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Petro Rio S.A. HRTPF

"Petro Rio SA is engaged in exploration and production of oil and gas in Brazil and abroad. The Company is currently engaged in the hydrocarbon production in Polvo field."


GREY:HRTPF - Post by User

Bullboard Posts
Post by wrongsideoftraxon Nov 09, 2011 11:15pm
512 Views
Post# 19225031

Importance of discovery

Importance of discovery

SÃO PAULO – the Bank Credit Suisse believes overstated the market reaction, which penalized in nearly 18% shares of HRT (HRTP3) in the past two trading sessions, after the discovery of natural gas reserves in sedimentary basin of the Solimões, Amazonas State.

According to the Swiss institution, despite the certification agency D & M has not assigned any oil volume – just condensed – to block SUN-T-169, the market can be expected by a confirmation more consistent.

"We continue to believe in a significant portfolio of exploration, you need more than just three wells to prove its potential, which seems to be better understood by industry than by the stock market," analysts Emerson milk and André Sobreira, of Credit Suisse.

Importance of discovery
The D & M designs a production capacity of 34 million barrels of oil and 118 million barrels of oil, natural gas for the block SUN-T-169. "This illustrates well the fact that this is an area more prone to produce gas", say analysts.

Credit Suisse also assesses that the wells HRT-1 and HRT-2 are important to give confidence to investors about the oil production capacity of the Solimões basin.

Recommendation and price target
The Swiss Bank makes the recommendation "outperform" to the actions of HRT, with a price target of $ 2,100 .00 for the next 12 months, configuring an appreciation potential of 184.5%, taking into account the trading session this Wednesday (9).

Bullboard Posts