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KTE - K2 Energy

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etrader1

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Hi,

This is an oil and gas exploration company that has an IPO closing 6 November 2006. They have several ongoing exploration project in the USA. The company is raising $1M mainly to achieve minimum shareholder number required for admission to the ASX.

Has anyone else looked into their prospectus or subscribing?

Thanks.
 
Re: KTO - K2 Energy Limited

I bought a hand full of these shares when it listed but I bought it a premium and the price has since gone south :banghead:
 
KTE is an energy company operating in the USA. It recently changed its name from Tomahawk Energy after a union between the 2 companies. This company which listed around 2004 rapidly shot up in price to just short of $1.50 it has drifted lower over the years to a base around .20. Its original story centered around non-conventional gas in shale beds. It is now after the merger exploring, developing and producing from conventional wells in addition to planning for development of the non conventional resources as technology develops. It is due to release independant reserve figures shortly which may be a catalyst for an improvement in its SP. The company hopes to be cash flow positive by mid 2008 due to rising production profiles, which again may be a catalyst for a rising SP. While not a great technical analyst I read once about a so called N-curve, the first upstroke being exploration enthusiasm, the angled downstroke being the time it takes get production up, the second upstroke of the N being rerating as a company becomes a producer. I'm hoping that KTE is on the verge of this upstroke and have put a few dollars behind my view.(So far my view has cost me 30% of the dollars) This post is not intended to be investment advice, but simply "one more" to add to the watchlist maybe. If any readers are looking for "old" announcements about this company, prior to the namechange, I had to go to the ASX site, as Commsec only carried the post name change announcements. pointr

Administrative note: This company was formerly known as THK - Tomahawk Energy. For previous information on this stock please visit the Tomahawk Energy thread here: https://www.aussiestockforums.com/forums/showthread.php?t=229
 
This stock finished last week at $0.081, today it closed at $0.14. The volume was not huge but larger than normal of late for this stock. It has not released any announcements to the market this week at my time of writing this. I confess/admit to "hole"ding a few of these and at 0.14 still have a fair way to go back to break even. Whether this weeks move is energy company rerating or something else time will tell.
 
Yeah, my wife bought in at 72c after she wanted to take control of half our portfolio!! I then convinced her to buy another parcel at 32c :banghead: to average down

I also havent seen anything lately, although the latest drill effort was targetting oil rather than gas, so if they hit it will justify some increase in SP.

Here's hoping :2twocents
 
This one might be worth watching over the next month - current MC of $12m and from what they report, their 5500 acres in Oklahoma's Woodford Shale region is worth $22m conservatively - that's just if they sell it straight out.

If their two wells coming up can produce at rates similar to other players nearby,
eg 1.5MMCFD x 2 wells = 3mmcfd
x 20%KTE = 0.6mmcfd
@$8000 per mmcf = $4800 per day
x 365 = $2m per year.

Reasonable numbers for just two wells.:2twocents
 
Worth keeping an eye on these still - ticking up slowly and on low volume but made it from 10c to 15c in the last three weeks. VERY low seller volume which probably explains it, but the buyers keep adding themselves to the list so there is demand.
 
Announcement out!

http://aspect.comsec.com.au/asxdata/20080513/pdf/00841774.pdf

Looks promising - at $1m per BCF EV this gives KTE a potential market cap of $47m versus current $20m

Also important to note that it was the potential in the unconventional gas shale plays that first sent Tomahawk (now KTE) to dizzying heights. This is now being unlocked (HOPEFULLY!!) with the technology available to do so.

Might yet see some joy in this :D
 
KTE has released several announcements that I would describe as positive over the past few weeks. (they could also be described as potentially positive). Today they announced the completion of their first horizontal shale gas well(still to be fracture stimulated) and a 'broker report' available on KTE's website. They have also completed an earlier vertical well in the shale that is now of interest with promising gas shows. The broker report projects some interesting multiples should this unconventional gas project deliver. We hold,and have built a reasonable position which is still in the red, however we were deep in the red with MPO and AJL for a while, such is investing:2twocents
 
Boy is this a hot thread, first post since 2008. Today KTE released an announcement that a new operator has been appointed to the significant unconventional acreage it has in the USA. The company feels this will allow it to move ahead after 18months of inactivity and disputes with the previous operator. I hope so. One for the watchlist or speculative $$'s perhaps. We hold a few and are in a deep hole at present.:2twocents
 
A very big jump for KTE today (up over 200% at one point) after announcing it had acquired the marketing rights for some solar energy technology from a company whose technology has had previous success.
 
pointr said:
A very big jump for KTE today (up over 200% at one point) after announcing it had acquired the marketing rights for some solar energy technology from a company whose technology has had previous success.
Click to expand...

great day for KTE had some ups and downs will be VERY interesting to see what the market make of this stock tomorrow, - pointr you seem to have been watching this stock for a while, i brought a few today around the 8c mark... what are your views??? they dont have any debt and have a bit of cash in the bank, reasonably small market cap.... any ideas on what to come? SP?

cheers
 
Hi rabbit59, my current view is that I wish I'd bought them 2 months ago instead of over 2 years ago;). The current signs of life are encouraging it would only take some good news from their shale gas acreage or some signs of money coming from the solar technology to propel these upward and onward. Good luck
 
pointr said:
Hi rabbit59, my current view is that I wish I'd bought them 2 months ago instead of over 2 years ago;). The current signs of life are encouraging it would only take some good news from their shale gas acreage or some signs of money coming from the solar technology to propel these upward and onward. Good luck
Click to expand...

Pointr, how are your views with the share pp ann, are you still holding at all? any insight would be an advantage :D
 
Hi rabbit59, from the amount of capital I've lost on this one I would wouldn't recommend asking me about insight, I sold some just after the announcement of the SPP. I hope they do well from this solar technology and can extract some value from the hydrocarbon business. I am not backing this company with any more of my dollars, my:2twocents
 
Damn, decade revival!

KTE weekly. Moving on up nicely.

Disc: not held.

KTE.JPG
 

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