Clarus Target For QEC-T $5.85

UPDATE 1-Clarus starts Questerre Energy with speculative buy
11:08am ET (Reuters)

(Reuters) - Clarus Securities initiated junior oil and gas company Questerre Energy Corp with a "speculative buy" rating, saying the company has the best exposure to the Utica shale, which the brokerage expects would prove to be a commercial resource play.

Analyst Victor Rodberg said Questerre has the largest land position in the Utica shale of Quebec's St. Lawrence Lowlands, with 336,000 net acres in the region which could yield nearly 1,200 potential drilling locations and more than 1.5 trillion cubic feet of recoverable natural gas.

"Owning this stock is an excellent way to participate in this emerging shale play," Rodberg, who set a target price of C$5.85 on the company's stock, wrote in a note to clients.

Rodberg said Questerre, which is partnering Talisman Energy Inc in a pilot program to drill two horizontal wells in Utica, is also sitting on a fully funded balance sheet to see it through the full pilot phase.

Shares of Questerre Energy were down 4 Canadian cents at C$2.46 Friday morning on the Toronto Stock Exchange. (Reporting by R. Manikandan in Bangalore; Editing by Pradeep Kurup)

Vic Vallance FP Trading Says Unrisked Potential is $41.42 per share

You can buy it today for $2.33 cents and hold on till retirement as a millionaire.

Talisman is the biggest partner looking for billions!

The Company participated in a recent discovery of a potential giant shale gas field in the Lowlands, Quebec with its partners Forest Oil & Talisman Energy. Questerre is also developing a portfolio of assets including resource style plays such as the Bakken/Torquay light oil play in Antler, Saskatchewan and the Jean Marie gas play in Greater Sierra, British Columbia.

Michael Binnion, President and Chief Executive Officer of Questerre, commented, "The first well in the pilot horizontal well program is a key milestone towards commercializing the Utica shale play. We are looking forward to confirmation from the horizontal wells of the consistently excellent vertical well test results from the middle Utica."