Range Resources (RRL.L) tipped by RHPS

MrMatisse

A lot of very inexperienced investors are probably reading this thread.

If you are one of them, please note that the shares discussed here are VERY high risk, In many cases these companies are generating no cash , that news from exploratory drilling, which is pre production and does not guarantee good quality resource flows or cost effective extraction can cause wild swings in the price.

Shares in tiny early stage companies can attract an element which attempt to pump the price by hyping up shares on the internet in a method known as pump and dump.

If you are considering any stocks discussed on this site, please do your own research and be VERY wary of 'news' and 'analysis' you find on the internet.

xertpo

MrMatisse wrote: »

A lot of very inexperienced investors are probably reading this thread.

If you are one of them, please note that the shares discussed here are VERY high risk, In many cases these companies are generating no cash , that news from exploratory drilling, which is pre production and does not guarantee good quality resource flows or cost effective extraction can cause wild swings in the price.

Shares in tiny early stage companies can attract an element which attempt to pump the price by hyping up shares on the internet in a method known as pump and dump.

If you are considering any stocks discussed on this site, please do your own research and be VERY wary of 'news' and 'analysis' you find on the internet.

These are wise words. Although RRL is now my largest holding in stock, I'm fully aware that this stock could retrace at a moment's notice.

poodles

MrMatisse wrote: »

A lot of very inexperienced investors are probably reading this thread.

If you are one of them, please note that the shares discussed here are VERY high risk, In many cases these companies are generating no cash , that news from exploratory drilling, which is pre production and does not guarantee good quality resource flows or cost effective extraction can cause wild swings in the price.

Shares in tiny early stage companies can attract an element which attempt to pump the price by hyping up shares on the internet in a method known as pump and dump.

If you are considering any stocks discussed on this site, please do your own research and be VERY wary of 'news' and 'analysis' you find on the internet.

A lot of small caps are about timing as far as I can see.

If people got in at the time and price of the fist posting in this thread, I think you could say that your original investment amount is safe and you're not going to lose it.

Thargor

Just look at Desire Petroleum today:

http://www.google.com/finance?q=LON:DES

Ouch, I had them on my watchlist because I nearly bought them a few months ago.

xertpo

Thargor wrote: »

Just look at Desire Petroleum today:

http://www.google.com/finance?q=LON:DES

Ouch, I had them on my watchlist because I nearly bought them a few months ago.

Oh my. Somebody somewhere won't be sleeping tonight!! In case anyone is interested as to why they dropped 60% http://www.reuters.com/article/2011/04/18/desire-idUSLDE73H07U20110418

cooperguy

As far as I know they never had good seismic data AND had dusters before. It was always going to be an extreme risk.

whysomoody

cooperguy wrote: »

As far as I know they never had good seismic data AND had dusters before. It was always going to be an extreme risk.

The mgmt have a history of histrionics too

xertpo

http://www.asx.com.au/asxpdf/20110419/pdf/41y46d40pq7ybk.pdf

This can only be good news. I'm nervous nonetheless.

neil.p.b

I'm very optimistic and excited. Great to see it close in the blue after being held down for much of the day. Even if the RNS isn't released until thursday i can see it breaking that 24p resistance tomorrow

Thargor

Cannot wait to find out what this is, even if its not too exciting it'll at least get everyone on RUM and iii to shut up about it, tomorrow is going to crawl.

neil.p.b

True, the amount of absolute sh!te you've got to trawl through to find anything of note is ridiculous. All part and parcel of a share price going up though, so can't complain too much

xertpo

I'm reading on RUM that Range have acquired 100% of Trinidad.

I haven't find anything solid to support this news yet though, so don't quote me!


It's offical.

RANGE MOVES TO ACQUIRE 100% INTEREST IN PRODUCING ONSHORE TRINIDAD OILFIELDS

Highlights

* Range has entered in to a Heads of Agreement to acquire the remaining 90%
(previously held a 10% interest) ownership interest, through SOCA Petroleum,
in holding and subsidiary companies which hold three production licences
in producing onshore oilfields in Trinidad together with an associated
local onshore drilling operation;

* The acquisition complements Range's existing portfolio of oil and gas
production and development assets in Texas and exploration projects in
Georgia and Puntland;

* Trinidad has produced over 3 billion bbls to date and currently produces
100,000 bopd with both major and smaller operators active in the country.
All locally produced onshore oil is acquired by the state owned petroleum
refinery with logistics already established;

* Independent geological and petroleum consulting experts Forrest Garb and
Associates have assessed that the producing fields contain:

+ Net Proved plus Probable Reserves (2P) of 4.8 million barrels of oil
with further Possible Reserves of 2.1 million barrels.

