good stock

Pro's

* We currently have 58m barrels of oil proved up.
56m of these are in Brazil which we have a 40% farm-in right too. This gives us about 22.4m barrels under management.
Using the formula set out by the Oxford Institute for Energy Studies for the SEC this gives a value of $7.50 a barrel for recoverable oil in place. Based on that the current Brazilian asset value is roughly around $168m for the Paca and Tatu fields. Our current market capitalization is about $17m.

* Gran Tierra Energy is paying up big $$$ for the Alvorada blocks we opted not to take up. 22.6 million to be exact. We are also the operators of these blocks so management will have no excuses this time round.

*Anadarko Basin its new very low risk as a discovery using a vertical well has already been made and we are teaming up with great companies like chesapeake the biggest US onshore producer. Fantastic result that one.

Con's

We are currently not talking with our Brazilian JV partner which has stalled development of both Paca and Tatu fields and almost seen us lose Tatu. This has also resulted in the share price falling by 50% over the past 6 months leaving most all long term shareholders underwater. Management stated many times that there was never an issue with Gavia, but yet here we are.

*Anadarko Basin will burn through half our current capital with very little return to shareholders in both share price and cash flow.

*Every drill to date has had issues and lots of them, form cementing over production zones to not ordering enough cement and not being able to control the water cut. Yes yes I know shite happens but how simple would it be to employ a drilling engineer to over see our interests and be on site form the day the rig turns up till the day it leaves who crosses the T's and dots the i's. But instead we have 3 lawyers who offer nothing and bleed us for what they can.


Conclusion

Is there value to a dollar, yes, without a doubt there is and its very easy to locate it. But the simple fact is that although management have been brilliant at delivering in some areas and as jbp pointed out they are "learn as you go" in other areas which has costs as all dearly. And until management appoint the right people to oversee the our interests then I think we will keep spinning our wheels.

Hope that helps


Cheers