Wednesday, October 8, 2025

Latest

NG Energy: Beacon Reiterates C$2.80 Price Target

On October 7, NG Energy’s (TSXV: GASX) announced that they secured a $7 million, non-brokered private placement. The company will sell 7 million units at C$1 per unit. Each unit consists of 1 share and 1 warrant that can be exchanged for 1 additional share at a price of C$1.20 for 24 months.

The company says the use of proceeds will help fast track the companies exploration at SINU-9 by funding upfront infrastructure buildout of roads and pads.

Off the back of the news, Beacon Securities reiterated their C$2.80 price target and buy rating, saying, “The injection of equity capital at this time allows GASX to expedite activities in Colombia and de-risks the financing question.” They say that the dilution this equity issuance did is offset by the lower risk the company now has.

Beacon says that the financing will enable the company to develop drilling pads and roads “concurrently rather than consecutively,” at a price tag of $0.75 million per pad, enabling the firm to save several weeks in construction per well at Sinu-9. With four wells planned at the Sinu-9 block currently, Beacon anticipates 15-20 mmcf/d gross from each of the four wells, with one located at Hechizo notably having the potential for even more.

Drilling at Magico-1X, the first well to be drilled at Sinu-9, is anticipated to begin in the next few weeks.

Additionally, the company said they will install a submersible pump system to deal with the downhole water at Istanbul-1, “This should allow initial production of 4 mmcf/d from this well to begin by initially trucking the natural gas to one end user at US$5/mcf net,” says Beacon.

Finally, Beacon comments that “production from the Maria Conchita Block should be pipeline connected in the next 6-8 weeks as GASX is dealing with final environmental approvals,” with Beacon expecting the Istanbul-1 and Aruchara-1 wells on the block to produce 15-20 mmcf/d on a gross basis.


FULL DISCLOSURE: Canacom Group, the parent company of The Deep Dive has been compensated to provide coverage on this company. The company has been compensated to cover this story on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security.

Video Articles

Fortune Bay: The Potential Billion Dollar Project

Japan Gold Enters New Chapter as Barrick Alliance Concludes – John Proust

Barrick Mining’s “Company Defining [Gold] Discovery”

Recommended

Nord Precious Metals Produces High Grade Silver Concentrate From Tailings

ESGold Secures $9 Million In Non-Dilutive Funding From Ocean Partners

Related News

Equinox Gold Sees BMO Lower Price Target To $11.50

At the end of January, Equinox Gold Corp. (TSX: EQX) announced its 2022 production guidance....

Thursday, February 10, 2022, 06:04:00 PM

MediPharm Labs: Canaccord Resumes Coverage, Issues $2.25 Price Target

As a follow up to the earlier covered resumption of coverage by Canaccord Genuity on...

Monday, July 6, 2020, 04:53:00 PM

Yamana Gold: Stifel, Canaccord Issue Flash Update Following Preliminary Results

This morning Canaccord Genuity and Stifel GMP released a flash update on Yamana Gold (TSX:...

Thursday, October 8, 2020, 01:13:00 PM

Tyson Foods Sees BMO Lower Price Target On Underlying Fundamental Market Issues

This week BMO Capital Markets’ elected to cut both their 12-month price target and as...

Saturday, March 19, 2022, 03:11:00 PM

Columbia Care: Canaccord Reiterates Top Pick Following Green Leaf Medical Acquisition

Last Friday, Columbia Care Inc. (CSE: CCHW) closed their acquisition of Green Leaf Medical which...

Friday, June 18, 2021, 01:30:00 PM