+ Undeveloped Prospective Resources (best estimate) of 20 million barrels
of oil.

* Current production is approximately 600 bopd with a planned work program
expected to lift production to more than 4,000 bopd within 36 months on
known reserves;

* Planned production doesn't take into account exploration upside with
significant potential from the deeper `Herrera Formations' which host
substantial producing reserves on adjacent blocks;

* 10 Herrera Formation Targets already mapped with extensive 3D Seismic
existing on SOCA's licences. The above Prospective Resources does not
include any Herrera potential;

* Acquisition comes with established drilling inventory, personnel and
operations all in place on site;

* Successful oversubscribed placement of £20m through the Company's broker,
Old Park Lane Capital to fund initial acquisition costs, with the Company
looking at accepting £5m in over subscriptions due to demand; and

* Current work programme now has Range participating for the rest of 2011 in
2 exploration wells in Puntland, 2 exploration wells in Georgia, at least 4
appraisal and development wells in Texas, and multiple production wells in
Trinidad with at least 1 exploration well targeting the highly prospective
deeper Herrera formation.

beagle001

Range down to .19 cents,anyone reckon now is a good time to jump in?

poodles

beagle001 wrote: »

Range down to .19 cents,anyone reckon now is a good time to jump in?

The long term implications of taking 100% of Trinidad into Range is massive.

Range will become a Mid Tier Oil Producer inside 2 years on Trinidad alone.
Bigger if discoveries are made in Georgia and Puntland in the next few months.

The SP is 20c to buy now. Personally, I think the price will stay at this level for another few days or so. The catalyst to bring it back to 25p + will be news on Geogia or Puntland or a Broker Report giving a value of the company including its Trinidad asset.

People will see 'placement' and not the full picture here.

Thargor

All sounding very promising here

We just acquired 100% of Trinidad with a drawdown and the SP only returned to what it was 6 days ago, its practically a free company maker when you look at it like that.

I have a pretty big lump sum to invest tomorrow and I was going to split it between RMP and a huge gamble on AMC:

http://www.google.com/finance?q=LON:AMC

But now Im tempted to just grab another 100k of Range, Im wondering if in a years time Ill be kicking myself if I dont, any opinions on that? RRL is 90% of my portfolio as it is so all my eggs are pretty much in the one basket anyway.

beagle001

Spread your rusk thargor,
I have been burnt bad in the past by using this strategy,it's too risky and really greed is the only thing that motivates you in this situation well it was for me.
Keep your options open as you may be kicking yourself if you put all your eggs in one basket.

poodles

Thargor wrote: »

All sounding very promising here

We just acquired 100% of Trinidad with a drawdown and the SP only returned to what it was 6 days ago, its practically a free company maker when you look at it like that.

I have a pretty big lump sum to invest tomorrow and I was going to split it between RMP and a huge gamble on AMC:

http://www.google.com/finance?q=LON:AMC

But now Im tempted to just grab another 100k of Range, Im wondering if in a years time Ill be kicking myself if I dont, any opinions on that? RRL is 90% of my portfolio as it is so all my eggs are pretty much in the one basket anyway.

Take a look at ALO Thargor, news tomorrow or next week of excellent ground results of existing licences in Mauritania and a new Gold acquisition in Ghana.
Market Cap of only £7m and Damian Conboy at the CEO.

cooperguy

Delighted with today's news. Current share price seems pretty much underpinned by current assets going by what I have been reading.

cooperguy

poodles wrote: »

Take a look at ALO Thargor, news tomorrow or next week of excellent ground results of existing licences in Mauritania and a new Gold acquisition in Ghana.
Market Cap of only £7m and Damian Conboy at the CEO.

Hey poodles. Thats an interesting share! How are they going to fund the acquisition in Ghana? Certainly alot of potential with such a small market cap.

Also, I haven't been able to find timelines for their 4 phase exploration. Can you point me in the right direction?

poodles

cooperguy wrote: »

Hey poodles. Thats an interesting share! How are they going to fund the acquisition in Ghana? Certainly alot of potential with such a small market cap.

Hey Cooperguy,
It's certainly a share in its infancy but a great opportunity (for me anyway) to get in at the ground floor.

