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Manyana: "It clearly states that the only license Providence has is SEL.1/1 which is still clearly owned and active contrary to your statement ."
Can you read? It says in black and white that the license expired in July 2021. An expired license is not an active license. Providence's own annual report says that the exploration license expired in July 2021. Take your weird ideas up with them.
Manyana: "If Providence was not the "owner" of SEL.1/11 after June 2021 why did they allow them to do a site survey"
The site survey authorisation was granted in February 2021 while the exploration license was still extant, and continued to be valid thereafter.
Where did you get your information from?
Here is the current list of licenses submitted by DCAEE to the Dail in March 2022.
It clearly states that the only license Providence has is SEL.1/1 which is still clearly owned and active contrary to your statement .
If Providence was not the "owner" of SEL.1/11 after June 2021 why did they allow them to do a site survey as per the following:
Did Providence carry out the survey? Yes, completed in November 2021.
So it has complied with all requirements aka SEL. 1/11 even though you say it did not exist after July 2021.
So where does all your bulls**t come from?
Manyana: "When did Providence apply for a petroleum license? It's current request is under the standard exploration license until they have drilled the exploratory well at "K". If that is successful they will then apply for a petroleum license. Until then they are subject to standard exploration license SEL. 1/11."
Providence's exploration license expired on July 13th, 2021. They submitted an application for a Petroleum Lease Undertaking in April 2021, which is under consideration. That is the only "request" they have outstanding. If they are to drill an appraisal (not exploratory) well at site K, it will be under the terms of the Petroleum Lease Undertaking. They cannot even *apply* to drill anything until the lease undertaking is granted.
If you're not clear on this, what do you imagine they are waiting for? Especially since, according to you, they were set to discover lots of oil during a seabed sonar survey (even though that's impossible), and a single well at site K can unlock vast quantities of oil (even though PVR themselves say they need 10 wells -- 5 production and 5 injection -- just for the first phase of an initial field development).
When did Providence apply for a petroleum license? It's current request is under the standard exploration license until they have drilled the exploratory well at "K". If that is successful they will then apply for a petroleum license. Until then they are subject to standard exploration license SEL. 1/11.
20th December 2021:
"The receipt of a Barryroe Lease Undertaking would provide PVR and its partner Lansdowne Celtic Sea Ltd. ('Lansdowne', our 20% partner) with an exclusive right to apply for a Petroleum Lease (a) for a defined period and (b) in return for an agreed work programme. The Lease Undertaking is a natural follow-on from the Barryroe SEL 1/11 exploration licence. The grant of the Lease Undertaking would allow PVR, together with Lansdowne, to proceed with the execution of the Barryroe technical strategy. The work proposed during the period of the Lease Undertaking is designed to reduce uncertainties, to confirm the extent of hydrocarbons across the field segment targeted for initial development and thus, potentially, to lead to a declaration of commerciality and the award of a Petroleum Lease, subject to both
Ministerial consent and our anticipated phased development scheme."
"Perhaps you know something the rest of us do not know and Providence have secretly applied for a petroleum license but the last information I am aware of is the statement as of 20th December 2021 above which clearly states they are still subject to SEL.1/11 until they have drilled the appraisal well at "K" and then they might apply for a petroleum license.
Perhaps you have insider information which you might like to share with us.
"The receipt of a Barryroe Lease Undertaking would provide PVR and its
Manyana: "I mentioned the 1992 document which was further clarification to the original law which was set years prior to that."
The 1992 document is not a statutory instrument. It does not have the status of law at all, let alone being "the official and current law". You suggested Varadkar might "like to point out where his contention [about needing financial backing] is covered in the Licensing Terms for Offshore Oil and Gas Exploration and Development 1992, which is the official and current law". I showed you that it's there in section 3. It's not "the law", but it doesn't matter because the 1960 legislation already grants the minister the right to do everything that's in the 1992 document. If it didn't, the 1992 document would be illegal.
Manyana: "But one element in that original document, which was a law, stated 'such lease shall be made subject to the payment to the Minister of such moneys ....' ... In other words, if the minister was being paid a fee for the license, it was a legal entity that the minister was not the custodian of the lease unless the lessee did something illegal."
You will find in Chapter 3 section 6 of the legislation that there is a clear distinction between:
a) the licensee under an exploration licence, a petroleum prospecting licence or a reserved area licence which is for the time being in force and includes that area,
b) the lessee under a petroleum lease which has not expired and which includes that area.
