Wouldn't give up now. We are in this sector the lost ugly red headed stepchild (sorry for any Ginjas out there). Nobody is coming looking for us. Investor sentiment is so gone. I can see this by what people in general are saying across HC and even people I'm talking to on the ground. I spoke to a long term friend in Louisiana yesterday. He sentiment was very poor on oil prices. He was seeing new job losses every day and rigs stacked everywhere in every local town from East Tx to East Ms. But he is still out there drilling and now he is looking at the production acquisition route. I asked him why he would be buying when he can still find oil at around $10-$15 per bbl. Simple reply was "10 year chart on crude". So I went back and had a look and sure enough it makes sense. Why not be buying production if you can find it for sale at $40 oil? Not sure if oil actually makes it to $40 but if it does its a great play for a med term view. Looking at PYM you would think that they run the process of explore or buy and what will build a bigger better company. Any day of the week a large cheap to drill low risk liquids project will make you more money than just buying production. But acquisition of a producing asset takes away a huge amount of risk. So, they, PYM , must have this in mind when looking at the recent deal they have done which to me looks amazingly cheap even at current oil price. I have banged the table for many years with my employer urging them to acquire this field or that and then refine, cut op costs and develop out further to no avail. Its always cheaper to find the oil (if you find it) than to buy it. So here we have PYM in the doldrums. Nobody seems to care, ready HC is like having a depressed friend who you just can't get to be quiet. Sure this company needs some work and in my mind some new thinking. But I have to say that nearly every oiler Im watching (other than those in the Perth Basin) looks terrible....I'm not defending past failures here, I am defending a lack of interest in a sector. Even if PYM came out and said "we've completed xxx well and its flowing back at 250 bopd and we are 50% WI owner" the share price would probably add what, say .002 of a cent before settling back to .006 or so. Market just does not care. Its just where we are for now...no quick returns. Anyway, take a look at the 10 yr crude chart here....interesting stuff I think;
