Value Microcaps Motherboard

[Bobwins]

In $size order currently

TGA, excellent mgmt, no debt, excellent prospects over next two years with section 72 & Egypt, near term could be weak due to recent misses and q2 seasonal low qtr for eps.

EGY Offshore, Gabon,W Africa, undervalued due to one concession, question on reserves, low p/e under 10, etame 6-h results should be announced soon with a big add to production.

ASPN.ob Domestic small ngas driller. I think they missed or hit a barely commercial ngas on first drilling of 2005. 9 more to go. Supposed to have 2 rigs going soon to catch up. Has appreciated on assumption that they will go 10/10 again this year. Tough act to follow. Excellent CEO, possible weakness short term until well 2 results are available.

FPPC.ob, tiny domestic driller, possible Palo Duran ngas play but won't drill for 1 year. Not adding to production but profitable and has potential

DZRFF.PK, Diaz is Canadian driller but has ngas play in Texas and new oil well in Canada, increasing production, low valuation compared to other Canadian juniors. Harmattan well+Texas ngas should boost q2 and q3 results.

HPNOF.pk, High Pine has extensive holdings in Pembina area of Alberta. Excellent area and high valuation due to combo of High Pine and Vaquero. Substantial production in 7000bpd range.

GPOR.ob, Gulfport is reworking and drilling two big older fields in Louisiana. Using seismics to find hidden pockets that were missed in original drilling that began in early 1900's. Using modern technology to enhance production from these old fields. Substantial reserves but moderate production. No PR but has several wells that look successful on Sonrise system. Waiting for completion rigs. Expect substantial improvement in production over next 12-18 months.

PFCXF.pk, PetroFalcon operates in Venezuela. Price down due to uncertainty surrounding Pres.Chavez policies, increased taxes, reduced revs. Recently hit big ngas field. Special pipeline for 140 million??? built from world's biggest refinery to PFC ngas field. New well had 500 feet of pay. Could be a very large field. Ngas was previously ignored in Venezuela. Need it to run refinery at max output and refine Venezuela heavy oil. Believe PFC experience in Venezuela will overcome obstacles.

CZEKF.pk, Choice, undervalued ngas driller. Has 12 year's of reserves, increasing production. Cashflow of .21 vs .81 C$ price.

http://biz.yahoo.com/ccn/050628/1a7d856676d520cf67dbadb2b0939c4c.html?.v=1

TTRHF.pk, Terra lost money in q1 due to noncash financing expense. Will be profitable in q2. Guidance for exiting 2005 at 4000boepd from 2000 12/04. Doubling production should double shareprice by yearend. stock buyback in place.

http://www.sedar.com/csfsprod/data57/filings/00788953/00000001/s%3A%5C526ttr_IFS.pdf

KRSYF.pk, Kroes is undervalued Canadian driller operating in Ukraine. Low output that actually declined in q1 from year ago but due to wells that were being reworked. Hit two new wells that should bring output up to around 300bpd from 200. Supposed to have deal to purchase 45% interest of partner. Waiting for govt unit to follow thru with agreement. Small drilling budget but using cashflow instead of diluting. Conservative but steady progress being made. Big reserves in older field. Again using modern seismics and drilling techniques to increase production. Lots of well sites left.
Have broker report if you are interested.

RCRKF.pk, Rock Creek to be merged with Great Plains. Very undervalued at less than 5 times cashflow. Combo will have good reserves and 2000bpd.

CHAR.ob, Big producer with 8800bpd, increasing substantially. Low p/e due to Kaz location. Majority owned by Nelson. Buyout of PKZ should boost valuations of Char.

CEYIF.pk, Centurion is becoming major producer by drilling successfully in Egypt for ngas and oil. 20,000boepd guiding for doubling in 2005! Not cheap but very good prospect for increasing production and reserves.

RGYLF.pk, Rival is undervalued. Production from new wells coming online q2, stock buyback in place.
http://www.sedar.com/csfsprod/data57/filings/00792473/00000001/i%3A%5CTBH%5CSEDAR%5C30003Rival%5C050...

TMY, Big potential, with huge reserves, wells with hundreds of feet of pay. Difficulty getting oil to flow. Seems to have solved problems and guiding for 4000bpd by yearend again from current 800. Getting more money for oil. Used to get 20, getting $36 from 7/1/05. Should become profitable from combo of increased production and price. In a year, supposed to hook up to pipeline and get Brent minus $5.

If I was buying now, here is my pecking order:
TTRHF.pk, Dzroo.pk,EGY, Czekf.pk, Rgylf.pk, Char.ob, Gpor.ob, Krsyf.pk. I would buy TGA and Aspn on weakness. Excellent mgmt in both. Canadian juniors info is available on Iradesso.

Here is url:
http://www.iradesso.com/i/documents/pdf/IQ-2005-Q1YE.pdf

There you will find that ttrhf,dzroo,czekf&rgylf are cheap in terms of $/flowing boepd, $/reserves, cashflow/price. These stocks peaked in March and haven't fully recovered yet. Additional production should show in q2 and q3 financials and performance of stocks should improve. EGY should pop when etame 6h is announced in next couple of weeks.

Use Stockhouse. com to research Canadian stocks along with
Sedar.com(their version of SEC)

Good luck. Bobwins