Turn the lights off and put us out of our misery. This is a write-off. My only regret is my better half put some money into this many moons ago and I feel partly responsible. I am big and ugly enough to admit I made a boo-boo with this one. To think I was once in profit here, a lifetime ago. There is no night in shinning armour coming to our rescue .The bod are probably laying claim to the office furniture with the remaining coloured post-it's. One hundred million shares or a couple of books of 2nd class stamps... Hmmmm tricky.
Sembmarine SSP was established in 2014 when Singapore�s Sembcorp Marine acquired Houston-based SSP Offshore. The company said its circular hull design offers fabrication flexibility because it can be built using simple block construction methods without needing a graving dock. In addition, this floater design eliminates the need for turret, swivel or Calm buoy facilities for production and storage operations or offloading. Currently, Xcite plans to develop Bentley, in Block 9/3b, via a mobile offshore production unit bridge-linked to the FSO. Sources said if a commercial agreement is reached with Semb�marine SSP, the FSO � with a storage capacity of 1 million barrels of oil � would likely be built at Sembcorp�s Jurong shipyard in Singapore. Norway�s Aibel is expected to build the Mopu using the ACE platform design from Arup. Sources said Xcite continues to work on financing for the Mopu and FSO, with the cost of the two units estimated by observers at $1 billion. Xcite is believed to have recently approached companies and funds in China, including China National Offshore Oil Corporation (CNOOC), Poly GCL Petroleum and Fosun Group, about possible farm-ins. Upstream understands Xcite management was in Beijing last month to meet CNOOC�s new president, Liu Jian, for talks over possible �co-operation�. Sources said CNOOC, which is said to have different views to Xcite on Bentley�s reserves, is facing a financing squeeze due to the low oil price but is open to talks about assuming operatorship of the asset. Xcite estimates Bentley�s reserves at 880 million barrels in-place of 10 to 12 degrees API heavy oil, but CNOOC is said to have a different opinion on the asset�s resource. A fund in Europe � possibly Macquarie European Infrastructure Fund � may also step in to provide a financing solution for the newbuilds, said sources, and also repay Xcite�s bonds due in June 2016.
PS. The authors of this article got it spot on in October 2014.
Sometimes we need to take a step back before we can move forwards- I suggest real shareholders take a wee look at this article-
part 1: Xcite looks to team-up with SSP for Bentley •08 January 2016 01:00 GMT •UK-based junior Xcite Energy is understood to be seeking a partnership with US-based floater technology provider Semb¬marine SSP covering the design and engineering of a cylindrical floating storage and offloading unit to develop its wholly- controlled Bentley heavy oil field in the UK North Sea, write Rob Watts, Steve Marshall and Ole Ketil Helgesen. •If it goes ahead, the new partnership would replace an earlier memorandum of understanding between Xcite and Teekay Shipping, reached in 2014, for the supply of a Sevan Marine- designed cylindrical FSO, said industry sources. •“Talks with Sembmarine SSP are under way, with no agreement being signed at the moment,” said a source. He added that Sevan, as of the end of last year, was still interested in the project, having called on a few yards in China, including Cosco and CIMC Raffles, seeking prices for its FSO proposal. Sevan Marine previously had an MoU with Cosco to build a facility for Bentley but commercial talks failed to progress because of the challenges Bentley has faced in securing financing, sources said. It is understood that both the Xcite-Teekay MoU and the Sevan-Cosco MoU have expired. Sevan declined to comment but a source close to the company said: “There is nothing to suggest the Sevan FSO unit is no longer relevant for the project but of course there is the possibility Xcite is looking at other solutions.” Xcite and Sembmarine SSP declined to comment.
not been in here for over a year but have been watching in horror. Important for new rampers to know that Xel got Bentley licence for free (effectively) i.e. it's worth nothing without investment, which aint going to happen anytime soon....
The sad thing is in view of the size of the asset there has not been more reported big boy interest and in view of the fact it has been proven up the extent and cost it has. In that regard one has to wonder how well and at what cost the asset has been presented by this mansgement to possible interested parties. If this clc's job he's been less successful in that regard than he was in pulling in punters to XEL.
One might think if anybigboy interest they'd want to move relatively soon in view of status of the bonds repayment soon and any move by the bondholders to call in their loan, also their possible larger involvement in the XER equity, but mainly with the run down of the lease, need to get the FDP out of the way, which other than funding looks good to go.
I'm intrigued at our ruse to 30p after hearing our woeful update date.
Any thoughts on the reason behind this as on face value were in a real mess and starring down the barrel.
Call me cynical however I'd guess it was to let those in the know out at a much better price whilst us mugs wait for eternity to see a sustained recovery and any hope of seeing our investments back let alone profit from years of misery.
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