BCC : Small Cap - Big gas flows

[SMan]

Since listing BCC have made quite a lot of impressive progress and could be work a look for those interested in US gas. - Released their quarterly yesterday.

Main play at present: Pompano field - offshore texas 65%.

2 wells drilled sucessfully (better than expected)

Well 1: On production ~6.5mmcfd plus condensate
Well 2: Almost ready to go estimated ~6-7mmcfd

This will pull in around $USD1M per month after overheads etc, on a market cap of around $30M with $8M cash in the bank after their listing generating $20M

- They estimate around $15M US pa (Probably a bit less with when decline rates/down time is factored in)

They are planning 2 more wells in this feild this year and an independent reserve report should come through in a couple of months.

They have also acquired a number of other leases both off shore and on. Have 2 more wells planned for '08 within these projects.


Does anyone here hold or follow BCC?

DYOR

[bear]

Since listing BCC have made quite a lot of impressive progress and could be work a look for those interested in US gas. - Released their quarterly yesterday.

Main play at present: Pompano field - offshore texas 65%.

2 wells drilled sucessfully (better than expected)

Well 1: On production ~6.5mmcfd plus condensate
Well 2: Almost ready to go estimated ~6-7mmcfd

This will pull in around $USD1M per month after overheads etc, on a market cap of around $30M with $8M cash in the bank after their listing generating $20M

- They estimate around $15M US pa (Probably a bit less with when decline rates/down time is factored in)

They are planning 2 more wells in this feild this year and an independent reserve report should come through in a couple of months.

They have also acquired a number of other leases both off shore and on. Have 2 more wells planned for '08 within these projects.


Does anyone here hold or follow BCC?

DYOR

Excellent little company and cheap at this price :)

http://au.biz.yahoo.com//080424/43/1pmsf.html

a little info to digest

bear

disl - held

[SMan]

BCC normally release updates on a tuesday, there hasn't been one for a while so today could be the day. Expect the second well to be on production today or tomorrow ~7mmcfd plus 30bl condensate. Might spark some action in the SP.

[bear]

BCC normally release updates on a tuesday, there hasn't been one for a while so today could be the day. Expect the second well to be on production today or tomorrow ~7mmcfd plus 30bl condensate. Might spark some action in the SP.

great announcement :D

http://www.asx.com.au/asxpdf/20080506/pdf/318zkx58ft39r0.pdf

now producing 14.6m cubic feet per day and earning approx $US1.66m per month or almost $US20pa net (less corporate and admin costs around $US3m) all for a market cap of $A24m

bear

ps there is more to come

[SMan]

Yes great announcement, about as expected. Has cost them around $12M to get the two wells on production, so looking good for a payback time of ~9 months at current production (Conservatively). Have $8M in the bank, now going up by around $1.3M per month after costs etc (BCC estimate). It is nice to see gas flows above those predicted, management are pretty conservative with flow rates and sales prices etc, so at gas prices > $11mcf they are prob almost pulling in A$2M a month. Had a wee spike today but I think the market is waiting for the reserve report.

[SMan]

Looks like BCC has started to go off today, has touched 28.5c with a reasonable amount of interest in the 25-28c range

[Footsie]

i joined the party today

small cap oilers getting ready to blow off when the oil price has its final nudge up...

[Footsie]

32c now... First revenue out...


looking for another push higher when the REsource 2p numbers come out this month

[SMan]

Up to 35c now, decided to buy 10k more.. a bit of averging up - hope the trend continues.

[Footsie]

reserve numbers look good for 1 well.

nice start

OIL up again to record highs

[Bobbyvee]

Certainly looks interesting, my only concern is their cash position - for quarter ending Marrch 08 their cash reduced from $12M to $6M. I doubt they are in a position to generate sufficient income avoid further capital raising

[SMan]

They are a little squeezed for cash at the moment, reported to have $6M on hand with estimated $3.5Mish expenditure this quarter. Have since received $0.5M for March gas and are expecting payment for April and May in June and July respectively. So as the revenue stream is a little behind they will be a bit tight pushed (cashflow wise) for a while as they are planning several more wells this year. If they stopped drilling then they'd be cashflow positive by around $20M, so as long as they don't commit more than that to the drilling program they will be o.k. In the past 6 months they've burned $14M but that includes paying for leases etc. Another well at pompano plus a couple on-shore (Lee county) will likely cost ~$15M. So over a 6 month timeline they could reduce cash reserves to around nil ($10M revenue plus $5M cash spent). They will then hopefully have 3 pompano wells and maybe a couple in Lee county pumping out around 10-15mmcfd Net to BCC. This equates to a revenue stream of ~$30M-50M pa. On a current MC of ~$55M the PE ratio will sit about 3. This is all dependent on another sucessful Pompano drill (I would prefer they drilled well #4 next instead of #3) and the first Lee county well being sucessful.

Are there any chartists out there who could comment on the recent rapid rise in SP and if it appears sustainable (Fundamentals asside)?

[SMan]

Looks like BCC is starting another leg up today. Has bounced of a new alltime high of .42c Management are busy drumming up support at an O&G conference at the mo. Needs some broker coverage now. Next Pompano well due to spud this quarter, hopefully sooner rather than later to keep this moving.

[bear]

Looks like BCC is starting another leg up today. Has bounced of a new alltime high of .42c Management are busy drumming up support at an O&G conference at the mo. Needs some broker coverage now. Next Pompano well due to spud this quarter, hopefully sooner rather than later to keep this moving.

Nice presentation (and price action slowly but surely)

http://www.asx.com.au/asxpdf/20080526/pdf/3199hqs52rrpp5.pdf

plenty more growth come

currently $US1.3m net per month (and will rise) not bad for a mkt cap around $A55m

Bear

bear

[Footsie]

see my posts on hotcopper

my valuation is 76c

[Footsie]

presented at the oil and gas conference today.

we may see further interest in the next few days

[SMan]

BCC have gone into a trading Halt... wonder what it could be? Only good news I presume short of a cyclone taking out their platform.

[Rabbi]

BCC have just refinanced and I like the look of this company. Most of their permits are low risk and their management team is impressive. This stock is still under the radar and a good buy at current price.

[Wysiwyg]

Production now from the first two wells at 16 mmcfg/d with their 65% interest.The funding through Macquarie is to drill the next well at Pompano asap.Market capitalisation of about 55 mil. and they`re aiming for 32 mmcfg/d production this year.I wonder if there is going to be positive sentiment toward the company.

They do have meaningful % interests, very good production rates and are building certified reserves.

[Ptolemy]

Hey, does anyone still watch / own this company. They have just had a successful outcome from their drilling at their Pompano field - in clean up phase but expecting gas flows to 7mfpd. The shares have been all over the place since their announcement with traders playing with it.

They have another drill next month in their Lee County tenement. Adjoining feilds have had 11 out of 12 as successful drills. This company only has a market cap of 12 million. It was 40c a year ago with no producing fields before the GFC meltdown (admittedly gas diluted shares by 2 in the interim). The options have a 3 year expiry, strile 10c - currently trading at 2c, head at 5.5c.

Looking back at the posts, if they were good at 28-40c then they are great at 5c with another producing well and plenty of exploration cash.

Worth a look for anyone with a strong stomach and some gambling money. DYOR.

[dragonz]

Hey, does anyone still watch / own this company. They have just had a successful outcome from their drilling at their Pompano field - in clean up phase but expecting gas flows to 7mfpd. The shares have been all over the place since their announcement with traders playing with it.

They have another drill next month in their Lee County tenement. Adjoining feilds have had 11 out of 12 as successful drills. This company only has a market cap of 12 million. It was 40c a year ago with no producing fields before the GFC meltdown (admittedly gas diluted shares by 2 in the interim). The options have a 3 year expiry, strile 10c - currently trading at 2c, head at 5.5c.

Looking back at the posts, if they were good at 28-40c then they are great at 5c with another producing well and plenty of exploration cash.

Worth a look for anyone with a strong stomach and some gambling money. DYOR.

I brought in yesterday @ 5.6 cents on the hope that we might have a bit of a bounce on announcement. Looking better now then it did this morning.

[Rabbi]

BCC suffered on three fronts over the last twelve months. As well as the global credit crisis the price of gas collapsed and their Pompano Wells stopped producing. It was perhaps fortuitous that they did not sell the Pompano Gas into a weak Gas market. At one stage they were going to sell off some of their permits to pay off their debt when they could not service it from their cash flow. Instead they were forced to have a cash issue, and accordingly their has been substantial dilution.

Now they live to fight another day and if the Gas price picks up over the Norther winter, and they have no more problems with their Pompano wells they could be worth a punt. Their Lee County prospects look quite promising.
I'm still hanging in for the medium term.

[Corporate]

Thanks for bringing BCC up guys. I spent a few hour researching last night and this morning. I like what I see, especially when you compare them to the likes of tex.

What I like is that it seems that BCC have weathered the worse of the storm and the market hasn't really appreciated that both Pompano wells are producing together and that the Lee County well will spud in November.

Looks cheap at a market cap of $13m.

Now do I buy heads or options..

[Ptolemy]

Thanks for bringing BCC up guys. I spent a few hour researching last night and this morning. I like what I see, especially when you compare them to the likes of tex.

What I like is that it seems that BCC have weathered the worse of the storm and the market hasn't really appreciated that both Pompano wells are producing together and that the Lee County well will spud in November.

Looks cheap at a market cap of $13m.

Now do I buy heads or options..

Both. At least I have.

[Corporate]

Both. At least I have.

Nice. I got some today at 5.8c - looking like a good purchase. 30min later it is up to 6.3

[kerryo]

Thanks Ptolemy ..... I bought this morning at 5.5, it has ended the day at 6.5 and looking strong.:D

[SMan]

I'm still in, have my small (sharewise not $ wise) investment from about a year ago when I started this thread plus a crap load (many,many times) more @ 3.9, 4.2 & 6.3 over the last few months. Didn't have the $ to take up the rights issue but wish I had by the way the options are doing. Am pretty happy with the way they are finally progressing. Anatexas (operator of Pomp and Lee) have had the Lee permits for 11 months now.... gl to all new comers.

[Corporate]

I'm looking for a top up today. Released some funds after selling NBS.

Chart still looking good.

[Ptolemy]

BCC up 15% yesterday. Rumours of a merger with another small cap oiler.

My oppies have nearly doubled in 2 weeks :) Time to sell half and free carry.

[Corporate]

BCC up 15% yesterday. Rumours of a merger with another small cap oiler.

My oppies have nearly doubled in 2 weeks :) Time to sell half and free carry.


