While covering companies that have exposure to oil in the Bakken Shale, such as Brigham (BEXP), Northern Oil and Gas (NOG), and GeoResources (GEOI), I have come across another little gem, U.S. Energy Corporation (USEG). Although I love this company's oil position in the Bakken, it has some added exposure to molybdenum. Strange bedfellows they may be, they have exciting prospects with different interests within the corporation. Formed in 1966 in Riverton, Wyoming, USEG has positions in the Bakken and Three Forks formations with areas in the Gulf Coast. It also has interests in molybdenum, geothermal and real estate.
U.S. Energy is trying to maximize the value of its existing assets. When looking at its oil assets, one thing stood out: It has partnered with Brigham to drill 18 wells. Brigham is arguably the best shale driller in the Bakken. I know I may get some hate mail on this one, but it has done well and has been a consistant performer in this area.
U.S. Energy plans to do more in the short term. It is going to keep working with partners in its onshore Gulf Coast production; it currently is partnered with Petroquest (PQ), Yuma Exploration, and Houston Energy (HUSA). It successfully increased its Gulf production from 500 boe/d to 600 boe/d, and is currently at work with partners to drill new wells and further increase production of oil. To help fund these wells, it has opened a credit facility for funds up to $75 million. U.S. Energy is also showing interest in acquiring more JVs in the near term.
Long term plans are to work with Brigham on 90 gross wells (20-26 net). Looking to 2013 and beyond, this company has hinted it is interested in acquiring an exploration and production oil and gas company. This timeframe also includes its monetizing of geothermal and real estate projects, plus realizing the value of its molybdenum projects.
As of October of 2010, U.S. Energy has significant value to its current projects. It also has a net of approximately 800 boe/d net from its wells with Brigham. In Louisiana and the Texas Gulf Coast, its wells with Petroquest, it is averaging 450 boe/d, while its wells with Houston Energy are averaging 50 boe/d. In October of last year, U.S. Energy was averaging 1300 boe/d of daily production, with 65% of this being oil. At the end of 2009, it had 1.1 MMboe reserves, with 75% being oil.
U.S. Energy's contract with Brigham seems to be a profitable one. Not only is it positioned in a good area, it is also positioned with a good partner. It currently has a participation agreement to drill 15 wells. Brigham is to operate and drill wells, but U.S. Energy will have WI. U.S. Energy will have 19,200 gross acres and 5,500 net acres with respect to the first 15 wells. After pooled payout of initial wells, Brigham will back in for WI of initial wells only. Of the six initial well spaces, Brigham gets 35% and U.S. Energy gets 65% interest of Brigham's original working.
After combined payout, Brigham's WI will be 57.75% with U.S. Energy having 42.25% The next four spacing units will have Brigham getting 50% WI and U.S. Energy getting 50% of Brigham's original working interest. After combined payout, Brigham backs in for 35% of U.S. Energy's WI. The final five spaces have Brigham at 50% WI and U.S. Energy 50% of Brigham's original working interest. After initial well, final payout WI Brigham backs in for 27.7% of U.S. Energy's WI. Each 1,280 spacing unit may provide up to three wells in the Bakken, plus up to three in Three Forks, for drilling opportunities of up to 90 gross wells. Subsequent infill development of WI will be Brigham 64% and U.S. Energy 36%.
The Bakken does have some issues. Currently, take away capacity is difficult, with the oil mostly taken out by train and truck. This is not only expensive, but does not meet the demands that will soon be needed in this area. The Enbridge portal link project and Butt pipeline expansion should be online this quarter, and will help with getting an ever increasing supply of oil out of the Bakken.
The onshore Gulf Coast region has a partnership with Petroquest, and its two wells are currently producing a net of 450 Boe/d. The two wells with Yuma E&P are being evaluated as of October of last year. Its last partner, Houston Energy, has two wells in the Permian currently netting 50 Boe/d.
The wildcard for this company is its position with respect to molybdenum. There are a possible 800 million pounds of molybdenum in its acreages. Before U.S. Energy had this area, the previous company had put $160 million into it. U.S. Energy took over this space and is continuing where the last company left off. To give an idea of the value, from 1997 to 2003 the price of molybdenum was about $10,000 per ton. In June of 2005, the price peaked at $103,000 per ton, but settled down and was at $30,000 per ton in August of 2005. In August of 2008, a $400 million contract was signed with Thompson Creek Metals (TC) for the mining of the molybdenum. Thompson Creek will receive a 75% interest in the deal for the $400 million it spent.
