FieldPoint Petroleum: November Focus Stock

[IMAGE] =09
[IMAGE] Dow Jones [IMAGE] 9866.99 - 5.4 9:08 pm EST, Friday., November 16,=
2001 [IMAGE] NASDAQ [IMAGE] 1,898.58 1.99 For info, visit www.smallcapnet=
work.net . [IMAGE] S & P 500 [IMAGE] 1,138.65 - 3.59 To be removed, please=
click here . [IMAGE] Russell 2000 [IMAGE] 451.31 + 1.92 VOLUME 01: ISSUE =
15 =09
[IMAGE]=09
Ray Reaves, President and CEO of FieldPoint Petroleum, is sharpening his=
pencil and putting on his poker face. Like a crazed bargain hunter heading=
for the mall just after the Christmas Holiday, Ray is getting ready to go =
shopping. [IMAGE] Just as he has during past cyclical oil price declines=
, Ray knows he can purchase assets from the behemoths of the US Oil patch a=
t bargain basement prices for the next six months. Companies like Devon Ene=
rgy (AMEX: DVN) will eliminate producing properties which were profitable a=
t $25 per barrel, but not at $18. Ray runs a lean and mean company which ma=
kes money through all the market cycles, and he perceives an upcoming oppor=
tunity to enhance his asset base. The editors of the SmallCapDigest feel =
this stocks is poised for a short term move to at least $2.50, which would =
represent 31% return on invested capital. Investors with a 12 to 18 month h=
orizon have the potential for a $5 plus with the next cycle of surging oil =
prices. As oil prices drop, Ray Reaves is getting ready to add assets to Fi=
eldPoint. The SmallCap Digest has discovered a growth company in the oil =
and gas sector that is poised to surge. FieldPoint Petroleum (OTC BB: FPPC)=
has taken much of the guessing out of investing in this sector. The compan=
y has executed and excelled in every market environment. FieldPoint has sho=
wn a propensity to maintain profitability and grow revenues at very impress=
ive levels by making the right decisions. The company business is hedged in=
such a way that it has and will continue to make money regardless of commo=
dity prices. [IMAGE] November Focus Company Report: FieldPoint Petroleum=
(OTC BB: FPPC) Stock Listing: OTC BB: FPPC Estimated Shares Issued and O=
utstanding: 7.36 million Estimated Public Float: 2.9 Million Closing Price =
and Volume: $1.90 on 85,700 shares Market Capitalization: $12.5 Million Fis=
cal 2001 Revenue: $2.6 million est 52 High and Low: $2.28/$1.34 FieldPoin=
t Petroleum Corporation (OTC BB: FPPC) is engaged in the acquisition, opera=
tion and development of oil and gas properties, which are located in Oklaho=
ma, Texas and Wyoming. FieldPoint looks to continue expanding in Texas and =
Wyoming, as well as in other Rocky Mountain and mid-continent states such a=
s Montana, North Dakota and Oklahoma. It is a primary objective of the Comp=
any to operate most of the oil and gas properties in which it has an econom=
ic interest. Company Analysis FieldPoint is regarded in the industry as=
a nimble low cost provider. Unlike many of its' competitors, FieldPoint co=
nsistently generates positive cash flow, and has a history of acquiring pro=
perties far below market prices. Many poorly run oil and gas companies get =
themselves in a position where they must raise cash to survive. These distr=
ess sales allow FieldPoint to purchase these companies' properties at price=
s where the production from the land pays for the purchase itself. FieldPoi=
nt takes advantage of the competition through efficiency. The company's ste=
llar performance in the past has created confidence and tremendous leeway w=
ith financiers. FieldPoint has access to capital that will allow for growth=
while most of its' competitors will experience contraction. The company's=
track record speaks for itself. Below is the revenue growth FieldPoint ha=
s experienced in the past three years. [IMAGE] As depicted in the table=
, revenues grew 78% from '99 to '00, and are on track to grow 59% this year=
. Growth has been so prolific that the company was recently recognized by=
the Oil and Gas Journal as one of the Top 200 Independent Oil and Gas Prod=
ucers in the U.S., and the 8th fastest growing publicly traded Oil and Gas =
Company in the US. The company currently has 50% of its monthly oil produ=
ction hedged at $22 per barrel, thereby virtually assuring continued positi=
ve cash flow. Existing Properties [IMAGE] Chickasha Field, Grady C=
ounty, Oklahoma. Giddings Field, Fayette County, Texas. Big Muddy Field, =