Good work Ptolemy. I've got a few BCC. Not nearly enough. Today might be a good time to get some more though.

Where did the rumours come from?

[Ptolemy]

Good work Ptolemy. I've got a few BCC. Not nearly enough. Today might be a good time to get some more though.

Where did the rumours come from?

Rumours on another forum (not HC) - apparently Perth brokers are talking up the prospects. Probably nothing, but whatever it is I like what it is doing to the SP.

[Rabbi]

Also, the Gas price in the U.S. is firming, nearly $5.00 now. I haven't read any analysts reports on BCC so I'm wondering if they are still cheap. I paid 35 cents for my original holding so I am way out of the money, but good luck to those who came in late.

[Corporate]

Also, the Gas price in the U.S. is firming, nearly $5.00 now. I haven't read any analysts reports on BCC so I'm wondering if they are still cheap. I paid 35 cents for my original holding so I am way out of the money, but good luck to those who came in late.

Rabbi - did you take up all the additional shares/options this year?

I got in for a few at 5.8c and should have bought more but didn't back my research enough.

[Rabbi]

Rabbi - did you take up all the additional shares/options this year?

I got in for a few at 5.8c and should have bought more but didn't back my research enough.

Yes, I took them all up, which now gives me a break even point of about 18 cents on the head shares. My original buy was at 35.5 but even with the extra free options this company will need to fly if I am going to get my head above water.

At the moment BCC are a traders stock but who knows what is in the wind?
Someone mentioned a merger?:)

[Corporate]

Lee County spudding mid november so not far away now, directors buying, options looking very strong. Bodes well for the next few weeks!

[yogi-in-oz]

:)

Hi folks,

BCC ... expecting some positive news this week. as a positive time cycle
moves in, about Wednesday or Thursday ..... :)

Will also be watching BCC for further moves, around 16112009 and 26-27112009,
as 2 more positive time cycles come into play.

have a great week

paul

:)

=====

[Anna Naum]

:)

Hi folks,

BCC ... expecting some positive news this week. as a positive time cycle
moves in, about Wednesday or Thursday ..... :)

Will also be watching BCC for further moves, around 16112009 and 26-27112009,
as 2 more positive time cycles come into play.

have a great week

paul


=====

Increased volume and decreased price?

[Rabbi]

Increased volume and decreased price?

Good volume and increased price

Punters getting in before Lee County?:cool:

[Corporate]

Wow. Left work and BCC was 7.5 cents. Already up .5 for the day. Got home and it is closing at 8.2c up 1.2c for the day.

Still undervalued

[soulman]

Good volume and increased price

Punters getting in before Lee County?:cool:

Yes sir. I was looking at the 7.5 on offer and thinking I can buy my time before the close.

It absolutely went berserk in the last hour and I had to pay more. Just imagine the volume doubled in the last hour or so.

I think BCC is more punters friendly than fundamentals. Maybe Yogi can influence punters behaviour and move shares like BCC.

[A J]

Yes indeed, bought in at .058 with a good sized amount and now up 41%.

Good to be back.

[Corporate]

I think BCC is more punters friendly than fundamentals. Maybe Yogi can influence punters behaviour and move shares like BCC.

In my opinion you haven't done enough research if you think BCC is lacking in fundaments. They are first class. Yes traders are all over BCC, but there are a number of people who actually know what is going on.

[skeet]

big volumes trading today pushing prices skyward!!

[drillfix]

Probably based on upcoming news?

Along with 100% being Pumped by the Hot Copper ARMY hot potato merchants with the usual suspects all included.

Corporate,
No disrespect to you whatsoever regarding the potential or upcoming FA, but with posts on HC by the Thousand stating things like: re: where will we go today?

You then have an army of people/speculators filled with anticipation, along with Pump Pump Pump.

Not a bad way to make a buck really and who cares what the stock does.

[Corporate]

Probably based on upcoming news?

Along with 100% being Pumped by the Hot Copper ARMY hot potato merchants with the usual suspects all included.

Corporate,
No disrespect to you whatsoever regarding the potential or upcoming FA, but with posts on HC by the Thousand stating things like: re: where will we go today?

You then have an army of people/speculators filled with anticipation, along with Pump Pump Pump.

Not a bad way to make a buck really and who cares what the stock does.

Hi Drill. I'm in BCC for the fundaments. They were too hard to ignore at 5.8c. People seem to be getting very excited though. At 58% up I'm sticking around for the Lee County drilling.

[Rabbi]

If BCC reach 10 cents they will have busted out of penny dreadful land.
The Austin Chalk play in Lee County, from memory out of 12 recent adjacent wells only one was unsuccessful.

I will be pleasantly surprised if BCC breaches 10 cents, as traders will want to square off their positions before the end of the week. :confused:

[drillfix]

Here is your announcement Corporate.

Good luck with that~!

[Corporate]

Here is your announcement Corporate.

Good luck with that~!

It's great news:D!

Well spuding 25 November, costs down significantly. These guys are pro's.

[Anna Naum]

Down 10.9% today after answering speeding ticket:

The Company is not aware of any information that has not been announced which
could be an explanation for recent trading patterns and volume.

[drillfix]

Down 10.9% today after answering speeding ticket:

The Company is not aware of any information that has not been announced which
could be an explanation for recent trading patterns and volume.


Anna, to me, that is the whole point of it all.

The company is not aware of any info, but it seems that the traders are.

The trading patterns are like Piranha fish eating a carcus of flesh in the amazon only to see the muscle twitch again which leads the Mob back to eat the remains to the bone.

So by the time the actual news does arrive, the share price then heads south until and until the next attack seems primed or whilst the pack move off to invade another stock for a day or two etc etc.

Just my opinion anyways.

[Corporate]

It's pretty simple really. BCC had a 20% gain one day, a flat day, then a 17% gain. This was all in anticipation of the annoucement regarding Lee COunty Spuding. Once the annoucement came out it dropped 10% with all the traders bailing as spud is still two weeks aways.

Nothing major in the scheme of things.

[Anna Naum]

It's pretty simple really. BCC had a 20% gain one day, a flat day, then a 17% gain. This was all in anticipation of the annoucement regarding Lee COunty Spuding. Once the annoucement came out it dropped 10% with all the traders bailing as spud is still two weeks aways.

Nothing major in the scheme of things.

Agree, the announcement was really that there was no announcement, but that there will be an announcement in the near future, however it is yet to be determined if the announcement in the future is positive or negative.

Under all of the BS, there appears to be a good company.

[Corporate]

Here is your announcement Corporate.

Good luck with that~!

And back to 9.5cps - potential to double before 25 November.

[Rabbi]

Someone put a rocket under BCC in the last few hours of trading, as they are up 28% for the day on massive volume.

Pleasantly surprised!:D

[hector]

Hi everyone.
My home forum - i dont post much but come here frequently to find some sence
from the HC forum.
Id be very interested to know if some of you have looked into BCC, I know several are into small cap gas/oil.
Id be very interested to know if Mr Crude has had a look,.
Thanks
Hector

[Corporate]

Hi everyone.
My home forum - i dont post much but come here frequently to find some sence
from the HC forum.
Id be very interested to know if some of you have looked into BCC, I know several are into small cap gas/oil.
Id be very interested to know if Mr Crude has had a look,.
Thanks
Hector

Closed at 10.5c. BCC is a beautiful story!

[spike]

What a great stock you never know where it will be next. As I'm just holding the stock I'm enjoying the bumpy ride, but I would hate to be a trader cause as soon as you think it is going one way it jumps the other.


Closed at 10.5c. BCC is a beautiful story!

[Thumpa]

BCCO

Options expire 30th November 2012
Exercise price 10 cents.

With the head shares closing at 10.5 cents today , any 0.5 cent uptick's / downticks from now on should whip the option price around a bit. Still a long time to go before options expiry , and plenty of other wells to come if this one doesn't pan out to plan.

(Disc : Holding BCCO - DYOR)


http://i167.photobucket.com/albums/u150/soundzgoodgood/BCCO.png

[hector]

What a great stock you never know where it will be next. As I'm just holding the stock I'm enjoying the bumpy ride, but I would hate to be a trader cause as soon as you think it is going one way it jumps the other.

I know.
I got in the options at 1.8 and 2.2 then sold last week for 4cennts. Just got a bit nervous.
Original plan was to hold to see the result of the spud. Lasted 24 hours and got back in with a few more than i had at 4.5!.

Should have stuck with the plan - I suck at trading - still relieved I got back on.
I thought high 9cents was a resonable pre spud price for heads but seems to have gone through that,
might come back, might go on.
HC does pick some upincoming stocks sometimes but certainly swiming with the sharks.

[yogi-in-oz]

Hi folks,

BCC ... expecting some positive news this week. as a positive time cycle
moves in, about Wednesday or Thursday ..... :)

Will also be watching BCC for further moves, around 16112009 and 26-27112009,
as 2 more positive time cycles come into play.

have a great week

paul

=====


:)

Hi folks,

BCC ... trading to the script so far, with more positive moves expected,
over the next couple of weeks ..... :)

have a great weekend

paul

:)

=====

[Corporate]

It's not worth trading a stock like this. It is too cheap! buy and hold on tight - i wouldn't be suprised to see 15c-20c pre spud. Blue sky if they drill 20-30 wells into Lee County at 100-750bopd.

[Rabbi]

Hi everyone.
My home forum - i dont post much but come here frequently to find some sence
from the HC forum.
Id be very interested to know if some of you have looked into BCC, I know several are into small cap gas/oil.
Id be very interested to know if Mr Crude has had a look,.
Thanks
Hector

Hi Hector

BCC have quite a good website and there is currently an audio interview
with Dean Gallegos, one of the Directors

BCC listed in September 2007, with the purpose of working over old gas wells at Pompano field, to gain early cash flow, and then to they were going to move to their Lee County prospect, of which they hold a 50% interest. Lee County, could be a "company maker" if the drilling programme is successful.

Unfortunately, Their Pompano Gas Wells, stopped flowing Gas early last year (one was a poor cement job), so BCC had no cashflow. To add to their problems they had about $4m debt and they were in the middle of a worldwide financial meltdown.

BCC SP crashed from a high of 45 cents to a low of 3 cents, which was just after they had cash issue at 3.5 cents just to keep them a going concern. BCC looked to all intents and purposes in survival mode but now they are marching back onto the battlefield, low gas price and all, to fight another day. I imagine this recent spike in the SP isn't just hyped up drill and thrill cheer leading.

