- Suroco has three producing prospects at the Suroriente Block: Quinde (the gushers that flow between 2,500 and 4,500 bopd), Cohembi and Pinuna (the smallest one).

The Quinde oilfield currently produces approximately 1,500 bopd NET for SRN/PTA.

The Cohembi and the Pinuna oilfields produce approximately 1,000 bopd NET for SRN/PTA.

As I owned SRN for years, I will provide you with some more info about these blockades that took place last summer too. See below:


SRN and the temporary blockades in August 2013

and below:


From SRN: The temporary blockades in August 2013


According to these reports, it is clear that these blockades lasted from August 2013 until September 2013.

- This is Suroco's production after this temporary issue was resolved:

Period

Suroco's Production

(Net Before Royalty)

Q3 2013

1,490 bopd

Q4 2013

1,955 bopd

January 2014

2,015 bopd

February 2014

2,310 bopd

March 2014

2,465 bopd


Thanks also to the Quinde gushers from the Quinde oilfield (another oilfield at the Suroriente Block) and positive response to increased water injection in the Cohembi field, Suroco revised upwards its forecast production numbers for 2014 and estimated in early 2014 that it would exit 2014 at approximately 3,300 bopd.

- AMERISUR drills in the Putumay Basin too, right next to SRN/PTA.

AMER.L produces 7,300 bopd from the Platanillo field and has EV at approximately US$1.1 BILLION at the current price of 59 GBX at the London Stock exchange.

AMER is also fully dependent on ONE field while PTA has diversified its production.

PTA produces approx. 9,000 boepd and has EV at US$250 million.

Can you realize the valuation gap?

AMERISUR also faced some temporary blockades in 2013, which were resolved in less than one month too.

- PTA's CFO, Colin Wagner, bought 310,000 shares at C$0.37 a few days ago.

- The companies that drill at the riskiest countries of the world like Iraq, Kurdistan, Nigeria, Iran, Yemen, Oman, Egypt, Somalia trade 4-6 times their EBITDA, while PTA trades 1.6 times its 2014 EBITDA.

For instance, Mart Resources (MMT.V) in Nigeria trades 6 times its 2014 EBITDA.

Oando Energy (OER.T) in Nigeria again, trades 9 times its 2014 EBITDA (pro forma the deal with COP where COP sold its Nigerian assets and ran away from Nigeria).

DNO International (DTNOF, DNO.OL) in Kurdistan, Yemen, Oman, Somalia trades 4.5 times its 2014 EBITDA.

Americas Petrogas (BOE.V) in Argentina trades 5 times its 2014 EBITDA that will not exceed $20 million (rich estimate).

Bankers Petroleum (BNK.T) in Albania trades approx. 5 times its 2014 EBITDA.

Apco Oil and GAS (APAGF) in Argentina where Kirchner nationalizes everything and Apache (APA) and GTE sell their assets and leave the country, trades 7 times its 2014 EBITDA.

Petroamerica (PTA) currently trades just 1.6 times its 2014 EBITDA.