Quant Research Group
April 14, 2018 01:15 EST
Supplementary update 10/19/18: Current (as of this morning) management of
the subject Company of the report below (SPK) issued a SEDAR release on October
16, 2018, three days prior to its forced-mandatory-late AGM. In-short, the
release stated management of SPK had purposely contacted the wrong entity, an
unrelated entity that neither maintains or discloses its operation as either a
formal S Corporation (must use a suffix of Incorporated, Corporation, or Limited
or an abbreviation of one of those ending in a period in NY) or an LLC. The
contact information on QuantResearch.net was not communicated with by SPK, it
was in our opinion deceitful of the management of SPK to engage the wrong entity
in discussion under false pretences. “QuantResearch.net – Quant Research Group”
uses a Delaware whois registry with Proxy services at its registry, a distinctly
different NY forwarding service for admin contact and marketing purposes, and is
not the entity management of SPK erroneously contacted. Intellectual property
rights for “Quant Research” is not proprietary in a trademark sense and it is
disingenuous for management of SPK to source out an unrelated party, and
disingenuous to have not have contacted us directly as per our contact
information which has not changed.
Ad hominem attacks aside, conspicuous from SPK’s release is any reference or critique of the subject matter; we stand by our research. The revealed technical report which was the catalyst for this QuantResearch.net coverage report appears sound and should be the focus of attention.
Market Advisory - Coverage initiated: Sunset Pacific Petroleum Ltd. (TSX-V: SPK) - Near-term share price target: C$1/share
Shares Issued 73,936,936, Market cap $3,327,000 trading at $0.045
Based on new understanding of the opportunity (the full potential, as understood by Dr. Gharbi, ex Royal Dutch Shell plc Technical Manager), of which was not previously in the public realm, we have initiated coverage. A technical overview of Sunset Pacific Petroleum's Ben Khedechef (A.K.A. Beni Khedache, and formerly known as El Hamra) 3,972 km2 onshore block in Central Tunisia, working under an updated fault model, reveals the block is in fact now considered among one of the most coveted blocks in Tunisia with a mean reserve potential of >1 Billion Barrels Oil in place (source: page 5 of attached technical overview), and significantly more according to the model, to be proven up with exploration, along the production trends "Triassic Play: In addition to 5 billion BOE Hassi Berkine type TAGI (braided fluvial channels sourcing from SE Algeria). The Beni Khedache block has potential in reservoirs equivalent to the Northern Ghadames "TAGI" which contains 25 billion BOE in several Algerian fields."
We know interest is high in Sunset Pacific Petroleum's Ben Khedechef bock as it is immediately proximal Mazariane Energy's ordovician discovery well of 4,300 bopd, 13.4 million standard cubic feet per day gas, which prompted the Carlyle Group to invest $US500 million.
Since the awarding of the Ben Khedechef block to Sunset Pacific Petroleum Ltd. the Company has essentially gone dark; no website. bare minimal filings, and minimally nurturing old prospects (letting others do the heavy lifting). There also appears to have been an attempt to scrub the history of the Company's digital presence. Additionally, our research has uncovered previous attempts by inquisitive entities asking about the alleged existence of a technical report by Shell on Sunset Pacific's Ben Khedechef bock, however the Company's answer was to deny there was, and they were 'technically' correct as the report was in fact by "ex"-Shell geologist Dr. Gharbi -- not Shell itself. A copy of the report has come into our possession (see http://quantresearch.net/SPKcorporateANDtechnicalJuly24-2016.pdf ) -- and by default we have made it public. Readers are cautioned that NI standards for reports prohibit the reliance on information unless it is filed by the Company in accordance with rules. Shareholders might want to press the Company for comment.
There appears reason for investors to at least add TSK-V:SPK to their watch list and consider a long position here. For existing shareholders, in light of the analysis in the technical report, it makes no sense for shares of TSX-V:SPK to be offered out on the ask under 50 cents, and once news of exploration on the claim begins the stock could climb nearer $2/share. The stock could easily trade well over $1/share on speculation in the interim.
Sunset Pacific Petroleum Ltd. is a natural resource company incorporated in 1981 and since 2005 has been engaged in the exploration ,development and production of oil and natural gas. A review of most recent MD&A on SEDAR filings (SEDAR URL here) shows the Company having disclosed its 'Business Description' is as follows:
The 'Proposed Transaction' section of the MD&A is as follows:
Chief Market Strategist
Quant Research Group - QuantResearch.net
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