Converse County, Wyoming. Serbin Lee Field and Bastrop Counties, Texas. =
West Allen Field, Pontotoc County, Oklahoma. Hutt Wilcox Field, McMullen=
and Atascosa County, Texas. FieldPoint currently currently has ownersh=
ip interest in 338 productive wells located in three states, Texas, Oklahom=
a, and Wyoming. FieldPoint intends to continue expansion in Texas and Wyomi=
ng, as well as in other Rocky Mountain and mid-continent states such as Mon=
tana, North Dakota and Oklahoma. Management is constantly keeping an eagle'=
s eye on potential properties that will increase FieldPoint's asset base. =
Plans For Growth [IMAGE][IMAGE] As depicted in the bar charts, growth i=
n both production and reserves has grown consistently since 1997. In 1996, =
FieldPoint had $1 million in booked assets from which they derived $640,000=
in revenue and $115,000 in net income. The average price of oil in 1996 wa=
s approximately $18-$20 per barrel. In 1997, prior to going public, FieldPo=
int's results were slightly improved as the price of oil per barrel increas=
ed to an average of $19-$21, but their asset base held steady. At the end=
of 2000, FieldPoint completed another acquisition that boosted assets to $=
4.5 million, and through the third quarter assets stood at $4.8 million. In=
the meantime, revenues have jumped from $1.6 last year and are projected a=
t $2.5 million this year. As a low cost producer, FieldPoint successfully i=
ncreases production and lowers operational expenses every time they make an=
acquisition. Over the course of the next 36-48 months the company hopes =
to accumulate over $50 million in assets. Past performance would indicate t=
his is not an unrealistic goal. That is a tenfold increase from where the c=
ompany's assets are today. For investors, the market capitalization of the =
company should reflect the increase in assets. A $50 million dollar asset b=
ase would value the company at approximately $42 million dollars or $5.75 p=
er share. That is an annualized gain of over 57% over a four year period. =
Market Conditions A dispute between OPEC which produces about 40% of th=
e world's oil and non-OPEC oil producing countries have pushed prices to th=
eir lowest levels since mid-1999. Oil markets opened lower Thursday after t=
he Organization of Petroleum Exporting Countries decided Wednesday not to c=
ut its output quotas unless non-OPEC producers agree to go along. Russian P=
rime Minister Mikhail Kasyanov is quoted by the Financial Times as saying "=
We are not going to at any time reduce production on a big scale; it's impo=
ssible". With oil prices taking a nosedive, many poorly run and poorly f=
unded oil and gas companies will be feeling the squeeze. Lower oil prices w=
ill deal a blow to the oil and gas industry, resulting in less investment, =
reduced production and ultimately more volatility as supply and demand fluc=
tuate. This means FieldPoint will be privy to some very attractive opportun=
ities to purchase land at very favorable prices. However, oil prices may=
not stay depressed next year. OPEC says it will cut output on Jan. 1 only =
if non-OPEC producers act. So far, Oman and Mexico have pledged output cuts=
-- of 50,000 barrels a day and 100,000 barrels a day, respectively -- and =
Norway, the world's third largest exporter, is still considering whether to=
contribute. But all three countries say they will only reduce production i=
f Russia pledges to cut its output by some 300,000 barrels a day. Conclus=
ion FieldPoint is currently trading at $1.90 but in the near term has the=
potential to reach $2.50 due to the sizable opportunities the company curr=
ently has to expand it's asset base at rock bottom prices. We expect the st=
ock to reach this target in the next 30 days. A target of $2.50 would mean =
a 31% short term profit. This doesn't match the company's growth rate but i=
t is certainly respectable, and much higher on an annualized basis. Grow=
ing companies need to reinvest in themselves. The challenge is to make mone=
y while growing. FieldPoint applies the cardinal rule of business: MAKE MON=
EY. CEO Ray Reaves has demonstrated an uncanny ability to propel growth whi=
le running a profitable business. The goal of the company is to increase it=
s' asset base while maintaining profitability and providing shareholders a =
return on their money. Over the course of the next 36-48 months the comp=
