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It might be from a rag but the contents marry with the Hess webcast :
https://www.guyanastandard.com/2019/11/15/stabroek-block-has-heavy-oil-too-hess-ceo/
Heavy oil is more common in the Tertiary plays than the Cretaceous and it's primarily a depth and seal issue. In the shallower intervals, over tens of millions of years, bacteria invade and literally consume the lighter oil. It's probably the first known biodegradable event on the planet.
John Hess indicated in their experience that in their experience the oil gets heavier as you move in shore. The questioner did not ask for clarification whether this was a geological anomoly or not.
Now, their going gung ho at production/FEED/FID so it clearly is of little concern to them.
Kumakka is aligned to many of their drills for distance from shore and is in the cretaceous and straddles both Tullow licences in Guyana.
The money spent on Hammerhead indicates they believe it is commercial but it cost more in appraisal to ensure the characteristics across the field.
This is by some distance the best opportunity open to Tullow and as their other strategy options fail to move thr SP, it becomes the key catalyst for them to make their own jobs safe. Higher oil prices/better tha guided production will give wiggle room on cashflow and there is $30m or so unallocated in their exploration budget at this point in time.
Unlikely last week has moved to possible this week - due to the strategic imperatives it will I think continue to increase in probability and pulled further forward.
Both share prices reacting well so far.
Lol only thing proselnes will come up with is more of his bs... guy must have nothing going in his life.. not invested here, doesn’t want to be either.. and her finds time everyday to post bs and warn us about the crooks that are running this co lol
from memory a Hess exec said re heavy Oil Hammerhead to Mr Leggitt during a post presentation Q&A. Was positive though. I think.
Hi e-Jay,
Well, that's a 'black swan' type of question !
I've trawled and found nothing from Exxon.....and we've recently had John Hess (of Hess, partnering Exxon) spouting about the qualities of Guyanese geology inshore from Hammerhead, declining to be drawn on his own fields quality , in what some might consider 'pot-stirring'.....
Maybe Proselenes will come up with something.
ATB
Hi Extrader,
Is that true, that Exxon haven’t actually made public the quality of the oil at Hammerhead?!
Hi Proselenes,
You ask a good question : .."can you point me to OFFSHORE oil fields producing 11API and 5% Sulfur and also where the demand for this Super Heavy and Super Sulfur content oil is coming from ?????"
after pointing out how long TLW took to come 'clean' (geddit ?) on Jethro outcome.
How about adjacent Hammerhead, where AFAIAA tier 1 oilco Exxon as operator has yet to disclose its oil quality, yet nevertheless seems happy to proceed to the development phase.....this would be the Exxon that made the Hammerhead discovery in August 2018, ie over a YEAR before Jethro/Joe drills....
Jury still out, I would say.
ATB
Wow........please write it properly.
The CPR might suggest POTENTIALLY 3 billion barrels in the Cretaceous........or maybe nothing, or maybe something. It will not say there is.........will just highlight the potential that there might be or might not.
Mind you....... BPC also has billions of barrels of potential oil in the Bahamas............ potential is just that, its meaningless unless its supported with discoveries in the actual license area.
For TLW Guyana is probably more valuable not drilled - than drilled. If they drill and fail, like finding just 4m net pay at Carapa........then it loses its value. If its not drilled and just potential - then they can use this to raise money against when they most likely do a big fund raising end of 2020 or early 2021.
Part of their fund raising paperwork will say..........raising funds to drill exciting prospects in Guyana........... carrot for the donkeys.
Thats why I feel TLW will not drill in Guyana until 2021 - after they do a big fund raise.
IJWT, posted same time. Yes you know its hedging toward maybe TLW making (war footing) type decisions and need a good steer.
I bought into them @51p (how good was that! Anyway all to play for.
Was thinking that maybe there might be a difference of opinion between Eco and TLW. we saw the slide yesterday Gill was promoting (twi**er) (think that was very resent) its still positive sentiment, it hadn't changed.
TLW seem to be struggling a bit at the moment. I guess in March it will become clearer.
Wallact
I'd suggest Tullow have been firefighting and dont know where to look first. However, there is clear disappointment at their initially proposed strategy so they seem to be actively reconsidering.
Unless the incumbents can improve the share.price in the short term the market will take a dim view of any of their prospects for the top job. That means their at risk if someone new comes in with a new broom. Hence, how do you get the much needed bump back in the SP.....so you have a chance at a continuity candidate? Exploration and the 228m barrels in Peru isnt going to do it on it's own when they have a net interest in 3bn barrels plus of Cretaceous in Guyana.
One drill could provide proof of concept for those 3bn barrels and is a billion barrel target on it's own. That must be slowly sinking in to management.
proselenes; Yes I noticed the TLW Oil quality ref in the slide, was a bit disappointed by that.
I also note the the second and third Hammerhead drills were further from the shelf! So kind-of East.
So why have TLW gone a bit cool on the Cretaceous targets? Or have they?
Name me an OFFSHORE field producing 11 API and 5% Sulfur.......
OFFSHORE you would have to drill so many wells and incur so much cost - its just not viable as an economic investment.
Nowhere have TLW said they might not drill Suriname. TLW have said 2 confirmed drills for 2020.... Peru and Suriname.
Show me an RNS where TLW say they might move things around................not BS posted on bulletin boards.... RNS from TLW please.
Proselenes,
So as you’ve constantly stated this share is terrible and there is nothing happening and no good news here till end of the year at the earliest, can we assume you have no reason to be posting here and say our goodbyes to you for a good 11 months?
Proselenses
The sulphur is known and can be removed, it is a refining cost. The API may be mitigated by the over pressure, temperature and.mobility. The sulphur is a discount to the barrel.price, the API may not increase extraction costs as much as it.would without the mitigating factors. Jethro and the channel are 500m barrels plus and Hammerhead with potentially similar qualities is likely to go into production. Not ideal news but it remains a very large oil accumulation.
As for the drilling, in week they've (Tullow) moved from no wells to possibly 1. The market clearly wants them to drill and the budget is there, Peru is c.$30m cost and Suriname likely $20m. Kumakka would be around $15-20m for them.
They've said they may.move Suriname and might yet.do so in favour of Guyana as the petroleum system there is more proven and higher CoS.
Time will tell but drilling already looking more likely within a week as their share.price remains tanked.
So this tells us that TLW - who are the operator and will decide the future plan - are intending to discuss at the upcoming meeting the option of 1 well in Guyana in Q4 2020. The meeting will discuss whether to go ahead with 1 well in Q4 2020 and which target to drill.
However most likely to save money they will push drilling to 2021 and drill 2 or 3. We shall see in due course when TLW decide the next Guyana steps as operator - and which ECO have to follow as a minority holder.
Also note the TLW presentation confirms explo drilling for 2020, confirmed, is as I said. Peru 1 well and Suriname 1 well.
https://www.tullowoil.com/Media/docs/default-source/3_investors/tullow-oil-plc_overview-presentation_Jan-2020.pdf
They put just 1 option well for Guyana - in Q4 2020 - which will mean most likely its 2021 at the earliest.
.
Finally TLW admit what some of us were saying for a long time - in their latest presentation.
circa 5% Sulfur and circa 11 API.
https://i.ibb.co/zFkTFC5/TLW.jpg
Now then, can you point me to OFFSHORE oil fields producing 11API and 5% Sulfur and also where the demand for this Super Heavy and Super Sulfur content oil is coming from ?????