As the man said, Lee County could be a "Company maker." The area is not wildcat, it is proven hydrocarbon territory.

[Corporate]

Phaedrus, I know there isn't a whole lot of trading history to go off. But could you give us your thoughts on the BCC chart and also where you would have your stop-loss's if you owned BCC?

I can't see this trend as sustainable...I've been wrong before.

Cheers
C

[Phaedrus]

Phaedrus, could you give us your thoughts on the BCC chart?BCC is in a steep uptrend and there is no sign of any technical weakness as yet. This is a crystal-clear chart in that "Buy" signals never, ever, come any clearer than this. BCC was in a downtrend for a long time. This downtrend flattened out somewhat, but the market was showing no interest at all as evidenced by the "flatline" OBV. Then quite suddenly all on the same day, several things happened :-
(1) The confirmed trendline was broken.
(2) The moving average was broken.
(3) Volume abruptly increased so
(4) The OBV suddenly began rising.
These unequivocal confirmed simultaneous BUY signals gave an entry at 4.5 cents.
BCC has been in an unbroken uptrend since then.
Who needs fancy indicators, trendlines and moving averages though? Any fool could see that OBV BUY signal from the other side of the room!

http://i602.photobucket.com/albums/tt102/PhaedrusPB/BCC1114.gif


Where would you have your stop-loss's if you owned BCC?Best practice is to place your stoploss just below the low preceding your entry point. There are 3 options in this instance, all relatively close together as marked in blue. None would have been hit.
Corp, like an awful lot of others here on ST you seem to be confusing Stoplosses with Trailing Stops. Once Stoploss levels are set at entry they do not move. After the uptrend leaves them behind, they become totally irrelevant. I strongly suspect that you really meant to ask about Trailing stops, with a view to their providing a possible exit strategy. Right?
Trailing Stops ratchet up with the price and never go down. The idea is that they will lock in the majority of your gains if/when the uptrend ends. Trailing stops provide some sort of exit strategy and as such are infinitely better than nothing at all, but there are better ways of monitoring uptrends. Trend indicators such as moving averages and trendlines almost invariably trigger before trailing stops, enabling better retention of accrued profits.


I can't see this trend as sustainable.No uptrend is sustainable, Corp. They ALL end. That's why you want a suite of trend indicators set up to give an objective assessment of when the trend weakens and ends. That's when you want out.

General rant prompted by looking back over this thread.
There are many mistakes and misconceptions illustrated here. Some of you guys really are doing it all wrong. You are ignoring prevailing market sentiment by buying into downtrends and selling into uptrends.

"BCC are a traders stock"Nonsense. It was a stock to steer well clear of, then a stock to buy and hold. It is not a good trading stock and never has been.

"I would hate to be a trader cause as soon as you think it is going one way it jumps the other" Huh? BCC has been heading one way for months. Trend-followers wouldn't dream of selling a stock like this so long as the uptrend is intact.

"Time to sell half and free carry" This, when BCC was/is in an obvious ongoing uptrend! It has risen 40% since that ill advised comment. Why sell half simply because you have doubled your money? Madness! Who knows how far BCC will run. The very concept of a "free carry" is silly. It is an artificial and arbitrary distinction that encourages irresponsible management - after all, the remaining tranche cost you nothing, right? In any case if a stock is going up you want all of your original stake to be in on it.

These two very simple rules will make/save you a lot of money :-
(1) Don't buy downtrending stocks.
(2) Don't sell uptrending stocks.

It's really just commonsense - isn't it?

[Corporate]

Phaedrus, thank you for all the effort you put into your post.

I wasn't following BCC until it popped up on a daytrader forum. I did my research and got in at 5.8c. I like to combine TA and FA.


Best practice is to place your stoploss just below the low preceding your entry point. There are 3 options in this instance, all relatively close together as marked in blue. None would have been hit.
Corp, like an awful lot of others here on ST you seem to be confusing Stoplosses with Trailing Stops. Once Stoploss levels are set at entry they do not move. After the uptrend leaves them behind, they become totally irrelevant. I strongly suspect that you really meant to ask about Trailing stops, with a view to their providing a possible exit strategy. Right?

Yes. I should have been specific. I was referring to trailing stops.


No uptrend is sustainable, Corp. They ALL end. That's why you want a suite of trend indicators set up to give an objective assessment of when the trend weakens and ends. That's when you want out.

An exit strategy is what I am tring to work out. I don't need to be in for the entire run (just most of it) and I don't want to get stopped out at say 9c on monday and then see it rise to 15c on spud.

BCC has tendancies to move 1c up or down on any particular day. Which has been a gain/loss of >10%

[h2so4]

All sounds a bit mystical. Actually there is some value in BCC. Look at the 09FY, there was a 10.7m impairment charge, (charges that are not likely to continue) add back the impairment charge and adjust for changes in working capital assets and short term liabilities and you end up with a profit of 2.9m. Or a 27% return for the year on invested capital. Not Bad!

Plus of course there is the 25th November???????????

Trading or holding BCC looks good.

[drillfix]

These two very simple rules will make/save you a lot of money :-
(1) Don't buy downtrending stocks.
(2) Don't sell uptrending stocks.

It's really just commonsense - isn't it?


Excellent Post Phaedrus,

As you say, Commonsense. Unfortunately it gets blinded by rantings and ravings for not just this, but many stocks and the answer is quite clear and simple.

Also great summary to answering the rest of Corp's questions. A pleasure to read.

[Thumpa]

BCC : Weekly Chart

Early days but a few resistane lines (blue) to be aware of.
A tentative up channel appears to be forming .A fall to re-test 7.5-8 cents may shake a few out , but I feel the up-trend would still be in play.
It is always tricky holding on to 10 cents once broken and sometimes shares need 2 or 3 goes at that level to convincingly break. The 5% jump from 10 to 10.5 is something traders wet their pants over often.
A lot would have their stops at 9.7 - 9.8 , so be wary of the potential for stop-loss hunting to shake a few traders out for the purpose of volume accumulation.

Could be wrong though ........ May just carry on strong leading up to spud.

http://i167.photobucket.com/albums/u150/soundzgoodgood/BCC.png

[soulman]

Just remember MacBank has a bucket load of BCC options ex @ 3.5 cents. Is there any other Mac interest in ordinary shares? Mac has a habit of moving stocks up when unwinding so buyer's beware. But as with general comment here, if it's going up, then hold on for the ride.

[ELYOB]

This is the momentum stock on the patch atm. This makes the tecks look good . But it is fatal to trust humans and the patch . Back to reading my olde Phantom comics , look for an old jungle saying...

[hector]

Gezz Phaedrus - nice post.

I see so much clearly rubbish tech posting on HC, there to suck more people in or out, I forget there are people who actually know how to do it.

Ill certainly look at making some sort of objective exit plan with bcc.
Currently if the story changes like a dud at Lee I would get off, but some break below a trend could be a good idea. Im not going to sell prior to spud.

I made this mistake with MAK. Got it very early, the fundamentals seemed so good and just couldnt let go and lost most of it as it fell. Would hate to do that again.

Question - When the uptread ends if there is no fundamental change in the mix then BCC might trade a range for a while before a new direction is set (up or down). Do you tend to exit when the uptread is broken or do your methods allow you to stay in for a sideways movement? (hmm thinking about that now, a trailing stoploss might do this eh?)

Thanks

[Corporate]

Any it continues..Last sale at 12.5c.

My first 1 banger :-)

[h2so4]

Any it continues..Last sale at 12.5c.

My first 1 banger :-)

Good work

Bangers were last week, it's baggers this week...lol:D

[Phaedrus]

For those of you lucky enough to be holding BCC, here are a few ideas about exit strategies that you might find useful.
The first thing is to decide how active a market participant you want to be. If you avoid making this decision, you will find yourself overwhelmed and confused by conflicting signals and differing opinions. Sort yourself out!

Here are 3 comparative charts set up to highlight the variations inherent in different approaches. They may well use the same indicators, but the time periods chosen will reflect their different focus.

Really active traders would have noted the falling volumes, the long upper shadow on Monday's candle and the resistance at 14 cents. Yesterday's "Long-legged Doji" (often found at turning points) would have been the clincher so they would have sold at 12.5 cents.

Short-term traders will still be holding. They will be watching the overall trend and the candlestick patterns very closely and perhaps be using fairly fast indicators such as the 5 shown here. Note how the trendline was redrawn to track the accelerating uptrend. (light green). Any sell signals or a break below the support at 11 cents would probably see them out. The 12 day Momentum used here is the default value.

"Medium-term" traders would be using similar indicators, but with longer periods as shown. The OBV is shown for this group, but of course short-term traders would be keeping an eye on that as well. The 14 day DMI as shown here is the default value. It goes without saying that there will almost inevitably be some sort of overlap between the arbitrary groups shown here. There is no reason at all why "medium-term" traders shouldn't use the accelerated trendline as discussed above, for example.

"Long-term" traders would perhaps be better described as "active investors". They use technical indicators solely to keep them on the right side of major trends, not worrying too much about price fluctuations - so long as they are not too big. This is a weekly candlestick chart. All the same patterns appear as in shorter timeframes, but as you would expect, such a chart gives fewer, more reliable signals, but of course any signals will be triggered later.

http://i602.photobucket.com/albums/tt102/PhaedrusPB/BCC1118.gif

You can't get something for nothing. Trading each of these timeframes has its advantages and disadvantages. Very active traders are quick to lock in profits, but this may well be at the expense of missing out as the uptrend continues without them. If you choose to trade actively, don't moan about being flicked out prematurely!

"Active investors" will not be troubled by minor fluctuations, but will inevitably give a significant proportion of their gains back to the market when the uptrend eventually reverses. If you choose to be an "active investor", don't moan about how much you could have made had you sold earlier!

The "medium-term" trader misses out on the fast "bird-in-the-hand" gains of the short-term trader and misses out on the big gains of the successful "active investor" but seeks to occupy the "middle ground" compromise position. They should not envy the gains made by traders that are the more active - or less active.

In any given situation, One of these approaches will be best, but there is no way to know ahead of time which one it will be. Backtesting does tell us which approach has historically been the most profitable with any particular stock, but of course there is no guarantee that that will continue to be so. Stocks can and do change their "character".

You might like to go back and take a look at the thread "A Tale of 3 Traders". (http://www.sharetrader.co.nz/showthread.php?p=258015) It addresses this issue from a slightly different perspective, with the entire process being played out in "realtime".