They raised £2.2 million at Christmas..

"The net proceeds of the Placing will be used to fund exploration and development at Alecto's gold and base metal licences and two uranium licences located in the Mauritanide mobile belt in Mauritania and for general working capital purposes. The exploration programme is expected to commence in Q1 2011. Additionally, the new funds will be utilised, as per the Company's expansion strategy, to fund additional acquisitions of, and investments in, other precious and base metal projects. In line with this the Company is in discussions with a number of parties and hopes to announce further in due course. "

I'd take it from above that the new Ghana acquisition will be paid for out of that funding.

I've talked to a few people who are in touch with the company occasionally and relate that Damian Conboy is very bullish on Alecto. He recently stepped down as director of CHC "to focus on his main role at Alecto Energy".


ALO also have a 10% interest in the company CHC and 20% in the company BMC.

Right now there is not a huge amount of shares being traded on the company and as a result there can be quite a large spread (has sat at 3.75 - 4.5p mainly for quite a while!) but like I say it's a company in its infancy with huge potential.

Thargor

Good call on ALO Poodles, has the ship sailed or will it retrace?

poodles

Thargor wrote: »

Good call on ALO Poodles, has the ship sailed or will it retrace?

Just looking at L2 here...

There's one mm sitting on 5p to sell and the rest are on 5.25p - so it should tend upward in the short term.

If you look back over the chart, the SP has been steady between 3.5p - 4.5p for quite a while so I'm expecting a step up and new floor with the recent news.

Another announcement next week maybe on a new Gold Mine Acquisition in Ghana I think.

neil.p.b

Great shout poodles. Up 25% now after that 2nd RNS. Unfortunately i've no funds available. I was considering selling my SOU (took a small position again on yesterdays drop) to get in but i hadn't researched enough to justify it. I'll be keeping an eye on it until more funds come available. And cheers for giving us the heads up, appreciate it (along with the prior heads up on RRL of course!)

Back to RRL. Great news yesterday. Would have made a lot of short term traders/investors a bit unhappy/impatient but to any long termers it's huge. Before the news i was probably looking to get out around Georgia or Puntland and increase my position in RMP, but now see myself holding for another year anyway, and will most likely beyond at the rate PL is taking the company forward.

Struggling to break 21p today, a lot of sells to get through there and probably won't happen with everyone off for easter this evening (hope i'm proven wrong of course). 30p in June would be nice.

Thargor

That was a weird spike with ALO, cant believe it finished down after 2 good RNS's like those and a 25% rise, they said it was volatile over on the BB alright.

Agree with you about yesterdays news aswell Neil, Im going to forget about doing anything at 35p now and just see what happens whether it takes another year or 2, Landeau is definitely a man with a plan.

poodles

Thargor wrote: »

That was a weird spike with ALO, cant believe it finished down after 2 good RNS's like those and a 25% rise, they said it was volatile over on the BB alright.

Agree with you about yesterdays news aswell Neil, Im going to forget about doing anything at 35p now and just see what happens whether it takes another year or 2, Landeau is definitely a man with a plan.

Thargor, there's no harm in taking some money off the table to de-risk.
I shudder to think what the paper loss could be overnight between RMP and RRL if the first Georgia drill wasn't successful.
I personally think that we'll be sub 25p at spud of Georgia...that would be £475m market cap fully diluted.
Trinidad will add major value to Range but the benefit won't be seen for some time I'd imagine.

Thargor

Yeah Ill have derisked by then probably, 25p would be around when Ill start thinking about it cos it would exactly recover my original stake for 25% of my shares, Id hope to do better than that pre-spud though, even if it just spikes in the morning it'll be a good chance to derisk, a lot of people will be thinking the same thing around then though.

The Pontiac

Poodles, maybe you could start a thread on ALO? More of an oil man myself, but would be interested to learn more on gold (and copper etc.) exploration companies. What is the usual route a company takes after aquiring a new licence ie. how long does it take to get to production if they do find an economically viable resource? What kind of track record does Damian Conboy have etc. etc? Thanks.

Thargor

<Ollie> wrote: »

Poodles, maybe you could start a thread on ALO? More of an oil man myself, but would be interested to learn more on gold (and copper etc.) exploration companies. What is the usual route a company takes after aquiring a new licence ie. how long does it take to get to production if they do find an economically viable resource? What kind of track record does Damian Conboy have etc. etc? Thanks.

