Australian (ASX) Stock Market Forum

NWE - Norwest Energy

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NWE may have broken up today. At 3pm .032cents then volume jumped and price closed at .035cents Look at the daily chart.... there's a similar pattern from May to Oct. (an a,b,c,d,e sideways) If volume come in to the upside next week and it gets past 4 cents the weekly chart should look interesting. Place 13/7 moving averages on the chart and view daily weekly and monthly charts for yourselves.

regards
 
NWE up 16.7% on Friday on significant volume. Major company-making announcements are likely to be released in the coming 1-2 weeks and the market seems to be reacting to the massive upside potential this stock holds.

This is just the start. Myself and others are tipping NWE to be one of the major movers in the ASX this year.

Good luck everyone who's fortunate enough to be holding. :D
 
I do Agree she looks set to RUN hard NWE on a chart perspective and on Spec fundamentals ATM i pulled this post from HC not a bad post on the fundies:)



Here's a reminder of the issues surrounding NWE and my opinion of it as an investment/trade from current levels.

-note: i haven't included NWE's recent acquisitions which have further added value to the stock.

"I was on KAR, MEO, BUY and BCC but i must admit none of those multi-baggers excited me as much as this stock.

The company has been around for over 10 years and pre-GFC was trading at over 30c. It is currently trading at 3cand i believe the company is in much better shape now than it was before.

Here's why:

a) EXCELLENT MANAGEMENT:

The recently appointed chairman, Michael Fry is a real Gem.
He also happens to be the Chairman of Redfork Energy (RFE). I'm sure everyone knows about the magnificent run of RFE over the last 12-18 months. Michael has increased RFE's market capital by 500%. This guy is connected.

b) ONGOING INCOME STREAM - PRODUCTION/ROYALTIES:

---1) Vulcan/Puffin:

NWE has a 1.25% overriding royalty which up until production was halted by AED and its partners was netting NWE around $2.2m. This income stream has recently been confirmed to re-commence.

The immediate NPV of Puffin is approximately $15 million
based on over 20Mbls of oil reserves (p50).

*This alone equates to a share price of 2.9 to 3c! (current price)


---2) Jingemia, Onshore Perth Basin:

NWE has a 1.278% working interest. This deal, although not large, provides the company with another income stream which has thus far netted in excess of $3million.


c) MASSIVE, HIGH IMPACT DRILLING PROJECTS THAT WILL SIGNIFICANTLY RE-RATE THE COMPANY:


---1) The game-breaker (TP15) - Perth Basin(100% interest).

Comprises the potentially massive Xanadu project. Once the general investment community become aware of this, i honestly believe that NWE will rapidly test its previous high's (10c minimum upto 30c)-important to remember that
there was a massive discovery nearby (ROC's Cliffhead Oil Field), improving the prospectivity of the area.

Let there be no doubt that this is a potential Company maker and has been compared with BUY's PEP11 (the share price of which went from 3c to 17c in anticipation of drilling and news of farm-out - and its important to note that BUY only has a 15% free carried interest at PEP 11 while NWE has 100% interest in TP15!)

We are eagerly waiting for survey updates, farm out news etc.

From the quarterly activities report:

"Norwest now holds 100% interest in the TP-15 licence having acquired an additional 90% interest earlier this year from ROC Oil (WA) Pty Limited (ROC) and ARC Energy Limited (ARC) and it is already discussing farm-in opportunities with a number of parties. It is also important to note that the TP/15 permit has a number of significant leads and prospects and is located in a region with producing oil and gas fields including the Cliff Head oil field to the west (seaward ) and the Jingemia, Hovea and Dongara onshore producing fields to the east. The TP/15 License will be the key focus area for Norwest over the next 12 months. The Xanadu West prospect is currently the prime target within TP-15 with potential volumes - P50 at, 90 million barrels of oil in place based on mapping and available data.

