Pan Orient Energy Corp.

Pan Orient Energy is a Canadian publicly listed junior oil and natural gas company. The Company's principal properties are located in three diverse locations:

In Thailand, the Company's 50% owned subsidiary Pan Orient Energy (Siam) Ltd. is operator with a 100% working interest in oil producing Concession L53/48 on-shore.

In Indonesia, the Company has interests in three production sharing contracts on-shore: Batu Gajah (77% and operated), Citarum (97% and operated); and East Jabung (49% and non-operated after farmout).

In Canada, the Company’s 71.8%-owned subsidiary Andora Energy Corporation holds interests ranging from 10% to 100% in 88 contiguous sections of heavy oil sands leases in the Sawn Lake Property which lies within the central Alberta Peace River Oil Sands area.

Expert Comments:

Bill Newman, Mackie Research Capital (4/9/15)
"Pan Orient Energy Corp. reported Q4/14 average production of 512 bbl/d oil, which was in line with our estimate of 535 bbl/d. . .at the current stock price, the company trades below its cash value. We maintain our Buy and $4 target on strong financial position and high-impact exploration drilling in Indonesia commencing in H2/15."

"Pan Orient Energy Corp. has not been recognized by the market for quite some time. Frankly, I've been holding it for the past three years. Even after the $0.75 dividend, I'm not making any money, but I'm still extremely excited about the East Jabung project with Talisman, which is in the process of being acquired. It's a very good project because it is land-based and shallow. The capital expenditure is only $4–5M/well with something like a billion barrels of oil equivalent. It could be one of the largest oil discoveries in the world. Also, the fiscal terms of that concession are favorable for Pan Orient—about 35% oil, 35%/65%. Usually Indonesia requires 15%, 15%/85%. Talisman awarded the contract to Pan Orient because it has good connections with the government, but there were a lot of suitors for that property.

When Pan Orient closes the deal with Talisman, which could be any time now, we should have an update on the drilling schedule. The previous update looked like the end of 2015 or early 2016. That will be the lottery of my lifetime because the upside is so enormous. The downside is limited because Pan Orient is trading at cash or below cash if you calculate the money Talisman is going to pay it to option 50% of this concession. So the downside is very limited. The upside is enormous. That's why I'm very excited. For Pan Orient, these are very good fiscal terms; it has a very good location, is land-based and cheap to drill. None of that is priced into the stock, which has held pretty firm while the rest of the sector dropped 80% or 90% or more, so I'm patiently waiting. I hope that the day will come when I get my reward. But, again, this is high-risk exploration. You don't know if a well will hit or not. But if you hit, the upside is enormous." read more >

Bill Newman, Mackie Research Capital (3/25/15)
"Pan Orient Energy Corp. released the results of an independent reserve evaluation for its Thailand reserves, effective Dec. 31, 2014. . .Proven and Probable (2P) reserves of 1.2MMbbl gross. . .after-tax net present value (10% discount) of CA$33.1M. . .on Feb. 2, 2015, the company closed the sale of 50% of its interest in block L53/48 concession, which contains its Thailand reserves, for cash proceeds of $42.5M. Taking this into account, Pan Orient has estimated remaining 2P reserves of 583,000 bbl with an after-tax net present value (10%) of CA$17M or CA$0.29 per share. . .the company's stock trades below its cash value."

Bob Moriarty, 321 Gold (3/9/15)
"As of today, Pan Orient Energy Corp. has $1.37M cash, and by the end of March it will have $1.76M in working capital; for a stock selling at $1.50/share, that's like buying dollars for pennies. For any energy company right now, holding a boatload of cash is the next best thing to hitting a big hole; Pan Orient will be drilling another high potential hole in June, so investors get another swing at the ball."

Bill Newman, Mackie Research Capital (3/4/15)
"Pan Orient Energy Corp. released the results of an independent resource evaluation completed by Sproule Unconventional Ltd. of the Sawn Lake oil sand project. . .the best case contingent resource estimated net to Andora is unchanged at 214 MMbbl, 154 MMbbl net to the company's 71.8% ownership in Andora. . .we maintain our Buy and $4 target."

Bill Newman, Mackie Research Capital (3/3/15)
"Pan Orient Energy Corp. holds an operated 50% interest in Thailand Concession L53. Today, the company announced that the L53-ANC1 exploration well, targeting the North Central prospect, failed to encounter commercial hydrocarbons and has been plugged and abandoned. . .although the first exploration well on the L53 block was not successful, the lands hold significant resource upside and Pan Orient will continue its low-cost, multi-well drill program. . .we maintain our Buy recommendation on Pan Orient's strong financial position and high-impact exploration potential."

More Expert Comments

Experts Commenting on This Company

Leslie Haines – Oil and Gas Investor
Mark Heim – Jennings Capital
Chen Lin What Is Chen Buying? What Is Chen Selling?
Ken Lin, Analyst – Paradigm Capital
Bob Moriarty, Author 321 Gold
Bill Newman, Senior Analyst, Energy – Mackie Research Capital
Porter Stansberry, Pres & CEO – Stansberry Research
Jay Taylor, Author Gold, Energy & Tech Stocks

The information provided above is from analysts, newsletters and other contributors. Please contact the company and visit its website before making an investment decision.
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