U.S. Energy has seen quarterly revenue growth increase by 404% year over year. It has $40.77 in cash and currrent debt of $800,000. U.S. Energy is estimated to grow 115.8%, with 50% growth expected next year.
U.S. Energy has picked very good partners to help it drill or mine its commodities.
Uranium Assets Sale
BeantwoordenVerwijderenOn April 30, 2007, U.S. Energy Corp. completed a sale of its uranium assets (the Shootaring Canyon uranium mill in Utah, unpatented uranium claims in Wyoming, Colorado, Arizona and Utah), and USE's contractual rights with Uranium Power Corp., to subsidiaries of Uranium One Inc. (TSX:UUU), for approximately $100,000,000 in UUU stock and cash.
Additional Consideration
If certain conditions are met by Uranium One, USE will be entitled to receive additional consideration from the sale as follows:
$20,000,000 cash when commercial production occurs at the Shootaring Canyon Mill (when the Shootaring Canyon Mill has been operating at 60% or more of its design capacity of 750 short tons per day for 60 consecutive days).
$7,500,000 cash on the first delivery (after commercial production has occurred) of mineralized material from any of the claim properties sold to Uranium One on April 30, 2007 (excluding existing ore stockpiles on the properties).
From and after commercial production (see above) occurs at the Shootaring Canyon Mill, a production payment royalty (up to but not more than $12,500,000) equal to five percent of (i) the gross value of uranium and vanadium products produced at and sold from the mill; or (ii) mill fees received by Uranium One from third parties for custom milling or tolling arrangements, as applicable. If production is sold to a Uranium One affiliate, partner, or joint venturer, gross value shall be determined by reference to mining industry publications or data.
Uranium Royalty
USE also holds a 4% net profits interest on Rio Tinto's Jackpot uranium property located on Green Mountain in Wyoming.
RIVERTON, Wyo., Jan. 31, 2011 (GLOBE NEWSWIRE) -- U.S. Energy Corp. (Nasdaq:USEG - News) ("USE" or the "Company"), a natural resources exploration and development company with interests in oil and gas, molybdenum, geothermal, and real estate assets, today announced it has entered into an acquisition, exploration and development agreement with a private party in an oil and gas prospect located in Southeast Colorado.
BeantwoordenVerwijderenUnder the terms of the agreement, the Company acquired an 80% working interest in approximately 3,000 net acres. The Company has also agreed to carry the seller for their 20% working interest to casing point in the initial well. The dry hole cost of the well is estimated to be $250,000. USE will be the operator of the project and the initial well is planned to be spud in the second quarter of 2011. All subsequent wells will be drilled on a heads up basis. The prospect is a Mississippian target with an expected total drilling depth of approximately 6,500 feet.
The prospect has geophysical features similar to the nearby Brandon Field which has produced in excess of 11 million barrels of oil from the Mississippian formation and had average EURs of ~250,000 BOE per well. The Brandon field was drilled on 40 acre spacing. Geologic evaluation and current spacing suggest potential for ~40 gross well locations, based on drilling success.
"We are pleased to announce a new joint venture where the Company will operate in an area with considerable resource potential based on our preliminary geologic and 2D seismic analysis," said Keith Larsen, CEO of U.S. Energy Corp. "We are now actively staffing up to transition into operations on our own behalf as well as increase our conventional and non-conventional prospect leasing activities," he added.
Anoniem zei:
BeantwoordenVerwijderenU.S. Energy Corp. Announces 2011 Oil and Gas Capital Expenditure Budget
RIVERTON, Wyo., Feb 1, 2011 (GlobeNewswire via COMTEX News Network) --
U.S. Energy Corp. (Nasdaq:USEG) ("USE" or the "Company"), a natural resources exploration and development company with interests in oil and gas, molybdenum, geothermal, and real estate assets, today announced its oil and gas capital expenditure budget for 2011.
