CHCG 1-yr chart
I have taken the funds from CHCG transaction and rotated them into Basic Earth Science Systems (OTC:BSIC), effectively tripling my position at a price of $1.40. For those new to the stock, please see my previous article for a detailed discussion of BSIC. I continue to believe that BSIC is sporting a rock bottom valuation and the company continues to expand production, pursue exploration opportunities, and generate solid cash flow. With oil prices showing unexpected strength so far this year, I expect BSIC to report very solid results over the near term. In addition, the Annual Report (which should be coming in July) will give investors a better idea of the company’s total proven reserves, and I believe we will see BSIC replace most of their production for the year.
BSIC 1-yr chart