EKA - Eureka Energy

[Assasin]

I've been thinking about this comment and just can't make any sense of it. On any metric you choose (income, acres, production, etc), EKA is vastly better value than AUT. AUT is much closer than EKA to the price analysts reckon it's worth. The only advantage AUT has is pure size and therefore liquidity and being in the ASX 200.

Whether it was my money or your mum's, I'd be putting it into EKA.

So how has that worked for you over the past 18,12,6 months Kremmen. Do you not like your mother.
Best you find something else to think about. At least you didn't call me a liar this time.
Absolute whackjob.

 

[Sdajii]

So how has that worked for you over the past 18,12,6 months Kremmen. Do you not like your mother.
Best you find something else to think about. At least you didn't call me a liar this time.
Absolute whackjob.

I think Kremmen (or 'absolute whackjob' as you put it) was talking about investing his or his mother's money in EKA now, rather than 18, 12 or 6 months ago. It makes sense with the massive disparity in value compared to AUT, which wasn't the case 18 months ago. All companies have periods where they go down in share price followed by going up again. Before AUT's big climb starting last year you could have said investing there was a bad decision because it had gone down before then. Strange to call someone an 'absolute whackjob' when they say they'd prefer to invest in one company rather than another when it is hugely and clearly undervalued relative to the other.

Call me an absolute whackjob too, 'cause I've been selling AUT and buying EKA over the last few months.

 

[jancha]

So how has that worked for you over the past 18,12,6 months Kremmen. Do you not like your mother.
Best you find something else to think about. At least you didn't call me a liar this time.
Absolute whackjob.

I think I started this Assasin with my thoughts on EKA being of better value than AUT.
You obviously think otherwise and thats fair enough. Kremmen however has disagreed in turn with you & you have responded rather poorly by calling him a whackjob. I'm sure all of us like our mothers & would have their best interest at heart but personally in respect of % EKA has a better chance of a getting it over AUT. I can see EKA getting back to the 42c before AUT can go to $7.
There must be more to it than Kremmen last post here for you to respond as you have.

 

[Assasin]

Guys, there's a fair bit of history with this clown who's far better than me in throwing out insults.
For the past 10 months posters have had the notion that there would be a better return in EKA than AUT since AUT's big rise, but the fact is it just doesn't materialise.
With AUT's plans for the upcoming 12 months compared to EKA's I'll still back AUT but retain my EKA holding just in case.
Good luck.

 

[Kremmen]

So how has that worked for you over the past 18,12,6 months Kremmen.

My investing has worked very nicely in the last 18/12/6 months, as I've had a large investment in AUT. I also sold a pile of EKA at over 40c and bought recently at <=17c.

Guys, there's a fair bit of history with this clown

I respond to comments that are posted here on the basis of how I see the investment. If you think I even remember what you've posted in the past, let alone care, you flatter yourself.

 

[Joe Blow]

Absolute whackjob.

These kind of personal attacks are not acceptable. Discuss the stock and lay off the insults please.

 

[Assasin]

These kind of personal attacks are not acceptable. Discuss the stock and lay off the insults please.

Sorry Joe and ASF.

Maybe the culprit may apologise for calling a fellow poster a liar or is that allowed?

 

[Harvestar]

Happy new year all.

Interesting few days, with volumes jumping a great deal lately. Anyone have any assumptions?

Also can someone explain to me why the ASX would ask for a please explain for a price jump? All seems a bit crazy to me....

 

[RNI]

Hope everyone is aware of the great new trend EKA is on. They are working on getting a debt facility so they can proceed with their plans to drill aggressivily in 2012 with Marathon doing the drilling. If you look at the sell, buy's, ppl are holding onto what stock they have and not selling, below a certain high range. Difficult to get more unless pay higher.

Should know in next days, weeks.

 

[philly]

Hope everyone is aware of the great new trend EKA is on. They are working on getting a debt facility so they can proceed with their plans to drill aggressivily in 2012 with Marathon doing the drilling. If you look at the sell, buy's, ppl are holding onto what stock they have and not selling, below a certain high range. Difficult to get more unless pay higher.

