Insider roundup: Execs buying in the oilpatch (RRX, TOT, ERD, FCU)

POSTED ON January 12, 2016 BY James Kwantes
CATEGORY Stories,

CEO Neil Roszell sold Wild Stream Exploration to Crescent Point Energy and spun out Raging River Exploration, where insiders have been buying recently. Calgary Herald photo

These are treacherous times for public market companies and nowhere more so than in the hard-hit energy space. Oil prices have fallen through the floor, with both Brent crude and WTI trading around US$31 - levels last seen in 2003.

With the Saudi and American taps still on, and Iran's oil production coming onstream, many expect bargain barrels to be around for some time, perhaps years.

It's a tricky time to be looking for bargains, falling knives and all, so it was interesting to see some insider buying in the oilpatch overnight.

Raging River Exploration (RRX-T) director David Pearce bought 10,000 RRX shares at $7.55. He's been a steady buyer this year, purchasing a total of $50,000 shares at prices between $7.55 and $8.32.

The stock has actually managed to eke out a 14% return in the past year amid the oil price plunge.

Raging River Exploration is focused on the Viking play north of Kindersley, Saskatchewan. It was spun out after Crescent Point Energy's acquisition of Wild Stream Exploration. Raging River CEO Neil Roszell - who has sold companies to True Energy and Crescent Point Energy, twice - was named Saskatchewan Oilman of the Year in 2015.

Insiders have also been active at oilpatch services company Total Energy Services (TOT-T), where shares have taken a recent tumble but are flat over the past year.

President and CEO Daniel Halyk bought 8,000 shares between $12.24 and $12.35.

In September Total dropped a takeover bid for Strad Energy Services (SDY-T), blaming Strad's "inordinately long" poison-pill period (120 days).

On the gold front, Erdene Resource Development (ERD-V) vice-president and CFO Ken MacDonald has been buying shares as the company advances its projects in Mongolia.

MacDonald purchased a total of 50,000 shares at 15 cents between Jan. 7 and Jan. 11. Erdene is advancing the Altan Nar deposit and its Bayan Khundii high-grade gold discovery that was made last year.

In the Athabasca Basin, Fission Uranium (FCU-T) CEO Dev Randhawa was buying shares on a day Fission closed a private-placement financing and offtake deal with a Chinese company.

Randhawa purchased 26,000 shares at 73 cents, taking his stake to 4,044,704 shares. Director Jeremy Ross also bought 5,000 shares at 73 cents.

CGN Mining paid $82.2 million (at 85 cents) to take a 19.9% stake in Fission Uranium and also agreed to purchase a minimum of 20% of eventual uranium production from Fission's Patterson Lake South project.

Track the insiders daily using the Insiders tab at the CEO.CA Terminal. Erdene Resource Development is a CEO.CA client. This is not investment advice and all investors should do their own research and due diligence.

James Kwantes

James Kwantes is an editor and mining reporter from Vancouver, Canada. He spent the last decade with Vancouver Sun, covering investing, mining and other business topics. James is the founder of the World of Mining blog and is the editor of Resource Opportunities, a subscriber supported investment newsletter covering compelling early stage mining companies. More →

Twitter: @https://twitter.com/jameskwantes

worldofmining@gmail.com

James Kwantes

Twitter: @https://twitter.com/jameskwantes

worldofmining@gmail.com

Disclaimer:

Readers are advised that the material contained herein is solely for information purposes. Readers are encouraged to conduct their own research and due diligence, and/or obtain professional advice. Nothing contained herein constitutes a representation by the publisher, nor a solicitation for the purchase or sale of securities. The information contained herein is based on sources which the publisher believes to be reliable, but is not guaranteed to be accurate, and does not purport to be a complete statement or summary of the available data. Any opinions expressed are subject to change without notice. The owner, editor, writer and publisher and their associates are not responsible for errors or omissions. They may from time to time have a position in the securities of the companies mentioned herein, and may change their positions without notice. (Any significant positions will be disclosed explicitly. This article is not intended to meet your specific individual investment needs and it is not tailored to your personal financial situation. Nothing contained herein constitutes, is intended, or deemed to be — either implied or otherwise — investment advice. Thomas Humphreys, Pacific Website Company Inc., and other entities in which he has an interest, employees, officers, family, and associates may from time to time have positions in the securities or commodities covered in these publications or web site. We reserve the right to buy and sell such securities or commodities without notice to readers. While the information herein is believed to be accurate and reliable it is not guaranteed or implied to be so. The information herein may not be complete or correct; it is provided in good faith but without any legal responsibility or obligation to provide future updates. Neither Thomas Humphreys, nor anyone else, accepts any responsibility, or assumes any liability, whatsoever, for any direct, indirect or consequential loss arising from the use of the information in these publications or web site.

Forward-Looking Statements: This article may include certain "forward-looking information" within the meaning of Canadian securities legislation. Forward-looking statements include predictions, projections and forecasts and are often, but not always, identified by the use of words such as "seek", "anticipate", "believe", "plan", "estimate", "forecast", "expect", "potential", "project", "target", "schedule", budget" and "intend" and statements that an event or result "may", "will", "should", "could" or "might" occur or be achieved and other similar expressions and includes the negatives thereof. All statements other than statements of historical fact included in this release, including, without limitation, statements regarding the potential of the Company's properties are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Forward-looking statements are based on a number of material factors and assumptions. Important factors that could cause actual results to differ materially from Company's expectations include actual exploration results, changes in project parameters as plans continue to be refined, future metal prices, availability of capital and financing on acceptable terms, general economic, market or business conditions, uninsured risks, regulatory changes, delays or inability to receive required approvals, and other exploration or other risks detailed herein and from time to time in the filings made by the Company with securities regulators. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ from those described in forward-looking statements, there may be other factors that cause such actions, events or results to differ materially from those anticipated. There can be no assurance that forward-looking statements will prove to be accurate and accordingly readers are cautioned not to place undue reliance on forward-looking statements which speak only as of the date of this article. The Company disclaims any intention or obligation, except to the extent required by law, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Always do your own due diligence. We seek safe harbor.