+1, not being lazy or anything

neil.p.b

Anyone who's a member of RUM i recommend reading:

http://groups.google.com/group/underground-mail/msg/3e7274293c7abfd2?

xertpo

RANGE RESOURCES | Texas Drilling Update | RNS



Range Resources Ltd
ABN 88 002 522 009

www.rangeresources.com.au

27 April 2011

RANGE SUCCESSFULLY DRILLS FIRST HORIZONTAL WELL AT EAST TEXAS COTTON VALLEY

International oil and gas exploration, development and production company,
Range Resources Limited ("Range" or "the Company") is pleased to announce that
it has reached total depth in its Ross 3H exploratory well, the Company's first
horizontal drilling venture. Located in Red River County, Texas, the well
reached a total depth of 8,900 ft (2,715m), with a horizontal section of
approximately 3,400 ft (1,040m).

Based upon open-hole logs, samples, and consistent oil shows during drilling
operations from both the vertical pilot hole and horizontal leg, Range and its
partners have successfully run and cemented in place a production liner to
target depth, with completion operations having begun. Once fraccing has been
completed, Range will be able to accurately report on flow rates and update
reserves.

Added Pete Landau, Range Executive Director, "The Ross 3H represents yet
another milestone for the Company as we and our joint venture partners continue
to apply the most cost-effective oil field technology available to our
exploration and development programs. Consistent with our recently announced
acquisitions in Trinidad, the East Texas Cotton Valley play represents a
low-cost opportunity to build our portfolio of crude oil reserves in a period
of strong commodity prices."


Yours faithfully

Peter Landau
Executive Director

Thargor

Strong finish to another great week, any boards opinions on what the leftfield Boom rumors are? Puntland mobilization maybe?

neil.p.b

Thargor wrote: »

Strong finish to another great week, any boards opinions on what the leftfield Boom rumors are? Puntland mobilization maybe?

Hope so, can't see it being another acquisition.

Did you end up taking a position in RMP?

Thargor

Nope, should have been in at .30-.32 by now but I got dicked around by An Post with a cheque. Im putting in an order for .33 on Sunday night and hoping it will drop a little bit to meet that, if it doesn't Im going to be patient and keep trying, I hope I have another few weeks or so to wait for it to dip a little bit before it starts to move for Georgia.

xertpo

News just in from the RUM board :-

International oil and gas exploration, development and production company,
Range Resources Limited ("Range" or "the Company") along with its joint venture
partners, Strait Oil and Gas ("Strait") and Red Emperor Resources ("Red Emperor
") (ASX: RMP) is pleased to announce that it has secured a ship to transport
the exploration drilling rig from the UK to Georgia, thus triggering the
commencement of the Company's two exploration well drilling program in Georgia.

http://www.londonstockexchange.com/exchange/news/market-news/market-news-detail.html?announcementId=10853906

cooperguy

Its finally starting !!

kevingleeson

Are people still thinking now is a good time to jump on board here for a high return high risk investment?

Thargor

If you are getting into it then now is definitely the time because its not going to go lower than 17-17.5p and it is most definitely going up soon, might want to do some research on their partners RMP if you're looking for high-risk high reward, I hold both, about 4 times as much RRL as RMP.

doedoe

kevingleeson wrote: »

Are people still thinking now is a good time to jump on board here for a high return high risk investment?

i topped up at 18, theres not going to be a quick return on this I'm in for the long haul

Cute Hoor

poodles wrote: »

Take a look at ALO Thargor, news tomorrow or next week of excellent ground results of existing licences in Mauritania and a new Gold acquisition in Ghana.
Market Cap of only £7m and Damian Conboy at the CEO.

Not wishing to move off topic, but anybody any idea why this one tanked today, down 13% at 2.83, can't find any news good or bad?

doedoe

Cute Hoor wrote: »

Not wishing to move off topic, but anybody any idea why this one tanked today, down 13% at 2.83, can't find any news good or bad?

nothing either apart from AGM on 23rd. My guess is people tryin to free up funds plenty of action elsewhere......
down 7% at 3.00

neil.p.b

Apart from it spiking on news last month, it's 50/100/200 DEMA are all only around .5 higher at 3.50 which isn't much change for an AIM share. The sector in general is down as well. 3p does look like a good entry point for both short and long term though. It had a technical bounce at 2.83 earlier which shows strong support there (wish i had have noticed that before now!!).