U.S. Energy expects to spud approximately 40 gross and 13 net wells with capital expenditures of approximately $45.7 million in its 2011 oil and gas drilling program. The Company has allocated an estimated $33.2 million to be spent in the Williston Basin of North Dakota in its participated Rough Rider and Yellowstone/SEHR programs with Brigham Exploration and Zavanna LLC, respectively. The remaining $12.5 million in Capex is budgeted to be spent on exploration initiatives in the San Joaquin Basin of California, in Texas and Louisiana (primarily Gulf Coast onshore), and our recently announced Colorado drilling program which the Company will operate. Amounts budgeted for each regional drilling program are contingent upon timing, well costs and success. If our non-Bakken drilling initiatives in California and Colorado are not initially successful, funds allocated for those drilling programs will be allocated to other drilling initiatives in due course. The actual number of gross and net wells could vary in each of these cases.
U.S. Energy Corp. presently expects to fund its budget from cash on hand, cash flow from operations, borrowings under its secured revolving credit facility and the possible sale of its apartment complex in Gillette, Wyoming.
"Management's focus on value driven oil and gas investments during 2010 has paved the way for continued growth opportunities for the Company with a geographically diverse portfolio of oil weighted prospects in varying stages of exploration and development," said Keith Larsen, CEO of U.S. Energy Corp. "We look forward to an exciting year ahead and expect to add meaningfully to our reserves as we continue to expand our drilling programs," he added.
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commentaar:
ze gaan zelf als operator fungeren, ik weet niet of ik daar blij mee moet zijn.
oordeel:
BeantwoordenVerwijderenUSEG is bij uitstek geschikt voor beleggers die een belang willen hebben in de grondstoffen-sector voor de middellange en langere termijn.
Door de stevige financiële positie is het risico naar beneden beperkt, terwijl de kansen naar boven vrijwel onbeperkt zijn.
Het is ook zeer geschikt als 'rugdekking' voor beleggers die eigenlijk al te veel risico-aandelen hebben.
Looking forward, U.S. Energy Corp. has allocated a $3.8 million budget for the region's 2011 drilling program. The Company anticipates drilling 10 gross wells (~1 net well) in 2011. The following activity is either ongoing or scheduled for the first quarter of 2011:
BeantwoordenVerwijderenThe NE Delta Farms well (Southeast Louisiana - HE) spud the first week of February 2011. The well is planned to be drilled to a depth of 9,800 ft, and is targeting the 2nd Cib Carst 2A, 2B, and 2C sands, with an estimated resource potential of 1.34 MMBO and 716 MMCF. The Company has an approximate 33% Before Casing Point ("BCP") WI / 24.75% After Casing Point ("ACP") WI in the well. Dry hole drilling costs are expected to be $1.3 million on an 8/8ths basis. The well is USE's second well located in the Delta Farms acreage block and is expected to take approximately two weeks to drill to depth, with completion initiatives to follow, if successful.
The Bayou Bend #1 well (southeastern Texas - Southern) is expected to spud in February 2011. The well is planned to be drilled to a depth of 12,000 ft, and is targeting the Eocene EY 1-5 sands, with an estimated resource potential of 9 BCF and 300 MBO. The Company has an approximate 16.6% BCP WI / 13.5% ACP WI in the well. Drilling and completion costs are expected to be $4.6 million on an 8/8ths basis.
The East Felmac well (Permian Basin, HE) is expected to spud in March 2011. The well is planned to be drilled to a depth of 13,200 ft. and is targeting the Devonian and Kinderhook formations in the Permian Basin, with an estimated resource potential of 1.0 MMBO. The Company has an approximate 13.3% BCP WI / 10% ACP WI in the well. Dry hole drilling costs are expected to be $1.6 million on an 8/8ths basis.
