Lots or orders on BNX through Alpha and regular level 2

Regular Level 2

IMHO, I see this back to the 6cents Very soon... before going up, I would sell. Please do your DD...

Level 2 Quote

Level 2 still strong.

Alpha hidden order

Quote:

Originally Posted by airbender 

IMHO, I see this back to the 6cents Very soon... before going up, I would sell. Please do your DD...

why do you think it will dip to 6 cents?

I am going to roll the dice the risk reward looks extremely extremely EXTRA-CREAMELY good IMHO. News going to be out anytime soon... thedude4599...thnx. for all the info. you have posted...saves alot of work for the rest...

Cannacord has been playing games all week. Putting in a whack of small sell orders, and then dumping them at market end of the day. Without Cannacord selling this week, there would have been way less volume. Cannacord had 3 sell orders this morning, 40k at 9c, 30k at 9.5 and 30k at 10c, now 30k got sold at 8.5 and the other orders moved down to 9c. This is unessecary resistance that will be gone shortly and BNX will have a nice run.

Here are some highlights from BNX's MD&A/Annual information that was just released.

Looks like there was a reason for Mr.Doody buying shares over the last 15 months. Now it makes sense why he owns w 20% stake(8 million shares once B shares are converted). His expertise will be used to get the infrastructure in place for Jensen and get it into production. Insiders wouldn't of still been buying shares if there wasn't potential to get the wells going. Besides Doody, the other insiders hold a fair sized position, over 50% of the O/S. 

From Annual:

On April 25, 2011, Mr. James Evans Doody accepted a directorship. Mr. Doody is a Professional Engineer with 27 years oil and gas experience. Mr. Doody specializes in facility design including the oil gathering centers, effluent water treatment, water disposal, booster stations and pressure maintenance projects. Mr. Doody has worked on both national and international assignments including projects with transCanada pipelines, Imperial oil, Suncor, Marathon Oil, CNRL Horizon, Technip - Rome, Italy, Verba Oil - Tripoli, Libya, Kuwait Oil Company and ExxonMobil.

James Evans Doody

Mr. Doody is a director of BNP effective April 25, 2011. Mr. Doody is a Professional Engineer registered with APEGGA (Alberta) and APEGNL (Newfoundland). Mr. Doody’s experience specializes in facility design and includes oil gathering centers, effluent water treatment, water disposal, booster stations and pressure maintenance projects. Mr. Doody has 27 years oil and gas experience and has worked on assignments nationally and internationally including projects for transCanada pipelines, Imperial Oil, Suncor, Marathon Oil, CNRL Horizon, Technip – Rome, Italy, Verba Oil – Tripoli, Libya, Kuwait Oil Company and ExxonMobil.

Mr. Doody has previously held a 10% share position in Seventh Energy Class B shares, until Seventh Energy was taken over by Primewest in 2004. Mr. Doody also held a 19.3% interest in Humpty’s Restaurants International prior to the sale of the company on September 30, 2009. Mr. Doody currently holds 5,530,000 Class A shares and 237,400 Class B shares of BNP Resources Inc.

On April 21, 2011, the TSX-V Exchange approved an amendment to the first closing of the private placement to accept a further placement of 500,000 Class A shares at $0.06 per share to James Doody. The gross proceeds for the first closing totals $127,500.00

An average 2010 daily production rate of approximately 10 BOEP/D.

Exited 2010 without any bank debt.

Petroleum and Natural Gas Properties: $21,221,952

A further Jensen area update was also announced. Industry operations are being carried out on four new horizontal wells in the immediate Jensen proximity. Three of the four wells are targeting the Upper Madison (Mississippian) zone, the same zone as the BNP Jensen pool. The fourth horizontal well is believed to be targeting the Bakken/Exshaw zone. BNP will be following the outcome of these wells with great interest.

The Corporation’s principal oil and gas properties are located in the Southern Alberta, South-Central Alberta and the Peace River Arch.

As of the end of the first quarter of 2011 BNP held 6,722 gross acres of land (2,881 developed, 3,841 undeveloped) and 5,826 net acres of land (2,561 developed, 3,265 undeveloped). As a part of the 6,722 gross acres, BNP holds 1,920 gross acres in Northwestern Alberta, 640 gross acres in Central Alberta, 2081 gross acres in South Central Alberta, 1441 acres in Southern Alberta and 640 acres in Saskatchewan.

