IMP - Imperial Corporation

[Tukker]

Re: IMP - Imperial One

New report out last week, here are some highlights:

• the Company has now secured a position as a player in the oil and gas sector, not large, but well positioned.
  
• Streamlined operational aspects of its first natural gas acquisition in Pennsylvania.
  
• Secured from Macquarie Bank a US$100 million Credit Facility, at very competitive rates considering the current financial environment.
  
• Commenced a natural gas development program, developing existing locations
  
• To date 7 wells have been drilled, all commercially successful, with an average estimated payback of 2 years, and an average economic life of at least 20 years.
  
• Production on the existing 140 wells has been maintained at constant levels.
  
• Realise its investment in Bemax Resources Limited. This raised approximately $14.5 million for the Company, a portion of which was utilised to repay outstanding debts, leaving the Company with just under $10 million in cash which is higher on a per share basis than the current share price.

http://www.asxnewbie.com/index.php/My-Portfolio/imp-secured-a-position-as-a-player-in-the-oil-and-gas-secto.html

Quietly Holding

 

[kr1zh]

Re: IMP - Imperial One

this stock went up to 1.3 cent today with volume less than 40 millions. anyone know what is going on? are there any news coming?

 

[Tukker]

Re: IMP - Imperial One

No Idea. They have slowed drilling while the price of gas has come down significantly but are building up their cash reserves and production assets to attain this critical mass we keep hearing about.

Production was around 30,000 mcfpm at the end of march.

The Henry Hub natural gas spot price is projected to average $4.06 per thousand cubic feet (Mcf) in 2009. IMP has hedged 60% of their sales at 8.10.

Brings its average price to around 6.46.

The Company has approximately $9 million cash and receivables and $1.0 million in investments including $500,000 in listed entities.

There is talk about how the US has bottomed out and the recovery process is about to begin. Maybe someone jumped on in anticipation of what the next 3 years will bring us.

The EIA says inventories are high and consumption is down atm, but expected to rise slightly in 2010 as the coal fired power stations become less profitable attractive.

"Lower relative natural gas prices compared with coal, particularly in the Southeast, are expected to induce higher utilization of natural-gas-fired electric generation capacity in the near-term and lead to a consumption increase of 2.1 percent in the electric power sector this year."

Im sitting back and relaxing under the knowledge that they are accumulating assets and cash. Anyone making money is better than someone not.

 

[Putty7]

Re: IMP - Imperial One

US$38 MILLION OIL & GAS ACQUISITION

Resource and energy investor, Imperial Corporation Limited (ASX:IMP) is pleased to announce that its subsidiary Empire Energy LLC has signed a Purchase and Sale Agreement to acquire approximately 303,000 gross acres of land in the Appalachian Basin, 1,805 natural gas wells producing approximately 5,000 Mcfepd or 1.8 Bcfepa at current production levels.
The wells acquired are stable, long life gas producers in New York and Pennsylvania States. In addition, there are at least 250 proved undeveloped locations and over 260 other prospective locations.

Empire Energy will also acquire a fully equipped field office and staff at Mayville, NY. The oil and gas acreage is criss-crossed by extensive gathering networks and over 675 miles of pipeline, ensuring future development drilling can be undertaken with little restriction due to lack of transportation. Gas in the region sells at a positive basis to NYMEX due to the close proximity of major customers and markets.

Independent Reserves Forecasts estimate 1P Reserves of approximately 56 Bcfe and 3P Reserves of 62 Bcfe. Utilising early December 2009 oil and gas swap prices, the 1P PV10 valuation is approximately US$73.6 million, or 3P PV10 valuation is approximately US$78 million.

Total acquisition cost was US$36.3 million, plus a further US$1.7 million placed into escrow to acquire third party revenue interests in a number of the wells.

Noticed the volume spike on these, bought in at .008c, looks like a fairly substantial acquisition, not sure if they will have a run but could be interesting, low market cap should give it a bit of room to move. Only my opinion do your own research.

 

[Tukker]

Re: IMP - Imperial One

Too many shares issued on this one, with management consuming too large a proportion of the capital every year for their own salaries. I got out of this skittish fella a month or so ago for a 30% loss.

This one is starting to reek too much for my liking. There are better opportunities elsewhere imho.

Good luck to you at 0.008, i wouldn't like to be in your position. Maybe i eat my words, but something doesn't feel right here.

 

[shakazulu]

Re: IMP - Imperial One

The shareholder relations are lousy and the SP is in the sub-penny range, which is a deterent and drag on the SP, but IMP is at a bargain right now.

The fundamentals look awesome. This SP should be at least 3x it's current value. This one is going to explode.

Anyone agree/disagree?

shaka

 

[Gringotts Bank]

Re: IMP - Imperial One

Don't hold this one at the moment, but have it in the January comp.

Look at the market detail. It's been this way for many weeks, with multiple orders ending in 333 and 666. What's he telling us? That he (insto?) is all over the sell side and part of the buy side and doesn't too much care if anyone knows about it. I've no idea of his intentions but I guess an entry point would be if/when the 333s and 666s finally disappear and he has finished accumulating or selling.

 

[Gringotts Bank]

Re: IMP - Imperial One

Most of the 333 and 666 sell orders have gone (5 left). New today are sells ending in '456'. Worth a watch.

This is looking much more like insto accumulation. If they were selling, they would be constantly re-filling the top ask, and they're not. When it gets bought up, they just push it back down 1 or 2 price levels so that traders don't get too excited. But they're not pushing it down too hard; just enough to say 'stop, don't trade this thanks, we're accumulating'. I like this sort of stock. Reminds me of the way SDL was traded when it was being accumulated.