I think you are sadly mistaken, DEJ has NOT been over a dollar a share in more than three years - not since early September 2008. When this article was first published, it was trading at $0.39-$0.40 per share - much as it trades today.
The fact that you did not jump on it simply means you either missed a 50% return on your money within a few weeks, or, you still have the option of getting in as 2012 is just beginning and so is the potential for Dejour just starting to be recognized by both institutions and the retail investors.
The market certainly is acting that way towards Dejour and it does not appear that management is too concerned about dispelling that rumour with their lack of verification of the suggested catalysts that were 'just around the corner'.
I believe there are great fundamentals supporting the company, however, fundamentals are only a part of the equation and public perception is another - which in today's trading environment, seems to trump all other metrics.
The recent exercise of warrants appears to also have taken many 'investors' by surprise, however, the exercise of these warrants only helps the company to avoid the necessity to raise funds through debt, so I disagree that the exercise of warrants is a negative.
I strongly believe that throughout 2012, Dejour is going to show itself to truly be a diamond in the rough. I am not a day trader, nor a momentum trader however it appears that the article itself may have attracted a great deal of attention from both.
Dejour Energy: The Market Has Not Yet Realized This Diamond In The Rough [View article]
User 480231,
I am quite aware of the fact that LEI has approximately 16M shares outstanding compared to the 122M outstanding with Dejour.
The article was not intended as a head to head comparison, thus the reason it was not put into a table which would suggest a head to head comparison.
The intent had been to show that LEI, with little acreage, little production, little cash and no earnings has been able to capitalize on gains of over 900% because prior to the sale of Eagle Ford acreage to Hilcorp, they had been unknown to the market and tremendously undervalued. (I know because I was a shareholder of LEI at this time). The same with the 'comparison' to SSN. Again, it is not a head to head comparison. Prior to SSN's sale of acreage to Chesapeake, it too was a relative unknown and ridiculously undervalued - I was a holder of SSN as well.
The true intent of the article was to share the fact that Dejour is in an excellent position to experience similar (better) gains than both LEI and SSN experienced once the market realizes just what it has been missing as it today is as (or more) undervalued than both LEI and SSN were prior to their land sales.
Dejour Energy: The Market Has Not Yet Realized This Diamond In The Rough [View article]
Kyle,
I appreciate that a table would have provided a better comparison, had the purpose of the article been to directly compare DEJ to SSN and LEI. The actual intent was to advise the market that DEJ is on the cusp of a re-valuation as LEI and SSN have already both experienced. The further reference was the fact that DEJ has more production (albeit more shares than LEI), more acreage and more future potential and therefore should in the near future see a similar price appreciation.
In respect to Dejour producing over 500 boe as of today, please see the link to the November presentation page 7 - http://bit.ly/geMusB This is NOT including the third oil producing well at Woodrush, which is expected to be in production by the end of this month. I would expect a press release from Dejour within the next couple of weeks with an IP rate on this well.
In addition, the reference to increasiong production by an additional 1000 boe/d in 2012 can also be seen in the same presentation on pages 11 and 17. As for references to Bill Barrett and Williams Bros production, see page 9 for the map indicating where Dejour plans to drill the first wells adacent to producing acreage of Williams and Barrett.
Previous comments from management is that they are anticipating completing the financing for the first stage of development at Kokapelli Field by Christmas and that they have already started surface work using the funds from the secured line of credit and the first drilling is expected to begin in early 2012. This information can be obtained by listening to the Q3 2011 Conference Call Audio file available at http://www.dejour.com
Dejour Energy: The Market Has Not Yet Realized This Diamond In The Rough [View article]
SeanStock,
I personally believe that the price projections you have indicated are exceptionally reasonable ($2-$4) within the time frame suggested. Gibson Gulch (Kokapelli Field) is certainly at the forefront in terms of vastly increasing production over the next year, however, Dejour does in fact have other prospects that could reasonably be brought into production over the next couple of years as well including South Rangely (approx 8K acres - test well drilled currently awaiting fracking) and Roan Creek (approx 12K acres).
3 Portfolio 'Must Haves' For 2012 [View article]
I think you are sadly mistaken, DEJ has NOT been over a dollar a share in more than three years - not since early September 2008. When this article was first published, it was trading at $0.39-$0.40 per share - much as it trades today.