Received its 2010 Reserve Report from its independent Reservoir Engineering firm, Insite Petroleum Consultants Ltd., formerly Paddock Lindstrom & Associates of which are:

oA net present value of estimated future net revenue before tax, at BNP’s risk free rate of 5%, from proved plus probable reserves is $1.662 million compared to $1.873 million as at the end of December 2009. The decline in value is directly attributed to production performance, high operating costs and a decline in commodity prices.

oGross proved reserves of 46,900 BOE as of December 31, 2010 compared to 50,000 BOE as of December 31, 2009

Properties with No Attributed Reserves

Jensen - 1121

Stanmore/Sunnynook(Alberta) - 960

Northwest Alberta - 1120

Saskatchewan - 640

Looking at BNX over the past three years, this is what I have concluded about the company, its assets and directors.

Mr.Bilcox has been able to keep the company afloat over the past three years without diluting the stock or selling any assets. Because of the uncertainty due to the recession and rise/plunge in oil prices, lots of BNX’s projects were put on hold until things became more stable. As well, lots of financing that was there for the company in 2008 disappeared, meaning that even with great properties and projects in place, the company needed to wait for a proper deal to occur. BNX could of done two financings deals already, one with L1 capital corp in 2009 and another with a private New York private fund in 2010, but the company doesn’t want to give away the house for nothing. I feel that management has done a great job holding everything in place until the time is right to get things started again, which I feel is very soon.

BNX’s newest director and longterm shareholder Mr.Doody is a fantastic asset to the company and someone that has done a proper due diligence of BNP Resources. Since December 2009 until now, Mr.Doody has accumulated just under 20% of the entire company share structure, and the question is why? Well looking at the recent news, his resume says it all. Being an Engineer that specializes in water disposal, as well as oil and gas infrastructure for over 27 years, he understands the situation at Jensen better than most people involved in the project. Mr.Doody has spent the last two years doing his own research on BNX and sees great potential in the property, which is why he has joined the team. He has worked with much larger companies like Exxon, Suncor, etc, and those projects required much more time, money and effort, so I think he sees Jensen as an easy project with a large payoff.

Right now the company needs funding more than anything, and being that BNX has no bank debt or line of credit, they should be able to get a major financing going here. Their share structure is low enough where they could do a major private placement, as well as apply for a line of equity, and they are also capable of jv’s on any of their properties, or a combination of all of those options. Because BNX has such a diverse portfolio, it is also possible that they could sell one of their assets, in order to get funding going for another project. I see many possibilities for how the company can get funding started. All of BNX’s projects are based in very prolific areas (Peace River Arch, South Saskatchewan, Southern/Central Alberta). This is much better than having land based is just one area, because multiple opportunities/JV partners can be achieved from this.

Overall, I see BNX as a strong buy still and the company will soon break out of its 3 year low trending chart and start to move to higher ground. There are already several wells sites ready to be drilled based on all their properties. Once infrastructure is in place at Jensen, new wells can easily be tied in. The key to Jensen is not the flow rates, but the reserve life. It’s better to have several wells pumping at slower rates with a large oil reserve, compared to one or two wells with high flow rates and smaller reserves.

Great work on all the DD theDUDE! This is a very interesting company, your last post was a great summary of what they have going on, and I have done some research on my own for the past couple hours this morning and I am quite surprised that they were able to hold onto all of their properties over the past 3 years.. great work on their part by staying afloat... When did you gain position on this stock?

Thanks again for all the DD

Quote:

Originally Posted by TheBoomShow 

Great work on all the DD theDUDE! This is a very interesting company, your last post was a great summary of what they have going on, and I have done some research on my own for the past couple hours this morning and I am quite surprised that they were able to hold onto all of their properties over the past 3 years.. great work on their part by staying afloat... When did you gain position on this stock?

 

Thanks again for all the DD

Thanks BoomShow. I started buying shares in March, and I still got some bids in just incase someone wants to sell me some more cheapie share hehe. I figure by years end, once BNX gets the Jensen wells online + drilling their new Alberta/Saskatchewan targets, we could be in the 40-50 cent range quite easily. 

