Sedano oil it will exploit new oil wells from 2017 I.P. / Burgos - Saturday, April 25, 2015
"Sedano oil company and the parent company that mines the Ayoluengo, LGO Energy before Leni Gas of Oil – have the look in 2017 with an ambitious investment plan that will result in doubling and tripling the current production. Until then, he will continue with the 100 or 150 barrels of crude per day extracted from the 10 active wells, which means that only exploits a 17% of reserves estimated has this oilfield whose granting of exploitation, for 50 years, was granted in 1967, so it will be in 2017 when it expires that permission in whose extension already works the company with the Ministry of industry, explains Francisco de laPeña, commercial director of LGOEnergy.
That plan to increase the volume of crude oil will be implied an important investment which, however, for the moment not to reveal. It is also in the air even if LGO Energy will seek Alliance with other companies of hydrocarbons. The negotiating strategy with other companies in the sector is open, it ensures laPeña, but for now there is no agreement on the table. The last, remember, it was in 2014 with the Italian Pansoinco with who announced a tentative agreement that finally not gelled. Earlier talks were held with British Petroleum. also without success.
In terms of forecasts from 2017, Francisco de la Peña concrete that new wells will not open, but the extraction will focus on which were drilled for half a century after the appearance of the black gold. Specifically they were 52, of which only 10 are active, and extract between 100 and 150 barrels a day. The company's plan would work in those wells that are still connected to the reservoir of oil - estimates would have up to 106 million barrels in the ground. In the coming years intends to exploit another 17% of reserves, to maximize production and with the view implementation to overcome the 300 barrels a day. The technique to get to those already existing wells is the so-called 'secondary recovery', by way of stimulation or conventional offset holes."
A further point or two. Dividends in an ISA do not get tax back Whereas interest does. This works very well for a higher rate tax payer as unlike outside ISAS where additional tax is payable on divs none is inside ISA.
The company continues to provide the marker against which all should be measured in Trinidad, and against that measure, all other Trinidadian players have disappointed significantly. While Range would be the most obvious candidate, in our opinion it is actually Trinity that has disappointed most. Trinity has had the acreage, resources and personnel to be able to deliver a cohesive and balanced work programme, but has delivered nothing. We believe that LGO will continue to grow in Trinidad and will, in time, become the go to operator. It is not that LGO are doing anything outside of giving their assets base the intellectual and operational respect they deserve, and in this context, it is the management team that are making the difference. All Ritson and Co need to repeat the feat on their other assets held through Solo Oil and UK Oil and Gas, is more time personnel and measured director support to.
Yes you are correct. When you take out an ISA look at it as if that cash or shares is in a tin with 'TAX FREE' wrote on the lid. You can trade them shares asany times as you like and the 'tax free' lid stays on. The tin doesn't have a sell by date so as long as you keep the lid on and take nothing out all proceeds remains tax free. Each tax year you are allowed to open the lid and add funds up to the yearly ISA allowance and this adds to your tax free total. Its when you open the lid and take out some funds that things change. The funds you remove cannot be put back into the tax free tin but the funds you still have in the tin remain tax free until you take them out. Hope this had added some clarity to the current rules but they do change in the autumn but to avoid confusion we can discuss them nearer the time. For a bit of fun today check out my post at 0200 and good luck all!
Good point NTJJ. Found this on the Glori web site....
"In many cases, existing waterfloods have been operating for years — even decades — and water is being recycled in a continuous loop without changing the reservoir. For a waterflood to work, it is critical not to fracture the rock, as this will bypass parts of the reservoir leaving even more oil unrecoverable. This is in contrast to the recovery of shale gas and oil where fractures are created intentionally by hydraulic fracturing (fracking). With waterflood fields, water does not leak from oil reservoirs and the wells are so deep that there are no adjacent aquifers."
Thanks for the replies. One more question and then I will shut up. So if I wish I can sell lgo shares at a profit this year and if the if the price of LGO does not drop till next year I can buy back more lgo next year with the profit made this year and end up with extra shares. I realize this last question makes me sound like my login But this is money and I want to be perfectly clear,Thanks for your paitience.
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