May 23, 2019//-No Texan in energy history has won bigger in unconventional oil and gas than Marc Bruner… the Chairman and CEO of Fortem Resources Inc. (TSXV: FTM.V; OTC: FTMR).
He calls his latest “$24 billion river of oil” find, “His greatest find in his career”.
No wonder. He’s a second-generation oil man. It’s in his blood.
Bruner’s father founded TexStar, an independent oil and gas firm that grew to become one of the largest independent oil companies in the world.
Upon his father’s death in 1973, the younger Bruner took over the family business. He’s carried on his father’s legacy.
Bruner has created billions in value for investors… in every conceivable market… with a string of incredible successes throughout the 1990s and 2000s.
The Bruner family has a simple time-proven strategy: at the bottom of the market, snap up assets other firms are eager to shed.
Then wait for the market to pick back up before kicking those assets into over-drive to make a killing.
And right now, Fortem Resources (TSXV: FTM.V; OTC: FTMR) is ready to rise.
This little firm has spent the last ten years buying up everything that meets his criteria—including an incredible find in Alberta that could produce 100,000 barrels of oil a day, which at today’s prices equates to nearly $5 million dollars a day… or $1.7 billion per year.
And with prices edging upwards and the global market tightening, it looks like Fortem’s time has finally come.
The markets value this company at $188 million… but recent resource estimate reports from Deloitte suggest that Fortem could be sitting on more than 500 million barrels of crude oil.
Against today’s prices, that’s well over 25 billion dollars in untapped crude.
And it gets even better, the company is about to cut a deal with a Canadian oil major that could potentially triple its resources at its most promising oil play.
Here are five reasons to take a look at Fortem (TSXV: FTM.V; OTC: FTMR), Marc Bruner’s newest adventure in unconventional oil and gas:
#1 The Original Texas Oil Man Has Created $550 Million… $3.7 Billion… $7 Billion in Value…
He’s been called an “unconventional oil play legend.”
Marc Bruner is, simply put, the biggest name on the independent unconventional oil and gas playing field…and he’s brought his unique talents and legendary persona to Fortem Resources Inc.
Bruner started out at Ultra Petroleum (NASDAQ:UPL), with a focus on unconventional oil and gas. Even in 1996, Bruner could see where things were headed. Traditional crude was out, unconventional plays were in, and Bruner wanted to be on the ground floor.
With Ultra, Bruner helped spearhead the development of the Pinedale and Jonah Fields in Wyoming, two plays that became incredibly lucrative. During his time at Ultra, the company’s capitalization grew by more than $7 billion.
Bruner founded Pennaco energy Inc., an unconventional energy firm focused on uncovering methane projects from coal beds in the Powder River Basin in Wyoming. The tiny firm, with a market cap of under $1 million, traded for 20c in 1997 when Bruner acquired 350,000 acres.
The purchase may have looked like a gambit…but it paid off big time.
In 2000, energy giant Marathon Oil (NYSE:MRO) bought out Bruner’s Pennaco for $550 million.
After that, Bruner started up Falcon Oil & Gas, a global energy company that today holds interests across 12 million acres in Australia, South Africa and Hungary. As CEO and President, Bruner built the company into a goliath firm worth $3.7 billion.
Needless to say, Bruner is a man who delivers…he has an incredible track-record for taking tiny plays and turning them into big fortunes.
And he’s set to do it again with Fortem Resources (TSXV: FTM.V; OTC: FTMR).
#2 The “Warren Buffett” of Texas
Fortem’s business model seems simple: snap up valuable assets at low prices when the market’s at its lowest.
Flash back to 2012, right before the oil bubble burst. Fortem, formerly Strongbow Resources, had an asset in Alberta inside the Viking formation: 8 sections, 5000 acres, a single well in production. Then the market tanked.
Fortem sat tight, waiting for prices to rebound. But while they were sitting at the bottom, the company started looking out for other assets that could be turned to market once things picked up. Fortem was in a unique position: thanks to solid management, it was relatively debt-free.
So the company went on a shopping spree, picking up assets in Utah (131,000 acres) and the Black Dragon asset in Canada (165,000 acres). It was a buyers’ market: tons of O&G firms had leveraged high prices and taken on huge piles of debt, so when the market bottomed out these assets were being dumped at rock bottom prices.
When the market turned back around in 2016, Fortem was sitting on a gold mine: a bevy of assets, ranging from Rolling Rock Resources, Black Dragon Energy, Colony Energy and Big Lake Energy, all under Fortem’s direct control.
