Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
geo, you have no way of knowing that unless you are a Treaty insider. Are you? Otherwise how would you know? In fact why would you post that statement as a factual statement? Give us some hard evidence to back up your post.
geo, the price of $1000 is for any wildcat acreage. The leases Treaty is acquiring already have some production from a couple of wells thus proving up a resource field there. Therefore, the price paid would normally be a lot higher because probability is a lot higher. For those wondering about oil in Belize, does a wireline test mean anything to you? Treaty uses that technology to prove up their oil play just as other companies do.
The 8k does not mention the Chumley lease. Any thoughts?
So geo, how do you know if they paid for seismic or not? Or are you an insider employee in the know? If not, you are posting like you should know what goes on daily within the organization. That seems a bit odd, don't you think? And it may not matter even if they don't have seismic. There may be some other wells in key locations that indicates an oil play throughout a regional area. Or do you know that as well?
Slow, it's kinda like building a hotel. You have to acquire the property, after research for the best location. Then you have to design and build the hotel, hire the people, and all that stuff and then you can open the doors and hopefully produce revenue with customers streaming in the doors. All this can take up to two years. Treaty is doing the same thing. Too many posters want to daily manage the company, without having any idea of what is going on in the offices. There are situations to overcome, people to bring online, contracts to review, opportunities to be researched, operations to oversee, due diligence on contracts, and on and on. However, Treaty has now laid the groundwork for operations to proceed with drilling and hopefully producing oil and possibly gas in three separate locations; west Texas, east Texas and Belize. By doing this, Treaty has also added huge opportunities for additional drilling and potential production. Has it taken longer than investors would have liked? Heck yeah. But will it be worth it in the long run? You better believe it. Sometimes investors will latch onto a stock that gives them a 100% profit. Treaty is positioning itself to give its investors a 400% profit from today's price within the next few months, and possibly a 1000% profit within a year. That folks is a nice return even for the most seasoned Wall Streeter. And for those of you invested in Treaty, hang on, the train is getting ready to leave the station.
Guys, qtr3 reports will probably finally show some revenues for Treaty, but remember they had to wait for the gas to finally get turned on, which then allowed them to pump some oil. And keep in mind that when you turn on a well, there are usually some adjustments that need to be made to maintain some viability of the well. All of that takes a few days, which then results probably in Treaty only having a potential of a few days instead of three months of production. However, things are getting done that will stabilize the wells and get west Texas flowing and even Belize producing. It would not surprise me to hear Belize news by mid week next week, alas, as long as Treaty can get the GOB to approve of their PR. And of course there's the east Texas deal which should close and then offer an opportunity for more good news. When the east Texas deal closes, that starts the time then for development of the first pad of wells, or well. And from what has been stated by Treaty management, that pad may have the potential to produce over 1000bbls per day, maybe 1500bbls per day as stated by Treaty. So now is the time to load up on shares.
geopressure, I posted about a year ago that the Kansas deal went south because the owner probably couldn't provide clear title to the leases involved in the transaction. The deal was set to close if you remember but complete lease ownership was difficult to prove up and the deal didn't close. Aren't you glad that TECO management discovered in their due diligence before closing that the titles weren't clear. It would have been a real disaster if Treaty had signed closing documents and then found out that they didn't have clear title transferred to them, wouldn't it? But then an acquirer doesn't know that until you get to final due diligence with title clearing as a part of the closure process. In reality, Treaty management did OK on that deal that didn't materialize. Now, on to other deals and Belize. Hope they get that second well in this week or at least the first of next week. We need some good news. And don't forget that we now have a new director. Could be some news on that with more details on the individual. And then there should also be a closing to announce on east Texas this week or next, and that in itself could make a nice public company.
Should be some good news out this week. With the pps down a tad, it should make a good buying opportunity. This stock is like a coiled snake ready to strike. Both east Texas and Belize could be points of news.