The fact that you did not jump on it simply means you either missed a 50% return on your money within a few weeks, or, you still have the option of getting in as 2012 is just beginning and so is the potential for Dejour just starting to be recognized by both institutions and the retail investors.
Kairos
3 Portfolio 'Must Haves' For 2012 [View article]
The market certainly is acting that way towards Dejour and it does not appear that management is too concerned about dispelling that rumour with their lack of verification of the suggested catalysts that were 'just around the corner'.
I believe there are great fundamentals supporting the company, however, fundamentals are only a part of the equation and public perception is another - which in today's trading environment, seems to trump all other metrics.
The recent exercise of warrants appears to also have taken many 'investors' by surprise, however, the exercise of these warrants only helps the company to avoid the necessity to raise funds through debt, so I disagree that the exercise of warrants is a negative.
I strongly believe that throughout 2012, Dejour is going to show itself to truly be a diamond in the rough. I am not a day trader, nor a momentum trader however it appears that the article itself may have attracted a great deal of attention from both.
Kairos
Dejour Energy: The Market Has Not Yet Realized This Diamond In The Rough [View article]
Dejour Energy: The Market Has Not Yet Realized This Diamond In The Rough [View article]
I am quite aware of the fact that LEI has approximately 16M shares outstanding compared to the 122M outstanding with Dejour.
The article was not intended as a head to head comparison, thus the reason it was not put into a table which would suggest a head to head comparison.
The intent had been to show that LEI, with little acreage, little production, little cash and no earnings has been able to capitalize on gains of over 900% because prior to the sale of Eagle Ford acreage to Hilcorp, they had been unknown to the market and tremendously undervalued. (I know because I was a shareholder of LEI at this time). The same with the 'comparison' to SSN. Again, it is not a head to head comparison. Prior to SSN's sale of acreage to Chesapeake, it too was a relative unknown and ridiculously undervalued - I was a holder of SSN as well.
The true intent of the article was to share the fact that Dejour is in an excellent position to experience similar (better) gains than both LEI and SSN experienced once the market realizes just what it has been missing as it today is as (or more) undervalued than both LEI and SSN were prior to their land sales.
Dejour Energy: The Market Has Not Yet Realized This Diamond In The Rough [View article]
I appreciate that a table would have provided a better comparison, had the purpose of the article been to directly compare DEJ to SSN and LEI. The actual intent was to advise the market that DEJ is on the cusp of a re-valuation as LEI and SSN have already both experienced. The further reference was the fact that DEJ has more production (albeit more shares than LEI), more acreage and more future potential and therefore should in the near future see a similar price appreciation.
In respect to Dejour producing over 500 boe as of today, please see the link to the November presentation page 7 - http://bit.ly/geMusB This is NOT including the third oil producing well at Woodrush, which is expected to be in production by the end of this month. I would expect a press release from Dejour within the next couple of weeks with an IP rate on this well.
In addition, the reference to increasiong production by an additional 1000 boe/d in 2012 can also be seen in the same presentation on pages 11 and 17. As for references to Bill Barrett and Williams Bros production, see page 9 for the map indicating where Dejour plans to drill the first wells adacent to producing acreage of Williams and Barrett.
Previous comments from management is that they are anticipating completing the financing for the first stage of development at Kokapelli Field by Christmas and that they have already started surface work using the funds from the secured line of credit and the first drilling is expected to begin in early 2012. This information can be obtained by listening to the Q3 2011 Conference Call Audio file available at http://www.dejour.com
Dejour Energy: The Market Has Not Yet Realized This Diamond In The Rough [View article]
I personally believe that the price projections you have indicated are exceptionally reasonable ($2-$4) within the time frame suggested. Gibson Gulch (Kokapelli Field) is certainly at the forefront in terms of vastly increasing production over the next year, however, Dejour does in fact have other prospects that could reasonably be brought into production over the next couple of years as well including South Rangely (approx 8K acres - test well drilled currently awaiting fracking) and Roan Creek (approx 12K acres).
Dejour Energy: The Market Has Not Yet Realized This Diamond In The Rough [View article]
I recommend you contact Craig Allison either by phone 866-888-8230 or by email: callison@dejour.com to make your comments/suggestions known.