a few messages out.

I thought it was a good close on solid volume. BUROA's are up 7% for the day as well on good volume. Great news re the drill adn the field. Bring on the fraccing and let's get some money in and then look to drill another 12-18 holes (plus a farm out of Whoppa!!!!!)

Gaz

[gazprom1]

Hey Serpie,

Have a look at the SP.....!!!=)=) Oppies up nicely as well. Have not had a look at the research report yet but will so shortly. Will PM you.

Gaz

[Serpie]

Hey Serpie,

Have a look at the SP.....!!!=)=) Oppies up nicely as well. Have not had a look at the research report yet but will so shortly. Will PM you.

Gaz

It's been a long haul Gaz, but the results are getting harder and harder to argue with.

[bermuda]

It's been a long haul Gaz, but the results are getting harder and harder to argue with.

Well done Serpie,
As you know, good things take time...and there are always Black Swans to dodge.

[Serpie]

Well done Serpie,
As you know, good things take time...and there are always Black Swans to dodge.

I swapped a handful of heads for some oppies yesterday Super B, so I'm doubly pleased with myself. I've heard you talking about these "black swans" on other stocks, but don't know what they are. They sound ominous! I look forward to a fuller description over a beer.

[drillfix]

Hey serpie, check it out.

http://en.wikipedia.org/wiki/Black_swan_theory

The reasons on why they are called Black swans is that nobody ever expects to see them, and usually they come when nobody is prepared or could envisage such possibility.

That link explains all and a good read, for both Bull and Bear alike.

[airedale]

Hmmm... Black Swans indeed, sounds ominous. I hope that they don't fly over NWE's backyard on the Swan River. :]

[drillfix]

hope that they don't fly over NWE's backyard on the Swan River. :]

LOL airedale, yes, they do actually.

That is where the term originally derived from when some Dutch dude discovered a black swan on the swan river in Perth WA.

To think for years I used to swim and sail catamaran and water ski in that river and I never saw no Black Swans :P

[Serpie]

Ahh - thanks Drilly.
Since the very definition of a black swan is that it can not be predicted, then there's not much point in losing sleep over it.

[Financially dependant]

I got in the nick of time, the chart and the ann on Wednesday was too good to pass up, pleased I did...Will follow the trend up.

[gazprom1]

I got in the nick of time, the chart and the ann on Wednesday was too good to pass up, pleased I did...Will follow the trend up.

Well done FD. Hope they update us next week on the analysis of the drill log and confirm the fraccing dates. IF European/ US markets hold together next week it could potentially be a good week for BUR.

Gazprom

[Financially dependant]

Well done FD. Hope they update us next week on the analysis of the drill log and confirm the fraccing dates. IF European/ US markets hold together next week it could potentially be a good week for BUR.

Gazprom

Thanx Gazprom, I'm thinking we are in for a good month...

[gazprom1]

Market did not the news re the hook up of the two wells. Reference to more water than expected IMO has spooked investors. Happy to add at these levels.

Gazprom

[Serpie]

Market did not the news re the hook up of the two wells. Reference to more water than expected IMO has spooked investors. Happy to add at these levels.

Gazprom

Haha - I'm happy to jump out the window at these levels!
Never mind Gaz - we'll fight another day. The water was unexpected after they made a big point about avoiding the GWC in the H2 and DT1 drills, so very disappointing. And J1 delayed again. Many have had a gutsful a feel.

I'll hold, but not happily for now.

[STRAT]

Hi fellas.
With 9 red days in a row I guess bad news is not unexpected. The fall past 8c is a worry. Back into the range? or more down side?

Doesnt look like it will fall below 6c today but id be watching for it later on.

[gazprom1]

Serpie,

Presentation puts a different light on the water...they are saying the gas is pressure driven not water driven and that they EXPECT the water not to get any worse and they can handle the water. SP has recovered from 6.6 to 7.1 y'day. Oppies have stayed down and have been buying.

Question: my understanding is that if you own over 5% of the shares of company you have to disclose to the Stock Exchange and that disclosure is then ongoing everytme you add or subtract until you fall below the 5% threshold. Does that apply to options?? That is, if you own 5% or more of the options, do you have to make a disclosure?? Depending on the market, I will could be running close by the end of next week in the oppies.