Dead-Money, you may be Dead ON. Thinking about it, it is probably about time that the second Belize well should be completed about now. So wonder if the wireline test has been done and what the results might be? Since the wireline test on the first well confirmed oil, there is a real possibility of the second well having oil as well. If that is the case, while the GOB still probably wouldn't let TECO announce a "field," it sure would make for a nice PR that the second looks to be a successful hit in Belize. And then they could move on to a third well, probably at some distance from the first and second which if that would prove up via a wireline test, might then confirm an area of probable reserves. Very interesting. Yep, very interesting indeed. Might be time for even more shares.
Agreed Bronco. Those four pads could propel TECO to star status in the micro company energy market. By the way, can you email me at blindinvestor@aol.com?
While TECO management has indicated they could expect production from each pad to be 1500bbls per day, even if you cut that in half, the four could produce 3000bbls per day in total. TECO would be worth a helluva lot more than today. Probably somewhere north of .50 at least, and that over a 1000% run from here. Got your shares yet?
TECO undervalued based on this. Treaty currently has a market cap of between $30M and $33M depending on minute pricing. However, Stratex Energy has a market cap of approximately $110M. Stratex had revenues of less than $100K. Treaty about matched those. Stratex has less than 25,000 acres of lease holdings that they may explore and produce. Treaty has over 3,400,000 acres that they may explore and produce, and in fact are producing and have wells drilled to bring on line in west Texas and Belize, and production in east Texas. Yet, Stratex has a market cap three times Treaty's. After reviewing the opportunities for both, it appears that Treaty should be about .15 with a vastly greater potential than Stratex, and with current operations of production. I'm sure other posters may find other energy companies that can be compared to Treaty. If so, please post them. It is important for shareholders to understand they have a company that is probably well undervalued not only for what it is currently doing, but for the vast potential it has for future production. JMO
Guys, it's almost time to party! Remember there's a three day weekend coming up. Double your beer. Come September, TECO will be in the money. Some folks are not going to believe the revenue that TECO will generate over the last five weeks or so of this third quarter. And the fourth quarter will be unbelievably fantastic. Yep, I cried WOLF last year and said we'll have a green Christmas. Well, to go from .015 to .13 was a pretty nice run, even for the daily professional traders. And once again, I'm crying WOLF. You better have your shares. This Christmas is going to be another banner year. Will we do an 8X again, I don't know about that. But I think we could easily get to .25 and that's a nice jump from less than .05. Again, better have your shares. And get ready for a Green Christmas. And then prepare for Mardi Gras in New Orleans. Yep, they'll be cleaned up by then and TECO will be riding high, make that even higher than Christmas. Just watch!
No, BaderBob. TECO doesn't have to give you a report card every day of what is going on. Sure, it's a public company. But you are supposed to be an outside investor. Not a public company employee. When TECO has something to put out to the public, they will send a PR, or an 8K, or for sure a 10Q or 10K when applicable. If you want info, why don't you pick up the phone and call IR? His name is Mike and he's usually glad to talk to any investor. Or call Andrew or Bruce. Then you will become an informed investor.
Don't know where you got your numbers from but they're way short. They may have 200bbls per day plus gas. Gas could be about $1000 per day and oil about $19,000 per day. That's sufficient cashflow to make the company cashflow positive except for capital expenditures. A nice move forward for the company.
Treaty has not made a statement that they didn't think would happen. How many times have posters contacted Treaty management to talk about things they have PR'd? How many times have posters talked to Mike at IR? The world of business, and especially in oil and gas development is filled with obstacles that can pop up at any time and stall timelines. On simpler terms, even a farmer who thinks he's going to harvest his cotton, can have a breakdown with his tractor, or have a rain delay, or whatever. Treaty has certainly had their share of situations that have caused delays. But to publicly call them down as putting out false information is not factual. The company puts out PR's that indicate things they expect to happen and their projected timeline. Developments cause them to have to change their timeline. But it appears they're trying to get the job done with whhat they have and the best way they know how. Perhaps the real question is, could you have done better with the same impediments? Probably not. So let the business play out and see what profits you reap from some patience. The way I look at it is the company has just begun the second quarter of a four quarter game. I'm expecting a rash of scores before halftime.
