tullii's  Instablog

Send Message
Studied: Power Engineering, Exploration Technology, Worked Upstream, Midstream, Downstream in Oil and Gas, Pipelines, Drilling, Refineries. Regardless of our desire for clean energy, oil makes things and is the building block of any economy. From production to transport to refining its the... More
My company:
Tullii LLC
My blog:
Exploration Blog
My book:
CrOblet Creating real opportunity by leveraging energy technology
  • PETROMANAS Rebounds As Quarterly Updates Are Near Reporting 3 comments
    Jul 30, 2014 6:21 PM | about stocks: PENYF

    The past few trading sessions were dismal for Petromanas.

    With no update, no news and for no apparent reason, shares were tanking downwards?

    In what appeared as either a early shakeout (for triggering stop losses), or nervous nellies dumping their positions prior to going into the next quarterly update.

    Perhaps its was the Central Bank missing a mere $6.75 Million!

    If you want to know more about Albania, click the Cia link below

    No one seems to have a certain answer, but then today a newsletter writer suggested the old 'shaking a tree' analogy and the markets reacted with a 7% rebound on the shares and 28% rebound on the warrants. This tested shareholders resolve and now we seem to have a support price going into the next news flow.

    By this point I'll assume you know the PMI / PENYF story already and if you don't you can read more about it here...

    It helps that overseas the Balkans reports that Oil is flowing for all the other companies in Albania at a record pace. You can see below many players have set up shop in Albania. Blocks 2-3 onshore are where Shell and PMI have secured their exploration permits.

    You'll notice above Bankers Petroleum is chasing Heavy oil on Block F and has been re-investing up to $300MM annually in their PatosMarinza oilfields. Their investments have paid off and now Albania is reaching record energy production as you can see below.

    (click to enlarge) LINK

    All of which takes us back to PMI, who are drilling ahead to complete an exploration well chasing light oil in Albania.

    (SHARES - CDN)


    (Price History: Back in Feb when Shpirag 2 was deemed a discovery)

    (Several recent selloff days with no news,dubbed "Shaking the tree" )

    (July 30 rebound)

    (Shares Rebound Today 07/30/2014)

    (Warrants rebounded as well on low volume)

    (The USA Symbols)

    There are lots of sources to compare notes but you will find most lead to the same conclusions..

    Frank Holmes contributes at the Energy Report he also went to Albania earlier in the year, and he operates a Mutual Fund firm in the USA called U.S. Global Investors (see funds below) which holds shares in PMI. However the funds are $5K minimum USD to buy.


    Frank Holmes (NYSE:R) is shown below with

    fellow investor Frank Guistra (NYSE:L)

    (This is the company with funds managed by Frank Holmes)

    A few other resources for you..

    CEO.CA has many historical posts and has been covering the play since inception. The above post re-affirmed that no apparent reason for the selloff was warranted.

    This Newsletter posting could have helped re-trigger the rebound today with the quick analysis of charts and support levels. Either way the shares and warrants rebounded.

    For entertainment this blog has some interesting albeit sometime rude and often misinformed characters posting as well, if you are new here please don't take any advice from a chat board without consulting a certified analyst first. It can be informative, but is not a source to make decisions on without checking credentials first.

    At any rate, it will be many months before any real decision making results provide proof or disprove this albania oil discovery.

    Stocks: PENYF
Back To tullii's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (3)
Track new comments
  • VultureofValue
    , contributor
    Comments (28) | Send Message
    Nice hats Guistra and Holmes are sporting.
    Thanks for the article.
    2 Aug 2014, 04:19 PM Reply Like
  • tullii
    , contributor
    Comments (168) | Send Message
    Author’s reply » Posts from 2012 (Darrel Bishop | The Energy Report)
    DB: We cover three companies in Albania. The first two are primarily focused on increasing oil recovery from legacy fields-Bankers Petroleum Ltd. (BNK:TSX) and Stream Oil and Gas Ltd. (SKO:TSX.V). Bankers is not a small company; it has a market cap of approximately $800 million (NYSE:M). The third company we cover in Albania is an early-stage explorer called Petromanas Energy Inc. (PMI:TSX.V). It is an interesting story for many reasons. Earlier this year, Royal Dutch Shell Plc (RDS.A:NYSE; RDS.B:NYSE) farmed in for a 50% interest in two of its blocks, which, combined with cash on hand, basically funds exploration plans through 2013.