"With the partner relationships we have developed over the last three (3) years, we continue to see attractive drilling opportunities presented to us," stated Keith Larsen, CEO of U.S. Energy Corp. "We look forward to providing further updates as well results are determined," he added
US Energy Corporation (USEG) is another interesting Bakken player. The reason it is different is because it is an oil and molybdenum play (see here). US Energy has agreements with Brigham Exploration (BEXP), which currently has 14 producing wells and a 100% success rate. US Energy has 5,500 net acres with Brigham. US Energy also has a deal with Zavanna for 6,200 net acres in McKenzie County North Dakota. US Energy is currently in a three well drilling program with Zavanna. It believes that between these two areas there is a possibility of 276 gross locations. US Energy has 2,400 net acres in the San Joaquin Basin with Cirque Resources. The Anadarko Basin is another location of 3,000 net acres for US Energy. The onshore Gulf Coast has US Energy working with Petroquest (PQ), Yuma E&P, Houston Energy, and Southern Resources (all separate projects). These projects encompass over 90,000 gross acres with varying working interest. US Energy also has a very large molybdenum resource that it is currently working with Thompson Creek Metals Company (TC) to mine. This has 800 million pounds of MoS2 potential. Lastly, US Energy also has projects with respect to geothermal, uranium, and real estate.
BeantwoordenVerwijderenU.S. Energy Corp. Reports 2010 Highlights and Selected Financial Results
BeantwoordenVerwijderenUSEG 5.72 -0.11
Press Release Source: U.S. Energy Corp. On Monday March 14, 2011, 9:50 am
RIVERTON, Wyo., March 14, 2011 (GLOBE NEWSWIRE) -- U.S. Energy Corp. (Nasdaq:USEG - News) ("USE" or the "Company") today reported 2010 highlights and selected financial results for the year ended December 31, 2010.
Selected Highlights for 2010 and Period Subsequent to December 31, 2010
Recognized $27.2 million in revenue during the year, compared to revenues of $10.3 million during the prior year, a 163% increase primarily as a result of the production from our oil and gas in the Williston Basin of North Dakota.
Produced 448,855 BOE, or 1,230 BOE/D, which was an increase of 173% over 2009 daily production.
Increased total proved reserves to 1,954,941 BOE (79% oil), replacing 193% of 2010 production.
Increased estimated PV10 value to $52.1 million, which represents an 80% increase in reserves and a 102% increase in PV10 value over December 31, 2009.
Announced the closing of a $75 million senior credit facility with BNP Paribas, which currently has a borrowing base $18.5 million based on our wholly owned oil and gas subsidiary, Energy One LLC's June 30, 2010 financial statements.
Announced a Capital Expenditures budget of $45.7 million. The budget is comprised of approximately $33.2 million to be spent on our two drilling programs in the Williston Basin of North Dakota, with the remaining $12.5 million to be spent on exploration initiatives in California, Texas, Louisiana, and Southeastern Colorado, contingent upon initial success in each of the individual programs.
Acquired an additional 6,200 net mineral acres in the core of the Williston Basin Bakken and Three Forks formation play by entering into a participation agreement with Zavanna LLC and other Sellers.
Entered into an Acquisition, Exploration, and Development Agreement with Cirque Resources LP to acquire a 40% working interest in 6,120 gross (2,448 net) acres in the prolific San Joaquin Basin of California.
Acquired an 80% working interest in approximately 3,000 net acres in Southeastern Colorado targeting the Mississippian formation. This prospect will be U.S. Energy Corp.'s entree into operations.
Entered into a participation agreement with Crimson Exploration, Inc. to acquire a 30% working interest in an oil prospect in Zavala County Texas, targeting the oil window of the Eagle Ford shale formation.
Received the $1 million annual option payment from Thompson Creek Metals for 2011.
US Energy announces Drilling Success and Uphole Recompletion of Gulf Coast Wells
BeantwoordenVerwijderenAnnounces Increase of Borrowing Base to $22.5 Million
RIVERTON, Wyo., April 7, 2011 (GLOBE NEWSWIRE) -- U.S. Energy Corp. (Nasdaq:USEG - News) ("USE" or the "Company"), today is pleased to provide the following updates on its oil and gas drilling initiatives and its credit facility with BNP Paribas.
Oil and Gas Drilling Initiatives Update:
North Dakota
Rough Rider Prospect
U.S. Energy Corp. recently received an updated completion schedule from its partner, Brigham Exploration, for the following four wells that have been drilled into the Bakken formation in North Dakota:
The Brad Olson 9-16 #3H well is scheduled to begin completion operations in early April 2011. The Company has an approximate 31% working interest ("WI") and an approximate 25% net revenue interest ("NRI") in this well.