Gee akphidelt, why would you post that Treaty doesn't have any oil when someone just posted sales tickets? Are you saying the tickets were false? What's your point of trying to mislead readers with statements about Treaty not having any oil?
dlog, mouths are useful in consuming some good really cold beers in celebration of Treaty's success. Now, we could get a group down to Belize, or we could get a group to east Texas. Don't know what they have to serve in Belize, but you can bet the house that in east Texas we can get some excellent Barbque brisket, ribs, pork, heck, you name it, they can cook it. And probably some of Grandma's potato salad and coleslaw and biscuits. And Grandma has that delicious blackberry jam for those biscuits, and of course blackberry cobbler. Damn, I'm getting hungry already. Now Treaty just needs to GET IT ON!
josiewales, probably conservative, as you also might want to add in some gas. So, the $450,000 in revenue might just jump to close to $500,000, and hey that's just one well. Don't forget that there is another well producing about 30bbls per day so that's potentially about another 850-900 bbls per month and that would bring in another $80,000 or so. Now if west Texas could come on with another 20bbls per day that adds another 600bbls and about another $50,000 plus. So the company is moving it forward. The real key will be drilling the first pad in east Texas. I know TECO management has stated they want to drill four wells per pad, each well to a different pay zone, but it seems like they might be able to accomplish the same with one well and perf it at the four levels. Now, that could be a honking well. If TECO management is close to right on their prediciton, that one well could be producing 1500bbls per day. Just one thing to say about that. BRING IT ON! Holy cow. That would add about, are you ready for this?, another $4,000,000 PER MONTH at about $95 per barrel. And they are going to drill four pads! You do the math.
The court only ruled the case could continue. It didn't state whether it had any legal merits that might offer a win. And remember, this is only for the offshore areas that Belize had granted concessions for. Each succinct district is different.
Belize will absolutely need commerce which will provide a taxation base for their government revenue in order to pay the restructured debts. If they nationalize any industry, they will be shooting themselves in the foot as they would still not be able to obtain any type of foreign investment to continue funding any then controlled government industry. So, in essence, they need Treaty and a helluva lot of other companies to descend upon Belize and open shop so to speak in order for the government to have a broader taxing opportunity. And the article tells it all regarding Barrow's intent. It makes the picture of what happened to Treaty even more clear today than months ago, and pretty well sums up why Treaty will have to continue their progression of drilling, but with the watchful eyes of the GOB and of course with their permission and input. JMO.
Dead cat, what you saw are the averages. What is the average age of the wells in that data? My guess is that may be the average of a well that is two years old or even three. Most of the newer wells are producing more than that. You might want to check data again and get only the average of production from new wells, or wells less than three months old. When you get that info, please post it.
Big R, your point is understood that Treaty does need to perform. And by perform, I suppose is that they need to produce and sell oil, and now, even gas. And that is currently being done. And to expect a report by Sept 1 may or may not happen. Treaty doesn't have to report anything until about Nov 15 when the next 10Q report is due. Obviously one of the first items is getting the gas connected in east Texas. Next is then selling the oil that is being produced. I suspect you will find reports via the RCC that oil is being sold in west Texas and east Texas on the August report. But don't be too concerned with the volume for that month as they only achieved final connectivity very recently for the east Texas product and west Texas had some measures to clear for them to begin selling again. But it appears that is all cleared. And remember the new well in west Texas. In my opinion, from what I have heard about the region of the leases Treat owns, if they can produce about 20bbls per day per well, they will do pretty good. A little less is OK. A little more is certainly better. But they have funds committed for drilling over 20+ wells. As for east Texas, they should have their acquisition completed with proper filings by next week. And then of course the engineers will then be pushing for drilling the first pad of wells. But first they will need to select a site for the first pad, and then secure permits and funding. That means we should allow them a couple of months to get all of that accomplished before anyone begins to beat the drums for "what's going on in east Texas." So, probably by the first of November they should be in position to drill the first well in east Texas. If it hits, we are off to the races. And by then Belize will have it's first two wells producind and probably the third well and possibly the fourth well completed. The convoy is leaving the station.
