This firm is undervalued, has a near-producing oil asset in Alberta with large resource potential and upside, and is pursuing an opportunity to expand in Thailand, noted Research Capital Corp., which initiated coverage on it.
Tenaz Energy Corp. reported it was unsuccessful in obtaining the number of votes needed from SDX Energy Plc.'s shareholders to acquire the company. The firm continues to search for other oil and gas assets to acquire in North Africa and the Middle East that are congruent with its high free cash flow generation strategy. Research Capital Corp. advised in a research note that it is maintaining its Speculative Buy rating and CA$5.00 Target Price on the company.
"The market is pricing in very little for the new company, and given our expectations for continued strong oil prices, we believe this is a buying opportunity," noted a Research Capital Corp. report regarding Pan Orient Energy Corp.