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We have the deposit to lock in the rig following the placing on 15th February "These funds are expected to be applied principally towards a rig deposit, the drilling project team, a site survey, certain long lead items and a bank guarantee"
Keep an eye for an announcement any moment on a rig contract.
Key anticipated milestones
The Board anticipates the following key milestones for the Chuditch project in 2024:
· Site survey at the proposed Chuditch-2 appraisal well location in the first quarter of 2024
· Completion of drill funding and securing a rig slot in the second quarter of 2024
· Obtaining the required environmental and drilling approvals in the third quarter of 2024
· Well mobilisation, well spud and drilling results in the fourth quarter of 2024
Baron is preparing for operations to drill and flow test the Chuditch-2 appraisal well in late 2024, subject to the availability of a rig, drilling services and the completion of drill finance. In this respect, discussions are underway to secure a rig slot and on 12 February 2024 the Company announced that it had entered into contracts to conduct a site survey at the planned drilling location for the Chuditch-2 appraisal well. Contract Year 3 of the PSC, which commences on 19 June 2024, includes a commitment to drill an appraisal well by 18 June 2025.
The Chuditch-2 appraisal well location represents a significant updip step-out, which is 4.8km from the Chuditch-1 discovery well drilled by Shell in 1998.
Baron's key objectives from the Chuditch-2 appraisal well include:
· prognosing a potential 133 metre gas column, versus a 30 metre column at the original Chuditch-1 location
· validating gas resource estimates
· performing a production flow test (drill stem test) to enable future field development planning
Advanced well planning in relation to the Chuditch-2 appraisal well is underway. Baron is also evaluating potential gas development and export options.
Baron's current activities in relation to advancing the Chuditch project include:
· Discussions with rig owners
· Identifying potential logistical synergies with regional operators
· Progressing the environmental approvals process
· Preparing to conduct a site survey at the proposed Chuditch-2 appraisal well location
· Commencing the procurement process for long lead items
· Updating of the well design and costs
· Recruiting for key posts, including Well Operations, Health, Safety and Environmental and Procurement
· Ongoing discussions with Farm-Out and other potential funding partners, as part of the Farm-Out campaign
Yes but I think some one mentioned on here we have to have funding in situ to guarantee the slot ? So in principal it seems like we are pencilled in subject to funding ?
Is the way I am understanding it ?
I added 2 mil today avg down somewhat and believ me onwards and upwards or pot simmering now
GLA
Lots of potential drivers , long before the end of the year
Sunrise agreement - path to market to be built, opening up the value of gas to the Industry in TL Timor Sea waters.
Metinaro FID listed as by end of 2023 , or IN Q1 2024 (now)
Boil secure drill funding and confirm Dec slot.
Boil secure JV with a serious player (free carry 1-2 drill for x% of Chuditch)
Boil kicked out by a Major , for serious compensation (56% of Sun 5 tcf was $650m 2019)
even
Dunrobin JV or SOLD
Boil he’s drilling in the end of this year🤞
Does not work like that , to secure a FIRM rig slot, funding has to be in place long before that window arrives, or you lose the slot , to someone who can pay.
Now every fibre of AB's contacts and background, need to come to bear fruit, on that FINANCIAL certainty. GLA 🤔
Been in a few that have lost slots, one multiple times.🙄
Usually the share price goes down and attract more investors because of the low mkt And then MM will go even lower make some Weak investors panic and sell
Christoff
reading (or hoping) between the lines, that has been given (under NDA) Mitra planned to FLNG Chuditch when they took it from Shell under the Australian license, Andy and 3 others (think 3 of 4 from Mitra backgrounds) Formed Sundagas and arrived at the Island in 2016 training and developing TL's industry as they do to this day.
At no time in the past has Timor Gap shown any interest in assisting us, barely rated a mention in annual reports etc, now we have them , upping their stake from 25% FREE CARRY to 40% with a commitment to fund going forward, that initial move a saving of 8m over the next year, including a 1m cash refund.
