I have had a look at the trading data for XST since the 15/12 until the 29/1 (26 trading days). The 15/12 was the date that the volume really kicked in.
During this period there has been 1.714 billion shares purchased which is almost the entire share register.
Using the low price for each trading day this equates to $9.97 million turnover during this 26 trading day period.
Using the high price for each trading day this equates to $13.83 million turnover during this 26 day trading period.
Using the average this equates to $11.91 million turnover during this 26 day period.
That is some serious volume and value in a small period of time, and it feels like the big players have been getting themselves set.
But despite all of this XST market cap is still at microcap levels at $18m, and is at the bottom of the O&G pile.
That market cap would be usual for an oil/gas explorer with a portfolio of various prospects yet to be drilled, but XST has picked a % interest in two oil producing projects recently and the multi TCF Borba well is scheduled to spud in "early February" which could be a company maker.
XST is also considerably undervalued when compared with BPH which has a current market cap of $100m.
The Borba well has so many advantages when compared with PEP 11 in that it is an onshore well and drilling costs are significantly lower. There are producing wells all around Borba whereas the first well drilled in PEP 11 in 2010 was a duster, and Borba is adjacent to natural gas pipeline infrastructure.
The Borba 1-7 well will be drilled to test multiple stacked 3D seismic anomalies in the interval from 975 metres to 2,800 metres depth and finish in Basement rocks. The prospective interval covers around 1,825 metres." JUST UNDER 2 KMS!!!
They will be drilling through 16 stacked amomalies which significantly increases the chances of success !!
XST is also flying under the radar when compared with Perth Basin explorers STX and WGO, who have a market cap of $500m and $232m respectively.
A company making multi TCF drill program is imminent (early February) and the share register will have a completely new look to it with new players.
Looking forward to a significant re-rate shortly.
DYOR
XST Price at posting:
1.0¢ Sentiment: Buy Disclosure: Held