I will hopefully be adding this into my portfolio this week, do you see this taking a jump in the next 15-30 days? I am wondering how long the window will be before this stock starts to jump. From what I have read over the past few days, I think mid summer before it starts to make any serious gains, is this in your thought process as well?

Quote:

Originally Posted by TheBoomShow 

I will hopefully be adding this into my portfolio this week, do you see this taking a jump in the next 15-30 days? I am wondering how long the window will be before this stock starts to jump. From what I have read over the past few days, I think mid summer before it starts to make any serious gains, is this in your thought process as well?

I think BNX will have a gradual climb upward from now until June, and then we could see a spike. The company always releases its new presentation mid June, so any new funding/joint venture partners will be most likely announced around that time. As well, right now its spring breakup in Alberta and Saskatchewan, so lots of juniors are in the midst of planning for drilling in the summer. 

Great DUDE.. thanks again for your insight on this stock. The information about their presentation in June is very useful, and I will look to build my portfolio around that information with a nice balance.

Looking forward to a great few months with this stock. Maybe even a long term position hold.

your welcome BoomShow. I'm also looking forward to the June presentation and I think that BNX will be a great short and longterm play. By next year, all 9 Jensen wells could be producing, along with some from Saskatchewan, Peace River, and some newer ones in central and south central Alberta. 

Mr.Doody is an expert, and from his history it looks like he gets involved with most companys which shorts there after get sold to a larger one, and turns a great profit. Do you feel this could be another one of those projects for him? Its my guess that this is a 1-3 year plan max for him. Which will mean great things for us investors. The Jensen wells are very interesting to me, and I am looking forward to this years reports on them.. I cant find much information about their land holdings in Central Alberta. Do these look promising as well?

Quote:

Originally Posted by TheBoomShow 

Mr.Doody is an expert, and from his history it looks like he gets involved with most companys which shorts there after get sold to a larger one, and turns a great profit. Do you feel this could be another one of those projects for him? Its my guess that this is a 1-3 year plan max for him. Which will mean great things for us investors. The Jensen wells are very interesting to me, and I am looking forward to this years reports on them.. I cant find much information about their land holdings in Central Alberta. Do these look promising as well?

Boomshow, I think BNX is a much bigger project for Mr.Doody in terms of participation and payoff. He initially purchased at 10% stake in Seventh Energy, Humptys and also BNX, but he never joined the board on the two previous companies as they were deemed "investment purchases" as per the news releases. But with BNX, he's been accumulating since his initial position and joined the board, which shows me that he intends on making sure that his investment works out for him. He's not getting paid right now because the company isn't producing much, so his payment is probably going to be through shares and eventually selling them for a large profit. Do I think it could be a buyout target? Absolutely. All the areas that BNX is located in are hot spots for major players, and once that report comes out, we could see some JV action from some of the bigboys nextdoor. Everytime a new well that is in the same area as BNX is put into production, it adds value to the play. Currently there are lots of companies either tieing wells drilled in the winter or waiting to drill once spring breakup ends. Their central Alberta property is located somewhere east of Edmonton I think, so probably a heavy oil/nat gas play. This is the least interesting of their properties in my opinion. 

FYI, Doody's track record is between 2-3 years for payoffs to happen. He purchased shares of Seventh energy in 2001 and in 2004 it was bought out. I saw different insider buying orders, but he bought from $1 a share, all the way upto $5.50, and I think it got bought out for much more than that. Humpty's shares he purchased in 2007 and it was around 18-20c a share. Because the whole recession came, the company went from fairly decent positive quarters, to major losses, yet it got sold for 26c a share in 2009. If we use the 2-3 year range, and Doody started buying BNX in December 2009, we should see some big moves this year, the latest next year.
 

Really loving this stock, and cant read enough about it... I will be adding more equity weekly as I open up funds in my account getting ready for the presentation in June... Also putting some bids in to see if anyone will be selling off cheap as you are doing.. Don't see that happening too much though on this play. You must be living out west in Canada?

Also I hope there is a new website in there near future too! That could use an update.