[Thumpa]

BCC / BCCO going bonkers ... :) ..... watch out for dumps

[Corporate]

Just want to say a quick thanks for the effort you put into your post P. I don't have time to reply in detail but still holding tight. Just hit 16c

[marknz88]

BCC has been pretty good to me these last few days. Made several nice trades!! And plan to conitnue trading while it while its still the stock in play!

"if it aint broke dont fix it...Keep going to the well until its dry"

[Corporate]

BCC closed at 16c on Friday. What a great purchase this was up 175% since my purchase a month ago.

Not sure how much further it will go. I'm keeping a close watch.

Anyone else still holding?

[A J]

I got in at the same price as you Corporate, bought one amount and I still hold having not sold any yet.

I get the feeling that these big rises can't be sustained at times but then BCC goes and surprises, and up it goes again!

But overall yes it may go down again but I've been through it before, will be interesting to see where it is in 3 to 4 months time perhaps. Will not complain if it doesn't go down though :D

[Corporate]

I got in at the same price as you Corporate, bought one amount and I still hold having not sold any yet.

I get the feeling that these big rises can't be sustained at times but then BCC goes and surprises, and up it goes again!

But overall yes it may go down again but I've been through it before, will be interesting to see where it is in 3 to 4 months time perhaps. Will not complain if it doesn't go down though :D

Hey AJ. Whenever I have thoughts about the rise being unsustainable I flick a MEO chart up: 5c - 75c :D

[meesham]

I finally got in on Friday. BCC annoys me - I looked at buying when they were 6c, but I decided against it because of so much ramping on HC. It was between them and ATI, I went with ATI (who are now down a bit, but haven't hit my stops yet). Then at 8.5c it was between them and OBJ, I chose OBJ thinking that BCC would retrace back to 6c. I sold OBJ 3 days later for a small profit, but about half what I would have made out of BCC. I'm an investor but I've been looking for a few short term plays recently, I've set my stops tight on BCC.

[marknz88]

With stocks like BCC, all TA pretty much goes out the window...Ive found its best not to try and anticipate what you think it should do i.e. retrace and rather just focus on what it is doing i.e. rocketing and get aboard asap.

Off course you must set your stops accordingly incase you get in right at the peak, but its better to be on the boat than miss it.

The HC ramping used to get too me as well, but now I try and capitalise from it, as opportunities like this only come around every few months

[Corporate]

Well I bailed today at 15.5c.

My reasons:




I think the undiluted market cap had got a bit ahead of itself at $45m (283m shares @ 16c)



I got the feeling the buying was loosing momentum when it didn't hold 16.5c and figured that all the short term traders would bail before spud.


The trend IMO just couldn't handle another big increase


I've found another small cap that has taken my fancy.



Good luck holders. I might be back - still a great company.

[COLIN]

Much as Phaedrus indicated, I guess.

[drillfix]

Good luck holders. I might be back - still a great company.

ROFL, might be back.

Wassup Corporate, the kitchen heat rapidly increasing there? LOL :p

I guess now its even a better company now since one knows when to walk away in a timely fashion ;)

[Corporate]

ROFL, might be back.

Wassup Corporate, the kitchen heat rapidly increasing there? LOL :p

I guess now its even a better company now since one knows when to walk away in a timely fashion ;)

Yes Drill, there is allot of cr@p going on at Hotcopper. Allot of posters getting overly excited. However, if you listen to the question at the end of the AGM there are a couple of key takeaways:

The first lee county well is likely to only product 100bopd (this will send the stock down) as people are expecting 500+

BCC need to drill around 10 wells minimum to make Lee worthwhile. This will cost in excess of $5m which BCC just don't have.

There was ALOT of talk about recapitalisation (i.e share issue)

My approach is an attempted to combine TA and FA. However, I tend towards fundamentals.

More ammo for Phaedrus no doubt :cool:

[hector]

I've sold half my options now when the SP went below 14.5cents as that was the plan I ended up coming up with. I thought the SP was worth about 10cents pre spud so Ive done quite a bit better than expected. I do want to hold the rest for the longer term unless the story changes.
Very happy with the way this has gone.
Thanks

[Corporate]

Capital raising annouced on friday. I hope holders don't get put to the sword when BCC comes out of the trading halt.


There was ALOT of talk about recapitalisation (i.e share issue)


Well it is always nice when your detailed research picks up significant issues like this before they happen.

Anyone still holdings this?

[A J]

Yeah still holding.

As I said it may drop so it's all good. I bought fairly low, not into trading. Just waiting till next year sometime.....

Cheers
Aaron

[Corporate]

If I was a long term holder I would be watching the trend line very closely. Not looking good at this stage.

[drillfix]

Hey Corporate, have you pulled your Rip Chord yet on this one? :eek: ;)

[Corporate]

Well I bailed today at 15.5c.

My reasons:




I think the undiluted market cap had got a bit ahead of itself at $45m (283m shares @ 16c)



I got the feeling the buying was loosing momentum when it didn't hold 16.5c and figured that all the short term traders would bail before spud.


The trend IMO just couldn't handle another big increase


I've found another small cap that has taken my fancy.



Good luck holders. I might be back - still a great company.

Yip Drilly - see above. Posted on 23/11/09

[drillfix]

Oh sorry Corp, I have had my morning panadine hit so somtimes I get forgetful as I now remember you posting that..LOL

Thanks for point that out :p

[A J]

And up it goes up again. Good stuff on selling at I think it was 15.5 coporate, if you bought back in at the low you would be doing well. I just don't want to try and guess whats going to happen and prefer to focus on the long term at this stage, I'm still to much of a novice.

If there is a failed drill result then a bit of downward movement would be in order, should it be successful hopefully some upward movement! :) All said it would seem a good chance for a positive drill result.

Aaron

[Corporate]

And up it goes up again. Good stuff on selling at I think it was 15.5 coporate, if you bought back in at the low you would be doing well. I just don't want to try and guess whats going to happen and prefer to focus on the long term at this stage, I'm still to much of a novice.

If there is a failed drill result then a bit of downward movement would be in order, should it be successful hopefully some upward movement! :) All said it would seem a good chance for a positive drill result.

Aaron

Hey A J, in hindsight my selling at 15.5c and no rebuying has been a masterstroke. If it gets back down around 6c I will load up.

Are you still in? What are your thoughts on the first Lee County well?

[A J]

Hey

Yeah I'm still in.

Yes it was a great move you made. I just came back from a holiday so haven't looked at to much yet. Looked like they found something but now they have to do flow tests and all that carry on. But there have been delays and so on that the market hasn't liked by the looks.

Oh well.....

I'll have a look into this first well more and come back.

Cheers
Aaron

[A J]

Sorry they were waiting for a rig to come and drill a horizontal leg at the target zone, they have oil shows on their wire logs. Nothing amazing (although porosity higher then expected) but inline with their expectations. The rig according to their announcements should be there about now to drill the leg. Ann next week will hopefully clarify, should one come out! lol. Gee I hope it does. :D

Then after that flow tests and so on, could be interesting to see what happens. I'm not sure of the time it takes once a well is completed (casing and all the underground drilling) to then hook it up and get flow tests underway. 2 or 3 weeks? Then we'll know what the story is.

So a bit more waiting to do yet but things going somewhat to plan, not perfect as the schedual gets put back at times but the results so far are what was expected by the company. A fickle market probably more frightned then it used to be hence people like things to go to plan on the button, so SP while up has lagged a fair amount lately. I bought in quite low so doesn't worry me for now anyway...

Here's looking to the fundamentals proving true in due course.

Cheers
Aaron

[yogi-in-oz]

:)

Hi folks,

BCC ... as requested, here's an update of our astroanalysis for the
next few months, with mid-March 2010 looking interesting for news:

25-26022010 ... minor news cycle

02032010 ... positive cycle ... finances ???

12-15032010 ... 2 significant and positive
time cycles ... news expected ..... :)

26-29032010 ... 2 minor time cycles

14042010 ... minor cycle

19-20042010 ... minor and positive cycle

28-30042010 ... significant and positive
cycle may trigger a big move.


13-14052010 ... minor and positive light
on BCC, but tempered by negative cycle, soon after.

24-26052010 ... negative aspect here

04-08062010 ... 2 minor cycles to bring
some positive news ... ???

14-15062010 ... negative light on BCC

22-23062010 ... negative news expected here.

More later .... :)

have a great weekend all

paul

:)

=====

[yogi-in-oz]

:)

Hi folks,

BCC ... as requested, here's an update of our astroanalysis for the
next few months, with mid-March 2010 looking interesting for news:

25-26022010 ... minor news cycle

02032010 ... positive cycle ... finances ???

12-15032010 ... 2 significant and positive
time cycles ... news expected ..... :)

26-29032010 ... 2 minor time cycles

14042010 ... minor cycle

19-20042010 ... minor and positive cycle

28-30042010 ... significant and positive
cycle may trigger a big move.


13-14052010 ... minor and positive light
on BCC, but tempered by negative cycle, soon after.

24-26052010 ... negative aspect here

04-08062010 ... 2 minor cycles to bring
some positive news ... ???

14-15062010 ... negative light on BCC

22-23062010 ... negative news expected here.

More later .... :)

have a great weekend all

paul

:)

=====

:)

Hi folks,

BCC ... drilling news came in right on time, last Friday and it would not be surprising
to see some more positive news, early this week, to fuel the rally a little further ..... :)

have a great weekend all

paul

:)

=====

[Corporate]

BCC...well what a disaster this has turned out to be. The share price is 5.4c which is less than my original purchase at 5.8c. Unbelievable that hype and traders drove this up to 17c which was way over done and I thank common sense that got me out at 15.5c.

I am tempted to re-buy but there is so much uncertainty around the new Alaskan permits and who knows really want is happening at Lee County. I think people were led to believe that this could be a company maker...management now saying that this isn't the case.

[A J]

Hey well we'll see where it goes. I sold at .061 last week then re-entered at .055 (bought originally like yourself at .058). Big congrats to yourself for selling when you did, genius! I'm relatively new to the stock-market, hindsite and all.......... But I've done ok and am learning.

Yes I remember there was a consensus that Lee county could be a company maker. They state that they aren't forgetting about Lee and that they are going ahead with that. Yes they have aquired the Alaskan leases (aparently even drilling later this year but would seem that next year would be more likely) but this is beyond the company maker sort've statements I'm thinking they made re Lee. Alaska would be bigger if it pulled off. Lee is still going ahead and the results (dare goodness yes they have been a while in the making) from vick 1 are due soon! How long does it take to put a pumpjack over an oil well? That's how long. An update on Vick 2 should be out on Tuesday, they should've finished the vertical section by then and then will move the rig that completes the horizontal section off Vick 1 (finally) and get that onto the Vick 2 site to do it's bit there. Once there's been a bit of evaluating done on these first two wells the next 8 should go ahead fairly quickly provided rig contractors can be booked etc.