The company plans to drill at least one, and possibly both, of these targets during 2010 and is now focusing on progressing both the drilling and farm-out processes. Importantly, both wells can be drilled from onshore sites using deviated drilling techniques.
Following the preliminary review of the FTG survey, Norwest now has enough information to confidently work on identifying and securing a suitable drill rig, and to begin the planning and permitting processes for drilling either, or both prospects in Q4/2010. In parallel, the company will further evaluate data from the FTG survey in conjunction with other data in order to mitigate risk and determine the optimum drill sites.
TP/15, whilst situated in a working petroleum basin, has been underexplored and through the use of the low-cost, high-technology FTG, Norwest has unlocked the potential of TP/15.


Xanadu has a potential of 98MMbbl oil in place and 27MMbbl recoverable. The prime targets are the High Cliff Sandstones and Wagina Sandstones, which are the producing reservoirs for several fields in the northern Perth Basin, including the 60MMbbl oil in place, Cliff Head project, 10km north-west of Xanadu.
Norwest is in ongoing farm-out discussions with several potential partners and now with the FTG results to hand, it is expected that these negotiations will gather pace."


---2) THE UNITED KINGDOM (Onshore southern England)

- Permit 238, Dorset (NWE 50% interest & Operator) comprises over 200 sq. kms right next door to BP's giant Wytch Farm oil field which has total est. reserves of 500mbls of oil (current worth = approx $35Billion!).

The Seismic Surveys are currently being interpreted and additional geological information is also being purchased - these results should be released any time now and again, could re-rate the company massively.

- Permit 239, Isle of Wight (NWE 75% interest & Operator) again, Seismic & GGI Surveys have been completed and are currently being interpreted - these results should also be out any time now.


d) DIVERSITY OF PROJECTS - many feathers in their cap.


---1) EP/368 & EP/426 - North Erregulla, Perth Basin (20% interest in each).

Oil targets of 30Mbls of oil! Seismic surveys will be undertaken once approvals are received for an equity swap of JV partner-also presumably this year.


In conclusion, NWE is an extremely under-priced company which has a multitude of high impact projects which will no doubt capture the attention of investors in the not to distant future. Add to this a gun management team and a regular income stream at no cost to them and you have the ingredients of a high quality investment.

IMO the most enticing part is that all of NWEs projects mentioned above (Puffin notwithstanding) are currently valued at zero (Puffin royalty alone at present is worth a share price of 3c). How's that for upside?

With so many company-making projects and so much news on the way, this is a pretty obvious buy.

I have a decent holding in NWE and my investment strategy is to sell a portion of my holdings between 6-8c to enable me to free carry the remaining parcel - which i will hold to the commencement of Xanadu and Dorset drilling.


Please do your own research and don't base your investment decisions on anything contained within my post."
 
next few weeks should be big for NWE. I'm sure we'll close above 4.2 cents this week and wouldn't surprise me if we break 5c as well
 
Amazing amount of news articles being generated in the UK on Wessex Basin Progress very positive for NWE :eek:




Britain strikes oil again – in the heart of Hardy country
Independent - ‎19 minutes ago‎
The Wessex Basin is already home to Europe's largest onshore oil field, and analysis from Norwest Energy suggests more to come. Sarah Arnott reports The ... Prospectors discover seven potential oil drilling sites underneath Dorset ...
Daily Mail - David Derbyshire - ‎9 hours ago‎
With its rolling green hillsides and rugged coastline, Hardy's Country is one of the best loved beauty spots in Britain. ... Explorer strikes oil in Hardy country
Times Online - Robert Lea, Valentine Low - ‎15 hours ago‎
In Thomas Hardy's Far from the Madding Crowd, Bathsheba Everdene inherits a large farm from her uncle and then has to deal with the competing attentions of ... Analysis: We won't ruin Wessex
Times Online - Robert Lea - ‎17 hours ago‎
The chairman of Wessex Exploration, one of the partners searching for oil under Dorset, Hampshire and the Isle of Wight, says his company and Norwest Energy ... BP fuel card news: Company to drill for oil in Wessex
The Fuelcard People - ‎10 hours ago‎
An Australian energy firm believes up to 100 million of barrels of oil could be sitting underneath Dorset, Hampshire and the Isle of Wight. ... Wessex welcomes UK oil prospects report
IBTimes - ‎19 hours ago‎
Oil and gas exploration company Wessex Exploration has greeted an announcement today (April 9) by Norwest Energy, operator of licences in southern England ... Norwest Identifies Seven Promising Onshore UK Leads
OilVoice (press release) - ‎19 hours ago‎
• Potential p50 unrisked recoverable oil ranging from 3.4MMbbl to 53.88MMbbl on seven leads identified in Norwest's three Southern England permits. ... Norwest Energy identifies seven promising onshore UK leads
Fortbridge Announcements (press release) - ‎Apr 8, 2010‎
A regional geology and geophysical and resource evaluation of Norwest Energy's (ASX: NWE) onshore southern England permits has identified seven leads that ... Explorer strikes oil in Hardy country
Times Online - Robert Lea - ‎17 hours ago‎
The prospect of a string of oil rigs in the country made famous by Thomas Hardy grew today after a South Coast explorer indicated it will start drilling for ... Wessex Exploration and Norwest identify 7 potential oil targets in Southern ...
Proactive Investors UK - ‎18 hours ago‎
Wessex Exploration (PLUS: WX) noted the evaluation of its licences in Southern England, conducted by the company's exploration partner Norwest Energy (ASX: ...
 
NWE looking to do a cap raising at .026c in the near future, spp limited to 15k per holder.

Farm in to be announced soon.

Drilling of one well in 2010 is expected to happen with the farm in partner, not sure if it is why the capital is being raised, maybe in case farm in drags out and drilling may need to be financed by NWE to keep the block.
 
Surprised no talk about the confirmed JV partner, Bharat Petroresources (BPRL). Certainly wasn't expecting a 27.8% interest to be retained in EP243 with full exploration funding provided and see this as a fantastic result. Up to $15M of funds into the coffers all up!

The company will also retain a 50% interest in TP/15, committing $3M of their own capital. BPRL will reimburse NWE $500,000 in expenses so far and the share purchase plan should take care of the rest with money in the bank leftover for corporate costs, wages, all the regulars.

Find it very hard to understand how the market valued NWE at 3c both before AND after the confirmation of what is now a fully funded company, ready to explore some potentially lucrative grounds. Notwithstanding the slight dilution that will arise from the SPP, the mind boggles.

Perhaps I'm missing something :confused:
 
Corsair said:
Surprised no talk about the confirmed JV partner, Bharat Petroresources (BPRL). Certainly wasn't expecting a 27.8% interest to be retained in EP243 with full exploration funding provided and see this as a fantastic result. Up to $15M of funds into the coffers all up!

The company will also retain a 50% interest in TP/15, committing $3M of their own capital. BPRL will reimburse NWE $500,000 in expenses so far and the share purchase plan should take care of the rest with money in the bank leftover for corporate costs, wages, all the regulars.

Find it very hard to understand how the market valued NWE at 3c both before AND after the confirmation of what is now a fully funded company, ready to explore some potentially lucrative grounds. Notwithstanding the slight dilution that will arise from the SPP, the mind boggles.

Perhaps I'm missing something :confused:
Click to expand...

NWE went into a trading halt on 23/12/10 pending an announcement regarding a capital raising. The SP closed at 6 cents. [Up 100% since the last post!]

Not sure why the capital raising is needed ATM.
I would have thought it would be funded to drill the Red Hill South well which is due to spud in Feb 2011. JV partner Bharat Petroresources (BPRL) is to provide $3m and NWE $2m to the cost of drilling the well and both will contribute equally to the testing of the well.

At this stage the only other well to be drilled in 2011 is the Arrowsmith # 2 shale gas well due in April 2011.