any expects to have over $50 million in assets. That is a tenfold increase =
from where the company's assets are today. If the company's past performanc=
e is any indication, it is an obtainable goal. For for investors, the marke=
t capitalization of the company should reflect the increase in assets. A $5=
0 million dollar asset base would value the company at approximately $42 mi=
llion dollars or $5.75 per share. That is an annualized gain of over 57% ov=
er a four year period. FieldPoint is structured to take full advantage o=
f volatility because the company thrives on outsmarting its' competitors. T=
he company is a growth stock that has the full confidence of its' financier=
s. This access to capital allows the company to increase its' assets while=
benefiting when the market rebounds. Investors looking for a well run o=
il and gas company that exhibits outstanding growth should own FieldPoint P=
etroleum Corporation (OTC BB: FPPC) in the risk end of their portfolio.=09
D I S C L A I M E R : The SmallCap Digest is an independent electronic p=
ublication committed to providing our readers with factual information on s=
elected publicly traded companies. SmallCap Digest is not a registered inv=
estment advisor or broker-dealer. All companies are chosen on the basis of =
certain financial analysis and other pertinent criteria with a view toward =
maximizing the upside potential for investors while minimizing the downsid=
e risk, whenever possible. Moreover, as detailed below, this publication a=
ccepts compensation from third party consultants and/or companies which it =
features for the publication and circulation of the SmallCap Digest or repr=
esentation on SmallCapNetwork.net. Likewise, this newsletter is owned by T=
GR Group, LLC. To the degrees enumerated herein, this newsletter should n=
ot be regarded as an independent publication. Click Here to view our com=
pensation on every company we have ever covered, or visit the following web=
address: http://www.smallcapdigest.net/compensation_disclosure.html for =
our full compensation disclosure and http://www.smallcapdigest.net/short_te=
rm_alerts.html for Trading Alerts compensation and disclosure. TGR Group=
LLC has been paid a fee of $50,000 by FieldPoint Petroleum for publishing =
information for a period of 90 days from the date of the first publication=
. All statements and expressions are the sole opinions of the editors an=
d are subject to change without notice. A profile, description, or other me=
ntion of a company in the newsletter is neither an offer nor solicitation t=
o buy or sell any securities mentioned. While we believe all sources of in=
formation to be factual and reliable, in no way do we represent or guarante=
e the accuracy thereof, nor the statements made herein. The editor, membe=
rs of the editor's family, and/or entities with which the editor is affili=
ated, are forbidden by company policy to own, buy, sell or otherwise trade =
stock for their own benefit in the companies who appear in the publication.=
The profiles, critiques, and other editorial content of the SmallCap Diges=
t and SmallCapNetwork.net may contain forward-looking statements relating t=
o the expected capabilities of the companies mentioned herein. THE READER=
SHOULD VERIFY ALL CLAIMS AND DO THEIR OWN DUE DILIGENCE BEFORE INVESTING I=
N ANY SECURITIES MENTIONED. INVESTING IN SECURITIES IS SPECULATIVE AND CAR=
RIES A HIGH DEGREE OF RISK. THE INFORMATION FOUND IN THIS PROFILE IS PROTEC=
TED BY THE COPYRIGHT LAWS OF THE UNITED STATES AND MAY NOT BE COPIED, OR RE=
PRODUCED IN ANY WAY WITHOUT THE EXPRESSED, WRITTEN CONSENT OF THE EDITORS =
OF SMALLCAPNETWORK.NET. We encourage our readers to invest carefully and =
read the investor information available at the web sites of the Securities=
and Exchange Commission ("SEC") at http://www.sec.gov and/or the National =
Association of Securities Dealers ("NASD") at http://www.nasd.com . We also=
strongly recommend that you read the SEC advisory to investors concerning =
Internet Stock Fraud, which can be found at http://www.sec.gov/consumer/cy=
berfr.htm . Readers can review all public filings by companies at the SEC's=
EDGAR page. The NASD has published information on how to invest carefully =
at its web site. =09

=20
---
You are currently subscribed to smallcapdigest as: alewis@ect.enron.com
To unsubscribe send a blank email to leave-smallcapdigest-95352D@lyris.smal=
lcapnetwork.net