Over the weekend reports emerged in the Angolan press that its national oil company, Sonangol, had finally completed the bidding process for the licences that it was selling its stakes in, and that a small AIM company, Afentra (AET), had been successful in being selected for two of these blocks. I’ve been invested in Afentra for some time – as well as having covered it positively several times here going back to the days when it was called Sterling Energy, and like many others have been patiently waiting for some news whilst the shares remained suspended. Due to the size of any transaction resulting from its bids, it will constitute a reverse takeover and the shares were suspended accordingly, and will remain so until either a prospectus is published or it terminates its bids for the Sonangol assets.

Capital Metals (CMET) has been covered in the past on ShareProphets, both positively and negatively, and, on behalf of a reader,  Tom Winnifrith asked me to take a look and give my latest thoughts on this Sri Lankan focussed miner. You see, we do read your emails.

Capricorn Energy (CNE) has seen its share price weaken since it announced a tender offer as opposed to a special dividend, which many investors had been expecting, but remains one to hold.

A real buzz seems to have returned to the oil and gas sector in recent times and with commodity prices at their strongest for several years, and that even seems to be trickling down to the lower end of the market and the explorers now with some shares on a real rip.

These days there seem to be very few AIM oil or gas companies drilling wells targeting significant resources, and even fewer where the outcome is a success.

Sometimes I look at a company and think its shares are just too cheap at the current market cap and is pretty much being priced to fail, yet in some cases there certainly doesn’t appear to be anything fundamentally wrong that suggests that to be the situation.

Touchstone Exploration (TXP) is a company that I’ve covered here several times before and which I believe has a lot of potential, and the latest drill results certainly seem to support that still being the case.

Helium One Global (HE1) seems to be yet another in a long line of natural resources exploration companies that got way ahead of itself in terms of both shareholder and management expectations, before coming crashing back to earth when actual drilling gave it a reality check.

A few weeks ago I wrote a piece here about Cairn Energy (CNE) shares being too cheap, both in terms of its producing assets and also on the basis of any resolution of its long term battle with the Indian government. Quite a bit has happened since then.

Cairn Energy (CNE) is a company that I have followed for many years, almost for as long as its ongoing saga relating to compensation from the Indian government, but it is starting to look more likely that will actually finally be settled.

When I covered Longboat Energy (LBE) last July there was much derision on social media and bulletin boards over my opinion that the company was well overvalued at the share price at that time, but it has just announced that it is raising funds at discount of around 40% to that level in order to complete an acquisition.

I’m always happy to take a look at companies at the request of ShareProphets readers, one of whom recently contacted us asking if we would have a look at Helium One Global (HE1).

Atalaya Mining (ATYM) has been a favourite of mine for a few years now, but seems to be one of those shares which you rarely see mentioned on social media and the bulletin boards. It was formerly EMED. Ring a bell?

It’s not often that I take much notice of the smallest mining companies at the lower end of AIM, but every now and again one gets my attention as being worthy of taking a look at if you want to take a bit of a punt on shares in something more speculative than the popular producers.

AIM-listed gold producer in Turkey Ariana Resources (AAU) has followed up yesterday’s big news that the corporate action to bring Ozaltin into its JV with Proccea has completed with exploration news from the Arzu North pit currently feeding its now 23.5%-owned Kiziltepe gold/silver refinery. And the news is good…….

When it comes to investing, I’ve always gone on the basis that you should always react to new information, not necessarily in terms of buying or selling, but certainly in assessing upside potential and risks – even when that emerges soon after you’ve made a decision as to whether or not a company is worthy of investment.

Mining companies often operate in parts of the world that you definitely wouldn’t consider to be safe or politically stable, but despite that many of them operate fairly smoothly and rarely have major issues when it comes to their mines.

You might have noticed that recently I have started covering a few companies in the oil and gas sector as being worthy of a long term investment, and in case you are wondering if I’m mad to be doing so given what is going on in the world, I believe that it is the right time in the cycle to start positioning again.

People often try to tell me that it isn’t possible to make money by actually investing in AIM oil and gas companies and that they are only worth trading, but I would have to disagree based on some of those that I’ve picked out over the years as having long term potential.

UK Oil & Gas (UKOG), the company (backed by British Investors, but mainly by Turkeys) has now confirmed, at least to me, that the Weald Basin rampathon has all been for nothing. Despite a desperate need for a water injection well at Horse Hill to maintain reservoir pressure and hence production rate, the company is buying unexplored acreage in Turkey with no seismic coverage.

These days I generally tend to avoid taking risks on oil exploration drills, but on occasions I still can’t resist taking a position, of a size that reflects that risk, and when the drill looks particularly interesting.

It has been some time since there has been a really big exploration drill for an AIM listed company, but that is exactly what should be coming soon for Bahamas Petroleum (BPC).

