Oilprice.com recently ran a story on oil plays for the (hypothetical?) rebound in oil prices. https://oilprice.com/Energy/Energy-General/Two-Ways-To-Win-Big-On-The-Oil-Price-Rebound.html
I like the site and do follow it not just for oil pricing but for lots of other stories dealing with energy problems. ANYWAY, in the story in question under the #2 heading “The Ultimate Discovery Play: Recon Energy Africa (TSX.V: RECO, OTCMKTS:RECAF)” a Canadian oil junior Reconnaince Energy / ReconAfrica https://reconafrica.com/ is briefly profiled along with some tantalizing details of an African oil discovery in the Kavango Basin in Namibia and Botswana.
“The Kavango Basin isn’t just one of the last likely onshore oil discovery patches in the world. It’s not just a basin that’s bigger geographically than Eagle Ford and could be the best contender for a repeat of the American shale boom… This small $50M market cap company has managed to do what is normally impossible for a company of this size: It has secured an entire sedimentary basin with an estimated 18.2 billion barrels of oil in place… It’s the junior play with big play characteristics… Under several long-term petroleum licenses, ReconAfrica has now acquired all the rights over the entire Kavango basin In Northeastern Namibia and Northwestern Botswana. That’s over 8.75 million acres as deep as the Permian and as wide as the Eagle Ford…”
RECON.V / RECAF trades on the Canadian and American exchanges for around $.75 USD. According to a chart accompanying the article, attributed to Dolmen Broker, Bloomberg and Reuters, an investor today would be able to buy into the Kavango Basin at < $10 USD an acre, this with a potential developed value of $20,000 USD an acre. I am not going to regurgitate the entire story right here. Go and read it yourselves, then let's start to sort this one out. Penny stock, with all the usual baggage that carries. Seemingly very good people associated with the project. Listed along with other respectable juniors on the Canadian exchanges... Problem is there is little information other than Oilprice and ReconAfrica's website and virtually no independent analysis. It is getting some attention on InvestorsHub, for what that's worth. So this could be really good or a total bust, but it is at least very interesting and there are many many questions at this point. Thoughts?
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