You guys should all listen to John Seitz presentation at our luncheon last week. It is available on our website. It is best to download the slides first so you can follow along.
Gulfslope is a "Prospect generating company". They have several 30-50 million bbl oil projects on the shelf. Their prospectus are going to draw a lot of attention from large-caps like Anadarko, Apache, Hess, etc..
John Seitz was the CEO of Anadarko and he is extremely well respected in Houston.
At this point Gulfslope is "Speculative" BUT all they need to do is sell a couple prospects and the share price should rise. They plan to retain 25% in each prospect. They have 10-12 prospects "drill ready". I expect them to sell a couple prospects this year.
Gulfslope
Re: Gulfslope
The lunch video did not cover the question session. Did anyone ask why he sold the PIPE to friends and family so low (.24)? This act just about halved the market cap. Thanks
Re: Gulfslope
Their new CFO did not want us to video the Q&A. No one asked that question.
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group
Re: Gulfslope
Dan what is your take on the PIPE they did? It devastated the stock price. Seemed low. (.24)
Re: Gulfslope
Raising capital "pre revenue" is difficult for all companies. They do what they have to do.
What's going to move this stock is when they sell a couple prospects.
What's going to move this stock is when they sell a couple prospects.
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group
Re: Gulfslope
On Aug. 18 (a timing consistent with what the company had previously said), GulfSlope released the independent resource report that had been prepared in June of this year by DeGolyer and MacNaughton. The report can be seen here: https://www.gulfslope.com/investors/
The report says it evaluated 22 exploratory prospects (all of which have been leased by GSPE). To my understanding, the most widely used piece of information is the “mean” estimate of just over 2.1 billion bbls (see summary) potentially recoverable. Website says report assumes 100% ownership and no current or future farmouts; note, however, there is a farmout of (I think I recall this accurately, but am unsure) a 20% interest of 5 prospects to an insider. Full report contains additional detail.
PPS took quite a dip over last three months following runup after announcement of 3/2014 GOM bid round results, trying to find its real market valuation.
Trading volume in the last 10 days (854k sh), including the recovery from the low of .19 (on 8/11), is considerably higher than the 90 day avg (256k sh). Hopefully we have seen the bottom.
Also, the increasing volume might mean that the shareholder base is increasing, which would be good. They have to reach a threshold number (450) of round lot (100 sh) shareholders as one of the requirements for Nasdaq listing (last I heard, hoped for in late 2014/early 2015).
If company’s stated timeline continues to be met, they will this fall/winter land a partner(s) for one or more prospects to drill in 2015 and announce same. They are working hard on this.
Very speculative company, but metrics are huge. Experience and subsalt expertise on part of their technical people is very high.
Definitely one to keep an eye on.
The report says it evaluated 22 exploratory prospects (all of which have been leased by GSPE). To my understanding, the most widely used piece of information is the “mean” estimate of just over 2.1 billion bbls (see summary) potentially recoverable. Website says report assumes 100% ownership and no current or future farmouts; note, however, there is a farmout of (I think I recall this accurately, but am unsure) a 20% interest of 5 prospects to an insider. Full report contains additional detail.
PPS took quite a dip over last three months following runup after announcement of 3/2014 GOM bid round results, trying to find its real market valuation.
Trading volume in the last 10 days (854k sh), including the recovery from the low of .19 (on 8/11), is considerably higher than the 90 day avg (256k sh). Hopefully we have seen the bottom.
Also, the increasing volume might mean that the shareholder base is increasing, which would be good. They have to reach a threshold number (450) of round lot (100 sh) shareholders as one of the requirements for Nasdaq listing (last I heard, hoped for in late 2014/early 2015).
If company’s stated timeline continues to be met, they will this fall/winter land a partner(s) for one or more prospects to drill in 2015 and announce same. They are working hard on this.
Very speculative company, but metrics are huge. Experience and subsalt expertise on part of their technical people is very high.
Definitely one to keep an eye on.
Re: Gulfslope
Based on what I've heard, our members that attended the Gulfslope presentation in Houston on August 7 bought a lot of stock. I was very impressed by their team and their presentation. The video is on our website.
I talked to management at EnerCom and they said several large-cap E&Ps have contacted them about getting a look at the prospects. Believe me, big oil prospects on the shelf supported by high quality 3D seismic will sell and the "bidding war" should be quite interesting to watch.
Based on remarks I heard at EnerCom, Gulfslope's team is considered "Top Shelf".
I talked to management at EnerCom and they said several large-cap E&Ps have contacted them about getting a look at the prospects. Believe me, big oil prospects on the shelf supported by high quality 3D seismic will sell and the "bidding war" should be quite interesting to watch.
Based on remarks I heard at EnerCom, Gulfslope's team is considered "Top Shelf".
Dan Steffens
Energy Prospectus Group
Energy Prospectus Group