(Reuters) - Germany's economy ministry will approve the sale of utility RWE's (RWEG.DE) oil and gas unit DEA to a Russian investor despite tensions between Russia and the West over the Ukraine crisis, two people familiar with the matter said. As part of the deal, Fridman, Russia's second-richest man, and his co-investors get stakes in about 190 oil and gas licenses or concessions in Europe, the Middle East and North Africa.
I attended the Proactive Investors presentation last night where OF was presenting on behalf of San Leon. OF was in upbeat form and appeared confident about the future for SLE, of course everyone who presents these is 'selling' their story, so his up beat confidence needs to be taken in context. Here are some of the things he said (some were after the presentation). BNK had technical problems with their horizontal frac in the Baltic basin, they did 18 fracs and missed the target in 9 of them. OF believes that they are getting flow from only one or two of the zones, but it is a good flow rate. 3legs/Conaco-Phillips look like they have a good result, based on whispers SLE have heard and from the flairing. OF was particularly pleased that you could see black smoke from the flaring, suggesting a good quantity of condensate as well as gas. OF expects an announcement from 3legs fairly soon, within the next few weeks, maybe sooner.
SLE are waiting to see the shared data from BNK and 3Legs before finalising the design for our horizontal. He did say that we won't be using ceramic propant next time, that was a fail safe to ensure the last test succeeded. Expect to see our horizontal frac in 3 to 4 months time. Regarding our farm out of Lewino, OF said all it takes is one good result (from BNK or 3 legs) and we would complete it within a month (although the legal people would then delay it going over the contract)
Other areas: SLE expect Siekierki to be cash generative by mid 2015, we will, with our partners be re-entering a couple of wells and probably drilling 3 new ones. Rawitz will spud in September/October, hoping to see cash flow from these next year. We estimate a 70% to 80% chance of success on Rawitz We will hear on Sidi Moussa offshore Morocco in the next 30 to 40 days We are working on a long term plan for Timahdit, to bring in a partner. There are 2 players interested in out NPI on Barryroe, but they won't make an offer until the farm out is completed by Providence. OF was "very confident" that the farm out would happen, he said everything was slow at the moment when farming out. Albania farm out was looking "highly promisimg", 2 majors are looking at it now.
Yes, quite right, EOG was my real pig, lost half my investment on that one, feel 100 % better for letting it go though, xel will come right and with sle, like you, I will keep adding to the pot on any further dips, my main pots are now in bkir and lloyds, like you say, not all is lost until you sell at a loss, it makes you a little more astute on your next choice of investment though.
the update today is very good..streamlining the assets to production..its coming..like you searcher I believe in what the company if doing going forward ..and we will be rewarded..its not an if..or a when..its a we will be..fact..links
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