I suspect it's been oversold a bit now, once some positivity returns to the DOW it should tick up a little. News of oil might get it up that little bit more :)

Cheers
Aaron

[A J]

Tada, yes I think a little bit oversold last week. Still, might bounce around a we bit. But good to be in the green :D

Would'nt it be nice to say I sold at .15 then put my money back in at .055, well dammit I'm just not that good yet :)

Cheers
Aaron

[A J]

Hopefully a good day for BCC going on the back of market sentiment aswell as it's oversold status. Also, an update should be out today all going well. We'll see.

Cheers
Aaron

[Rabbi]

Hopefully a good day for BCC going on the back of market sentiment aswell as it's oversold status. Also, an update should be out today all going well. We'll see.

Cheers
Aaron

Update today but still preparing Vick 1 for flow testing.

Will be interesting to see how Vick 1 performs on completion

1000 barrels a day? :D.

Vick 2 still being drilled with one formation being evaluated.

[A J]

I wish, we'll wait and see. I get the feeling lower.

Update came out, as you say now onto completion of Vick 1. Oil next week sometime I'm picking. It would be good to know how long a completion on a well takes, because I really don't know. Anyone know? I understand the process to an extent but not how long each bit takes in general.

SP has held steady, although was up most of the day. I think a good thing if it holds steady till oil time.

[Rabbi]

Vick 2 has been reported as having strong Oil and Gas shows in the Austin Chalk and they have still to drill down to the Eagleford Shale.

This Well makes this Lee County play appear more prospective, the only question mark being how these wells will perform on testing.

[Rabbi]

Well here's the answer.

Vick 2 flow tested at 500 bopd with no water and very little gas.

Vick 2 has turned out to be a little gusher.:D

It is not apparent from the report how Vick 1 will perform.

Still early day but Curtis Burton and his team certainly have the experience to turn this company around.

[A J]

Yes Rabbi, this thing has worked out better then expected. And they haven't even done the horizontal leg of the well yet. Which could in turn make production higher!

But in the announcment they are contemplating whether to bother with the horizontal leg but we'll see, they may still go ahead with it. If they don't they could always come back and drill it at a later date if production slows to then boost the well.

A good day!

Cheers
Aaron

[Corporate]

Yes Rabbi, this thing has worked out better then expected. And they haven't even done the horizontal leg of the well yet. Which could in turn make production higher!

But in the announcment they are contemplating whether to bother with the horizontal leg but we'll see, they may still go ahead with it. If they don't they could always come back and drill it at a later date if production slows to then boost the well.

A good day!

Cheers
Aaron

Hey AJ, what's your thoughts no this Alaskan permits? There is some much going on for a small O & G company. I'm tempted to get back in at my original buy price :-)

[Entrep]

I've averaged down several times on BCC to around 8c... keeps going lower though! Like the above poster, I am very interested to hear people's thoughts on this whole Alaskan play though. Everyone says its going to re-rate, when though!?

[A J]

Alaskan permits eh?

Well they are due to drill onshore before the end of this year, don't need a jack up rig for that. The Alaskan plays look promissing, it's gonna be a little bit of time though before we start drilling so no results there tomorrow.

Vick 2 producing oil right now in Lee County, Texas. Adding money to the coffers. Thing is we are waiting for stabalized flow rates to be determined. It's been pumping for around 1 1/2 to 2 weeks now. How long does this take? I'm not sure. Saw that JPR recently with their J50 well took 6 or more weeks to come up with a stabalized flow rate, hopefully it doesn't take this long but whatever will be will be.

Vick 1 has been pumping for just over a week now. This well doesn't look as promissing but we'll see, there is evidence that operators in the same area have pumped wells into production after a period of time achieving anywhere from 200 to 500 bopd.

Vick 3 etc, another well to start drilling before this end of this month.

Cheers
Aaron

[Corporate]

Apache and LNC now holding permits in Alaska.

I'm very close to re-entering BCC.

[Anna Naum]

Good announcement today, stock finally going up again

[A J]

Yes it was good indeed Anna Naum....

We have Vic 1 there still tho, the horizontal may need to be re-drilled and then fracced. Then we need to drill a horizontal on Vic 2 really, perhaps some fraccing there to.

I would really like to see the above done and get things completed and flowing at a decent rate for a while.........

[Anna Naum]

Cheers AJ, had a read of the last couple of announcements, dont see a lot of downside given the potential but as you note it is a time thing.

[Anna Naum]

ASX RELEASE – 13 SEPTEMBER 2010
ALEXANDER # 1 WELL – UPDATE

Buccaneer Energy Limited (“Buccaneer” or “the Company”) is pleased to provide an update for the Alexander # 1 well located at the Lee County project, approximately 120 miles west of Houston.

Since 2200 EST Thursday 9 September until 2200 EST Sunday 12 September the well has produced 2,846 barrels of oil for an average flow rate of 948 BOPD. The oil is 31 degree API, a light crude oil, no formation water has been produced. Gas is still being produced and flared. A total of 2,510 BO have been sold to date.

The Alexander # 1 well depth is currently at 5,727’. The current oil production has been interpreted from mud logs as being from a 20’ thick interval (5,640’ – 5,660’) in the middle of the Austin Chalk.

There is approximately 300’ of the Austin Chalk expected remaining to drill. The current intention is to kick off the 2,700’ horizontal at the current TD of 5,727’. In the process of building the angle for the horizontal, the lower sections of the Austin Chalk will be tested. It is no longer the intention to deepen this well to the Eagle Ford Shale.

As is typical of the Austin Chalk, the production rate is expected to decline as the tubing pressure declines, and then pumping will be required. However substantially higher initial production rates and higher reserves can be expected if the horizontal hole is successful in intersecting multiple fracture zones such as the one encountered so far.
The participants in the Lee County project are as follows:
Participant Working Interest
Buccaneer Resources* 52.50%
Sandstone Energy 38.75%
Megashine International Ltd 8.75%
* A wholly owned subsidiary of Buccaneer Energy Limited

[A J]

BCC looking better today. Next 2 to 3 weeks could be good :)

[yogi-in-oz]

:)

Hi folks,

BCC ... price up, volume up last week gave us a doji followed by a bullish
engulfing candle and a positive spinning top, so we are expecting a continuation
of the positive news/moves, especially around Tuesday, this week ... :)

Many thanks.

have a great week

paul

P.S. ..... watch TNP for a strong close, at the end of this week, as well ... (???)

:)

=====

[yogi-in-oz]

:)

Hi folks,

BCC ..... ticking up nicely, as expected ..... :)

have a great day

paul

:)

=====

[trackers]

Trading Halt pending financing of a jack up rig

[whirly]

Took a punt on these yesterday. Not bad for a days work. :-)

[A J]

Dear Sarah
RE: TRADING HALT
Pursuant to Listing Rule 17.1, the Company requests a trading halt pending an
announcement in respect to financing arrangements for the purchase of a jack-up rig. We
expect to make a release to the ASX by 10.00am Thursday 18 November 2010.
The Company is not aware of any reason why the trading halt should not be granted.
Please contact me on 0416 220 007 if you need to discuss with me this afternoon.


I've been following this for a little while now and was hoping for some news either today or possibly somewhere up to early december, cool to see developments so early.

[Rabbi]

Took a punt on these yesterday. Not bad for a days work. :-)

Yes, if you jumped in around 4cents you would have done well. A pity they didn't leapfrog Lee county and go straight to Alaska. They reckon these guys are good deal makers and the guys at Stellar have the experience to put BCC back on track and get the revenue coming in again.

Lee County just not a Company maker and the springtree deal is creating too much dilution.

here's something interesting...

PUBLIC NOTICE State of Alaska Department of Environmental Conservation An application for approval of an Oil Discharge Prevention and Contingency Plan has been received by the Alaska Department of Environmental Conservation for review under Alaska Statute 46.04.030 and Alaska Administrative Code 18 AAC 75. The details are as follows: Applicant: Buccaneer Alaska Operating, LLC 2500 Tanglewilde Avenue, Suite 340 Houston, TX 77063 Proposed Activity: Buccaneer Alaska Operating, LLC (Buccaneer) is planning to conduct a regional exploration drilling program. While Buccaneer's program is primarily directed towards natural gas they may also encounter liquid hydrocarbons such as crude oil. Consequently, this plan has been prepared to allow Buccaneer to proceed with their drilling operations should liquid hydrocarbons be encountered. Wells currently proposed are located on the east side of Cook Inlet. Some sites may be drilled from ice pads during the winter while others may be drilled from gravel pads during other seasons. The three exploration wells currently proposed will be drilled from onshore pads near the city of Kenai, Alaska beginning in 2010/2011 winter. The plan proposes to address oil spill prevention and response measures to support their operation for a proposed response planning standard (RPS) of 5,500 barrels per day for 15 days to total 82,500 barrels at the drilling site. Potential Results: A potential risk of oil spills entering the lands or waters of the state exists from this operation. Location of Activity: The proposed North Sterling Prospect wells will be located approximately 1 to 4 miles east and northeast of the Kenai Airport on the east side of Cook Inlet near the city of Kenai, Alaska. To provide comments regarding this application, write to the Alaska Department of Environmental Conservation, Division of Spill Prevention and Response, Industry Preparedness Program, 555 Cordova Street, Anchorage, AK 99501, (907) 269-3094, within 30 days of publication of this notice. Copies of the application and plan are available for public review at the Department's Anchorage and Soldotna offices. The Department will hold a public hearing on the plan application if it determines that good cause exists.

[whirly]

Cost me 5c not 4c but 20% for a day suits me. Be interesting to see if it moves any further on announcement.

[Oiler]

Cost me 5c not 4c but 20% for a day suits me. Be interesting to see if it moves any further on announcement.

whirly I bet you are happy now.:D We are in the money

Thanks to AJ for suggesting I look at this one ;)

[yogi-in-oz]

:)

Hi folks,

On how far BCC's $60m will go on a jackup ..... ???

BCC jackup ... $60m will not go far, given the area and
working conditions, that they will be working in.

From an engineering view, there's a lot to be considered
in terms of upgrading costs, preferably BEFORE investing
in any "bucket of bolts" !~!