    TER: Are these offshore explorations?


    DB: No, these are all onshore. Shell is interested in these blocks because of similarities to the Val d'Agri and Tempa Rossa fields located across the Adriatic Sea in Italy. One of those fields is currently producing 90 thousand barrels a day (Mbblpd) from fewer than 30 wells. Shell and Petromanas are currently drilling their first exploration well in Albania. That well cost $30M and is carried almost entirely by Shell. The well is a re-drill of an existing discovery that flowed oil to surface about 10 years ago, but the rate was limited due in part to a series of operational issues and poor decisions. Well results are expected by year-end. If successful, we see this as a potential company maker for Petromanas. Additionally, Petromanas has two other wells it is planning to spud before year-end, which means there are several potential drilling catalysts on the horizon.


    TER: How about the political and social issues in Albania? For most investors, it must be an unknown.


    DB: For the most part, it is unknown to most investors. Albania, up until about 20 years ago, was a Communist society. It's been in transition to democracy for the better part of the last decade. There are social and environmental issues in Albania. However, the government is pushing to turn things around and be more investment friendly. The country is applying for European Union status, which is a vote of confidence in foreign investment in the country. While the country is still in transition mode and has challenges, the big picture is positive over the longer term.


    TER: Is the geology in Albania somewhat complicated compared to North America?


    DB: The risks there are primarily a function of geology. To date, exploration and production activity in Albania has focused on shallow formations (less than 2,000 meters) that produce heavy oil. Petromanas is targeting much deeper, more complex sub-thrust structures. There has been limited exploration on these formations to date. With advances in three-dimensional technology and deep drilling, plus experience in geologically similar Italy, the companies feel like they have a better understanding of how to create exploration success in that geography.


    TER: Is the major trend for the small-cap international energy sector the application of new exploration and development technologies?


    DB: There are a couple of major trends in the industry. The single biggest factor is technology. In most international jurisdictions, expertise and the rate of technology adoption greatly lags that of North America. We see adoption of seismic, drilling and completion technologies that were pioneered and perfected here in North America as the catalyst to advance the industry internationally. In the international jurisdictions, the use of these technologies is just beginning to grow. These technologies have been key to discovering new areas for exploration and production that were not considered prospective or economic until now. One example is the worldwide emergence of onshore unconventional shale plays. Another example is the advance of deepwater exploration technology that is unlocking huge exploration potential in places like Angola, Namibia and Brazil.


    The second trend driving the sector is commodity prices. In most international jurisdictions, oil is priced relative to Brent, which as we discussed is at a healthy premium to North American oil. A similar pricing structure is in place for natural gas, which can fetch three to five times more internationally than in North America. This is a significant motivator for international companies, as the potential return justifies riskier exploration targets.
    17 Aug 2014, 10:31 PM Reply Like
  • tullii
    , contributor
    Comments (168) | Send Message
    Author’s reply » Nov 2013 (Amin Hague|The Energy Report)
    Mentions Albania players pursuing exploration


    17 Aug 2014, 10:35 PM Reply Like
Full index of posts »
Latest Followers


  • $PENYF Petromanas will re-name itself to PMI Resources Ltd. and $5MM in Cash and 9.9 Million shares after a 70:1 share consolidation 06/14
    Jun 12, 2016
  • $PENYF will return $45MM USD to shareholders ... record date June 7 so to get your 8 cents return of capital you need shares held by then
    May 24, 2016
  • $NZERF increased production by 300% and decreased losses to 5cents/share in 2015. They might be a comeback story by year end. nice work.
    Apr 28, 2016
More »

Latest Comments

Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.