But you generally shouldn't be too concerned with short term movements in these type of shares. You're buying on future potential.

xertpo

I'm getting twitchy. I should have top sliced at .23.

neil.p.b

xertpo wrote: »

I'm getting twitchy. I should have top sliced at .23.

Relax, every oily is taking a beating lately, RRL is actually holding up quite well relatively speaking. The AIM is approaching the 6 month low from December 2010, as it did in March where it bounced. I'm hoping it will again, this week or if not next week latest. Getting from current levels back up to test .24 will take no time at all once the tide turns. The day before the TT announcement i remember it went from 20ish to testing 24 within 2 hours or something. Hold tight.

Hindsight is a terrible thing!

Thargor

neil.p.b wrote: »

Hindsight is a terrible thing!

I could have 12 months wages banked if Id traded it at 24p, it hung there for a day aswell and I knew it was going to retrace, maybe not this badly but I knew it wouldnt hold 24p until spudding, wish Id done it but Ive never sold an RRL share since I started and I wont next time it spikes either.

Total bloodbath across my portfolio and watchlist for the past week anyway, when do you think its going to reverse?

neil.p.b

Thargor wrote: »

I could have 12 months wages banked if Id traded it at 24p, it hung there for a day aswell and I knew it was going to retrace, maybe not this badly but I knew it wouldnt hold 24p until spudding, wish Id done it but Ive never sold an RRL share since I started and I wont next time it spikes either.

Total bloodbath across my portfolio and watchlist for the past week anyway, when do you think its going to reverse?

Last time it hit 24 was before TT deal. Most of us thought that that would break the 24p resistance, we were also expecting georgia mobilisation any day. I personally don't think i made the wrong call with what i knew and thought at the time, it was more likely to rise than fall, maybe a short term fall but not to these levels, i don't think anyone did (including the II's who bought over a hundred million plus shares and are now in red). I sold some RRL a few weeks back at 18 to fund buying RMP and BMR (luckily i'm slightly up in both). But it wasn't because i thought it was going to drop.

I've completely stopped looking at my portfolio daily. There's no point, soul destroying! But it'll come good just gotta be patient and trust your research. Its now a great time to buy IMO, be greedy when others are fearful and all that. I'd like to think (hope) that within the next week or so it'll bottom and hopefully start to rise end of next week. I wouldn't be surprised to see my portfolio drop another 5% before it does so (considering oilys are getting hit the worst). Should have paid attention to the "stay away in may" saying!!

Thargor

Ah I know, I wont be selling any of my companies for a year or 2, it still grates though when you know you're technically losing money, especially when its in the fcuking thousands!

If this is sovereign debt crisis related this could drag on for a long time aswell.

xertpo

I think I need to take your advice Neil and stop looking at my portfolio every day. I'm in for the long haul with most of my shares anway, so it really makes no sense.

If I had some cash lying around I'd probably contemplate topping up, but I wonder if I'd actually pull the trigger.

Grecco

I don't hold this stock anymore , I got out a while back but Im thinking of getting back in, but this stock seems to be sinking like a stone,Anyone know whats up?

neil.p.b

Grecco wrote: »

I don't hold this stock anymore , I got out a while back but Im thinking of getting back in, but this stock seems to be sinking like a stone,Anyone know whats up?

See above. This might drop a bit further to circa 14.6 but i'm not taking that chance, just sold another holding to buy 20k more shares here.

poodles

Grecco wrote: »

I don't hold this stock anymore , I got out a while back but Im thinking of getting back in, but this stock seems to be sinking like a stone,Anyone know whats up?

Grecco, I'll go out on a limb and say that today is the bottom. Not just because I bought more at 15.25p just now!

There's been a heavily over subscribed placement at 17p recently which gives the shareprice a good floor.

There's also a recent independent valuation of Range Resources by OPL valuing the company at 28p on current assets.

The value of 100% acquisition of Trinidad has yet to be realised. Currently producing 700 barrels of oil a day, the hope is to raise this to 1,500 by the end of the year and up to 3,000 - 4,000 within 3 years.
If you use a simple calculation of 4,000 barrels of oil X 365 days X $30 USD this gives you $44m USD revenue per year. That just shows you the potential of this share from where it is currently.
Plus there is exploration upside from the Trinidad deal - Range are hoping to drill atleast 2 deeper Herrea Formation wells which look to contain anything from 20 - 100 mbbls each.

There could be an update from the company tomorrow, perhaps with some news on Texas or Trinidad.