CEO is dead on. Singing in the rain. And thankfully so. Seems the rain did come to Belize and the water situation was oh so thankful. And the drilling is happening. In fact, the cement should be cured around the casing and drilling should be underway again. Seems like they're going to about 3000' or so. Might want to check that out for sure. But my guess is that they might TD first of next week. Then the fun begins, with testing of course. Now, all you guys remember, the GOB must approve, in fact even make modifications to any PR that Treaty puts out. But hopefully, testing will prove once again that Treaty has another oil well with the potential to produce somewhere north of 50bbls per day in Belize. If that pans out, then remember that they have about 300 acres in the first field located to drill on. And they have already mapped out two other potential fields, each of which is as large or larger than this first. But, don't forget, as has been pointed out, they have another 1,400,000 acres to go along with their initial 2,000,000 acres of potential area for geological review. With three areas to drill, and the potential for tens of millions of barrels of oil in just those three, the opportunity for Treaty investors is exponential from .05. And this is only Belize. There's also oil in west Texas, and Treaty could be looking at a staggering opportunity in east Texas. This could really be fun.
The west Texas well is nearing completion and could come online with production within a couple of weeks. The east Texas well will have to be shut in as that's the only way to contain the gas and you cannot flare the gas. Obviously the best way to have a good well is to contain the gas for pressure of producing the oil after the well is redrilled horizontally. The initial well drilling had only been flared out a few feet. The new drilling out horizontally has been approved up to well over 1000'. Maybe 1700' comes to mind. Therefore it should produce much larger quantities of oil than it has originally. Anyone producing old data is not considering the difference of having production from that much larger perfed zone area. That's like comparing apples to oranges. For damn sure, everyone who is long has exhibited extreme patience in holding their Treaty shares. However, the opportunity today for Treaty is about ten fold what it was even this time last year. So in reflecting overall on how Treaty management has performed for their investors, they have done a great job. Unfortunately everyone who is a long investor will simply have to have some more patience, but it won't be long now. We tipped a new high for TECO shares at .13. I really believe that will be only a small highway marker on the way to the drive up the mountain when this company hits its stride in drilling and production these last two quarters this year and all of next year, and even the following. Everyone really needs to read these numbers and remember them. (and they may be off a little, just verify them with the PR's) Treaty has the acreage and potential to drill about 50 wells in east Texas. Treaty has the acreage and potential to drill, and the capital funding in place, about 20+ wells in west Texas. Treaty has the acreage and potential to drill at least 50 wells in Belize. If they just complete what they have proposed in their PR's the last couple of months or so, they could easily top 3000 bbls per day of production plus some gas. How many other companies have that kind of opportunity that are priced at .05 a share? So you guys answer the question. Is there opportunity for the investors here?
BigEd and Big R, the problem is that it took several days for XTO to allow the valve to be opened for the gas to be delivered, and then they had to test it for BTU's to be sure it was of sufficient quality to let it into their line. That took days. So in order to move oil they had to also move the gas. Now, it apppears both situations are up and running and as long as the pressure in the well holds pretty steady they will produce oil and gas from a couple of wells in east Texas. When the pressure subsides some, as Treaty management has PR'd they will then shut'er down and redrill horizontally with the anticipation of incresing production dramatically. What they mean by dramatically is upwards of possibly 1000bbls per day. And add the gas to that. Now, that may take days for the pressure to decline, or even weeks, or who knows, perhaps months. In the meantime, the well should hold at about a truck load of oil per day plus the gas. And add the second well that produces another truckload of oil per week. That's over $600K per month of oil and gas. It appears from the 10Q that general expenses are less than $300K per month, so Treaty could be positive cashflow by the end of September. But remember, if they do see gas pressure reduction, then they will shut the well and reenter with horizontal drilling and that could easily take a couple of weeks and that is down time, but a short one at that. But when it comes back on, it will be gangbusters for Treaty and of course their long shareholders.
Pretty simple! As Steede pointed out, 300 bpd X $95 per barrel equals $28,500 per day times 30 days per month equals $855,000 per month revenue from oil and with gas revenue added, Treaty could see $900,000 in revenues possibly in September. On an annualized basis, that equals about $10,800,000 revenue. But hold on. Now you have to take into consideration that this does not include Belize, does not include west Texas, and does not include the four pads of which each pad will have four wells and management has indicated each pad can produce 1500bbls per day. So the Treaty future is bright, oops, no, oily. Or better yet, just say Treaty has a slick future.
