Dejour Enterprises 200-300 % ?

I’ve just isolated the next “wildcatter” stock.
As you’ll see in a moment, this tiny $1.45 oil exploration company is hands down the single most-lucrative investment I’ve seen in the last three years. Maybe ever.

And the really interesting thing is how it’s going to make its fortune (HINT: It’s not in oil...)

Could this $1.45 stock be the next 10-bagger?

Absolutely! In fact, I wouldn’t be surprised if it went all the way to $18.75 or even $19.50 per share.

And here’s the best part:

While this tiny oil company is too small to recommend to my entire file of 11,000 readers...

...I’ve figured out a way to share it with you today!

This is a very exciting time for me. As you can imagine, I’ve been nearly going crazy the last couple years... watching these “wildcatter” stocks skyrocket... and not being able to tell anyone about them!

I’m not about to let this next stock get away.

Like I said, this next wildcatter could be the biggest winner of all.  

Most people don’t know about this company yet. It’s too small. But in the coming months, I bet we’ll see big institutions and mutual funds begging to buy this stock for $8... $9... even $10 per share.

You can get in today for $1.45!

I’ll tell you how to buy shares of this company in just a moment. But first, let me give you the fascinating background story on this tiny Canadian company.


The Promised Land
As you know, we’re experiencing a global oil shortage that is keeping oil and gas prices high.

Sure, prices fluctuate up and down. I think I paid $2.65 at my local Exxon the other day... down from $3.10 a few months ago.

But the reality is this: There’s a finite amount of oil on the planet and we are burning through it pretty quick.

Why? Because our society craves the stuff. Cars, machinery, transportation. To maintain our way of life, we need oil. And that isn’t going to change anytime soon.  

The New York Times reports that the world’s appetite for oil is growing at its fastest rate in 16 years.  


And according to The Washington Post, the global demand for oil is rising faster than anyone expected.

Although OPEC producers are pumping at 25-year highs, the United States Department of Energy reports that oil reserves are near record lows.

That’s because much of the world’s oil production comes from oil fields that have been producing for decades.  These fields are running out and large oil companies like Chevron are struggling to find new sources.

“Supply is struggling to keep up with demand,” explains Forbes Magazine.  

This means Big Oil companies like Exxon, Chevron, and BP are constantly searching for new oil supplies.

Of course, the Middle East offers potential, but the volatile climate there has pushed oil companies to search closer to home.

And there is one place in the United States that has become a hotbed for oil and gas exploration.

It’s a place in western Colorado called the Piceance Basin. And it is literally the “promised land” for oil and gas exploration companies.

Not only does Piceance have a tremendous supply of oil, but it is also sitting on North America’s largest supply of natural gas. According to the Oil & Gas Investor, the Piceance Basin contains 300-plus trillion cubic feet of gas!

Of course, Big Oil is all over this place. In fact, they are bidding billions to get their hands on precious Piceance property.

“Competition for drilling rigs to tap Colorado's booming natural gas basins is becoming fierce,” explains Cathy Proctor of the Denver Business Journal.  

In fact, in July 2006, Marathon Oil paid $41,000 per acre to acquire property in the Piceance Basin.

Also in July 2006, Exxel Energy picked up some Piceance real estate for roughly $33,000 per acre.

Why are they spending so much money for land in the Piceance Basin?

Because the land in Piceance is so oil-and-gas rich, sweet crude is practically bubbling out of the ground. You can practically drive a stake into the ground and strike oil. That means there is virtually no risk in drilling and exploration. All you need do is set up shop and let the oil flow all the way to the bank.

“In all the time I’ve been in Piceance helping to drill 1,000 wells, we’ve never encountered a dry hole,” says Joe Jaggers, vice president of the Williams Cos., a major oil player in Piceance.

Bottom line: Owning property in Piceance is a ticket to Big Oil profits.  


The Piceance Conspiracy
Of course, Big Oil companies like Exxon, Chevron, and BP want a piece of the action.  

In fact, the huge energy titans are doing what they usually do: Buying up property and pushing the small operators around.

Bottom line: Big Oil has so much cash from the recent oil boom that they can pretty much buy whatever they want.

And that’s what their doing. In fact, Chevron, Exxon, Marathon, Exxel, and other big energy players are already staking out their turf in the area.

But there’s one property owner in the Piceance Basin (I’ll call him Mr. Harold) who decided he didn’t want to sell his land to Big Oil.

As it turns out, Mr. Harold is sitting on over 266,000 acres smack in the middle of the Piceance Basin.

Of course, Big Oil has been after Mr. Harold for years. Knocking on his door, hassling him, offering him huge gobs of cool green cash.

Thing is, Mr. Harold hates Big Oil. He hates their price gauging... and their strong-arm tactics.

Consequently, he’s refused to sell his land... no matter how much money gets thrown at him.

But a few months back, a small Canadian company came to call on Mr. Harold. Now, this company is about the farthest thing from Big Oil that you’ll ever find.

Mr. Harold decided these guys were about his speed and decided to strike a deal.

But instead of charging the $41,000 per acre that the Big Oil giants were paying... he sold them the land for pennies on the dollar.

In fact, this little Canadian wildcatter got 250,000 acres of oil-rich real estate for a mere $400 per acre!





A Bitter Twist
Think about that: While Big Oil has paid $41,000 per acre, this tiny company paid only $400 per acre.  