Marc Bruner’s been playing this game a long time. He’s made this model work with Ultra, Pennaco, and Falcon.
Along the way, he oversaw negotiations and contracts with Halliburton, Exxon Mobil, Questar Gas, Hess Corporation and more…
Delivering billions in value to early shareholders.
And now he’s set to repeat the trick with Fortem (TSXV: FTM.V; OTC: FTMR), in what he’s calling his biggest deal ever.
#3 A $1.7 Billion — Per Year — “River of Oil”
Among the bevy of assets Bruner has snapped up for Fortem are some incredible finds.
Take the Colony Energy play at Godin in Alberta, Canada. About 15 km east of the highly-successful Canadian Natural Resources Limited (CNRL) play at Pelican Lake, also known as the Brintnell Project, Colony’s 64,000 acre play, shares much of the same geological architecture.
Bruner used his corporate savvy to work out the acquisition last October. The Colony play at Godin looks to be the ideal heavy oil play, which touches on the Wabiskaw formation and the McMurray formation, both well known to heavy oil drillers.
The oil is 17 and 19 gravity, and Bruner reckons there’s a “river of oil—it’s unbelievable,” in an area that’s produced 250 million barrels in the last 10 years.
He calls it, the “greatest find in his career”.
That’s because Wabiskaw at Godin is nearly IDENTICAL to the find at Brintnell—according to a study by Apex and Deloitte, the find is “analogous to the Brintnell…in-depth, porosity, oil saturation and structure.”
Remember, this is a property that Fortem (TSXV: FTM.V; OTC: FTMR) and Bruner snapped upfor pennies on the dollar.
So what are the numbers?
Well, compared to Brintnell, The Colony play at Godin looks way, way undervalued.
With 64,000 acres in Alberta and an estimated 391 million barrels recoverable, the company could potentially generate $24.8 billion at current prices over the lifetime of the field.
And with Brintnell producing 88,000 bpd, the field at Godin could become highly productive, very quickly.
Bruner has turned out billion dollar plays before…who says he can’t do it again?
#4 Fortem’s Three Additional Billion Dollar Stories
Godin is the most promising asset in Fortem’s arsenal right now…but the company’s good news doesn’t stop there.
Next, there’s the Moenkopi play, owned by Fortem through its subsidiary Black Dragon Energy—165,000 acres which could be holding an estimated 472.9 million barrels.
Then there’s the Mancos find, owned by subsidiary Rolling Rock Resources, which Fortem snapped up a few years ago. The shale find at Mancos, covering 131,888 acres in Utah, located near a basin where another firm is currently producing 30,000 bpd from 100 horizontal wells—and which has estimated reserves of 500,000 barrels per well.
The Viking find at Big Lake Energy, across more than 5000 acres in Alberta, holds an estimated 55.5 million barrels worth potentially $2.8 billion at today’s prices. And then there’s the kicker…a literal gold mine, acquired through Fortem’s take-over of City of Gold in Myanmar, including 100 surface gold mines across 465 square kilometers.
These are all potential billion-dollar finds, and they’re all in Marc Bruner’s hands…the man who has made and re-made billion dollar companies, and who seems poised to repeat the miracle with Fortem Resources Inc (TSXV: FTM.V; OTC: FTMR).
#5 A $188 Million Market Cap Company Sitting on $25 Billion Plus in Assets
In oil and gas, there’s rarely anything that looks like a sure thing… but that could be about to change.
Marc Bruner is a legend in unconventional oil and gas—he’s turned measly little sub-$1 million market cap firms into billion-dollar giants. And he seems pointed to do it again with Fortem.
Just look at the data:
A little company with a small market cap—snapped up a bunch of quality assets at bargain-barrel prices, just when oil was at its lowest—assets that sit next to productive fields brimming with value—just waiting for the right moment to turn on the spigot.
Remember, this was a man who turned a $1 million company into a $550 million purchase in less than a year. He grew another company into $3.7 billion, another into $7 billion.
Right now, Fortem has a market cap of $188 million, and its stock trades for pennies… but how long do you think that will last when they turn on the spigot in the coming months?
Once the Godin property begins producing, Fortem will be tapping into a field capable of generating potentially as much as $25 billion. Moreover, Godin could match Brintnell and churn out 88,000 bpd—maybe even 100,000 bpd.
That could be a daily revenue stream of $5 million, every single day, for more than $1.7 billion a year.
Smart energy investors are about to ride Marc Bruner’s coat tails yet again with Fortem Resources (TSXV: FTM.V; OTC: FTMR)… the greatest find of his career.
By Ian Jenkins
oilprice.com
