BPZ Resources Takes a Giant Step into the Big Leagues

Anyone who closely analyzed BPZ’s (AMEX: BZP) rise from obscurity to a $2 billion market cap over the past year saw the same two things: 1) world-class oil and gas resource potential, and 2) insufficient technical and financial capabilities to develop that potential.

While BPZ’s drilling results over this period confirmed the oil and gas reserves and production levels in one small part of its vast resource base (Corvina field, one mapped structure on one block) and helped validate the company’s aggressive estimates of future results on a larger part of the resource base (Corvina complex and Albacora field, four mapped structures on one block), it was obvious that BPZ in its current configuration could not carry out the required development work across the total resource base (50 mapped structures and counting on four blocks) in any realistic time-frame.