I hope this is not a case of letting sophisticated investors in at a discount to the detriment of loyal shareholders whose investment will be reduced in value due to futher share dilution :mad: Any thoughts out there?:confused:
 
I have just joined this forum and was surprised at the lack of discussion on NWE. Perhaps it will pickup when Redhill is drilled and they have a crack at a large shale prospect later in the year.
 
NWE Northwest Energy

that was one of the best small cap investor newsletters I have seen ever.

Well done NWE.
http://imagesignal.comsec.com.au/asxdata/20110524/pdf/01183143.pdf


Looks like the North Perth Basin is hotting up for shale gas/ tight gas.

I hold another large Perth Basin tenement holder in GPP - they have a huge EP447 South of NWE, same trend. (north of EGO finds)

Looks like NWE picked up their (GPPs) reliquished tenement north of Lancelin on the coast.
GPP gave it up because of nat park and access issues, so I don't see this as a major move.



what a great update imo.
 
Re: NWE Northwest Energy

Cloud9 said:
that was one of the best small cap investor newsletters I have seen ever.

Well done NWE.
http://imagesignal.comsec.com.au/asxdata/20110524/pdf/01183143.pdf


Looks like the North Perth Basin is hotting up for shale gas/ tight gas.

I hold another large Perth Basin tenement holder in GPP - they have a huge EP447 South of NWE, same trend. (north of EGO finds)

Looks like NWE picked up their (GPPs) reliquished tenement north of Lancelin on the coast.
GPP gave it up because of nat park and access issues, so I don't see this as a major move.



what a great update imo.
Click to expand...


Bordering on ministerial decision on fraccing. This was already given the all clear by the DMP and EPA but an appeal was lodged by a greens minister. Decision any day now and is more likely to be a positive outcome.

Sitting on a potentially massive gas resource, a resource that is known to exist by the govt, industry and the regulators alike.

Now on breakout alert IMO.

3 soldiers in place this morning...
 

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Re: NWE Northwest Energy

hangseng said:
Bordering on ministerial decision on fraccing. This was already given the all clear by the DMP and EPA but an appeal was lodged by a greens minister. Decision any day now and is more likely to be a positive outcome.

Sitting on a potentially massive gas resource, a resource that is known to exist by the govt, industry and the regulators alike.

Now on breakout alert IMO.

3 soldiers in place this morning...
Click to expand...

Nice confirmation ending on a high of the day and on volume. I guess I will be alone here on this ride up...seems to be a habit of mine LOL. Oh well enjoy if you read this and have a look at NWE over the next few weeks...

1. Ministerial decision now any day;
2. Commencement of fraccing at Arrowsmith;
3. If gas flows at Arrowsmith as is now much aniticipated and touted by the WA Govt, the DMP and EPA then NWE will take off...IMHO of course:D
 

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As long at they don't frack with Alan Jones I spose.
What are you averaged in at? If it's not too personal.
 
notting said:
As long at they don't frack with Alan Jones I spose.
What are you averaged in at? If it's not too personal.
Click to expand...

Yes it is too personal. Happy to discuss the stock...

I am here on the extraordinary potential the Perth Basin is now displaying, and NWE is right in amongst it. IMO as I said to a friend this morning, if the Perth Basin displays the gas as is expected then this will be literally "the next big thing" as now being touted in the press.

I just prefer to be in on the ground floor of massive opportunities rather than wait for the herd to arrive. When this goes have no doubt I will be one of the ones selling to the herd as they chase momentum. Opportunities like this don't often present themselves.

It isn't without risk, however it is well within my calculated risk for me.

Worth a read if you have the time...


http://www.dmp.wa.gov.au/documents/DMP_Response_to_Report.pdf

In Western Australia, extensive onshore unconventional gas resources provide an opportunity to secure our domestic energy future. The State’s resources of shale gas, estimated to be twice that of current conventional gas, occur in deep rock formations typically between 1500 and 5000 metres below the surface, well below groundwater sources.
 

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