3 Watchlist Stocks

• Report this Comment On March 22, 2011, at 1:17 PM, daybreak0500 wrote:

  Dan,

  I thank you for your research and like your enthusiasm!

  For factual reasons I outline below

  I believe it is tremendously underrated.

  These are the reasons with supportive rational below.

  1- With flowing natural gas this year in China on a field of over 3 trillion CF we will have the potential for significant PPS upside this year . The company has given guidance this may start by mid 2011, only a few months away and gain in sales volume over the next many years as more productive wells come online.

  2- Mongolian Light Oil represents a huge engine to value and growth much sooner then the awesome longer term prospects for HTL., as incredible as that may be as projects advance. Especially with current price of oil and in an unstable MEast, the value of this asset is vast.

  Your advice to hope for a pullback

  based upon the

  'speculative nature' of the company with primarily the

  HTL tech you cite as catalyst for pps growth

  is lacking in mention or elaboration of those key and current

  tremendously

  valuable assets and projects already underway.

  These projects represent much more immediate cash flow beginning this year, 2011,

  in addition to the future still great potential for HTL..

  Being a very long time, 7 years, and long term investor there are also facts about HTL I offer, in addition to elaboration on the above projects that were not clear in your story.

  1- Natural gas is currently at well head on two wells in their China block and is being tested as I write to bring it online this year for commercial sale. The field has huge asset of more then 3 Trillion CF and IE has rights to develop the entire block. This is after 10 years of work in China with Sunwing, a wholly owned subsidiary of Ivanhoe Energy.

  This is more revenue this year and potentially a few dollars to nav.

  2- Mongolian Light Oil under contract by IE.

  You did not mention this.

  Also, there is current rail line service that runs very nearby this block

  and China, hungry for Oil,

  the same kind this region is known for, is a hop-skip

  and jump down the rail line already in place.

  So add light oil, easy drilling on land, transport already nearby, ready market and this has massive upside potential for Ivanhoe Energy and nav.

  Robert Friedland the founder of Ivanhoe Mines IVN, self made billionaire with huge assets in Mongolia for gold and copper is the head and largest shareholder of Ivanhoe Energy as well.

  He has exclusive contract on a very large block of many thousand square miles of Mongolian property to develop oil for commercial sale.

  They revised estimate on only partial 2D seismic studies done last fall and increased reserve potential from 1 Billion Bls of oil to estimated reserves of 2 Billion Barrels of light oil.

  The reservoirs are at very shallow depths of only several hundred meters and so can be drilled within very short periods. This is all virgin land with rich mineral wealth and similar to blocks in Mongolia held by other oil producers with active recovery already underway.

  This asset, due to begin drilling as soon as weather permits has massive potential to Ivanhoe Energy nav this year with any positive strikes.

  In the 1980's Russians drilled and found oil shows on 20 of 40 drillings, one with flowing oil and the same block we now have contract to, believed to be one of the best blocks in Mongolia.

  3-HTL can be built much larger then the 20,000 Bls/day you stated. Acutally, up to 50,000 or more and with smaller size HTL plants they can be linked together to form just about any size as projects advance.

  You are correct with the paradigm shift it represents but there is so much more.

  It has the ability to make commercial all of the more stranded assets of heavy oil that may be too far away from a central area to harvest with the current on-site coking plants [cokers are hugely expensive and therefor bound to large areas of tar sands concentration for economic viability] because of the smaller size scaling ability of HTL plants.

  Further, HTL is green technology compared to anything else on the market.

  The energy it produces is used to fuel the steam assisted gravity drainage [SAGD] of the heavy oil fields and and the on-site processing of the hot yet still heavy oil 'lightens' the oil so it will flow in pipes or can be placed in tankers without hardening as it cools, it literally raises the API very close to that of light oil so no expensive diluent is necessary to make it more viscous for transport. Also the HTL plants carbon footprint I believe is about 14% less then that of the old cokers.

  As you know, we are at or very near peak oil depending on who you read and the vast majority of recoverable oil left is in the form of heavy reserves so HTL has a bright future.

  For me the Mongolian addition for light oil and the NG hits in China are game changers for serious investors doing their own DD as these represent real salable commodities in demand and now close at hand.

  For these reasons I see waiting for a lower entry price due to the 'speculative nature' of the company

  as you 'would like to see'

  a great wish but unwarranted due to Current projects and current assets at well head and under development this year with no HTL processing necessary. With positive news and more guidance on either of these two active projects-

  NG in China and light oil drilling in Mongoala-

  IVAN will leave these low levels of trading in the history books, imho.

  I sincerely appreciate your article.

  For me, this year represents a paradigm shift as we are no longer waiting for the HTL or meager sales of low volume oil from existing china oil wells.

  I believe it may be so for Institutions as they have been adding hugely and now represent more then 32% ownership of the stock.

• Report this Comment On March 27, 2011, at 8:29 AM, GtownRJ wrote:

  The word on the street with IVAN is that its leadership is a proud graduate of the P.T. Barnum school of management, seeing investors as suckers lining up to line their own pockets. That said what they are doing is very tempting, but I have to remind myself that bad management trumps all other prospects, IMHO.

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