and to follow up another 4 broker recommendations 29/1/13Citi...

and to follow up another 4 broker recommendations 29/1/13

Citi 29-Jan-13
Target $9.65 (was $10.17). The broker notes Karoon's Kangaroo-1 exploration well in Brazil has struck oil, with the company claiming a 350m gross hydrocarbon column.

Confirmation isn't expected until the end of February, but from what the broker's seen, a discovery in the order of 30-100mmbbls could be on the cards, although Karoon is yet to determine if the discovery is commercial. Buy call maintained.

Buy, High Risk


BA-Merrill Lynch 29-Jan-13
Kangaroo-1 in Brazil has encountered 25m of gross oil bearing reservoir in the Eocene and hydrocarbon shows were also detected in the
Miocene. BA-ML has lowered the resource estimate to 75mnbbl, but increased the chance of commercial success to 75%.

The price target is raised to $7.02 from $6.83. A Buy rating is retained.
Buy, High Risk


UBS 29-Jan-13
Karoon Gas share price jumped on the result from Kangaroo-1 well. UBS notes the discovery needs to be followed up with an appraisal and it may be smaller than expected. However, it does de-risk nearby prospects and increases the chance of Pacific Rubiales exercising its option.

A Buy rating is retained and the target price is unchanged at $8.

Buy


Credit Suisse 29-Jan-13
Test drilling in the Santos Basin has rendered some positive results at Kangaroo-1, leading the broker to de-risk the Basin exploration project to 60% from 50%.

Further results are expected next week, but in the meantime the broker has raised its target to $8.30 from $7.65.

Outperform


Deutsche Bank 29-Jan-13
Karoon has announced an oil discovery at the Kangaroo-1 exploration well in the Santos Basin acreage off Brazil. The well encountered a 25m gross oil column in the secondary Eocene target.

While initial results at Kangaroo-1 well are clearly positive, Deutsche Bank has kept forecasts unchanged pending appraisals. The price target is also unchanged at $8.80 and a Buy rating is retained.

Buy