Each term is then separately defined -- petroleum prospecting licenses (section 9), petroleum lease undertakings (section 10), and petroleum leases (section 13). You are quoting section 13.
PVR DOES NOT HAVE a petroleum lease, has never had a petroleum lease, and has never paid money for a petroleum lease. It paid for an exploration license, which expired in July 2021 and at the end of which "the Licensee is required to either forfeit the licence or apply to the Minister for a successor authorisation, which could be either a Lease Undertaking or a Petroleum Lease".
Manyana: "So, has Providence been paying a fee for the Barryroe license, is it still paying a fee for the license? If so, Ryan will end up with a big bill for all the payments Providence has paid over the years if he tries to crush the lease".
THEY DO NOT *HAVE* A LEASE. What's more, the terms of the extension of the Barryroe exploration license to July 2021 (previously 2019) included a commitment to assess the potential of the underlying Jurassic which, as far as I'm aware, they never did due to the APEC failure. So PVR could be accused of not even carrying out their commitments under the exploration license, let alone not qualifying for a lease undertaking by way of lack of financial resources which the minister is entirely within his rights to consider.
PVR can certainly make the case that they should have the right to progress their involvement in Barryroe through its normal course, but it is by no means a slam dunk.
As usual ps200306 has nothing better to do than nit-pick. No wonder you retired in your forties. You had obviously taken on the role of an "old man" by then and are now probably heading for senility.
I mentioned the 1992 document which was further clarification to the original law which was set years prior to that. I will not point out what that document was but its rules stood and were just expanded by the 1992 document.
But one element in that original document, which was a law, stated "such lease shall be made subject to the payment to the Minister of such moneys, whether by way of fine or preliminary payment or by way of rent (including a royalty rent) or by any or all of such ways as the Minister, with the concurrence of the Minister for Finance, shall think proper and shall agree upon with the lessee;"
In other words, if the minister was being paid a fee for the license, it was a legal entity that the minister was not the custodian of the lease unless the lessee did something illegal. Providence has paid millions of euros over the years for the Barryroe license. Will Ryan pay all that back?
So, has Providence been paying a fee for the Barryroe license, is it still paying a fee for the license? If so, Ryan will end up with a big bill for all the payments Providence has paid over the years if he tries to crush the lease and he will not be able to get that through the Dail because of the "money message" which killed the Brid Smith Bill in 2019 when she tried to kill all oil and gas leases. The outcome was that all current licenses stand but no new ones would be issued.
It should also be noted what Varadkar said in 2019 and what he is saying now which is based on his "fear" of Ryan. Ryan is like the lion tamer in the circus ring, cracking his whip while all the lions ( or are they monkeys) keep hopping around from pillar to post.
Manyana: "And Veradkar is talking through his hat when he says " “My understanding is that to get the renewal, part of the process is that you have the financial backing to actually do it,” Perhaps he would like to point out where his contention is covered in the "Licensing Terms for Offshore Oil and Gas Exploration and Development 1992" which is the official and current law."
The Licensing Terms are not a statutory instrument so they are not any law at all, let alone "the official and current law". As to Varadkar's point, apart from nitpicking about the difference between "financial backing" and "financial resources available", he is quite correct:
1.5 The receipt of an application will not create any obligation on the part of the Minister to grant any authorisation.
3. In considering an application the Minister will take the following into account having regard to the authorisation applied for:
(a) the work programme proposed by the applicant;
(b) the technical competence and offshore experience of the applicant;
(c) the financial resources available to the applicant; and
(d) where relevant, previous performance by the applicant under any authorisations to which the applicant has been a party
Manyana: "to think that since 2012, with all the latest technology in seismic that they do not know a lot more now than they did back then when they declared it commercial would be unthinkable."
There has been no new seismic on Barryroe since 2011. In any event it is no guarantee of success -- they had the same sort of 3D seismic for Druid/Drombeg, which was a complete dud. That's why appraisal drilling is needed in combination with seismic. The 2012 48/24-10z well established the presence of an oil-bearing interval, and the seismic allows the areal extent of that vertical interval to be modeled.
Manyana: "What I believe is that the number of wells has been the issue. Barryroe was original defined as a "shallow" field (25m) covering a large amount of ground that would have needed 24 wells due to the possibility of non-contingency so the current assessment, in my opinion, is that they have assessed that the K area of the Barryroe field is the "sweet" spot which will mean it will supply huge amounts from a single well, hence the appraisal."