The AIM market is full of companies which have never managed to achieve anything of note despite operating for years, and often it isn’t that hard to spot when they are going to raise more funds imminently.

Just because a company has traded at much higher share price levels it doesn’t mean that it will do so again, and that is particularly true of oil companies at the moment.

The share price of Bahamas Petroleum (BPC) almost doubled following an announcement of progress on its ambitions to drill an exploration well next year, but is such a big rise really justified? Today there is a further ramptastic "technical update", world class prospect, yadda, yadda, yadda.

Taking risks on exploration drills is generally a mugs game and a good way to lose money quickly, but just very so often if you choose carefully, it can really pay off. That was definitely the case with Eco Atlantic Oil and Gas (ECO) this morning when it announced a “major oil discovery” at the Orinduik block in offshore Guyana, when the Jethro-1 drill found 55 meters of net high quality oil pay in the lower tertiary sandstones...

Private investors seem to love the boom or bust scenario that applies to many of the exploration drills for oil and gas, but is it really worth taking the risk on these types of plays?

It is always said that you let your winners run, but it has got to the stage with Anglo Asian Mining (AAZ) where I would be very tempted to take some money off the table and cash in if you followed my buy tip back in March...

Sound Energy (SOU) has proved to be a great example of why private investors shouldn’t get too far ahead of themselves and start ordering a new Ferrari, based purely on early results in any company drilling for oil and gas.

Lots of private investors talk about ‘investing’ in oil and gas exploration plays, but in most cases I would argue that ‘gambling’ is a far more suitable description and has a similar outcome, with the majority ending up losing money.

SDX Energy (SDX) seems to be one of those AIM natural resources companies that has largely been forgotten about by private investors, but it has an awful lot going on over the coming 12 months, and beyond, and if even some of what it has scheduled goes to plan, then I would expect the shares to trade a lot higher...

I’m always very wary of investing in small mining companies, as even when the management team and the assets look decent, it is still a bit of a lottery as to whether the company will actually make it to a stage where it is making a profit and returning money to shareholders via dividends.

These days I tend to avoid oil companies at the bottom end of the AIM market as usually the risks aren’t worth the rewards, and the majority of them do nothing but fleece investors over a number of years without ever achieving anything of note.

Gold has been showing signs of strength of late and moving forwards into 2019 I would definitely be looking to have some in your portfolio, with an equity position in a gold producer being the best option.

Sound energy (SOU) is a company that I’ve been negative on in the past, and justifiably so considering its recent fall from grace as one of the most popular shares amongst private investors.

Centamin (CEY) has had a bad run of form of late, but I believe that this is just a temporary blip in its fortunes and it presents a fantastic buying opportunity for the future.

AIM-listed Turkish gold miner Ariana (AAU) has this morning updated the market on exploration from Salinbas – part of the Hot Gold Corridor in Eastern Turkey. Having reaffirmed my view that this stock is a buy based on production news the other side of the country, it is pleasing to see share shares respond even if it is this morning’s news which did the trick, rather than my devilish analysis! The shares, having been 1.25p to buy, are now 1.45p to buy...

Orosur Mining (OMI) has been a big disappointment for me as it was one of the small AIM miners which I thought had a chance of actually going on to bigger things.

Andalas Energy (ADL) has undergone a change of management and has also switched its asset focus in an attempt to turn things around from the disaster it has been ever since it changed its name from CEB Resources back in late 2015.

When Bahamas Petroleum (BPC) announced a confidentiality exclusivity agreement back in May I expressed scepticism as to whether that would actually result in any sort of farm-out deal ultimately being concluded.

Oil exploration is very different to the boom we had back in 2010 in terms of the share price movements that we see for companies that are engaged in drilling.

Centamin (CEY) has taken a big hit to its share price over the past week or so and has seen getting on for £400 million wiped off of the value of the company.

Often when a smaller AIM company operating in the natural resources sector announces a placing it ends up being bad news for those currently invested, but there are also cases where the money is being sought in order to accelerate operations. Of course, the company still ultimately needs to deliver and for the work that the money is being raised for to be successful, but I would certainly rather see this than a company that is sitting around doing nothing and burning through cash whilst its directors pocket a nice salary.

There is no denying that the news released by Bahamas Petroleum (BPC) last week was positive, but in no way does it justify the £30 million increase in market cap that has occurred since then.

There is fairly limited choice when it comes to UK listed gold producers, so it is good to see another option in the form of Hummingbird Resources (HUM), which has just declared that commercial production has commenced at its Yanfolila mine.

Some positive sentiment finally seems to be returning to UK offshore oil and gas companies, and Cluff Natural Resources (CLNR) could be in a position to benefit from that. Things have been pretty dire for the North Sea focused company, and although its assets revolve around gas, which has performed badly in comparison to oil of late, any renewed interest in the area should be of benefit.

