geezer, of course no one can advise you at this distance, and certainly not me. (Among other things, I still have some scraps of DROOD, though I bailed on most awhile back.) I don't have a handle on what the new reserves actually mean for Durban, and I hold only because the new mgt must be due to issue some guidance, and I'd like to give them a chance. The PR they have released has been thin to date tho. Reverse splits never seem to prosper. It's not a good sign IMO that they did it w/o any guidance to give it a context and cushion bruised morale.
*If* you bail, you might consider some of the portfolio choices that northbeach has shared on the investor village CWEI board. He's cautious and prudent - and his choices bring about 10% divs. (He's into canroys + miners mostly, and gave an update on Sunday.) The energy picks I'd favor might be PBEGF, ATPG, CRK, BEXP, EPEX, and TGA. For BEXP, eg, the shares are currently trading for just over 2X 2007 CFPS. If their Mowry or Bakken Shale plays work out, that will make for considerable upside. Prod is going up, they have good fields, and their hedges (1/2 prod) should protect against a natgas slump. I'm long all of these E&Ps but CRK, and I'd be happy to add that if I could (your DD would tell you why), I'm favoring the oilers because I think there's a winter crunch coming in crude.
But there are also attractive miners out there too. Maybe hubris would suggest some favorites: we've discussed (and are both holding) a passel of promising ones. Sooner or later AUY, GSS, CDE, CMNZF, OZN, etc etc will be catching a strong updraft, though gold has been bucking a headwind of govt fiat resistance intermittently all along. But the future is up, IMO. Good luck.. |
