News

April 14, 2009

Broker Seymour Pierce Is Upbeat About Resaca Exploitation’s Reserves and Value Despite The Company’s Deferral of the Next Phase In Its Work Programme

As its name suggests Houston-based Resaca Exploitation, which listed on London’s AIM in July 2008 is at pains to explain its emphasis is on exploiting known hydrocarbon deposits in a low risk way rather than going for high cost exploration.

Following a well flagged deferral of the next phase of the work programme (in anticipation of materially lower costs and higher commodity prices) Resaca has produced some interim results and broker Seymour Pierce has come up with a re-evaluation of the group.

Resaca has interests in eight fields in the Permian Basin of West Texas and New Mexico. This is one of the largest and most prolific oil and gas producing basins in the US, having produced over 24 billion barrels of oil since...