Given the rise in oil price that we’ve seen over the past week or so, and the highest levels that it has been at in quite some time, I’m a little surprised to see Savannah Petroleum (SAVP) still languishing at around the 12-month low. With a market cap of nearly £230 million it isn’t as likely to see such large movements as you get on the AIM micro caps, but it is still small enough that I would expect the higher commodity price to have had some impact, given that it produces significant amounts of oil already.

West African gold miner Avesoro Resources (ASO) hadn’t been performing as well as investors had hoped since it started production, but things finally seem to all be coming together now.

Providence Resources (PVR) was once a favourite of AIM natural resources investors and speculators back in the heyday at the start of this decade, when any company finding potentially decent amounts of oil saw its share price rocket.

Given what is going on in the markets and world in general at the moment, it would seem silly not to have gold featuring somewhere in your portfolio.

Amerisur Resources (AMER) has certainly failed to live up to the expectations of its investors and the share price has been in a downward spiral for several years now.

Generally, I’m wary of the reasons for companies which are already listed on other exchanges deciding that they want to be dual-listed on the AIM market. This is especially the case when it comes to ASX companies operating in the natural resources sector, as in general the track record for those hasn’t been great, with often very little of substance being achieved despite large sums being raised on AIM. There are exceptions though...

Cairn Energy (CNE) is one of a number of oil producers which look to be unloved by the market currently, but I would expect that to change in the future. In recent years the company has had impressive amounts of reserves on its book, but has now moved to the stage where it is producing from several of those fields, and with more to come in the near future.

Investors who believed all the hype surrounding Greatland Gold (GGP) received a nasty shock this week when the share price collapsed, but for many of us who have been around the market for a while it didn’t really come as much of a surprise.

Whenever a relatively small oil and gas company manages to raise a substantial amount of money it gets my attention, especially when you consider what the market has been like for this sector in recent times.

Gold has been very difficult to read lately, with a lot of the swings making very little sense in the context of the events that have been driving them.

As an investor who has always been a big fan of oil and gas plays in general it is difficult not to focus on that particular sector at the moment, given the recovery that we have been seeing there. Some people may argue that the move has already happened and that oil prices might not go much above the $64 level that we have hit this week, and could well finish the year a fair bit lower – certainly somewhere in the high 50s wouldn’t surprise me, although a lot will revolve around the outcome of the OPEC meeting at the end of the month. Whilst that may be the case with the commodity itself, when it comes to equities many have lagged this commodity correction, and given the share price action of some of them, you could be forgiven for thinking that oil was still down in the doldrums and completely unloved.

Back in 2010 it seemed that barely a week would go by without some tiny AIM oil explorer drilling a well that could potentially make or break the company, but these days much of that excitement seems to have disappeared.

Canadian Overseas Petroleum (COPL) is a company that I have followed for a while now and recently I have noticed it getting a fair bit of attention again – certainly as much as we’ve seen since the failed drill in Liberia back in late 2016.

The lower end of the AIM market can be surprisingly predictable at times, especially when it comes to raising funds, so it often amazes me how many private investors get caught out when such news comes. That would certainly seem to have been the case with the recent fundraising activity at Ferrum Crescent (FCR) and the events leading up to that, even if many on the bulletin boards were in denial of what was coming.

With any AIM listed natural resources company it is always interesting to look at where the company is at this point in time when compared to the accumulated losses of the business since it started.

Sometimes geographical location can be enough to put off investors, but in a lot of cases that is unjustified and means that companies operating in these areas can represent good value for money.

On the AIM market these days it seems as though many would far rather buy into the latest pump and dump on a piece of junk, than invest in a company that is actually running its business properly and making money. The problem with putting your money into junk is that at some point true value normally shines through and the resultant share price crashes can be spectacular.

When a tiny AIM company suddenly becomes popular all over Twitter and the bulletin boards, and without any real news to justify that sudden attention, then you have to question why it is happening.

Hello Share Swabbers. I’ve held Tullow Oil (TLW) shares for as long as I can remember. At one stage they were up 120%. Nowadays I’m down by 50%. Like all the other big oil producers the share price has been attacked by the falling value of Brent crude. But Tullow seems to have suffered more than most.

I recently wrote a piece HERE expressing my surprise that the share price of Ariana Resources (AAU) had failed to react positively to good news, so it probably shouldn’t have come as a surprise that a decent update on its resource actually resulted in the share price closing slightly lower.

Regular readers here will know that I am not exactly a fan of Blenheim Natural Resources (BNR), nor have I ever been despite plenty of interest from private investors in this company.

Given that the company is now producing gold, I’ve been somewhat surprised by the lacklustre response that the market has given Ariana Resources (AAU) since that news came.

