Michael Fitzsimmons
Oil & gas, dividend investing, research analyst

Warren Resources: Hidden Value Of Coal-Bed Methane Assets Will Cause Shares To Double By 2015

Warren Resources (NASDAQ:WRES) is a small domestic independent energy company. The company is primarily focused on the exploration and development of waterflood oil recovery properties in the Los Angeles Basin of California and coal-bed methane ("CBM") natural gas properties located in Wyoming. The company's 2013 year-end reserves are located on only 20% of its acreage. And there is the upside opportunity: 80% of Warren Resources acreage is essentially undeveloped and unbooked. The company is attractively valued and should trade up 50% over the next year and double to $10.50/share by 2015.

From the company's 2013 Form 10K (available here), we get an idea of the company's valuation and its acreage positions:

(click to enlarge)

As of December...

Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
IDEA GENERATORXExclusive access to 10 PRO ideas every day
INVESTING IDEAS LIBRARYXExclusive access to PRO library of more than 15,000 ideas
SECTOR EXPERT NETWORKXExclusive access to all sector experts for direct consultation
PERFORMANCE TRACKINGXTrack performance of all PRO stock ideas
PROFESSIONAL TOOLSXProfessional Idea Filters to zero-in based on industry, market cap and more
"In just the first month of using PRO, I used it to generate two ideas which were actionable for me. As a result of these two positions, I have earned more than 20 times the annual subscription costs for PRO."Michael Yagemann, Greenbridge Capital
"I am pleasantly surprised with the scope of small and mid-cap coverage PRO offers. You can't find that any where else."Patrick Rice, Mainstay Capital Management
You may cancel at any time for any reason, and receive a prompt refund for membership on months paid and not used (max. 6 months). Details