Value Microcaps Junior Energy

[dr_airtime]

ITE.TO - locked and loaded.

Have $CAD 100k in ITE.TO mostly in TFSA accounts looking for a multi bagger this year. Good introduction presentation linked below. Here are some highlights. Reminder that Market Cap is CAD 133mm. Net Debt should come in <CAD 40mm when they report year end in a couple weeks*

*unless there is an exemption to delay past Mar 30 as dual AIM-TSX listed entity.

Gain (9000 boepd) and Toscana (1000 boepd) acquisition notes from Proactive Presentation below

- Toscana: 1000 boepd producer but gave them a management team in Canada.

- Gain & Toscana - bought assets for <$3000/bbl. Stupid Cheap.

- They do have more gas than oil in portfolios

- 500 production wells from Toscana/Gain assets currently.

- 200 drilling locations with IRRs>50% at WTI $55 at Clearwater.
Cleawater has gone from zero to 30,000 boepd in 3 years in WCSB (think Tamarack Valley TVE.TO is biggest player here)

- 18 different production facilities that came with Gain Acquisition. Operated infrastructure. 120 MMSCFSD, 20,000 boepd capacity in Gain Infrastructure. Also generate $2mm/year in 3rd party revenue. Easy path to 200-250% production growth.

- Have maybe 1 billion barrels of OOIP at Clearwater Acreage. Heavier Crude. Drill, complete and tie-in in 30 days. Wells cost ~$1.5mm come on at 300-500 bbls/day.

December Proactive Presentation