Things like:
Operating water depth
Air gap required to meet Alaskan safety regulations.
Spud can upgrades, if necessary
Winterizing needs & options, if a tropical rig is purchased.
Windproofing
Upgrading of heating for water and process piping and pits.
Upgrade engine and generator cooling/heating sysems.
Upgrade jacking and anchoring systems.
Winterize hoisting, pipehandling and topdrive systems.

..... and that's just a short list to consider, BEFORE
making a buying decision on the rig itself.

MORE IMPORTANTLY ... what experience do BCC management have
in owning and managing a rig (long-term) of ANY type ... ???

My own comments stem from bulk experience in the planning
and execution of such restorations, on many different types
of rigs, including jackups.

Given that experience, it is easy to see that costs could
easily blowout (pun intended) extensively, making BCC a
whole lot less attractive, as a trading stock in the future ... !~!

have a great day

paul

:)

=====

[Rabbi]

Somethings cooking..SP creeping up again

...North to Alaska we're going North the rush is on :D

[A J]

Yes Rabbi looking good.

Next week should be interesting by all accounts. I'm topped up and sitting tight.

[whirly]

Yogi good questions. From what I've read round the net one might assume that this research stage has already been completed and that they have a rig lined up. Due Diligence is under way and while you can reasonably expect a project like this to be over-budget, (just my cynical age showing there) it looks like BCC have all the right departments and boards wanting to make this a success for all.

Whether they can pull it off, I wouldn't have a clue.

Whirly is still happy and holding.

Disclosure: I know nothing that you don't and less.

[A J]

Looks like this week isn't going to be the week for a decission on the JUR. We'll have to wait another month there. Market doesn't like things not going to plan so can see why the sell off, I don't really like it that much either right now. However the reason for the change could be good. Guess we'll just have to wait and see. Still there is another Netherland Sewell Report to come soon and details on Project X to keep us entertained in the mean-while.

[Rabbi]

Yes, There are two differing views on today's announcement depending on whether you are in for the long haul or a trader.

Looks like most of the traders have bailed but this could turn out to be a masterstroke by Curtis. Time will tell.

[whirly]

Ouch! This has turned from what I thought was a very sound business proposition to a speculative gamble overnight. I will hold for now but the sellers keep coming.

[Rabbi]

SP on the move again with progress between BCC and AIDEA.

A deal is in progress on finance for the jackup rig.
So we have BCC -with little cash, Springtree money nearly finished, nominal production- trying to raise money through subsidies from the Alaskan government(AIDEA) for a JUR, through an entity called KOV.
This is truly a "speculative" stock, for if they pull this off they must be up with the best wheelers and dealers in the Oil and Gas industry.

Meanwhile they eek out some paltry quantities of Oil and gas from Pompano and Lee County, which wouldn't be enough to pay Curtis and Deans salaries, never mind the lawyer and Accountant.
It really is make or break time, so place your bets please Ladies and gentlemen. :t_up:

[whirly]

All good points you have made their Rabbi. I think that the $50m finance deal they are about to sign shows that others have faith in the plan and will hopefully prevent any immediate need for a cap raising. BCC are also still sitting on the Netherlands Sewell report which they announced before xmas was "substantially higher than the expected 15 million barrels detailed in the company's recent presentation". http://www.asx.com.au/asxpdf/20101230/pdf/41vyyjmj7qq2f8.pdf Due to be released any day.

That AIDEA are continuing to do due diligence and that the business plan has passed a stress test also bodes very well for BCC.
http://www.asx.com.au/asxpdf/20110120/pdf/41w8p28sn760vb.pdf

I hold from 5c

Fingers crossed Rabbi and other holders. If they pull this off they have some very good leases and a timetable that should allow good appreciation over the next couple of years. Get in now while risk is high or leave it til all the boxes are ticked and I would think that there would still be some upside in it. And thanks to Springtree there may be more good opportunities to get in before lift off.

Whirly

[A J]

Tis a good day

[Rabbi]

Tis a good day

The volume was gangbusters and the price followed -up around 40%

Congratulations to all those who took a punt on BCC

Probably some profit taking in the wings tomorrow and then another wait for AIDEA decision
re-jack up rig, so still some uncertainty till then.

[trackers]

Tried to get some this morning before open at 7.8c and it opened at 7.9c... Sigh, rose 25% higher than that. Need to work out the pre-auction a little better lol, did the same thing on MET the other day

[Corporate]

I reckon we'll see a capital raising. They are getting low on dosh

[whirly]

Choice! just returned from a couple of days sunning it up in beautiful Motueka to this news.

Corporate, could well be a CR needed but they announced last week in regards to the JUR that they are in "advanced discussions in respect to securing a Senior Debt facility of up to US$50m. Buccaneer believes that this facility, in addition to the proposed investment from AIDEA, will provide sufficient funding for the acquisition and all necessary upgrades before mobilisation to the Cook Inlet."

If successful this would surely mitigate the need for a Large cap raising and maybe just a small one to feed the directors for a few months.

W.

[Rabbi]

Next weeks the week when we will get some confirmation on the AIDEA financing the JUR. Most traders have taken a position
on this already and it seems to be a done deal. Still a bit of upside coming when the news does finally break. Then we have some on shore drilling coming up at the end of March.

Watch the volume when the Deal with AIDEA is confirmed.

[A J]

Where have you heard the news might be this coming week rabbi? If so.......... awesome!

Cheers
A J

[Rabbi]

Where have you heard the news might be this coming week rabbi? If so.......... awesome!

Cheers
A J

Sorry AJ I got the date wrong ; AIDEA decision should be Feb 14th so enough time to buy more if the big traders get nervous.
Apparently Escopata forgot to apply for their anti pollution consent which puts them 100 days behind the 8 ball.
Looking good for BCC

[Rabbi]

By now it looks like most punters have taken a position before the AIDEA decision on financing a JUR.There has been significant volume over the last few days but it has gone relatively quiet today.
This would have to be one of the most speculative, hyped, ramped up stocks, trading on the ASX. Any negative news and the SP will collapse like a deck of cards.
Meanwhile one can cut and run or sit precariously on the fence.
Still holding as Alaska could be a company maker if they make a flying start.

[trackers]

Trading Halt: Company requests a trading halt pending an
announcement in respect to a substantial investment into the Company’s wholly owned
subsidiary Kenai Offshore Ventures, LLC by the Alaskan Industrial Development and Export
Authority (“AIDEA”).

Well done guys

[whirly]

Go you good thing!!!

[A J]

There we go, nicely done.

Cheers
Aaron

[Rabbi]

The deal is done and the big question is.....

How much has the hype of AIDEA financing KOV been factored into the SP as this information seems to have been known?
Notwithstanding , a major hurdle is out of the way and BCC might even have the jump on Escopata and be the first to use a JUR in Alaska this year..
A lot of traders and Springtree will be squaring off their positions, so realistically I can't see much upside after the trading halt.

but I could be wrong...:D

[whirly]

Excellent announcement today and 12c should now be support. Hopefully I've done the right thing. I just had a small order filled at 12 to add to those I bought at 5c.

http://www.asx.com.au/asxpdf/20110217/pdf/41wtxg553yd835.pdf

[whirly]

hmmm.....obviously not the result I expected. Rabbi well done you have called this very well I think. All is falling into place though and I'm content to hold. There are so many developments happening with the BCC story that each one should see new support come in as it remains speculative until funding is confirmed by Aidea (and indeed until they strike the good stuff, however their is a 50% rebate involved here if the first well should come up dry). Could be a couple of weeks before we see SP appreciate but on the speculation that an announcement is coming we might see another rise to 14 or 15.

[Rabbi]

Whirly, at the moment some TA experts are predicting the SP could get into the low 9's in the absence of further news. Good pickings if that is the case, as I predict when the first drill is announced, there will be a significant re-rating and your 15cents SP might be realised.

Then there is good chance of a successful first drill if the first onshore prospects
are PUD. (proven undeveloped).
This company has now become a myriad of entities with quite a complex corporate structure underneath the Parent company. I assume all these subsidiaries had to be created to get things moving in Alaska but it sure is a dogs breakfast. When it comes to who own what things get convoluted. As an example, I'm sure that BCC Alaska has to hire the JUR off KOV as that is the entity that will own the rig. BCC has a share in KOV with AIDEA and some Asian outfit might even be putting up some money.

Notwithstanding, this has not deterred investors but rather convinced them how smart the BCC team (Dean and Curtis) are to make these concepts into reality.

If all the wheeling and dealing is over then it is time to go exploring for oil and gas.
With little cash to play with, spring tree almost gone, and in debt for $50m this Alaskan
team( ex Stella) had better be good at finding hydrocarbons.

After all the hype it's time to get real, and further SP appreciation will depend on
success with the drill bit.:t_up:

[Huang Chung]

:)

Hi folks,

On how far BCC's $60m will go on a jackup ..... ???

BCC jackup ... $60m will not go far, given the area and
working conditions, that they will be working in.

From an engineering view, there's a lot to be considered
in terms of upgrading costs, preferably BEFORE investing
in any "bucket of bolts" !~!

Things like:
Operating water depth
Air gap required to meet Alaskan safety regulations.
Spud can upgrades, if necessary
Winterizing needs & options, if a tropical rig is purchased.
Windproofing
Upgrading of heating for water and process piping and pits.
Upgrade engine and generator cooling/heating sysems.
Upgrade jacking and anchoring systems.
Winterize hoisting, pipehandling and topdrive systems.

..... and that's just a short list to consider, BEFORE
making a buying decision on the rig itself.

MORE IMPORTANTLY ... what experience do BCC management have
in owning and managing a rig (long-term) of ANY type ... ???

My own comments stem from bulk experience in the planning
and execution of such restorations, on many different types
of rigs, including jackups.

Given that experience, it is easy to see that costs could
easily blowout (pun intended) extensively, making BCC a
whole lot less attractive, as a trading stock in the future ... !~!

have a great day

paul

:)

=====

Great post Paul.

First time I've seen you give any detail, other than from an astro perspective.

[whirly]

Good post Rabbi. 9's are fine by me. Chances are if I sell out I miss the chance to get back in and BCC's story is a good one.

Further to Paul's post this announced with little fanfare last week.
---------------------------------------------------------------------------

February 17, 2011 04:59 PM Eastern Time
Buccaneer Energy (BCC) Announces The Promotion of Andy Rike

HOUSTON--(BUSINESS WIRE)--Buccaneer Energy is pleased to announce the promotion of Mr. Andy Rike to Executive Vice President of Operations for Buccaneer Resources and Buccaneer Alaska. Mr. Rike has been with Buccaneer since June of 2008 as manager of operations. In his new position he will be responsible for all of Buccaneer’s field operations in the lower 48 as well as Buccaneer Alaska operations for both onshore and offshore activities in Alaska.

