I'm in deep with a Calgary-based company called Vast Exploration. "Vast Exploration Inc. ('VST' on the Venture Exchange) is a Canada-based independent international oil and gas company focused on the exploration and development of its principal asset, the Qara Dagh Block, in the Kurdistan region of Iraq with its partner Niko Resources Ltd. The Qara Dagh Block lies on trend with existing discoveries and is located in the prolific Zagros Fold Belt of Northern Iraq, which contains several large fields, including the Kirkuk field"
It's channeling quite nicely right now (see chart below), showing some predictable entry and exit points. I've been in and out 4 times now since March making money each time, but I'm also holding a long position on it as well, as they are announcing drilling results in the 1st quarter of next year. This puppy could have been had for $0.12 a share back in March, and I made a partial sell for as high as $.90 in September, five and a half months later, for a very easy 750% profit on the 'ole TFSA. It closed at $0.55 today, and has been channeling between 50 and 60 cents this week, waiting for another chance to spike up over 80 cents again. Trading around a million shares today. Here's the chart;
Keep an eye on this one.
________________________
Before I learned about Vast, I was all over Western Zagros; riding it from $0.40 in March to $2.00 in September. 'WZR' on the TSX Venture is partnered up with oil giant, Talisman Energy. Here's how the last year looked:
I just got this from a buddy over at Canaccord today:
WESTERNZAGROS RESOURCES
WZR : TSX-V : C$1.34 | C$278.00M
Speculative Buy, C$2.00
Early results from Kurdamir-1 are encouraging; reiterate SPECULATIVE BUY rating, C$2 target price
Terry Peters, 1.416.869.6597
Event
WesternZagros announced interim results from the Kurdamir-1 well in Kurdistan, indicating a gas/condensate discovery in the Tertiary interval. Delays in news on the well had previously put downward pressure on the stock. WesternZagros announced it had encountered a 168 m gross interval in the Tertiary and had conducted logging, coring and two drill stem tests. Combined rates were 27.5 mmcf/d and 1,172 b/d of condensate, restricted by equipment. Independent analysis indicated potential production of 52 mmcf/d and 2,240 b/d could be expected. Total depth is anticipated to be 3,500-4,000 m and, excluding any testing, would be reached in the first quarter of 2010. Well costs are now estimated to be US$60-65 million, of which WesternZagros's share would be ~US$35-40 million. At June, WesternZagros had US$93 million in cash.
Impact
We expect Western shares will react positively to the news. While an oil discovery would have a bigger impact, there is a possibility that the interval represents a gas cap, and that oil may be encountered in the flanks of the structure. In addition, the primary objectives are in the lower, Cretaceous, interval and WesternZagros is drilling ahead.
Action
We rate WesternZagros a SPECULATIVE BUY with a $2.00 target.
______________________________________________________________
Right after the announcement, the stock fell off a cliff! Dropped 45% points today (83% if you count from yesterdays close of $1.33). Primarily because they discovered Natural Gas, instead of Oil. (Look at the volume... from dead, to almost 27 million!!!) Anyway, Canaccord likes it at $1.34, they say $2.00 in the near future, and they were bang-on initiating a buy for this stock back in February of this year, giving it a target of $1.20. (Which it blew away in only 4 months)
But wait! .......Todays Chart:
That's why I'm sharing this one with you guys tonight - this is an opportunity to get into the stock at prices it hasn't seen in over 6 months!! A chance to see a 30-80% return on your investment in the next couple months (maybe days). (*HOPEFULLY*, I'll reiterate again; this is a fairly speculative play, far from a sure thing - do your own due diligence)
I'm not much of a gambler, but with odds this good, I'll play :D
-B
PS: and you thought our troops were over there helping the Afghans, not protecting pipelines? Silly you.
Comments