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Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?

To: Dennis Roth who wrote (184988)	7/23/2014 8:03:28 AM
From: Dennis Roth	3 Recommendations Recommended By CommanderCricket evestor LoneClone Read Replies (1) \| Respond to of 206115

Oil Search Ltd (OSH.AX), European E&P Insights, China O&G Demand Monthly Oil Search Ltd (OSH.AX) PNG LNG Records First Sales, Capex Appears Under Budget 22 July 2014 ¦ 14 pages ir.citi.com PNG LNG records first sales, capex appears under budget. We think 2Q production infers average utilization of 50% from Apr-Jun, and we expect project will ramp-up to full capacity by end-CY14. We estimate a 2Q14 realized spot LNG price of US$14.4/mmBtu, equal to a LNG price slope of 13.1%, below contracted prices given sales on spot market until 4Q. Project spend to date (~US$17.6b) and capitalized interest and fees (~US$2.2b) both appear below budget. 2Q14 Revenue higher on oil inventory drawdown. Production of 3.7mmboe was 9% above Citi on slightly faster LNG ramp-up and stronger oil result. Revenue of $340m was 5% above Citi estimates given more oil sales mix. We have upgraded CY14 EPS by 14% given higher production in 2Q and lower exploration expense, and upgraded CY15/16 by ~3% given lower interest expense f/casts. Maintain Sell, TP A$8.64/shr. Dale Koenders \| James Byrne \| Vishesh Pachnanda European E&P Insights — Looking Ahead to Upcoming E&P Results 22 July 2014 ¦ 56 pages ir.citi.com We preview the upcoming results for the E&Ps. The sector has seen a disappointing start to the year and the group trades close to core NAV, discounting little/no value for potential upside from E&A activity. The companies that can demonstrate plans to more actively manage their development portfolios through asset sales/farm-outs to bring forward the value from these projects and return cash to shareholders could see a re-rating. We like Afren, Genel Energy, Ophir, Premier Oil and Africa Oil. We update our forecasts and NAVs following recent operational newsflow, as detailed in the note. We have made the following price target changes: reducing Genel Energy to 1,290p/share (from 1,360p/share) following recent disappointing exploration results in Malta and Kurdistan and Africa Oil to SEK62/share (from SEK69/share) reflecting recent exploration results in Ethiopia and Kenya and our assumption of a potential US$150m equity raise to fund 2015 E&A activity. Michael J Alsford China O&G Demand Monthly June 2014: Baby steps forward 22 July 2014 sendspace.com