The Kalil Farms 14-23 #1H well and the MacMaster 11-2 #1H wells are scheduled for a simultaneous dual completion to begin in late April 2011. The Company has an approximate 20% WI and an approximate 16% NRI in the Kalil Farms well, and an approximate 41% WI and an approximate 32% NRI in the MacMaster well.
The Hovde 33-4 #1H well is also anticipated to begin completion operations in late April 2011. The Company has an approximate 25% WI and an approximate 20% NRI in this well. The Hovde well and unit is a direct offset (to the west) of the Lloyd well and unit. The Lloyd well recorded the Company's highest initial production rate of over 4,000 BOE/D in January 2011.
Initial Three Well Program
BeantwoordenVerwijderenZavanna has drilled two wells to total depth ("TD") under the initial drilling program with USE, the Cheryl 14-23 #1H and the Olson 8-15 #1H. U.S. Energy Corp. recently elected to increase its working interest in the Cheryl well from ~34% to ~39% WI with an ~30 % NRI and has an ~30% WI and an ~23% NRI in the Olson well.
The Koufax 3-10 #1H well was spud during the last week of March and is currently drilling in the vertical portion of the well bore. The Company has also recently elected to increase its interest in this well. USE now has an ~20% WI and an ~15.4% NRI in this well. The working interest increases in the Cheryl and Koufax wells are a result of non-participation by some working interest parties in the wells.
As previously announced, the Company is also participating in a Murex Petroleum Corporation operated well in the Yellowstone area of mutual interest. The Amy Michelle 16-23 #1H well spud mid-March and is currently drilling in the horizontal portion of the well bore. The Company has an approximate 8.9% WI and an approximate 6.9% NRI in the well and anticipates that completion operations for the well will begin in June 2011.
Recently announced one well per month (April 1, 2011 -- March 31, 2012) Zavanna drilling program (Precision Drilling Rig)
The first well in the Zavanna-Precision Drilling Rig program, the Wang 10-3 #1H, is scheduled to spud in mid April. The Company has an approximate 17.6% WI and an approximate 13.55% NRI in this well.
Zavanna plans to fracture stimulate each well using a slick water completion application and approximately 35 frac stages starting in July 2011.
Gulf Coast / Texas / Louisiana
The LL Bean Prospect, which is operated by PetroQuest Energy ("PQ") and is an estimated 4.55 BCF gas target, has been drilled to a TD of 10,350 feet and has encountered ~33 net feet of pay. USE has elected to participate in the completion of the well and sales are expected to commence in 30-45 days. Estimate that the initial production rate from the well will be 3-5 MMCFE/D. U.S. Energy Corp. has an approximate 17% WI and an approximate13% NRI in this well.
PQ recently notified USE that the lower zone of the ALMI #8 well has been depleted and recommended moving uphole to complete a larger zone. USE has elected to participate in the recompletion of this well in the upper zone which encountered approximately 54 feet of net pay during drilling. As previously announced, the Company expects the initial production rate from the upper zone to be approximately 10-12 MMCFE/D. It is anticipated that the time to recomplete the well and initiate sales is 10-14 days. USE has a 50% WI and 36% NRI in this well.
The KM Ranch # 1 well which is operated by Crimson Exploration is expected to spud on April 20th. The well is an Eagle Ford "oil window" target located in Zavala, County Texas. The well is planned to be drilled to a total drilling depth of approximately 12,500 feet (~6,000 ft. vertical, ~6,500 ft. horizontal), and to be completed with 14 fracture stimulation stages. USE has an approximate 30% WI and an approximate 22.5% NRI in this well. Estimated drilling and completion costs of this initial well are ~$6.9 million on an 8/8ths basis.
The East Felmac well (Permian Basin, Houston Energy) has spud and is currently drilling through ~9,000 ft. depth. The well is planned to be drilled to a total measured depth of 13,200 ft. and is targeting the Devonian and Kinderhook formations in the Permian Basin. Houston Energy believes that these formations have a combined estimated resource potential of 1.0 MMBO. The Company has an approximate 13.3% BCP WI / 10% ACP WI in the well. Dry hole drilling costs are expected to be $1.6 million on an 8/8ths basis.
