pbg.t cut, pmg.t raised by scotia

[par_putt]

Petrobank Target Cut To C$35 From C$55 By Scotia >PBG.T 01/06 08:37 AM

Petrominerales Target Raised To C$35 From C$32 By Scotia PMG.T

[dan_s]

My Fair Value estimates
> PBG = $40.00
> PMG = $53.00

PBG is based on my belief that they will show progress in their heavy oil division this year. Come to our luncheon on January 20 to hear for yourself. PBG also owns 58% of PetroBakken (PBN.TO) which I think is going to have a very good year. Premium Members will be able to see our Company Profile on PetroBakken this weekend.

PMG has HUGE upside in Columbia. PMG could be this year's TGA. I've worked up a company profile that should be on the website early next week.

Note: Most Petrobank shareholders will see the new PMG shares in their brokerage accounts next week. Many will not want to hold onto a pure South American company (I may be wrong of course). You may see some dips the next couple weeks, which I consider excellent buying opportunities. PMG has significant near-term production growth but their assets in Columbia and Peru will take many years to explore and develop. PMG is in the early innings of a very long game. Just like TGA! [TGA has strong support at $15 so any dip near that price is a great time to buy.]

[gjames]

Dan:
For the uninformed, would you please explain any pros/cons of buying PBG and PMG on the pink sheets here vs on the TSX in a foreign account??? Also, I see pink sheet versions of PBG and PMG, but haven't found one for PBN. Does it exist, or do we have to buy it on the TSX???
Thanks
Guy

[dan_s]

Personally, I set up an international account with E-Trade so I could buy them on the TSX. It took about 5 minutes to set up the account. I just wanted to own shares on the exchange with more volume but I really don't think it makes much difference in the price.

Petrobank = PBG.TO and PBEGF

PetroBakken = PBN.TO and PBKEF

Petrominerales = PMG.TO and PMGLF

Don't let the pink sheet scare you. A lot of high quality companies are on the pink sheets.

[gjames]

Dan:
Your PetroBakken profile mentions an attractive dividend yield - can you post some details re. their dividend?? Have so far been unable to find any information on it elsewhere.
thanks
guy

[dan_s]

CALGARY, ALBERTA--(Marketwire - Dec. 15, 2010) - PetroBakken Energy Ltd. ("PetroBakken" or the "Company") (TSX:PBN - News) is pleased to announce that our cash dividend for the month of December will be paid on January 17, 2011 to all PetroBakken shareholders of record on December 31, 2010. The December dividend will be $0.08 per PetroBakken share. The ex-dividend date is December 29, 2010.

Note that dividends are paid monthly. $0.96/Year or 4.4% yield using today's closing price.

Dividends paid in Canadian dollars and subject to 15% withholding tax (which U.S. shareholders get back as a foreign tax credit). Turbo Tax takes care of this very easily.

Just so everyone is clear.
> PMG has the most near-term upside
> Petrobank (PBG) and Petrominerales (PMG) are in the Sweet 16.
> Petrobank owns PetroBakken (PBN) so you don't need to own it directly (but fine if you wish to do so).
> The big upside in Petrobank is the Heavy Oil Division, literally Billions of Barrels of oil potential.

[prince_jake_33]

I dont yet have the PMG in my Schwab account. Has anyone gotten their shares?

[dan_s]

Not in my Fidelity account yet either. It usually take 2-3 weeks. This is not Petrobanks fault. Each brokerage is responsible for getting this taken care of.