Orosur Mining (OMI) certainly isn’t amongst the more popular resource stocks on AIM and trading volumes are often verging on non-existent, but I believe that many are missing an opportunity here as they go chasing rainbows with companies that are years away from production, assuming they ever actually get to that stage!

Chariot Oil and Gas (CHAR) has begun to get my attention again recently as it has plenty going on operationally during the next year or so, and could well become a popular share to be in once again.

There are times when a share continues to defy gravity for far longer than most people would expect, and that certainly looks to be the case with Mongolian oil explorer Petro Matad (MATD).

Investors in Prospex Oil and Gas (PXOG) must have been left feeling a little confused and angry yesterday when an RNS landed stating that a placing at a huge discount was taking place.

The last couple of years have been a torrid time for those holding shares in small oil and gas exploration companies in general, with very few exceptions.

The mere mention of lithium seems to be enough to send the share price soaring on many small AIM companies, until reality hits home and the almost inevitable pullback starts.

It never ceases to amaze me just how much some are prepared to risk on very high risk AIM companies where the odds are against them, and this is a sure-fire way to quickly see all of your money go up in smoke!

Provider of data, studies and services to the natural resources and energy sectors, Getech (GTC) has updated in conjunction with its AGM – and the shares have currently responded approaching 10% higher, to 35p…

Hello Share Shufflers. Though I hold quite a few mid-size oil companies, I do not have a stake in Premier Oil (PMO). Perhaps I should, though. The company has been in final stages of financing with banks and bond holders. That signals that the big lenders have faith in the company.

Shares in Canadian Overseas Petroleum (COPL) have performed brilliantly since I tipped them as a buy, but I would now be looking to bank at least some of that profit in the near future.

Gold has been showing signs of weakness but I am yet to be convinced that this is justified and I think the market has over-reacted, which means that there are some good opportunities around for gold bulls.

When it comes to smaller AIM listed gold producers, then Orosur Mining (OMI) looks to be one of the better ones around...

Petro Matad (MATD) has been one of the worst performing AIM oil companies in recent years, taking into account both its operations and share price.

KEFI Minerals (KEFI) “is pleased to announce that it has conditionally raised approximately £3.8 million (approximately US$5 million), before expenses, through the issue of 761,921,740 new ordinary shares… at a price of 0.5p per share”. Is it right to be so?

Yesterday in Part 1, I outlined the gravity of the situation facing Premier Oil’s (PMO) equity investors. In that piece, I presented my view that the purchase of E.ON’s North Sea assets was an attempt to temporarily fix a covenant breach situation, but that any profits it generates are unlikely to be material against Premier’s debt pile.

Anyone lucky enough to buy independent exploration and production company Premier Oil (PMO) around the January lows achieved a two-bagger in quick time as the shares rallied rapidly from around 20p to achieve a high of 75p last month. It is currently capitalised at £360 million ($500 million) and is a favourite on the bulletin boards. Sadly, it’s not yet clear that Premier has its house in order. There could be some serious pain yet to come.

Many private investors love a bit of a gamble on a big exploration oil drill and there is always plenty of hype surrounding them, but over the past year or so very few have taken place, certainly compared to previous years anyway.

Any of you who like to have a gamble on oil exploration drills should take a look at 88 Energy (88E). The AIM-listed oil explorer is about to kick off a drilling campaign in Alaska at its Project Icewine licence, and it is potentially one of the biggest exploration drills of the year, given the size of resource that it is targeting.

Shares in geoscience business specialising in the provision of data, studies and services to the oil, gas and mining exploration sectors, Getech (GTC) currently trade more than 13% higher today, at 64.5p, on the back of an announcement of “its largest ever single new contract, worth $5 million”. I update in the following having last month concluded, at 53p, that the shares looked to have some speculative appeal.

Buying a share that has spiked on hype is rarely a good idea, especially when the level of hype is unjustified, and that certainly applied to Antrim Energy (AEY). When the UK based company, which is listed on AIM and the TSX, announced the result of a prospective resources report of its 25% owned Skellig block offshore Ireland, you’d have been forgiven for thinking that they’d actually struck oil the way the share price spiked and from all the hype on the bulletin boards!

Borders and Southern (BOR) are the only Falkland Islands oil company to have drilled that doesn’t yet have a farm-out partner. But all that could be about to change imminently, if there is any truth in the rumours currently doing the rounds. The company itself has stated that the farm-out process has already been started, so it should be a matter of when, not if.

“A significant portion of the global exploration budget is directed at West Africa today, so Sprott is putting a lot of its focus on this area.” Andy Jackson, Chief Geologist at Sprott Global Resource Investments Ltd., helps our team hunt down opportunities in natural resources. Initially from Zimbabwe, he has extensive experience with exploration around the world, including Africa.