Gaz

[percy]

My two bobs worth. No. Even if you owned 100% of the options you would not need to disclose. You only own an option to buy shares. On conversion should you be higher than 5% then you would have to disclose.If you are still concerned I can ring Craigs on Monday and find out for sure.
I agree with KW's post.

[Serpie]

Thanks Percy and KW.

One more thing though Gaz - If you own a substantial amount of BUR it may pay to disclose this to your psychiatrist after the week we've had!
Great play on the options. Huge leverage from here and plenty of time.

Off to play cricket with the kids, and have a coffee with the wife, before Bermuda's BBQ this afternoon.

[gazprom1]

KW/ Percy,

Thanks for the information - makes sense.

Serpie - psychiatrist is required for sure. It has been a testing week for BUR. Interesting that the heads moved from 6.6 to 7.1 (after getting mauled) but the options have stayed at their lows....just need a steady flow of good news starting with the Johan hook up. Going to use a bit more MAK money to buy some more options. IMHO it is a potentially a great short to medium term play. Just going to tap some numbers into the BS model and see what numbers spit out for the oppies.

Gaz

[Corporate]

Hey Gaz

After exiting CFE last week I'm looking for another stock to get stuck into. I'm finding there isn't much around, but BUR has come to by attention. Are you still holding? What's you view on the current state of play?

Cheers,
C

[gazprom1]

Hey C,

I have been watching the CFE thread...interesting SP action. The only thing that struck me was the amount that Sage spent supporting the SP via the BB - was that responsible? CFE has been a good performer for me historically so just watching how it pans out.

Re BUR, I am still holding both heads and options. Have loaded up on the options during the most recent correction. Offloaded a few hundred thousand heads on the most recent rise but still hold plenty. Potential drivers for BUR:

1. Connection of H2 and Joann onto sales. H2 was supposed to be hooked up last week but no news. Joann is supposed to be this week but this also has been delayed historically so not holding my breath.

2. Flow rates for the 3 news wells when they have been hooked up and flow rates stabilised.

3. Booking of reseserves for the Heintschel field. Looks likely that the liquids in the field will be substantial and more that first predicted. Liquids are obviously more valuable.

4. Announcement on forward plan and number of wells to be drilled in the Heintschel field.

5. Farm-in partner for the Whoppa drill.

My concern is that management have said wells will be hooked up to sales and it has not happened or has been delayed. Therefore credibility is a concern. Water cut in the wells is what hurt the SP recently and we need further information on that as it is a concern. 1-4 above are all potential near term drivers

IMHO the options are mispriced. They are very long-dated and will have significant volatility over the next coupe of years - both higher and lower that current levels.

[waterboy]

trading halt, any thoughts....good news/bad news.....maybe farm in on the whoppa?

[Corporate]

trading halt, any thoughts....good news/bad news.....maybe farm in on the whoppa?

Capital raising!

[waterboy]

Capital raising!

Do you have any reason for this or just a guess

[Corporate]

Do you have any reason for this or just a guess

It says on the second page of the announcement

[gazprom1]

Kind of holding my breath on this one...the probability is that they are raising capital for the drilling campaign for the Heintschel field....maybe another 10-15 wells in a very short period of time. IMHO this is the most likely reason for the cap raising. Management have been inclusive in their cap raisings historically in that ALL shareholders normally have been able to participate. However, if they want to get it away quickly then it may be to sophisicated investors only...would potentially be negative depending on the price.

Whoppa?? Outside chance that they are raising funds for that as well.

Gazprom

[waterboy]

I'm thinking this capital raising is more likely to be with institutions and sophisticated investors given the time taken.

[gazprom1]

I'm thinking this capital raising is more likely to be with institutions and sophisticated investors given the time taken.

I think that you are probably right Waterboy. If it was just an SPP it would have been sorted out in advance and no need for an extra day. Might be a last bit of horse trading or documentation issues. We still may get a chance to participate. Hope the price is not too deeply discounted but insto's will want it as cheap as chips.

[waterboy]

oh well a bit of private and public money, very similar offer to the one a few months back and back to square one for share price. Be interesting to see how many people participate this time round....it seems a little soon after the last issue to be wanting more money.

[gazprom1]

Have taken a beating today. Cap raising is not too deeply discounted and options attached. I will
take mine up for sure despite not beng overly impressed by the explanation given. No concrete timeframes and no mention of Joann. Management have proven to be concerned about all shareholders and have delivered in part on what they have said they would do.

When it feels bad it is time to back up the truck...=)=)

Gazprom