Should know in next days, weeks.

Has anyone really considered how much US$ EKA is going to need to fund its share of this accelerated drilling?
As I read the Dec Quarterly report EKA had US$6.08m in the bank and was getting revenue from first 3 wells that Hilcorp drilled now that it has completerd paying them out.
Going to the market in the current climate for a debt facility / capital raising is no easy feat. Even a SPP whilst popular amongst us may dilute the value of our shares too much.

I am excited but a bit wary as well.
I think EKA is a bit vulnerable ATM
All IMHO and do your own research

 

[philly]

Has anyone really considered how much US$ EKA is going to need to fund its share of this accelerated drilling?
As I read the Dec Quarterly report EKA had US$6.08m in the bank and was getting revenue from first 3 wells that Hilcorp drilled now that it has completerd paying them out.
Going to the market in the current climate for a debt facility / capital raising is no easy feat. Even a SPP whilst popular amongst us may dilute the value of our shares too much.

I am excited but a bit wary as well.
I think EKA is a bit vulnerable ATM
All IMHO and do your own research

AUT has just raised US$200m to partly fund the accellerated drilling programme in the Sugarkane. It has other interests in the Eagle Ford so not all of the money will go towards Sugarkane but I guess it may be a tad more that US$6.08m that EKA has in the bank ATM.
IMO management need to get out there or risk missing the bus on this one. If they can't fund the proposed drilling program they need to farm out some of their interest or maybe risk being brought out all together. IMHO both AUT and AWE may be interested.
All IMHO and DYOR

 

[mr. jeff]

I agree and it's not looking great.
Hopefully someone utters "takeover" in the right areas. Not a great idea though holding a stock in that expectation. Based on the chart, have looked for the door.



Hope this helps someone.
Cheers.

 

[jancha]

I think I started this Assasin with my thoughts on EKA being of better value than AUT.
You obviously think otherwise and thats fair enough. Kremmen however has disagreed in turn with you & you have responded rather poorly by calling him a whackjob. I'm sure all of us like our mothers & would have their best interest at heart but personally in respect of % EKA has a better chance of a getting it over AUT. I can see EKA getting back to the 42c before AUT can go to $7.
There must be more to it than Kremmen last post here for you to respond as you have.

EKA getting back closer to 42c.
AUT much the same as when EKA was 20c.

 

[trader8888]

AUT has just raised US$200m to partly fund the accellerated drilling programme in the Sugarkane. It has other interests in the Eagle Ford so not all of the money will go towards Sugarkane but I guess it may be a tad more that US$6.08m that EKA has in the bank ATM.
IMO management need to get out there or risk missing the bus on this one. If they can't fund the proposed drilling program they need to farm out some of their interest or maybe risk being brought out all together. IMHO both AUT and AWE may be interested.
All IMHO and DYOR

Mid market Eagle Ford drillers have shot at funds -


"By Vicki Vaughan
Updated 10:05 p.m., Monday, February 13, 2012

Midsize oil producers with solid track records in the Eagle Ford Shale will find it easier to borrow money, an expert said Monday at a series of seminars sponsored by the Texas Alliance of Energy Producers.

"A broad range of companies are interested in energy investing," said Bryan Frederickson, managing director at Houston-based GulfStar Group, an investment bank that advises companies with revenue of $15 million to $350 million.

The alliance's conference in San Antonio, billed as "Challenges in the Eagle Ford," had about 150 attendees.

Lenders are competing for midmarket deals, he said, and "Texas and the Southern states in general are target markets for investment, and energy is a top focus."

Companies with proven reserves and diversified geography that are oil producers will have the best chance of getting the capital they need, Frederickson said.

Company leaders, though, need to approach a lender with a clear business plan that defines what the funds would be used for."

