Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
Not personally Gordon ;-)
Hi Vf. I don't think Roland can ever really say anything not in an rns. Have you been in touch yourself? Although, I'd love to know if the intention is to try the new methods on the workover of 77h.
It's hard to imagine what could generate enough cash to avoid a jv. Anyway Roland had said that's the way they are going. Atb.
HI vacation
I think the prices that can be achieved for the Gas from the field is a hybrid of the Controlled price from say ONGC which i think is $3.80 and the LNG prices which are hitting $18 .
as you know theirs a shortage of gas and stranded assets in India because the state regulated prices provide little incentive to go explore.
I think oilex being Pre-nelp can set their own price or best price ,at least last time on the low pressure line they did when they sold to a local industry.
anyway I'm sure someone will correct me if i am wrong.
There's a lot more going on b4 the new wells to generate plenty of cash flow..
I think you need to contact Roland yourself Gordon to get a clean cut picture.
;-)
The last rns says the planned new wells subject to finance being secured
So maybe our new finance officer is on case?
Just speculation I suppose
Two new horizontal Wells will cost around 10 million usd, maybe more. If they sell say 40 % to a jv, not only will they get the cash, their share of the drill costs are reduced accordingly. I would think they would struggle to raise that sort of cash through finance. I suppose it's just conceivable they could do it if they were able to demonstrate the success of the new techniques on the workover, as we speculated earlier. However, Roland has indicated that it will be a jv and we assume he's on the best position to know what's possible. Atb.
Why bother with a jv
All the hard works been done
It would be easier to arrange financing for the new wells and retain 100%
A jv don’t make sense tbh
So the current price to sell could be $10 / 1000 MCF (based on rising gas prices)
So that’s $1000 per day per 1mcf. So possible $4000 per day at 4mcf for each well?
So in a year that's £1,460,000
Thoughts please. ;-)
Pretty much the same questions as me Jasper.
As regards 77h it was with fracking in its previous life, but not very successfully. My question was is technically practical to use the new recommendations, especially in the workover. If that worked early next year, they could get a much better deal in a jv. Perhaps you could ask Roland if you contact him again?
I asked a similar question last week about mature gas fields. Don't understand how you make cash out of them except over a long period. If you pay say 5 times the annual profit, it is at least that before you even get your money back. I'm sure Roland knows what he is doing but it would be nice to have it explained. Atb.
I think last Fridays RNS was as speculative as it gets, so I’ve been doing some more homework ??
Let’s consider what has been said and what else I have gleaned?
1. EIA approval forthcoming shouldn’t take long.
2. C77H production recommencing with fracking. What if that increases production 4x than previous flow rates?
3. Work over on C77H - how quick can we assemble equipment and a team. By year end maybe possible.
4. 2 new well - farm out? Would a partner pay for both wells, will need strong negotiation to do so.
5. Who is selling mature gas fields in the UK and why? Perhaps ongoing discussions and strategy deliver a win win for both parties.
6. CCS keeps being mentioned, hot topic in industry. What if a customer has been identified? Perhaps a large power operator. You can make applications for depleted reservoirs. Interesting.
What is factual and tangible for next news? EIA approval, well production, work over, contractor appointment. It’s all there in black and white. Oh forgot GOI approval, no sorry ratification. That’s why all the work is pressing on regardless, just means until it’s ratified we only have 45%. Let that sink in. We won’t loose the 55% by the way that’ll just get sorted legally.
All the above for 0.19. Please it doesn’t even come close.