Why do this now, if not going to support Andy and his teams FPSO plan
IMO, its still Chuditch, that is front and centre for their Metinaro and Domestic switch and supply to Gas/LNG by 2025/26
long before Sunrise/Beaco operational (last tenders by 2030/31)
It suited them on the grounds of revenues not to block Conoco from piping Bayu to Darwin , Island majority source of revenues 2005-2023. All developed and built under the OZ license pipeline and refinery in place.
It has to suit them to use their own gas, with a mates rates offtake with their own Gov NOC Timor Gap, rather than pay more for Imports from elsewhere🤔
Would just be more comforting to all, to come out and say say, give us that other option GREEN LIGHT, it would also seriously boost our position for JV/Sale partners.🤗🤩
With all this pumping share price is not going up, we need to wait for later in the year to get some solid news and that solid news could be disappointing is well
Having cleared the decks how long before he gets a YES from the P.M. !!! With whom he has a good rapport
Now fully expect, Meg to come back to the table with positive studies and an acceptance of what Gusmao/Horta have stalled the area with for 22 years, Beaco to be built , with at least one , TL permitted route to market , our gas like Woodside regains value from $0.00c on the books.
The two projects to a developer , Sunrise $65+ Billion (2021 o&g conference 30 year life - pre gas price boom) for its 5 tcf
Shell had Chuditch 5+ tcf with lots of upside but lets stick with Boils snail paced limited license area catch up (800 sq km v 3,571 sq km) which has 3.5 tcf plus upside. Makes Chuditch worth around $40 billion with upside.😲🤑
Woodside had its 34% of Sunrise on its books valued at hundreds of millions of $'s , before marking down year on year ,until reaching $0.00c in 2019?. Gas prices have risen, so on a successful Sunrise outcome, you would expect Woodside books valuation to swell back to those $100's of millions.
As a result of 22 year impasse ending, likewise Chuditch should also soar in value, to both the market and potential JV/Sale to the upper echelons of the wider Industry. (where there is 30 years of profits to be made , there is GREED)
Both Gusmao (set in stone Island option) and Meg on her U turn, have recently made comments , suggesting at last both parties are ready to push the project forward and study results are expected soon (Dictionary version or most ceo's ?😂)
End of the beginning and the start of phase II of PSC about to commence
(years 1-3 psc now over 4 years - phase II we drill and develop)👍
Apologies, the syntax fell over in places on that pick and click. 🙄
PART 1
Meg only 3 days after the 1001 st deadlocked meeting still wanting to go to Darwin, did a massive u turn, saying will have another look and do more new studies , with emphasis on TL onshore processing (Sun Hub/Beaco).
It appears Darwin is very much being expanded, the assets ref'd to are from ONSHORE Australia, Beetaloo basin heading to Darwin and Carbon wastes it would appear, will be heading to Bayu, via Santos current Darwin - Bayu pipe, new input pipe for that production being from the New East Barossa HUB (Santos) with Evans Shoal (ENI) also expected to use that HUB.
West from the Giant Ichthys field feeds the other side of Darwin, so Bayu set for at least 3 major OZ carbon outputs
Barossa HUB , Ichthys and Beetaloo basin fields. That should be more than enough to hit its 10m tpa storage target.
Northern Territories
Before Labor invests $1.5bn in Darwin harbour’s Middle Arm precinct project, it needs to look beyond the spin
How do you sell a major expansion of gas exploration in the face of commitments that Australia will reduce its
greenhouse gas emissions to net zero by 2050?
The answer is a combination of spin and reliance on carbon capture and storage technology. Like the emperor’s new
clothes, the planned Middle Arm sustainable development precinct on Darwin harbour in the Northern Territory is
being elaborately embroidered by the Albanese and Fyles governments with green phrases: “green hydrogen” “carbon
capture and storage”, “sustainable industry” and “decarbonisation” – when in fact most of the project will be devoted to processing fossil gas from two proposed natural gas fields and petrochemical production – activities that critics say will add significantly to Australia’s carbon emissions.
PART 2
Its claim to being “sustainable” hinges on the implementation of CCS, including a project Santos plans to build at
the depleted Bayu Undan gas field 500km north-west of Darwin in waters controlled by Timor-Leste. In turn, that CCS project is likely only to be viable if the massive planned gas expansion in the Beetaloo basin, as well as petrochemical manufacturing at Middle Arm, go ahead. New documents obtained under freedom of information laws show this
chicken-and-egg thinking is a crucial part of selling the interconnected developments.