That’s 1/100th of the going rate!

Call it justice. Call it a coup. But the bottom line is this: A simple real estate transaction has handed a tiny oil company BILLIONS in oil-and-gas-rich real estate.

Now, as you can imagine, Big Oil is upset.  

They want the land. And the irony is, despite Mr. Harold’s wishes, they’re going to get it.

You see, although most people don’t know it...

This oil company is publicly traded!

In fact, it is a micro-cap trading on the Toronto Exchange. The company trades for about $1.45 and has a market cap of about $90 million.

(By the way, the “market cap” is just a measure of a company’s market value. It basically determines how much the company would sell for on the open market. In this case, the company could be purchased for $90 million.)

Compare that to Exxon’s market cap of $400 billion... and it’s easy to see that any number of Big Oil firms could swallow this tiny Canadian company whole.

And that’s exactly what’s about to happen.

Because the company is publicly traded, Big Oil firms can simply conduct a hostile takeover. All they need do is pay a high stock price that shareholders can’t turn down.

Listen: Big Oil is not shy about spending money to get what they want. And years of rising gas prices have filled their pockets with cash.

Spending a few billion for a hot property is not a problem for a company like BP or Chevron. Especially a property that practically guarantees a fresh and plentiful source of oil and gas.


It’s Happening Right Now!
This won’t be the first time Big Oil has spent a fortune for property in the Piceance Basin.  

In fact, EnCana snatched up Ballard Petroleum, and spent $2.7 billion to buy out Tom Brown, Inc.

The Williams Cos. spent $2.8 BILLION to buy Barrett Resources.  

Marathon paid $41,000 per acre in Piceance.  

And Exxel Oil paid over $33,000 per acre.

Our tiny Canadian wildcatter is next.

In fact, I bumped into the CEO of this company at a wealth conference in Vancouver, BC.  

We had coffee and he explained that becoming a “buyout target” was his plan all along!  

And here’s the kicker: The company plans to commence operations in Piceance before Dec. 31, 2006.  

In fact, they could start drilling as soon as next week.

With crude oil practically bubbling out of the ground in Piceance, it could be a matter of days before this company hits a gusher.

When that happens, Big Oil is going to swarm all over them.  The $1.45 stock price could double or triple overnight.  

The only real question at this point:

How high will it go?


This $1.45 stock is worth
$29 per share. Here’s why:
How much will Big Oil spend to buy this $90 million company.

Well, let’s look at the facts:

This tiny wildcatter has a market cap of $90 million.  

It also owns over 250,000 acres of property in Piceance.

Big Oil is currently paying $41,000 per acre in Piceance.

That means this tiny company’s real estate ALONE is worth $10 billion. Of course, it has other assets, but let’s forget about those for now... and just focus on the real estate.

So let’s say the company is worth $10 billion.

It has a market cap of $90 million, but let’s round it up just to be even more conservative. Let’s say the market cap is $100 million.

That means the company is trading for 1/100th of its real value!

The real estate this company owns is worth $10 billion to Big Oil. They’ve already proved that with their recent Piceance purchases.

But let’s get even more conservative. Oil and gas prices have dropped recently. So let’s say Big Oil won’t pay $41,000 per acre anymore.

Let’s say they’ll only pay $8,000.

Even at a mere $8,000 per acre, this company is worth $2 billion to Big Oil.

To buy the company for $2 billion, Big Oil would pay about $29 per share. I think that’s realistic. Heck, they’d be getting $10 billion in real estate for 20 cents on the dollar!

But still, I’d rather get more conservative:


Ultra-Conservative Target Price:
$14.50 by December 31, 2006
Listen: I’ve made money for my Material Profits readers by being realistic. By being cautious.

And I’d rather err on the conservative side.

So, let’s cut that $2 billion ($29 per share) price in half.  

Let’s say that Big Oil will buy the company for $1 billion... or $14.50 per share.

Will Exxon or Chevron really pay that much? Of course they will!  

In 2005, Chevron spent $17.3 billion to purchase Unocal.  

And Conoco spent $35.6 billion to acquire Burlington Resources.

$1 billion is a drop in a bucket to these guys.  

Let me put it in perspective for you: According to CNN, Exxon made a $10 BILLION profit in the last quarter of 2005. That’s a $10 billion profit in just three months.

And listen: When it comes to the Piceance Basin, Big Oil doesn’t mind dropping a few bucks.

Heck, they’ve already paid $2.7 billion to buy out Tom Brown, Inc. — and $2.8 billion to buy Barrett Resources.  

Bottom line: At $1 billion, this company’s stock is worth 10 times its current price of $1.45.

That’s $14.50 per share.

And I believe that’s exactly where it’s headed.

Sound crazy? It’s happened before. Many times. I’ve already told you about the numerous “wildcatter” stocks that have jumped tenfold in the last couple years.  

I told you how IIIN went from $1 to $28.  

And how Skye went from $1.75 to $17.50.  

And how U.S. Gold went from $1 to $10.40.

Listen to me now: I am absolutely confident that this tiny Canadian wildcatter could put those gains to shame.

Get in now for $1.45 and you will have people begging to give you $10 or even $12 for your shares.

Of course, a micro-cap stock like this is too small for me to recommend to my 11,000 Material Profits readers.

But it is something I could recommend to a much smaller group...