Hell No! I wouldn't part with mine at .105, much less .045. This stock has too much, no, way too much potential for possibly being somewhere between .25 to .50 by the end of the year, or at least by the end of first quarter 2013. That's a huge curve up from here, and not long to wait. I've waited about two years, what's six more months with that kind of potential? Just watch, and hang on.
cool, would you mind sending me your phone number to blindinvestor@aol.com Would like to discuss some strategy as there may be some investors who could thwart the shorts efforts.
Thanks
Don't know about a pad beginning Sept 1. As of today, the company hasn't PR'd that the deal is fully completed. As with any lease acquisition, the title must be cleared and perhaps that is what is being done at this time. I would guess that the deal will be complete and announced when the title transfers and funds transferred from escrow to the sellers, don't you think? As for Sept, it is the last month of Q3. By the end of Q3, the company should have had a full month of Sep to see revenue from the first well in west Texas, hopefully, and from the three producing wells in east Texas, and p o s s i b l y from the first two wells in Belize. I'm hoping that daily production will run higher than 300 bbls per day in Sept and provide revenues for Sept of somewhere between $800,000 to maybe $1,000,000. But that's just taking some of the data and figuring, and then hoping all goes well, and it could happen. At any rate, it would make the first month that Treaty would be cashflow positive. Now, let's hope the company proves my thinking to be on target, or better yet, somewhat conservative.
The next Q will not be out until sometime around Nov 15 as the quarter ends the end of September.
Bronco, don't have an answer for that. Perhaps Mike might know. if I hear anything, will post. In the meantime, I'm kinda like everyone else in that I'm continuing to try to buy more shares as the time is right for more accumulation. You can bet the next Q report is going to be much better, no, a helluva lot better than this one this week. It is entirely possible that Treaty will become cashflow positive by the end of this quarter. Now, if that happens, what does the stock do? In fact, what might happen to the stock if the company exceeds expenses by 100%? The shorts better get ready, or they could get a job as the naked runner at the baseball stadium.
Odds are indeed stacked in Treaty's favor, but I'm not so sure it's from the positions of the MM's as much as it is from the fact that Treaty is beginning the second well in Belize and after that is completed, Schlumberger and Tucker will do their thing of perf and acidize and production can begin. And because west Texas is operating with one well being drilled and a second beginning. And because east Texas is pumping oil and producing gas as well. And because Treaty will begin drilling the first pad of wells in east Texas this quarter which managment has mentioned could produce possibly 1500bbls per day from the four wells they will drill per pad. And because they have four pads to drill. Yep, I'd say the above makes for a pretty good stack of business for Treaty and a heckuva potential for Treaty shareholders.
In order to produce oil, Treaty had to also have the gas flowing as that pressure was what caused the oil flow. When it took two weeks for XTO to even get word to their field guy to complete the inspection for the gas hookup and authorize the valve to be turned on, then and only then could Treaty begin producing oil, and gas. And the 7000 bbls are projected when they complete four pads and have four wells producing from each pad in east Texas. Did you not read the PR correctly? You might want to reread it. I would think that if Treaty hits that mark of 7000 bbls per day of production, you will be laughing from the stupor of downing a couple of bottles of champagne. If you are close to me when that happens, please don't fall on me as I will already be on the floor after only one bottle. But I as well will be laughing all the way to the bank.
So cool, what we need is a 10M share day on the buying side. That might just come this month or September. And if it's followed up by a second day of 10M shares on the buy side, the shorts are completely lost.
