I think SGC now eyes on peers of Canada energy industry, not ASX...

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sydney6791

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18/05/21

21:23

Post #: 53261333
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Originally posted by Profit Prophet: ↑

"Whatever, looks like nothing can block SGC board’s naked ambition, I strongly believe SGC will grow into a medium sized energy company in future."

Completely agree with you @sydney6791

With the acquisition announced recently it takes SGC’s share of oil production, after acquisitions in Canada, to ~2000 BOEPD.

SGC expects to bring the Borba well into production at a flowing rate of 3,000 mcfpd, which is about the equivalent of about 400 BOEPD net to SGC after royalty.

So in the next few months SGC is going to be a ~2400 BOEPD producer. As mentioned by GJ it will propel SGC into the Top 10 producers of oil and gas listed on the ASX.

All this at a time when rising oil and gas prices are expected. There is talk of $80 oil soon or the price could even go substantially higher.

The 1P reserves for the combined assets net to SGC is nearly 6.5 million barrels. The 2P reserves is now over 11 million barrels. These are some serious numbers being added to the SGC bottom line and the balance sheet.

Exciting times ahead and the future is looking extremely positive

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I think SGC now eyes on peers of Canada energy industry, not ASX oil & gas companies. 2000 BOEPD is its first target, more transactions will come in future.

I noticed now the day traders are manipulating the SP , they enjoying the profits between 3.0-3.3c. This also further indicates SP very close to bottom. 4c is key resistance, once SP breaks 4.0, we will kick these day traders out. 4.0 also trigger the potential funding as the options may start to exercises to $4m then SGC cashes up. So there should no stop to 5.5-6c, meanwhile if more transaction of 1500boed released, SP Amat test 10c, this will most likely happen in following weeks.

SGC Price at posting: 3.0¢ Sentiment: Buy Disclosure: Held
5 Upvote

0 Great analysis

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