“Andy has proven through his work history and his time with Buccaneer that he knows what needs to be done to be successful in this business. He is extremely good at bringing the right equipment to the table to create cost effective solutions to challenging problems”

Mr. Rike was formerly with Gulf Oil, Chevron and Schulmberger. For the last 31 years he has worked extensively both onshore and offshore. He has tackled assignments in the Cook Inlet, France, Dubai, Saudi Arabia, the Rocky Mountains, Texas, Louisiana, South America and the Eastern US. He has a Petroleum Engineering degree from Louisiana Tech University.

Buccaneer sees his extensive experience in both conventional and non-conventional drilling operations as a major advantage in its push into the Alaskan market. “Andy has proven through his work history and his time with Buccaneer that he knows what needs to be done to be successful in this business. He is extremely good at bringing the right equipment to the table to create cost effective solutions to challenging problems,” said Curtis Burton, CEO and MD of Buccaneer.
------------------------------------------------

cheers Whirly

[Rabbi]

Capital Raising at 9.5 cents and SP has held and now currently 10.5 cents

At least this capital raising will probably culminate with BCC forging ahead in Alaska
where the prospects are exciting.

They need to hit the ground running in Alaska and realistically cannot afford a dud drill first up. Last chance to get the company up and running as a credible producer.
All they have done so far is burn up cash.

[drillfix]

All they have done so far is burn up cash.


LOL Rabbi, I thought thats what oil and gas explorers do, just chew through the cash on a never ending run of hit and miss encounters with the only difference being depending on the management or board of who are in the know better than others, meaning, some get it right more often than wrong perhaps?

[A J]

Hopefully we'll know the big tamale around the 4th April (12 days time).Meeting is on the 1st in the states so we may find out some news over the weekend? But first day for an official announcement would be Monday the 4th for us I'm guessing.

Alaska Industrial Development and Export Authority
Board Meeting
9:00 a.m. Friday, April 1, 2011
documents will be posted prior to the meeting date


1. CALL TO ORDER
2. ROLL CALL: BOARD MEMBERS
3. AGENDA APPROVAL
4. ROLL CALL: STAFF, PUBLIC
5. PUBLIC COMMENTS (please limit comments to 3 minutes per person)
6. NEW BUSINESS
A. Resolution No. G11-07 Authorizing AIDEA to execute a Joint Ownership Agreement
for the Acquisition of a Jack-up Rig for use in Cook Inlet
7. DIRECTOR'S COMMENTS
A. Board Meeting Schedule
10:30 a.m. Wed. April 20, 2011
10:30 a.m. Thu. June 9, 2011
8. BOARD COMMENTS
9. ADJOURNMENT

[Rabbi]

Not long to wait now for confirmation of AIDEA decision. I wouldn't expect the SP to fly after that as the SPP will hold it back . They need a decent gas find in the first onshore spud. BCC can't run on hype forever.
It's cost them millions in dilution over the last year but they finally look like they have reinvented themselves.

North to Alaska-JUR on the way.

[seagull]

Unanimous vote from AIDEA today - Great news for Buccaneer. I feel we are on a future winner here. Cheers

[skeet]

Unanimous vote from AIDEA today - Great news for Buccaneer. I feel we are on a future winner here. Cheers

Bought in a week ago at 9.5c, happy with ann today, should see big vol's on monday.

[whirly]

KENAI LOOP # 1 WELL - DRILLING REPORT # 3

Buccaneer Energy Limited ("Buccaneer" or "the Company") is pleased to provide the following update on the progress of the Kenai Loop # 1 well:

Time: 9.00am (Sydney) 10 May 2011 / 3.00pm (Anchorage) 9 May 2011.

Depth: 10,680 feet Total Vertical Depth ("TVD")

Activity: Drilling completed to 10,680 feet. Wire line logging operations underway.

Results: Since the intermediate casing at 8,024' the well has been deepened to 10,680' TVD (Total Depth). Mud logs have identified 11 intervals within the Upper Tyonek, totalling approximately 355', as exhibiting characteristics warranting further testing.

Of these 11 intervals, 3 intervals totalling approximately 135' have been high graded as significant or very significant shows. These intervals are gas shows which exhibited either moderate visible porosity, were in massive sandstones or were unconsolidated sandstones.

One of the unconsolidated sandstone intervals totalling 60' was associated with a "gas kick" with an immediate and significant increase in pressure, recorded gas units were >2000 units and C1 - C4 gases were detected.

Wire line logging is expected to take 48 - 72 hours to complete after which casing will be run. On completion of casing the Upper Tyonek, a total of up to 10 zones from the Beluga and Upper Tyonek Formations will be selected, from the 16 zones identified, and perforated for flow testing. The Company has 10 perforation guns on site but as there are more than 10 zones of interest, not all zones will be tested. Flow testing of the identified zones will commence in approximately 7 days.

Massive sandstone indicates a relatively thick, uniform, not laminated, sandstone; possibly a channel type of sand with typically very good reservoir characteristics. Unconsolidated sandstones indicates a sand that was not or is no longer cemented and typically very good reservoir characteristics.
------------------------------------------------------------------------------------------------------------------------------------------------------------

Well done to the faithful.
Whirly

[Rabbi]

I will await flow testing with interest, permeability being the key.
The unconsolidated sandstone zone could be a standout producer. :)

[skeet]

Happy to be holding, looking at another couple of cents added in the coming week! ;)

[Rabbi]

Happy to be holding, looking at another couple of cents added in the coming week! ;)

You might have to wait until they perforate the well, as somebody is selling into the gas discovery news. At the moment short sellers are having it all there own way on the ASX, as well as the likelihood of Springtree also dumping shares.

Successful flow testing and an announcement re commercialization might turn the the tide, or even confirmation the JUR is on its way.

BCC not a successful producer so far with Pompano and Lee County so you can't blame investors for being nervous.:confused:

[Entrep]

There is a heck of a lot of stale holders ~10c or more who will use any bounce to get out. That plus traders. BCC needs a massive gap up to go anywhere, too much resistance.

[lawrence]

Trading Halt hopefully its for announcing flow rates

[Rabbi]

Trading Halt hopefully its for announcing flow rates

That's what it said: ie. "in respect of flow testing results at the compan'ys 100% owned kenai Loop well. "

Either the flow rates are far better that expected or vice versa.
Probably the first as the permeability was supposed to be good in one or two of zones being tested.
Big gas flows first up in Alaska.:D

[whirly]

I don't know if I can take any more good news from BCC every time they release something the price falls.:scared:

[A J]

Here's looking forward to a good result we hope.

Yeah I note whirly it does seem a bit like that, none the less it looks like the company is heading in the right direction. No offshore drilling till 2012 though by the looks, a 5 to 6 month delay as to what they settled on being mid Oct 2011 so now I think it's mid March or April when it would go ahead again for the new season. Delay a bit annoying but when they do start could be good. Atleast they have onshore Alaska to keep things a happening, plus a little LC maybe and Pompano / other gulf projects.

Still the JOA looks to be getting signed this week I think as ADIEA have a speacial meeting:

Alaska Industrial Development and Export Authority
Special Board Meeting Agenda
New Wednesday, May 25, 2011 at 3:00 p.m.


CALL TO ORDER

ROLL CALL: BOARD MEMBERS

AGENDA APPROVAL

ROLL CALL: STAFF, PUBLIC

PUBLIC COMMENTS (please limit comments to 3 minutes per person)

NEW BUSINESS
A. Cook Inlet Jack-Up Rig
(1) Memorandum to the Board
(2) Joint Ownership Agreement ("JOA") final
(3) Resolution No. G11-07A
(4) JOA redline comparing 3-29-11 to 5-19-11

DIRECTOR'S COMMENTS
A. Next scheduled board meeting 10:30 a.m. Thu. June 9, 2011

BOARD COMMENTS

ADJOURNMENT


Cheers
Aaron

[lawrence]

I give up with this market!! better than expected results and the sp is what................ .10c!!

[whirly]

At least it hasn't gone down! Yet!

AIDEA meeting at the moment some maybe waiting confirmation of JOA. I don't see why it wouldn't be approved so lets see if anymore join us on the good ship Buccaneer this afternoon. Buy/Sell depth appalling!

[Rabbi]

Ho Hum.... 20 million traded so far so someones dumping.
Springtree maybe?
Even so, a positive start to the Alaskan onshore drilling campaign, with more wells to come.
ADEIA decision still causing some uncertainty, as they seem to have a lot of conditions that have be met so its not straightforward. Everything seems to be conditional on every other thing, which means work for lawyers and Accountants who have to sort it all out.:eek2:

[whirly]

I'm out...at a good profit. This stock has too many shares and too many of them are for sale for my liking. I wish all holders good luck. I'm not likely to be back - I usually move on once I've sold.

W.

[Corporate]

I'm out...at a good profit. This stock has too many shares and too many of them are for sale for my liking. I wish all holders good luck. I'm not likely to be back - I usually move on once I've sold.

W.

I rode BCC from 5.8c to 15.5c in a couple of months. It was a dream run. Something is a bit fishy, I don't like their flash presentation adn I thought it would have run hard on the recent flow testing results.

[Rabbi]

I rode BCC from 5.8c to 15.5c in a couple of months. It was a dream run. Something is a bit fishy, I don't like their flash presentation adn I thought it would have run hard on the recent flow testing results.

Too many shares on issue now after Lee County failed to produce the goods. This stock has been recapitalized so many times its not funny.
Small investors have taken a shafting at the expense of instos after the Helmsec capital raising shortfall, forced the Co. to offer new shares at an average price of 7cents.

BCC is a traders dream stock.

[Rabbi]

BCC might still have legs as even though they are cash strapped they get good rebates from AIDEA on their drilling expenses. Currently producing gas from kenai1 well and
the recent acquisition raises their 2P reserves to 31 MMBOE.

If management can turn this one around it could be a takeover target!

[Rabbi]

Anyone still holding this one.

BCC now producing from their Kenai loop gas field with more wells to come, now that they have done the seismic. Also, they just bought an onshore rig, to complement their deep-water rig, and they have a drilling program coming up over the northern summer.

With 2P reserves of 31mboe and aces rebates from the Alaskan Govt. BCC look poised for action
Only problem is they are treading a tightrope with their debt and cash-flow, apparently owing money to contractors. It's taken them years of wheeling and dealing and major dilution to get to this position, so don't expect miracles.

One for the traders and speculators.

