Don't ask me where, but i thought I'd seen some mention in XEL blurb about 70k/day bbls being attainable. Wonder if the extra 4 wells planned for the ACE might help in that regard, plus phase 2, to revise upwards the max production figures, at some point in the far now future. One just gets a feeling that once things are in full swing thre will be more production from the Bentley tank so to speak, what's indicated so far is conservative. Jmo.
ugie, I think you also have to look at the new technologies employed at Bentley by the main contractors, Schlumberger and others. Not to say XEL don't have any brains on their technology staff, but clearly with no specific patents in place at best XEL are on a step out from the existing general knowledge base on the subject of HO recovery.
Why is it inherently a surprise that they are able to extract it for $35 a barrel? When the harding oil field came online (which had some of the heaviest UKCS oil at that time), it was noted for having one of the lowest development costs in the North Sea.
It doesn't mean Xcite have got some innovative IP.
Again, if Xcite really had some amazing method of extracting oil that no one else had figured out, they would have been taken out in a new york minute.
Xcite have not found a unique and innovative method. They are utilising existing methods coupled with a reservoir that supposedly has amazingly good properties. It is the reservoir conditions that are key to this. Reservoir conditions that Statoil wanted to see data for, and managed to get for a bargain price.
The trouble with all these little bits of innuendo about how great things are is we're so used to none of it actually coming true. As a reminder, here are some quotes from an old article flagged up on the III board today. It was written FOUR years ago.
----------- As a result, the overall oil field development project will take marginally longer than previously thought to bring on stream.
The revised plan means that Xcite can still achieve first oil next year, as it originally planned, but Phase 1B is planned for 2013 and Phase 2 pencilled in to start in 2016.
Cole says there is a very carefully put together programme that is due to fall into place in the coming weeks, in which the company plans to inform investors in full and in an orderly manner.
Against the backdrop of very difficult economic conditions we have constructed something which we believe will still maximise shareholder value,” he said.
“We are still aiming to achieve what we wanted to achieve with the Bentley field, it is just going to take a little longer.”
“And the value [of the project] has been maintained. From a shareholders perspective we haven’t lost any of the project’s value, and that is important to point out.”
DECC is expected to approve the revised development plan in the coming weeks and after that work will begin.
And you wonder why people are starting to lose trust and get impatient?
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