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Canaccord Genuity Initiates Coverage on Raging River Exploration (TSX:RRX) with a Buy Recommendation - Video Posted on InvestmentPitch.com


June 17, 2013 - London

Vancouver, British Columbia, June 17, 2013 - Investment firm Canaccord Genuity has initiated coverage on Raging River Exploration (TSX:RRX). Analyst Steve Toth gives the company a buy rating and one-year price target of $5.50, a 43% premium to the $3.85 price the day the report was issued.

InvestmentPitch.com has produced a "video news alert" about Raging River Exploration based on this research report. If this link is not enabled, please visit www.InvestmentPitch.com and enter "Raging River" in the search box.

The company offers investors significant exposure to the Saskatchewan Viking  light oil play in the greater Dodsland area, which contains an estimated six billion barrels of original oil in place.

The experienced management of Raging River has had a successful track record of building four previously successful oil and gas production companies including Wild Stream Exploration and Wild River Resources which were both sold to Crescent Point Energy Corp (TSX:CPG).

In December 2012, the company closed a bought deal financing for 26 million shares at $2.65, raising gross proceeds of $68.9 million, and announced a $120 million capital development budget for 2013. 100% of the budget will be allocated to the Saskatchewan Viking light oil resource play, including the drilling of 115 net horizontal oil wells during 2013.

During the first quarter, the Company drilled 45 Viking horizontal oil wells with a 100% success rate. 36 of these wells have been on-stream for at least 65 days with an average rate of 50 barrels of oil per day, per well. Raging River's 2013 forecast exit rate is expected to be approximately 5,400 barrels of oil equivalent per day, a greater than 45% increase from the 2012 forecast exit rate of 3,700 barrels of oil equivalent per day.

Based on the current pace of development, the company has forecast a 10 year drilling inventory, positioning it for long term, sustainable per share production, reserves and value growth.

Analyst Steve Toth stated, "Raging River maintains a strong balance sheet, a cost of capital advantage, and proven ability to extract additional value from acquisitions."

The shares are currently trading at $3.85, and with 156.7 million shares outstanding, the company is capitalized at $603 million.  This $3.85 price is well below Canaccord Genuity's target price of $5.50.

For more information, please visit the company's website www.rrexploration.com or contact Neil Roszell, President & CEO at 403-767-1250 or email nroszell@rrexploration.com.

For more information about Canaccord Genuity or to obtain a copy of their research report, contact your nearest Canaccord Genuity office. Their branches are listed on their website at www.canaccord.com.

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Source: InvestmentPitch via Thomson Reuters ONE

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