This is an impossibility. The assessed volumes are based on the vertical and areal extents of the oil bearing interval, and the porosity and oil saturation of the rocks. The productivity potential of any given well then also depends on the permeability of the rocks and viscosity of the oil. Even if you could get the whole billion barrels out of one well (which you can't) but it was at 10,000 bbl/day, it would be no use. Providence themselves estimated that a single 1000 foot horizontal well could do 11,000 bopd under natural lift. Any real development plan would have to be doing ten times that at peak. The only question is what is the smallest commercially viable early field development scheme
Confirmation that it is Sean O Driscoll ex Glen Dimplex CEO is a further vote of confidence in the company
He and Larry Goodman together would be a deadly duo along with Nick Furlong. These business leaders would not be investing unless there was a prospect. These are the ones over 3% who have had to declare interest, I suspect that there are other powerhouses from Irish business invested via nominee accounts or are just below the 3%
That is Sean O'Driscoll's company. I think people were wondering if he had taken a stake a while back. Well it is official now.
Larry ( Laurence Joseph) Goodman ( b 1937) & Sean Mooney (b1949) are the two directors of Vevan.
Larry might be the figurehead but it is actually his sons who are the active members of Vevan Management. Those key members are: LAURENCE PETER GOODMAN and LAURENCE JOSEPH GOODMAN who are both sons of Larry.
And Veradkar is talking through his hat when he says " “My understanding is that to get the renewal, part of the process is that you have the financial backing to actually do it,” Perhaps he would like to point out where his contention is covered in the "Licensing Terms for Offshore Oil and Gas Exploration and Development 1992" which is the official and current law.
And again, I would like to point out that they are obviously convinced there is vast oil at location "K". Otherwise why are they putting blockers in the way. If Providence spends millions on developing a damp squib, why stop them.
I note Menton's reference to "legislation". Roll on Rockhopper and hope they are granted millions in lost revenue. You will see this Crazy Gang run for cover if that happens when Providence threatens to sue the government for millions. Menton is not an oil man. He is a heavyweight legal bruiser.
Article in The Currency by Tom Lyons
Larry Goodman raises his stake in Providence Resources
Billionaire beef baron Larry Goodman has upped his stake in the owner of the Barryroe oil field.
22nd Jun, 2022 - 2 min read
Larry Goodman has increased his stake in exploration company Providence Resources to 8.8 per cent, a move that makes him the third biggest shareholder in the company.
London-based Kite Lake Investment Management owns 10.18 per cent while Pageant Investments, the investment vehicle of the Furlong family, controls 9.35 per cent. Nick Furlong also owns another 3.31 per cent of the company making the Irish family the largest single shareholder in the company.
Goodman owns his stake through Vevan Unlimited Company. The tycoon first bought into the company just below the 3 per cent disclosure threshold in April 2021. He later increased his stake after buying shares from M&G Investment Management and others.
Providence Resources recently raised $1.8 million through the issue of placing securities and subscription securities from its existing shareholders. Goodman took up his full position and may also have acquired other shares. The fundraising by Providence is to be used to fund the company as it seeks to develop its Barryroe oil field off the coast of Cork.
To drill the appraisal well, Providence needs to get sign off from the Minister for the Environment, Climate and Communications Eamon Ryan. However, the Green Party leader is, so far, refusing to do so. Providence chairman Jimmy Menton told The Currency in April: “You would prefer to convince any government and any minister that your case has merit. So the last thing you really want to be forced into is the situation where you look at your legal options.”
Tanaiste Leo Varadkar told The Currency last weekend he wasn’t sure how such a large project would be financed. “My understanding is that to get the renewal, part of the process is that you have the financial backing to actually do it,” he said. “These drills cost like a hundred million or something, and part of the condition of renewing a licence is that you are able to demonstrate that you have the financial wherewithal to make use of it and I think that may have been the issue.”
Goodman, one of Ireland’s wealthiest businesspeople, certainly has the money to do it. By increasing his stake in Providence Resources, he is certainly signalling he has not given up on a company which has been a rollercoaster ride for investors over the last decade.
All it needs is another small plunge into the market and he will be our largest shareholder .
Interesting to note that Larry goodman’s investment vehicle , vevan has doubled its shareholding . It’s now stands at 8.8%. Obviously Larry is keeping the faith
Tánaiste: Government would have to intervene if there was a ‘dramatic escalation’ in fuel prices
Is this the same fuel the government don’t want !!!!