[gazprom1]

Hey Rabbi,

Interestingly enough, I bought in on Friday afternoon as it took a bit of a battering - Corporate mentioned it a while back so have been keeping an eye on it. Thought it looked a bit over-sold at these levels but cashflow is a problem. They should be increasing their gas output shortly as they have a contract allowing them to supply more than they currently do.

Happy to speculate on this one.

Gaz

Anyone still holding this one.

BCC now producing from their Kenai loop gas field with more wells to come, now that they have done the seismic. Also, they just bought an onshore rig, to complement their deep-water rig, and they have a drilling program coming up over the northern summer.

With 2P reserves of 31mboe and aces rebates from the Alaskan Govt. BCC look poised for action
Only problem is they are treading a tightrope with their debt and cash-flow, apparently owing money to contractors. It's taken them years of wheeling and dealing and major dilution to get to this position, so don't expect miracles.

One for the traders and speculators.

[Corporate]

Gaz

I've been sniffing around BCC for a while now. I just can't work out whether management have the skill to turn this into a billion dollar company or if its heading for administration.

Fairly cheap on a 2p/EV basis!

Cheers,
C

[Rabbi]

BCC has just completed a $20 million finance facility, as well as a $30 million revolving credit facility covering the Alaskan Govt. Aces rebates.

BCC is now ready-after having extensively reviewed existing seismic- to drill the 3rd well in their Kenai Loop field. (Kenai Loop #2) BCC also has an offshore well planned for later in the year, where will they will use their offshore jackup rig, (Endeavor) which they partly own through KOV (Kenai Offshore ventures)

BCC has also separately financed the acquisition of an onshore rig, from Marathon Oil Co.(Glacier#1 rig) to drill their Onshore prospects. With 2P reserves of 31 mmboe in Alaska, BCC look ready to rumble over the Alaskan summer. I'm accumulating at these prices as the currant SP still reflects the uncertainty surrounding their finances and the European contagion.

[A J]

Well I'm still here in this stock, learning experience eh. lol.

Kenai Loop 1 was a huge success, currently producing at 5 million cubic feet per day from a 2mm choke, yes 2mm lol. Selling at an average price of US $6.76 MCF, sells at a premium in Alaska compared to the lower 48. Well generates approx US $8.5 million per annum after royalties and expenses at the well head. Their second well (called KL#3) drilled off the same pad, but through to the other side of a fault line and was a dud. But it's because of this fault that the field they are in is a new resource so to speak which is undrained, new, not touched before adjoining the Cannery Loop field that has produced 180 BCF previously owned by Marathon.

They have completed 3D across 23.4 square miles over their Kenai Loop lease (100% owned by BCC), and the fault above is now clearly visable. They are currently finalising the bottom hole location of their next well (KL#4) and the rig is allready on site, spud sometime in the first half of this month. KL#2 is permitted on another pad which they aren't touching just yet. Once KL#4 has been completed they are seeking to increase the produciton rate of KL#1 to around double it's current rate going by previous discussions, it might end up being around 8 or 9 MMCFD in the end as a more realistic figure.

Their JUR (Endeavor) after all this time has just left Singapore (31st July) finally and is now on it's way to the Cook Inlet to drill offshore at their NWCI field, arriving in the last week of this month. She's looking good though and is fully ready to go after refurbishment. Video here:


http://www.youtube.com/embed/NnIom2iDJNU

Alaskan incentives quite good - look into ACES http://kovalaska.com/tax.html

The financing from what I hear is a little complicated to understand, and their amount of shares has blown out a bit due to raisings to keep things ticking along etc.... Still I think there is value here. It's just been alot of delays, perhaps things will start to get cracking very soon.

Cheers
Aaron

[Rabbi]

BCC is one of the most discussed stocks over the ditch but hardly rates a mention here. AJ, as you quite correctly pointed out, they have burnt cash at an alarming rate, and have consequently diluted hell out of the company, to the point they now have a billion shares on issue. They have a team in Alaska that they have been paying and now it's time they got down to work. As far as I know their overall Company structure isn't that big but with exploration people in both Texas and Alaska-who have been doing bugger all for the last 12 months-they have become a capital raising nightmare.

This is a Company that truly need to find lots of oil and gas in their upcoming program.....

and they probably will.

[gazprom1]

BCC has had a great run over the past few weeks after announcing a capital raising at $0.041 per share. Current SP $0.071.

SPP documentation was supposed to be despatched on 8 August. I have not received mine yet. Are there any holders out there who have or have not received their SPP documentation?

Thanks
Gazprom

[gazprom1]

SPP documentation finally turned up on Saturday. IMO we will all be scaled back to the minimum subscription (A$2,000) as the total pool available is only A$1.5 million and with the SP currently 75% higher than the SPP no reason why anybody would not take up there entitlement.

Still, a potential A$1,500 gain is better than nothing.....the institutions that received A$12 million in the capital raising have done a little better!!!

Gazprom

[A J]

Turned up same time here, I could put more in but will leave it as I don't really have any more, haha. I could put it in but will leave it. Yes the insto's will be doing better indeed!

Well she arrived on Saturday our time if I remember correctly so that worked out well. Here's the pic of it now in the Cook Inlet, will be interesting to watch the SP tomorrow:

http://www.stormchasers.co.nz/fastpage/images/images/Endeavour Arrives_1.jpg

Would appreciate KL4 getting under way though, alot of forken analysis having been done apparently so early August it wasn't. Is spudding towards the end of next week however, better late then never.

Cheers
Aaron

[gazprom1]

Turned up same time here, I could put more in but will leave it as I don't really have any more, haha. I could put it in but will leave it. Yes the insto's will be doing better indeed!

Well she arrived on Saturday our time if I remember correctly. Here's the pic of it now in the Cook Inlet, will be interesting to watch the SP tomorrow:

http://www.stormchasers.co.nz/fastpage/images/images/Endeavour Arrives_1.jpg

Cheers AJ. I wonder whether or not the SP will take a breather...it is been a fast ride up.

The world is a small place as I was out on Taiaroa Heads early last week and there was a US ranger visiting there and we got to talking about where she came from...Alaska. And you wouldn't believe it, lives near the Cook Inlet. Then we had a discussion about drilling in the Cook inlet and the environmental impact on marine wildlife, etc......I refrained from talking about the impending arrival of BCC's rig!!!!

Gaz

[A J]

Too true Gaz, often when everyone expects something the opposite happens. Mr market does what it likes, and yes it has done a nice rise recently hasn't it. Either way am not too concerned with tomorrow's sp happenings in regards to the longer term but it will be interesting none the less.

lol, arghhh... They are probably more O&G friendly over there then we would be here, there was some debarcle over Beluga Whales but nothing much in a while. Seems like it's all systems go and it must be otherwise Escopeta (now Furie) would'nt have been able to drill.

Cheers
Aaron

[gazprom1]

Closing for the BCC capital raising today. Would appreciate some feedback when everyone gets their allocation. I am expecting to be scaled back to the minimum (A$2,000) or worse. SP currently at a 49% premium to CR.

Fair bit of SP volatility last week and downward pressure. Should get news re spud date this week.

Gaz

[gazprom1]

SPP allocation notice out.....allocation at approx 17% of subscription amount. At least the allocation was done fairy as it relates to the SPP. Approx. A$2600 if you subscribed for A$15,000. At current market price, that would be a A$1,300 profit.

Gaz

[gazprom1]

BCC going along ok. Testing of Kenai Loop #4 well being undertaken. New gas contracts in place...selling up to 1.5MMCFD (of current 6.0MMCFD) at $15.00MCF, twice current contract price.

Successful testing/ commercialization of KL#4 will result in a significant increase in cash flows for BCC

Gaz

Discl. Hold

[bermuda]

[QUOTE=gazprom1;386764]BCC going along ok. Testing of Kenai Loop #4 well being undertaken. New gas contracts in place...selling up to 1.5MMCFD (of current 6.0MMCFD) at $15.00MCF, twice current contract price.

Successful testing/ commercialization of KL#4 will result in a significant increase in cash flows for BCC

Gaz

Gaz,
Got on board today. There is a very good interview out with Curtis explaining what is going on. See http://ow.ly/jGal.o or Ben's post on HC today. This company may have turned the corner.

[BRICKY]

LOL, I think you got the wrong link Bermuda. Try http://ow.ly/jGaLo

[bermuda]

LOL, I think you got the wrong link Bermuda. Try http://ow.ly/jGaLo

Thanks Bricky! Curtis presents well.

[Corporate]

I have also been having another look at BCC recently. Great news regarding KL and I'm looking forward to the cosmo drilling.

My only concern is BCC has a tendency to issue lots of shares. I think there were about 340m shares on issue when I first owned BCC (maybe 3 years ago). Now BCC has 1.5 billion shares on issue!

[Rabbi]

I have also been having another look at BCC recently. Great news regarding KL and I'm looking forward to the cosmo drilling.

My only concern is BCC has a tendency to issue lots of shares. I think there were about 340m shares on issue when I first owned BCC (maybe 3 years ago). Now BCC has 1.5 billion shares on issue!

Its fair to say the writing was on the wall when the gas price crashed after the global meltdown in 2008. This meant that their original plan of scavenging for gas in the Gulf was not viable and the alternative operation of drilling onshore at Lee County never got off the ground.
The diluting of the equity was mainly caused by the ridiculous financing arrangement they had with Springtree to whom they had to issue millions of shares, which were subsequently dumped on the market.

If you want to punt on this one now is probably the time but you will need to buy plenty to make it worth your while.

[Corporate]

Capital raising announced, another 900m shares to be issued at 4c. Making total shares on issue around 2.4 billion.

What puts me off these guys is the total disrespect for the company's capital base.

[ELYOB]

If you believe in something you know about and others don't see it whilst occupied with something considered bad , one could do well out of it !

[Rabbi]

These guys have got no integrity whatsoever. It wasn't so long ago they had an issue at 8 cents and everybody got burnt and then the latest one was at 4.5 cents and now they want to completely dilute the crap out of it.
A salutary lesson in how to run a Junior oil and gas company into the ground:scared:

[Corporate]

If you believe in something you know about and others don't see it whilst occupied with something considered bad , one could do well out of it !

What a load of BS. Management have diluted the value out of shareholders. Some good prospects, unfortunately management have no respect for the capital base.

I nearly bought BCC yesterday. Instead I went for TAP, TTE and DLS.

[skeet]

What a fall from Grace over the last year or so for this company. Past and present management have alot to answer too!
Yet another capital raising on its way... Who in there right mind would give them anything??