3)
BeantwoordenVerwijderenIn addition to the drilling updates, the Company is also pleased to announce that its borrowing base under its $75 million credit facility with BNP Paribas was increased to $22.5 million on March 28, 2011, based on the Company's 2010 year end reserves. The Company plans to utilize the borrowing base to further its exploration and development activities in 2011.
Remington Village
After reviewing several listing proposals, the Company plans on listing its Remington Village apartment complex for sale with a realty group during April 2011. USE also anticipates closing on a $10 million conventional loan for the project in mid April 2011.
"We are very pleased with the progress we are making in our 2011 drilling programs in the Bakken and other regions of the country. We now have an inventory of seven wells drilled in the Bakken and we are actively drilling two more, with many more wells scheduled to be drilled and completed this year," stated Keith Larsen, CEO of U.S. Energy Corp. "The accelerated completion of our four Bakken wells drilled with Brigham, the completion of the LL Bean and the recompletion of the ALMI #8 well should add meaningfully to our production in the near term while our anticipated cash flow and ample debt reserves will allow us to readily continue our drilling initiatives throughout 2011," he added.
On Tuesday April 26, 2011, 10:43 am
BeantwoordenVerwijderenRIVERTON, Wyo. (AP) -- A Wyoming company that wants to mine molybdenum on a mountain in western Colorado says its partner in the project has decided to pull out.
Riverton-based U.S. Energy Corp. said Monday that Thompson Creek Metals Co. Inc. has terminated its option agreement to mine the mineral on Mount Emmons near Crested Butte. U.S. Energy and Thompson Creek said in a joint statement that Thompson Creek is planning more immediate projects.
U.S. Energy said it's still committed to the development and might reach out to the Chinese, who have expressed interest in the past.
Area residents and conservation groups oppose mining on Mount Emmons, nicknamed the Red Lady for its reddish soils. Opponents have unsuccessfully sued and appealed state approval of the company's plans. Federal approval is also required.
Unemployed? Go to North Dakota
BeantwoordenVerwijderenPublished: Wednesday, 24 Aug 2011 |
By: Brian A. Shactman - CNBC Reporter
Unemployment is a national problem in the U.S., but you wouldn't know that if you travel through North Dakota.
The state's unemployment rate hovers around 3 percent, and "Help Wanted" signs litter the landscape of cities such as Williston in the same way "For Sale" signs populate the streets of Las Vegas.
"It's a zoo," said Terry Ayers, who drove into town from Spokane, Wash., slept in his truck, and found a job within hours of arrival, tripling his salary. "It's crazy what's going on out here."
The reason?
Billions of dollars are coming into the state and thousands of people are following—all because millions of barrels of oil are flowing out.
The result: A good, old-fashioned oil boom.
Here are some examples of what a boom is like in 2011.
There's no available housing, so people sleep in truck stops and Wal-Mart Stores' parking lots.
Developers have expanded plans from just a few dozen new homes and are now building hundreds of houses and thousands of apartment units.
The McDonald's in Williston is one of the busiest in the country, and they need to pay $15 an hour just to attract employees to work there.
And then, there's the trucks—thousands of them—on country roads. There's one left turn in Williston that can get so backed up with truck traffic, it can take hours to get through the intersection.
"If you're not making money now, there's a major problem," said Williston Mayor Ward Koeser, who is overwhelmed with managing the city's growth, from sewage treatment to building permits to an exponential increase in traffic violations.
As for the oil itself, it comes from a rock formation called the Bakken, which spans 14,000 square miles in North Dakota, Montana, and Canada.
The U.S. Geological Survey says there are at least 4 billion barrels of recoverable oil, but other estimates indicate that it could be four to five times that.
"Clearly, it is the largest oil field we've found in North America in the last 40 years," said Bud Brigham, founder and CEO of Brigham Exploration, which has staked the company's future on the Bakken oil business. "If it's more than 15 billion barrels, it may be the biggest oil field found in America ever."
“If you're not making money now, there's a major problem.”
The Bakken has been a known source of oil for decades, but only in recent years has it become feasible—and profitable—to get it out of the ground.
There are two reasons for this: oil prices and drilling technology.
