BEACH PETROLEUM - BPT

[macduffy]

Beach now hold 30% of BMG. From memory, when announcing the second 10% sale the company said something like " sale proceeds can be more profitably applied to our other projects " or words to that effect.
I think the profit booked on that sale was AUD60m odd.

Better look up the announcements for details.

[Huang Chung]

Interestingly, they're selling down their stake in BMG (Oil), yet retaining a non-core holding in Ramelius Resources (Gold).......

[macduffy]

Refer March 2008 Half Yearly update to shareholders.

10% sold to Itochu on 9August, 2007 for AUD 123m

10% sold to Sojitz Energy Aust on 29 Feb 2008 for AUD123m. Effective date will be 31 Dec 2007 when sale goes unconditional.

[Dr_Who]

At what price should I put some of these away? It is on my watchlist as we speak.

[Tok3n]

This one looks like its heading towards previous support levels.

Any fundamentals reasons to get into this one? +why they have invested in a junior like GOG?

To me personally the whole mid tier ASX oil/gas plays don't look very attractive apart from maybe NXS (but they're not producing for a while)...I guess its a case of one lucky strike will change everything .

Seems to be better leverage, value and opportunities going down a tier towards the emerging producers.

[macduffy]

I pretty much agree with that, tok3n. None of my mid level oilers are thriving at present except AWE to some degree with its 42.5% of Tui, and ARQ which looks like it may be taken over by AWE. ( As a result, ARQ sp is up, AWE is down!)
I'm not into giving advice on prices - isn't it verboten on this forum? - but I would caution anyone interested in BPT that it has a fairly long history of disappointing, shareprice-wise.
But who knows, perhaps that will change one day!

[Hommel]

I have owned BPT and HZN for a couple of years now and I would have expected better from the share prices considering what has happened to oil prices lately. However I am not a seller at present.

[Dr_Who]

Q result is out. CommSec has a valuation upgrade of $1.98.

http://www.beachpetroleum.com.au/fil...8April_CBA.pdf

MEDIA RELEASE
FOR IMMEDIATE RELEASE

Ref: #049/08

INCREASED PRODUCTION AND HIGH OIL PRICES FOR
BEACH PETROLEUM’S QUARTERLY RESULTS

Beach Petroleum has posted record sales revenue of $A147.7 million in the March
quarter, up 14% from the previous quarter reflecting higher production and high oil
prices.

Oil sales revenue in the March quarter was up by 16% to $94.7 million while higher
production volumes and prices of gas and gas liquids also contributed to the results.

Total sales revenue for the nine months to March 2008 was $397 million, an increase
of 15% on the nine months to March 2007 ($345 million).
Beach Petroleum recorded an average oil price, for the nine months to March 2008,
of $A104/bbl (before taking into account hedging adjustments for the period).

In the March quarter Beach Petroleum produced 767,000 barrels of crude oil, up by
7%.
That increase was driven primarily by higher contributions from Beach’s various
Cooper/Eromanga oil projects and increased production from the BMG Project.

Beach sold a further 10% equity stake in the BMG project for A$123 million. Funds
from this sale were received on 24 April 2008.
Beach had previously sold a 10% stake in the BMG project to Itochu of Japan for the
same price.

Gas production volumes achieved by Beach in the March quarter remained steady

with higher liquid yields resulting in an increase in gas liquids production.

Total production during the quarter was 2.33 million barrels of oil equivalent, an
increase of 4% on the previous quarter.

Beach Petroleum managing director, Reg Nelson, said, “The March quarter results
continue to reflect Beach Petroleum’s growing strength in the Australian petroleum
industry.”

“Beach has continued to record significant success in the exploration program in the
western portion of the Cooper Basin and elsewhere in Australia.”

“But the company is also aiming to focus on growing the business in the international
arena.”

“Beach has a strong balance sheet and strong cash flows which it aims to utilise to

continue to build its asset portfolio.”