Hopefully the Irish government have a plan!,..GL S
IEA chief warns Europe to prepare for total shutdown of Russian gas exports
“The International Energy Agency has warned that Europe must prepare immediately for the complete severance of Russian gas exports this winter, urging governments to take measures to cut demand and keep ageing nuclear power stations open.”
“Fatih Birol, the head of the IEA, said Russia’s decision to reduce gas supplies to European countries in the past week may be a precursor to further cuts as Moscow looks to gain “leverage” during its war with Ukraine.”
While the Taoiseach speaks about fuel costs ! It is ironic that necessary fuel may be in short supply , necessary fuel will rise to higher unaffordable prices.
Necessity is the mother of invention But Michael Martin , Eamon Ryan and Leo Varadkar do not want Ireland to supply the necessity that is tumbling our economy.
Idiotic irresponsible leadership
There is no doubt in my mind that Barryroe is commerical.
to think that since 2012, with all the latest technology in seismic that they do not know a lot more now than they did back then when they declared it commercial would be unthinkable.
What I believe is that the number of wells has been the issue. Barryroe was original defined as a "shallow" field (25m) covering a large amount of ground that would have needed 24 wells due to the possibility of non-contingency so the current assessment, in my opinion, is that they have assessed that the K area of the Barryroe field is the "sweet" spot which will mean it will supply huge amounts from a single well, hence the appraisal.
I also believe Ryan et al. are also aware of this and that is why he is delaying the well. Otherwise, why bother, if Providence were just going to come up with a dud. Why not just let them get on with it knowing it was a wild goose chase.
As for Martin's crazy notion the other day that Ireland was sufficient in gas and oil because we don't get it from Russia. Does he think, now that the UK are no longer in the EU, that they are going to play "goodie-goodie" when it comes to supplying us with gas and oil. If Putin can turn off the taps to Germany, Boris is quite capable of doing the same to us.
God bless Martin's innocence. They were always a bit thick down in Cork. Like the old joke "Why do Cork men have red necks?" Answer. "because their father's keep slapping them there saying, "Get up to Dublin, get up to Dublin".
A small snippet on Barryroe in Pat Rabbitte’s Business Post article and the suggestion that the soon to be released energy security review, may perhaps provide the political cover for the lease undertaking to be granted, which makes a lot of sense,…GL S
“Experts suspect that the Barryroe oil and gas strike off the south-west coast may change that and could offer significant commercial finds. Barryroe was licensed before the ban on exploration and is awaiting the necessary permissions for further drilling to confirm if it is commercially viable. After the Corrib is exhausted, such an indigenous supply would ease the pressure.”
“The department is due to publish a major report on energy security that it commissioned before the Ukraine invasion was anticipated by anybody. Presumably, it will provide clarity on general policy direction and enable not just a decision on Barryroe, but also on the future of the proposed LNG terminal at Tarbert, in north Kerry.“
The fuel shortages at the pumps in a few months from now should focus the spot light on Barryroe
Another possible view of events!!!
At Wednesday’s debate, the Greens and then Brophy, the FG spokesman, said they don’t comment on licence’s that are been processed.
On the following afternoon, Thursday, the interview with Varadkar took place. To be fair he did comment on the licence , pointing out what he believed the issue was. His comments were double checked and confirmed by the journalist with a phone call to Varadkar’s aide.
On the following day, a quick fire fundraiser was initiated and completed.
I am sure the Providence board will be straight on to Leo Varadkar in the morning and ensure he is fully appraised of all of the relevant facts and fair play to the RIG, they have certainly put Barryroe front and centre right across the political spectrum and have also exposed Ryan’s ludicrous contributions to the debate in regards to indigenous O&G assets and in particular the viability of Barryroe, the elastic is now at breaking point for Ryan and Friday’s fund raise completed in the space of a few hours, underlines the strength of support in the background and you sense that the lease undertaking is very much within reach now,…GL S
The Green Agenda is very aggressive TheShen. They are careful not to engage with the debate around the need for oil and gas instead choosing to demonize the industry. For example Caroline Lucas mentioned that it takes thirty years to drill a new well. Providence need to take a leaf out of her book - drilling a well taking six weeks, shipped ashore to Whitty, refined immediately and straight on to the forecourt, and due to extra supply, lowering the price to the customer. One of the problems for some countries is the lack of refining capacity, a problem that Ireland does not have,as oil from Barryroe would replace imports.
Putin earned $20bn from oil in May alone .In the whole of 2021 Russia earned $110bn from oil , so his revenue has more than doubled. I agree with you Battle ,time for Europe to come up with the goods and accept there are now other factors stronger than the Green agenda.