The Middle Arm project is seen as a key enabler for Beetaloo gas to be transported north, further benefiting the NT economy one briefing document from the federal environment department says.The concentrated sources of CO2 from
industrial processes at Middle Arm will improve the feasibility of carbon capture and storage. This will support the
social licence of the Beetaloo Basin gas extraction and help meet the territory’s commitments not to increase emissions.
Bayu dismantle and reconfiguration of its platform, has additional new inputs being built, for wastes from other than the Darwin - Bayu pipeline, including transfers from shipping.
Does appear, it also leaves plenty of scope for another Carbon storage facility in the area, something touched on by Boil in the past as a possibility at Chuditch down the line. 🤔
So much to come!!!
Ties in with recent RNS statement:
"The Directors also consider that the Farm-Up allows for early engagement to secure a drilling slot"
Looks like the Valaris 247 could be our rig, a rig contract announcement is due per RNS. Slide clearly states:
"Subsequent slot available to Sundagas"
"Sundagas Chuditch (40days)"
https://x.com/AiMTrades1/status/1769645799296696662?t=RZka7J19gOeV-l-ZoZdJmA&s=35
Source link:
https://www.facebook.com/photo/?fbid=3043831915748405&set=a.738275799637373
Https://x.com/AiMTrades1/status/1769645799296696662?t=RZka7J19gOeV-l-ZoZdJmA&s=35 rig could be the valaris 247
Secret squirrel think we would be better off dumping the the North Sea assets and concetrating on Asia.
Japan’s largest utilities — including JERA, Tokyo Gas, Osaka Gas, and Kansai Electric
Based on figures from the Japan Oil, Gas and Metals National Corporation (JOGMEC), LNG sales by Japanese companies to third countries surged from 14.97 million tonnes (mt) in FY2018 to over 38 mt in FY2021.
So Japan not only getting it for themselves, large scale offtakes, also being sold on to 3rd party countries.🤔
PART 2
These efforts are part of Japan’s broader strategy to enhance its self-sufficiency in oil and gas from 33.4% in 2022 to more than 50% by 2030. The industry ministry’s budget request indicates that Japan plans to allocate approximately Y108.2bn ($733m) for oil and gas exploration and asset acquisition in the fiscal year beginning in April. This would be a significant increase from the current year’s Y47.9bn.
“Natural gas and LNG will remain an important energy source even after the realization of a carbon-neutral society,” Takahara said. Under JOGMEC’s five-year business plan initiated in April last year, the goal is to increase Japan’s equity oil and gas offtake by 70,000 barrels of oil equivalent per day, reaching 1.05 million by March 2028. The plan underscores Japan’s commitment to natural gas as a vital energy source. 👍
About 18 months ago Japans primary Investment bank set up a MOU with Woodside , to go out and make acquisitions that would provide Japan with Gas/LNG security for the next 15-20 years. It also stated, all Japanese companies assistance would also be available if required (Inpex , City Gas firms etc) Just came across this from a few weeks ago.
Japan’s Organization for Metals and Energy Security (JOGMEC) is set to provide financial backing to domestic companies investing in NEW LNG projects
Japan to boost LNG project investments
The super-chilled gas is a critical component of the nation's electricity energy mix, accounting for 34%. The move aims to bolster Japan’s energy security by ensuring a stable supply of LNG. The super-chilled gas is a critical component of the nation’s electricity energy mix, accounting for 34%.
As the world’s leading LNG importer, Japan has seen state-owned JOGMEC previously support numerous LNG ventures, such as Indonesia’s Tangguh project, through equity investments. In an interview with the publication, JOGMEC chairman and CEO Ichiro Takahara said: “We have received several queries from Japanese companies regarding NEW LNG projects and we are preparing to decide on financial assistance.” 🤔
Maybe that will happen in 2032
I wonder whether Andy will bring another SE Asia asset into Boil? Sundagas have looked at quite a few in the past