Oil companies, including Brigham [BEXP drill two miles down and two miles horizontally. Then, they use hydraulic fracturing, or "fracking," to create space for oil to flow out of the rock—hundreds of thousands of barrels a day, literally, one drop at a time.
"In a couple of years, the Williston Basin (where the Bakken is located) will surpass the oil production out of Prudhoe Bay, Alaska," said Rick Muncrief, senior vice president at Continental.
Of course, that's as long as prices remain relatively high and fracking is allowed to continue.
"Where we are today, we can generate really solid returns at 65 to 70 dollars a barrel," said Bud Brigham.
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PS:
USEG is nog te koop voor ca 2,75, terwijl het eigen vermogen p/a ca 2x zo hoog is.
USEG moet welhaast het allergoedkoopste Bakken-aandeel zijn.
Yahoo Forum:
BeantwoordenVerwijderen--------------
New Price Target $16.65 24-Oct-11 08:26 pm
This is a 12 month price target. It is based on WTI trading in the mid $90's or higher.
USEG has already bumped production up significantly in the third quarter. This does not include six Bakken wells drilled with Zavanna and awaiting completion. One of those wells is probably already completed at the start of the fourth quarter.
The second Eagle Ford well is drilling now in a new field, meaning if successful it will be a new discovery. USEG's partner CXPO believes the two fields USEG is partnered in are potentially worth hundreds of millions of dollars.
The 18
The California well with Cirque is scheduled to be drilled in December. This field might contain tens of millions of barrels of oil.
The 19,000 net acres in Montana have several wells drilling in the area potentially proving up the play. This could easily be worth $100 million to USEG in less than 12 months.
And lets not forget the moly mine. The company is actively seeking some kind of deal. The mine has 800 million pounds of proven molybdenum. Barrylake used to talk about how valuable the mine is. Molybdenum is selling for $15 per pound. He is either trying to steal your shares or is a desperate short hoping to scare someone to unload a potential 10 bagger.
If USEG hits in the Eagle Ford, hits in California, proves up Montana, and cuts a deal on the Mt. Emmons moly mine, then $16.65 is conservative.
U.S. Energy Corp. Announces Sale of 75% of Its Undeveloped Zavanna Leasehold Interests in McKenzie County, North Dakota for $16.7 Million
BeantwoordenVerwijderenRELATED QUOTES
Symbol Price Change
GEOI 30.87 +0.00
RIVERTON, Wyo., Jan. 26, 2012 (GLOBE NEWSWIRE) -- U.S. Energy Corp. (Nasdaq:USEG - News) ("U.S. Energy" or the "Company"), announced today that it has completed the sale of an undivided 75% of its undeveloped Zavanna LLC ("Zavanna") leasehold interests in McKenzie County, North Dakota. The interests were sold to GeoResources, Inc. (Nasdaq:GEOI - News) and Yuma Exploration and Production Company, Inc. ("Yuma") for $16.7 million.
On January 20th and January 24th, the Company sold an undivided 75% of its undeveloped acres in its Yellowstone (1/20/12) and SE HR (1/24/12) Zavanna leasehold interests for $16.7 million. The Company retained the remaining 25% interest in the undeveloped acreage and its original working interest and production in ten gross (2.3 net) wells drilled and/or in progress to date. Of these ten wells, five are currently producing and it is anticipated that the remaining five gross wells will be completed by mid-year 2012.
"With the closing of our second Williston Basin asset sale in the last six weeks, the Company has realized $30.4 million in sale proceeds which has significantly enhanced our balance sheet," said Keith Larsen, CEO of U.S. Energy Corp. "The undeveloped acreage sale did not impact our current Williston Basin production which consists of 30 gross (9.7 net) wells, or our $28 million borrowing base with BNP Paribas. Also, under our full cost pool accounting, we anticipate that this transaction will reduce our depletion, depreciation and amortization rate which should result in lower operating costs in 2012," he added.
http://seekingalpha.com/article/452151-u-s-energy-emerges-as-one-of-3-small-cap-growth-value-stocks-to-consider?source=yahoo
BeantwoordenVerwijderenhttp://www.usnrg.com/sites/default/files/pdf/US_Energy_Corp_Current_IR_Presentation.pdf