Investing: Denbury / Encore

DNR: Yahoo!Financials


4Q10, earnings, triple, February 23, 2011.
3Q10, earnings, Zacks, November 8, 2010
2Q10, earnings transcript. August 5, 2010.
4Q10, conference call. February 24, 2010.
2Q, 2010, earnings, August 5, 2010.

New presentation, June, 2010.

NEWS

Investopedia: Update on DNR, May 30, 2011. 266,000 net acres under lease in North Dakota (Bakken).


Seeking Alpha on DNR, March 4, 2011.

521 wells transferred to Denbury Onshore, LLC. See Daily Activity Report, March 3, 2011.

Calculating DNR's Worth, Investopedia. February 14, 2011. 

Denbury increased its reserves by 92 percent in 2010.  February 3, 2011.

Motley Fool: Is Denbury a "Buy"?  Just one month later the fools seem to be very bullish on DNR. Not only a buy, but a bargain. January 12, 2011.

Motley Fool: Is Denbury a "Sell"? It failed four of five Motley Fool tests, but it's not a "sell". Go figure. December 11, 2010.

Investopedia: Denbury is king of tertiary recovery. November 23, 2010.

Vanguard Natural Resources LLC said it has signed an agreement to acquire the ownership interest in Encore Energy Partners LP held by Denbury Resources, Inc. The deal is valued at $380 million. After the transaction closes December 31, 2010, Vanguard will own Encore's general partner and about 21 million Encore common units, representing a 46-percent stake. November 17, 2010.

Buying EAC makes Denbury one of the largest independent oil and gas producers overnight. Originally posted November 5, 2009; link added November 17, 2009.

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Original Blog
March 2008

With the recent announcement of Denbury buying Encore, one might be interested in seeing Encore's presentation just before that announcement.  Shareholders approve the deal. March 8, 2010.

On the first trading day following the announcement, EAC rose $8, from $37 to $45, while Denbury (DNR) dropped a dollar. Regardless of whether this represents an opportunity to buy DNR, there is no question that this helps establish the value of holdings in the Bakken. It may take awhile for this to sink in, but all things being equal, the value of Bakken holdings across the spectrum just increased.

I am absolutely convinced we are seeing just the beginning of a new age in North Dakota oil industry. I still think that there is a chance that the Williston Basin will become the new "Tulsa" -- without all the people. It's just too cold, too distant, for that kind of population growth. But in terms of production, pipeline, and potential, we could be seeing another Tulsa.

For those who may have missed it, there is movement on Capitol Hill (Washington, DC) to make natural gas a significant part of the "green" energy movement and energy independence going forward. Interestingly enough, there are others who feel natural gas should not be part of the "green" energy movement.