RE: RE: RE: dannyGood post Danny and I'm sure there are newbies reading this board that appreciate the truth being posted by you.
A good reply as wel 10mg
This is how I see the near term future of CNE unfolding..
The production numbers exiting 2010 will be over 7000 bod.
The drilling program continues to increase with three more rigs next year. BOD increases next year and the stock price of CNE continues to grow at a nice steady rate for the forseable future. There will be some bad wells drilled and there will be some good ones drilled. Based os recent history more good than bad. It is going to be a reliable steady growth stock for years to come. This is the core reason why I will own it long term.
There are three wild cards that I can think of that have the potential to really push the stock price higher in the coming months and years.
The first is the Gyana well. CNE owns 65% of it and if it is viable and the field is proven beneath it then I expect this will bump CNE share price at least a dollar above what it is before the news.
The second is steam injection into existing wells and future wells should change the companies oil production significantly higher. If they have the same sort of success they had with a recent well then the share price will increase expidentially with the oil producion increases.
The third wild card is a possible takeover or buyout offer for CNE next year. I don't believe there will be any offers until the results from Guyana are known. I'm hopeful that the share price of CNE will be much higher before we reach the takeover stage.
If none of the wild cards prove positive for CNE the share price will still continue upwards as oil production increases. Not often as an investor is there potential for so much upside while very little risk on the downside.
Just my thoughts on a cold winter day.
Wolf