From Sterne Agee analyst Tim Rezvan on Gulfport Energy, a major player in Ohio's Utica shale:
Marh 12 2013
GULFPORT ENERGY CORP. (NASDAQ: GPOR) RATING: BUY
Price Target: $60.00
Analysts: Tim Rezvan, CFA
New $60 PT Reflects Updated Utica Valuation. Increasing '14 EBITDA Estimate and Cutting EPS Estimates to Reflect Taxes.
Following a strong 4Q earnings call that helped quantify the Utica Shale's resource potential, we raise our PT to $60 and increase 2014E EBITDA estimate by 7% to $714 million. Longer-term flow rates from the Wagner and Boy Scout wells show that the traditional hyperbolic decline curve for shale wells may not be applicable in the Utica, and that the 1.8 mmboe EUR reserve booking for the Wagner well could prove to be a conservative reserve estimate across the play's fairway.
Important Disclosures regarding Price Target Risks, Valuation Methodology, Regulation Analyst Certification, Investment Banking, Ratings Definitions, and potential conflicts of interest may be found by clicking on the report link below
Read the full GPOR Not
Chesapeake Energy Corp,the Oklahoma-based firm is the No. 1 driller in Ohio.
Rig Count Interactive Map by Baker Hughes, an energy services company.
Shale Sheet Fracking, a Youngstown Vindicator blog.
The Ohio Environmental Council, a statewide eco-group based in Columbus.
Earthjustice, a national eco-group.
People's Oil and Gas Collaborative-Ohio, a grass-roots group in Northeast Ohio.
Concerned Citizens of Medina County, a grass-roots group.
No Frack Ohio, a Columbus-based grass-roots group.
Fracking: Gas Drilling's Environmental Threat by ProPublica, an online journalism site.
Pipeline, blog from Pittsburgh Post-Gazette on Marcellus shale drilling.
Allegheny Front, environmental public radio for Western Pennsylvania.