Try reading my post where I have mentioned that Treaty is about seven months behind schedule. Are you more interested in bringing out what is negative, or looking at what is positive? Right now, Treaty is in the process of drilling the second well in Belize which means Treaty could have production down there in September. In addition, Treaty is drilling and completing the McComas well in west Texas and should be ready to drill a second well out there beginning sometime next week. As for east Texas, production is now moving forward. They are producing from one well, are going to rework one producing well and will continue producing the 200bbls per day well plus it's gas volume of about 8MCF. All total, by the end of September with the wells Treaty has now online for production or will bring on line by that time, they could easily be producing 500bbls per day. With any possible new drilling of the first pad in east Texas, they could easily add another 250bbls per day from each well. So, it is absolutely possible that by the end of Novemeber Treaty could be producing and delivering 1000bbls per day or perhaps even a hechuva lot more. But just the 1000 bbls per day would give them a monthly operating revenue stream of about $2.5M per month, with an annualized rate of $30M. And that's by the end of November. So essentially, they would have reversed their seven months behind schedule and moved it back to only five. Then add in December and potentially another two or three wells. You get the picture. They have six wells to drill in Belize to enable them to get the GOB to allow them to determine the drill area an oil field. From there, they can drill more wells in Belize. Then you still have almost 50 more wells to drill in east Texas and about 20 more wells to drill in west Texas. Now, go figure out what's the company worth when they get this little bit done.
Slow, for sure any investor can ask questions. But let's think about this for a moment. Suppose you go to work for a company that has employees spread out over two states and is also international? Suppose you're just one of the hands, or in this case a small investor. If you are just one of the hands, do you think that the head office is going to give out information to you on every action that they take on each activity, or in this case, drilling, setting up, selling, reviewing legals, operations, etc. when they have a lot of work to do? After all, you as an investor should hope that the company is not hiring too many employees so there are some just sitting around. Surely you would want the company to operate as efficiently as possible, even to the point of everyone being a little overworked, at least until there is cashflow to cover expenses, and even then provide a little positive cashflow, right? So to expect that the company will provide weekly or daily updates is a little out of line in my opinion. It appears too many are too anxious and expect something everyday. I'd much rather see them being active in getting contracts completed, drilling operations underway, and raising capital for the drilling programs needed to optimize the leases they have worked so diligently to secure. That's what makes a successful company, not putting out PR's all the time. Seems to me like some posters liken a business to a football game and expect to have something to cheer about every minute, or as in the case of a football game, every down. Not the same. Let's allow Treaty run like a business and not expect instant gratification every day. In the long run, we will be winners. Let the game play on.
They have to file so they can then have liquid stock to place in their active portfolio. There is not an absolute timeline for them to sell. I've held securites after filing for over a year without any SEC questions. In fact, I've done it several times with several different companies. And there is a simple way of seeing what is going on with the shares. Go to the date of filing and see what the volume was for that day. Was there a spike in volume of an amount of their registration above the average shares sold? All company insiders must file to have their shares registered for them to be available to place into their regular brokerage account. It's pretty common.
How big is Tanjung? From what I understand, they are somewhere greater than $30 Billion, as in $30,000,000,000. And someone mentioned about $35,000,000,000. IE, large enough to be a very nice business associate for Treaty in my opinion. It's alway a good sign when a representative of that company's size takes an interest in your company. It's even better when that representative becomes a director who can offer guidance of opportunity. One thing I have learned in my business experience is that it takes one level of person to manage a company up to $10M annually, it takes another level to handle a company up to $100M, and it takes someone completely different to handle a company at $1Billion. Experience, education, communication, ideology, and capable risk management and human resource management make the difference. I think it's a tremendous opportunity for Treaty. Let's watch and see what happens.
Bingo! I've been thinking about that and rereading the PR's mentioning him and his association and wham! How often does a businessman who is a director of a multi-billion dollar enterprise get engaged to a micro-cap company like Treaty, and especially as a director? Extremely rare in my experience, unless of course there is a freiendly relationship, possible, or there is simply an interest in Treaty stock, possible, or there is a longer term interest and understanding of the potential that Treaty must really possess, which is what I began to consider. Now, remember, this is just my interpretation, but think along those lines with me and get some more posters to respond with their thoughts as well. I wouldn't get off to dreamland, but I would think with the credentials this guy must have, he can provide tremendous guidance to Treaty. A micro-cap company can always use strategy from proven successful businessmen. Just my thought. And he comes on board on September 1, if I remember correctly. I'd say, Welcome Aboard. Now, it's time to get this train rolling. All Aboard!
No hints. It's an open question for everyone and each should review all of the Treaty PR's and they will see a date that may beginning of something for Treaty. Then post your answer.