Stock Picks: Emerge Oil and Gas (TSE:EME)

Emerge Oil & Gas Inc. is a Calgary based, publicly traded Junior Oil and Gas Company on the Toronto Stock Exchange (TSX), operating in 2 two core areas. Total field estimated production is comprised of 4,400 boe/d heavy oil in the Lloydminster area of West-Central Saskatchewan and East-Central Alberta, 700 boe/d of light/medium oil in the Battlebend area of East-Central Alberta and 100 boe/d equivalent of Shallow and Solution Gas from both areas.

This company is another new comer to the TSX. I am currently holding 1000 shares at an average price of 3.51. This stock dropped under 3$ a share and I was helpless when it came to buying more of course!

Quick Facts (updated for Q1 2010):

Production: ~5200 boed, 98% Oil

FY2010 Guidance of 7500 boed

O/S: 89.5 million FD (management ownership 13.4%)

Debt: 19 million

55 wells drill program with 14-16 planned for Q2.

EME is essentially a heavy oil producer with lots of drilling inventory and a big economic pool. They are targeting 50% production growth by the end of the year. They have a contiguous asset base in the Lloydminster area that has little exploration risk.

Over the long term this company will do very well especially if oil prices recover after this storm we are in passes.


I own 1000 shares of EME. I was not paid any fees to feature this stock. I am just sharing my research. Please do your own due diligence before buying or selling any security.