Analyst cuts forecast on GMX Resources
NEW YORK (AP) -- A Morgan Keegan analyst said GMX Resources Inc.'s revised production forecast doesn't change his outlook on the natural gas company, since he still believes the Haynesville region can be a "huge" catalyst for the stock.
GMX Resources, which primarily explores and produces natural gas with its activities concentrated in east Texas, on Monday cut its 2008 production guidance to 13 billion cubic feet from a previous forecast range of 13 billion to 13.8 billion cubic feet.
The reduction is due to early delays in getting its horizontal drilling program going in the Haynesville/Bossier Shale acreage in east Texas and north Louisiana and some minor drilling slowdowns associated with hurricanes Gustav and Ike.
Analyst J. Michael Drickamer said the company is waiting on key materials and the delivery of a rig that was to occur in August which will now be delivered late in the fourth quarter.
"None of this changes our outlook," he wrote in a note to investors.
GMX Resources shares fell $1.08, or 2 percent, to $53.45 in Tuesday afternoon trading. The shares have ranged between $23.65 and $88.35 over the past year.
News 
Market Data 
Discover 
