Because we are an oil exploration company. That's how web make money and flowing oil will boost cash flow. We generate cash, pay back LO and at current oil will makes money. Just need to drill.
Still on the whole I think the overall mood is unnecessarily low. Everything is progressing. If it wasn't for our history we would be more cheerful. To be fair though it is hard to be cheerful with that history.
Why rush to get the remaining drills into production while the POO is still quite low, better to focus energies and costs on developing waterflood for now. The delay is with RRDSL after all not with the Tanzanian authorities it seems.
Just to think that there were posts here suggesting that we use the delay in docking time of the rig delivery ship to complete all the relevant paper work for signing off the new rigs. Can someone in the O&G industry explain what it is that needs to be done that takes six months for a rig to get approval?
Range provides the following update on its Trinidad operations with the following highlights:
· The approval to spud the MD 51-2 development well has been granted and the well is expected to spud early next month;
· Workover programme on the existing wells has been reviewed to focus on the most economic wells; and
· The credit terms provided by LandOcean on drilling services and PO1 have been extended by further 12 months, to allow the Company to repay credit from future cashflows once production ramps up.
Range is pleased to advise that it has received the approval from the regulatory bodies in Trinidad to spud the MD 51-2 development well. As previously announced, this will be a directional well to be drilled to a total depth of 3,900 feet to test the Middle and Upper Cruse sands, which were encountered with the MD 250 well. The initial log evaluations on the MD 250 development well identified multiple hydrocarbon bearing zones, with an estimated net pay of over 140 feet.
The well will be drilled from the same drilling pad as the MD 250 well, using a 4,000 metre rig. The wellhead is located approximately 20 feet from the MD 250 well and the drilling company RRDSL is in the process of moving the rig to the well location. The Company expects to spud the well in July and will provide a further update to all shareholders upon spudding. In line with safety requirements, production testing operations of the MD 250 and MD 51-2 wells will be performed only once all drilling operations on the pad area are completed.
This is the second of the six well drilling programme which Range has planned for 2016. The remaining scheduled wells include two development wells in Morne Diablo, one development well in Beach Marcelle, and one exploration well in the Guayaguayare block.
RRDSL's further three new drilling rigs are pending final approvals from the Ministry of Energy and Energy Industries (MEEI). Approvals cannot be granted until all documentation on the rigs, as requested by the MEEI, is provided by RRDSL. RRDSL is working on acquiring the requisite documents for submission to the MEEI. As advised by RRDSL, approvals are expected to be received in Q3 2016.
As part of the Company's ongoing cost management, Range has completed a workover programme review. As a result, the Company has reduced a number of workovers to focus on the most economic wells. Range will keep the workover programme under a regular review and carry on workover operations on the most profitable wells.
Range continues to focus its efforts on the longer term growth from waterflood projects and development drilling. The Company conservatively estimates that the five development wells from the 2016 work programme will add approximately 500 bopd to current production levels by the end of this year. Range reiterates its previous production guidance of 2,500 barrels of oil per day (bopd) by the end of 2017, with the majority
Oil continued to rally yesterday as potential disruption from Brexit was priced down by equity markets although with only two days to go it seems all is still to play for in the UK. July WTI expires tonight and although crude is off around 30 cents this morning the August contract remains quite well bid. Watch natural gas creeping up towards three bucks, spies, including the PANR partners have all been saying that upwards momentum will hold…
Can someone explain to me the opening trade of the day, 117 shares for 43pence, how is this possible, even an electronic trade, why would someone do that, and shouldn't there be a minimum value so as not to distort the market.
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