Link - http://www.chron.com/business/article/Midmarket-Eagle-Ford-drillers-have-shot-at-funds-3313293.php"

EKA only catching up to fair value and still cheap at .35c IMO, at least .55c would be fair now. Word has it things are tracking along very nicely for EKA ATM

 

[mr. jeff]

EKA only catching up to fair value and still cheap at .35c IMO, at least .55c would be fair now. Word has it things are tracking along very nicely for EKA ATM

Well I spent yesterday eating my words.



I had sold half my holdings just to watch the last moves unfold. Very good moves through that 30c level and then pushing higher. There is some serious buying in the market and it has really got EKA's sp turned around. I jumped ship completely yesterday on the 11% gain and was quite happy to book those profits coming from the 27.5c level. Will be great to see what today holds for EKA.
Another low volume tight spread pullback would be positive, but that 35c level may take some breaking, particularly as the action overnight in the US was negative.

Good luck 8888 in seeing that 55c level, I don't think it is out of the question but would like to see just how the 45c level works first. I don't know much about the fundamentals, but when looking at a year ago, how does EKA look when considering size of reserves (as a percentage on last year) and the prices they could now get ?
This would give me a simple idea of where, if the market returns to risk chasing, EKA may potentially head.
Someone mentioned that AUT was like this stock, well yes and no, AUT had an amazing run that was unstoppable, making a high which it has now struggled to break a couple of times and appears to be consolidating at these levels. EKA generally mirrored that run up but came out at the other end back at the start.

Short term you could say so though it has been positive action. Let's see where it goes. Good luck and look forward to hearing more about the fundamentals.

 

[Kremmen]

I don't know much about the fundamentals, but when looking at a year ago, how does EKA look when considering size of reserves (as a percentage on last year) and the prices they could now get ?

They haven't been trying very hard to increase their reserves. If you are thinking about possible downturns, an important question might be whether the company is making decent money. EKA can spend nothing and make money. The Sugarloaf wells are good. AUT has spent lots of money to dig more wells, but the areas it's moved into subsequently have much lower production, especially Excelsior. EKA's net operating cash flow for Dec quarter was over 1/6 AUT's, with production over 1/12 of AUT's, yet at under 1/16 the market cap.

 

[Kremmen]

Lenders are competing for midmarket deals, he said, and "Texas and the Southern states in general are target markets for investment, and energy is a top focus."

For all that competition, EKA has ended up getting a $50M loan from Macquarie. That certainly should be enough to finance their part of this year's drilling.

 

[Harvestar]

Is $50m enough to fund their future expansions?

I'd be interested to know what sort of precedents that Macq have put in place for EKA to receive all the funds over time. Any ideas?

I suppose the backing of the 'Millionaire Factory' can only be a good thing. They must see value and potential in the company!

 

[philly]

Has anyone really considered how much US$ EKA is going to need to fund its share of this accelerated drilling?
As I read the Dec Quarterly report EKA had US$6.08m in the bank and was getting revenue from first 3 wells that Hilcorp drilled now that it has completerd paying them out.
Going to the market in the current climate for a debt facility / capital raising is no easy feat. Even a SPP whilst popular amongst us may dilute the value of our shares too much.

I am excited but a bit wary as well.
I think EKA is a bit vulnerable ATM
All IMHO and do your own research

AUT has just raised US$200m to partly fund the accellerated drilling programme in the Sugarkane. It has other interests in the Eagle Ford so not all of the money will go towards Sugarkane but I guess it may be a tad more that US$6.08m that EKA has in the bank ATM.
IMO management need to get out there or risk missing the bus on this one. If they can't fund the proposed drilling program they need to farm out some of their interest or maybe risk being brought out all together. IMHO both AUT and AWE may be interested.
All IMHO and DYOR

Ah yes finally the news I wanted to hear EKA has secured US$50M from Maquarie. They get US$15M immediately and will be fully funded for the accelerated drilling scheduled for this year.
I now hold EKA @ $0.345

 

[Kremmen]

Here we go. 65 (by quarter: 12/22/18/13) wells to be drilled in 2012.
About 50 totally in the AMI, with 15 shared with surrounding lease-holders.

As it's already March, that means 12 in the next month.