Brief overview of most Oil stocks recommended from 7/09-9/13.
Most recent recommendation CCNI (non-oil) skyrockets 130% ~ Command Center releases 3rd Q number on or about 11/9/13~ 3rd Q is over 9/30/13~ Strongest Q with estimates of .03+. CCNI approaching 2 year high within pennies. We remain strongly Bullish and anticipate additional upside near term!
Eagle Energy Trust ~ ENYTF or EGL.UN ( Toronto listed) current price $7.90~ annual distribution $1.05~ yield around 13.25% (US investor may pay foreign tax).
SPECIAL OFFER FOR THE SMART INVESTOR:
ENYTF is a Canadian corporation that has all of its producing asset in Texas. At present production is around 3000 boepd (95% of Eagle's production is light oil and natural gas liquids.. Eagle's assets are concentrated in Texas within 2 key areas- the Permian near Midland and the Salt Flat Field near Lulling, Texas.
Production guidance- full year 2013~ 2,900-3,100 boepd and annual distribution is $1.05 ( .0875/month).
At present 51% of their production is hedged between $87-$108 WTI (1600 bbl/d) ~ the balance production is receiving spot+ premium ( extremely "sweet").
1. 31 million unit outstanding
2. Total Equity~ $240 million
3. $7.75 book value
4. Total reserves 16 million boe ( 68% proved, 29% proved producing~ reserve life 14.3 years based upon 2013 production forecasts).
5. 2nd Q netback $52.20
6. ENYTF continues to lower operating costs to keep netbacks high and maintain a lean balance sheet. The company is prudent in its use of debt, striving to remain below 1.5 annual cash flow. Eagle's debt is .8x annual cash flow.
7. Fund the capital to replace decline with 50% of CF & deliver moderate annual production growth on that asset.
8. Eagle is generating a conservative 1.0X D/CF for 2013E on an effective pay out of 119%.
9. 6 months ending~ wells drilled 6.4 net and 5.3 wells brought on stream.
10. 2nd Q~ rev $17 million, funds flow from Operations~$12 million ( $43.56/boe), per unit .39, income .13 and cash distribution of .2625.
11. Basic Pay out Ratio~ $1.05/unit~ 71%
12. Capital budget for 2013~ $26 million, 2,900-3,100 boepd, funds flow from operations $45 million.
13. Credit facility $61 million
When you stand back and look hard at this income producing investment vehicle it should make you smile!!
We have a very handsome monthly pay out with attractive upside potential from unit appreciation. We are currently trading @ book, extremely appealing Oil pricing and a large % of production that is NOT hedged! From the current environment we believe that it is very possible that management may declare a special dividend @ the end of 2013 because of excessive cash flow. Every $1.00 in the price of WTI increase funds flow from operations by .01. The Canadian $ has also been weak~ so that gives us additional upside and every 100 barrels of oil produced above the guidance gives us .08. We also receive a premium of a few dollars above WTI because our oil is so "sweet". The management team continues to reduce expenses. Eagle Energy Trust is almost the perfect investment.. We see limited downside risk because of very firm oil price ( Egypt, Libya,Syria,Yemen, Nigeria,Iran and Iraq- all lend to higher and very firm Oil prices).
We suggest interested investor visit their excellent website and listen to their presentations by management.
During Sept 2013- Management is presenting 10 road shows in Canada starting Sept 16-26 2013. We also anticipate that a "new" corporate presentation will be released on the 16th of Sept.
phone~ 713 300 3245/ 1-855 531 1575
WE RATE ENYTF WITH A STRONG BUY RECOMMENDATION @ CURRENT LEVELS FOR INVESTORS LOOKING FOR EXCELLENT MONTHLY INCOME AND CAPITAL APPRECIATION. WE SEE VERY LITTLE DOWNSIDE RISK @ CURRENT LEVELS AND BELIEVE INVESTORS WILL JUMP @ THE CHANCE TO OWN THIS EXTREMELY UNDERVALUED TRUST!
Portfolio July 2009- Sept 14, 2013
sd**5.23**S 1/2 @11.27** 5.50**104%G**BB
ssn***.59**S 1/2 3.83* S bal .48***549%G
mhr has had many recommendations $3-$4
dragf**7.35** div $1.00**9.75**46%G**B
Top Favorite 7 Oils
4. hk -4.71
Will the Fed taper bond buying with announcement on the 18th of Sept?
We believe that if the Fed tapers it will be $10 Billion/month down from $85 Billion to $75 billion and keep interest rates near zero( reduce purchases of treasuries to $35B from $45B and keep mortgage bond buying @ $40B). We believe that the Fed could postpone until the Dec 2013 meeting in order to gather additional data. The economy is flat-line, GDP is out of breath, even though the employment # is 7.3% it is down mostly because job searchers are just giving up looking for work. If there is work it is temp or part-time jobs. Obamacare is killing the job market and is reducing job creation. Obama has been in office for 4 1/2 years and the recovery after a major recession has been muted because of the "war" on American Business. We also have high Oil prices because of our failed Middle East policy which also has created uncertainty. The bump up in interest rates has already slowed the mini housing boom,retail sales has also slowed & consumer sentiment has eased.
Summers today withdraws from Fed Head consideration~ bullish toward continued dovish attitude towards QE. Bottom-line: Fed stays relatively pat! Market continues to rally and Oils stay very firm!
If Syria comes alive again, which is 50/50- market goes down and Oil continues to rally higher!
For $75.00 we will privately call you with the next recommendation before the email alert herd is notified. We will call you and even answer other questions that you may have concerning the recommendation or any other stock that we have recommended. CCNI & ENYTF investors had this information days before the herd! Is it worth the money? Let your account decide!
SUPER FAST PHONE SERVICE/YR $2500.00- WE CALL YOU AND YOU CAN CALL US ANYTIME. WE SUPPLY YOU WITH THE NEXT STOCK PICK BEFORE ANY OTHER SUBSCRIBER.
FOR $250/YR WE MAIL YOU THE SNAIL MAIL EDITION~ SEND CHECK: S A ADVISORY, 4700S HOLLADAY BLVD, SLC, UTAH, 84117~ 801 272 4761
We have not been paid by any of the listed investments within this email alert. We may buy, sell and or hold these stocks @ our own discretion.
PS:keep an eye on cazff ( caza oil & gas- .16) very quite and very interesting!!!