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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: E_K_S who wrote (40792)	12/23/2010 3:37:52 PM
From: Paul Senior	Respond to of 78497

PVA. I passed on PVA because I'm not interested in its coal or northeast US gas operations/land. I couldn't figure how to estimate the values or envision them. I own several others mentioned in the article though. Got scared out of CXPO at a loss :>( I like HES, may add there although the stock's a little pricey now. Right now, I have an open order for more ROSE. While I also have trouble figuring the value of this one, I figure with its three different oil shale holdings, I've got a better shot at something good happening. But who knows.

To: E_K_S who wrote (40792)	1/10/2011 1:40:13 PM
From: E_K_S	Read Replies (2) \| Respond to of 78497

Re: Penn Virginia Corp. (PVA) xml.10kwizard.com It looks like BlackRock Inc, increased their holding in this one from 4.96% to 15.96% based on their Form 13G filed today. This is one I have on my watch list but would like to buy shares below $16.00/share. Nice to see that BlackRock Inc. finds value in the company. PVA has 51,000 net acres in the Marcellus Shale region, and just started up a horizontal drilling program. Consol Energy (NYSE:CNX) has a huge position of 750,000 net acres exposed to the Marcellus Shale and plans a major ramp in development over the next five years. Disclosure: I own CNX and am looking to add PVA on any pull back. EKS

To: E_K_S who wrote (40792)	1/28/2011 2:47:22 PM
From: E_K_S	Read Replies (1) \| Respond to of 78497

Re: Penn Virginia Corp. (PVA) Started a position in PVA. Looking to eventually write some covered calls to supplement the 1.3% quarterly dividend. PVA has a BV of $22.00/share, 1 years Gross profit covers their LT debt so their large LT debt is quite manageable out of the income they generate from the operating companies they own and/or control, there has been recent large insider buys from Black Rock, and they recently have completed four producing wells located in the Hansville Shale area. November 17, 2010 Penn Virginia Corporation - Haynesville Shale Update - Q3 2010 shale.typepad.com Penn Virginia Corporation (PVA) reported the completion of four gross wells into the Haynesville Shale during the third quarter of 2010. These wells had initial production rates ranging from 5.3 million to 8.7 million cubic feet equivalent per day. Although Penn Virginia Corporation is encouraged by the results of its development program here, the company has decided to defer further drilling until natural gas prices recover sufficiently to provide better returns to the company. ---------------------------------------------------------------------- The company is well diversified with three operating segments: Oil and Gas, Coal and Natural Resource Management, and Natural Gas Midstream. They have a lot of land that they have owned for decades. They manage timber (above ground assets), oil & NG mineral rights (below ground assets) and NG gathering assets (pipe line and processing facilities. I really like their Midstream business that throws off a lot of cash flow. This segment should benefit from the increased NG production in the area that they service. From their annual report: "...The Natural Gas Midstream segment provides natural gas processing, gathering, and other related services. As of December 31, 2009, it owned and operated 6 natural gas processing facilities; and approximately 4,118 miles of natural gas gathering pipelines in Oklahoma and Texas. The company was founded in 1882 and is headquartered in Radnor, Pennsylvania with additional offices in Oklahoma, Tennessee, Texas, and West Virginia...." Penn Virginia are three interrelated Radnor, Pennsylvania-based companies that trade separately on the New York Stock Exchange and control 916.4 Bcfe of oil and gas deposits, 827 tons of coal [1] and have 400 million cubic feet per day (MMcfd) midstream oil and natural gas pipeline and processing operations.[2] The original company was split into three separate companies in 2006. PVA kept large equity interests in BOTH PVG & PVR. finance.yahoo.com * Penn Virginia Corporation (NYSE: PVA) (owns natural gas and oil and has large ownership interest in the other two companies) * Penn Virginia GP Holdings, L.P. (NYSE: PVG) (controlled by Penn-Virginia Corporation and is the largest shareholder of Penn Virginia Resources) * Penn Virginia Resources (NYSE: PVR) (controls the coal and pipeline operations) Therefore, you get controlling interests in PVG & PVR that include many undervalued domestic natural resource assets. I am looking for PVA to trade back to it's 2007-2008 trading range of $45.00-$65.00 price level. EKS

To: E_K_S who wrote (40792)	2/24/2011 11:06:07 AM
From: E_K_S	Read Replies (2) \| Respond to of 78497

Re: Penn Virginia Corporation Commo(NYSE: PVA ) Penn Virginia Corporation Announces Initial Drilling Success and Leasehold Acquisition in the Eagle Ford Shale First Eagle Ford Well Has Initial Production Rate of 1,250 BOE Per Day finance.yahoo.com From the Pritchard report: PVA – First Eagle Ford well a winner Gonzales County well IPd at 1,250 Boe/d (88% oil) Q4 production 13.1 Bcfe beat our 12.8 Bcfe forecast Adj. CFPS $0.73 beat our $0.67 but below consensus of $0.76 PVA secures more Eagle-Ford acreage: From the article above:"...PVA also announced that it has acquired approximately 4,100 additional net Eagle Ford Shale acres in Gonzales County, Texas for $14.5 million in cash. We expect that our partner in our initial Eagle Ford Shale acquisition will purchase up to a one-sixth working interest, or approximately 700 net acres, in the newly acquired acreage. The acquisition brings our net Eagle Ford Shale acreage, all believed to be in the volatile oil window, to approximately 10,900 net acres..." ----------------------------------------------------------------------- PVA is a holding I continue to accumulate. finance.yahoo.com They are still considered a small Cap with an EV of $1 Billion. They show a BV of $22.08/share, 25% below the current market price. The company has acquired Eagle-Ford acreage at an average cost of $4,000/acre well below recent sales in the area (eg. CNOOC). The company also owns a partnership interest in midstream & NG gathering operations in Oklahoma and Texas (ie. PVG). This asset allows them to collect a steady growing income stream which they use to pay shareholders a nice dividend. This company fits my conservative "value" model for an E&P company w/o the risk of a micro cap and/or small cap start-up. Also, no foreign political risk as all of their holdings and development are in the U.S.. My initial fair value target is $38.00/share - $48.00/share. A lot depends on future price of Oil, NG & Coal and their success in their new well development. This is a company that has been around since 1882 and owns a lot of land assets (including lumber & mineral rights) at a very low cost which is not reflected at market prices in their balance sheet. EKS