Westmount Engy. Share Price (WTE)

Nice summery phoebus, but the tanager-1 well is to be drilled by 13.9.20. From the update rns released by ratio and will td at 8,200m meaning its the deepest well to be drilled in guyana and will take more then 3 months to complete.

Westmount holds a ~ 4.8% of JHI.
JHI hold a 17.5% carried interest in the Canje Block covering over 4,800 square kilometres, offshore Guyana. This block is located adjacent to and in the same geologic basin as the Stabroek Block which has delivered sixteen substantial oil discoveries since 2015, with reported discovered recoverable resources in excess of 8 billion oil-equivalent barrels to date.
ExxonMobil is the operator of both blocks.
"The proximity to these world-class source rocks means that reservoirs on the Canje block are in direct contact with the source, and are charged through vertical migration. Effectively, Canje’s reservoirs are filled first before hydrocarbons migrate up-dip to other blocks." (JHI website)
"Canje Block is the same size and adjacent to the productive portion of the Stabroek Block operated by ExxonMobil, with recoverable reserves exceeding 4 billion barrels. Utilizing block wide 3D seismic, JHI’s technical team is working closely with ExxonMobil to select drilling locations on multiple billion-barrel prospects, each demonstrating direct hydrocarbon indicators identical to successful wells in the Stabroek Block." (JHI website)
As a result of a 2018 farm-out to Total, JHI is carried for the drilling of up to four wells and is funded for the drilling of additional wells.
It is anticipated that the first well on the Canje Block, Bulletwood-1, will be spudded in H2 2020, with the possibility of additional drilling by the end of the year.

That's about the closest I've found to any figures - multiple billion bbl prospects, same size as Stabroek which has >4bn bbls recoverable.
Though likely that JHI would sell out at some point sooner rather than later (after the 4 carried wells?), and who knows what they'd be valued at.... 4bn x 17.5% = 700mn bbls @5$ is $3.5bn. 4.8% of that (i.e to WTE) is $168m.
WTE have bought their 4.8% stake in JHI for approx $5.3m (£4.3m) (if I am interpreting the slightly obscure wording "At cost, Westmount's holding in JHI equates to approximately 38.1% of the value of Westmount's gross assets as of 31st December 2019." correctly?).
So it could be very, very good for the WTE share price if they strike...
Then there's Kaieteur next.
All assuming there's no shenanigans about the validity of the licenses by the Guyana government, though that seems unlikely given how far in Exxon are already, but you never know...
GLA

Looks like WTE is now only a few weeks away from the spudding of Tanager-1 on the Exxon operated Kaieteur block. Well is targetting 256.2 MMB P50 recoverable with an amazing 72% COS. Looks to be bang on trend with the huge number of discoveries on the adjacent Stabroek block, the most prolific oil exploration block of recent years. Through its holdings in Cataleya and Ratio Petroleum WTE has a 1.53% interest in the licence amounting to 3.9 MMB P50 net recoverable for Tanager-1.

In addition the block contains a further 1.86 billion barrels in 8 targets giving a total of 31.9 MMB P50 net to WTE on block including the tantalising Toucan prospect with 702.7 MMB P50 net recoverable at a whopping 56% COS.

https://ratio-media.s3-eu-central-1.amazonaws.com/g2_002.JPG

WTE also has a 0.84% interest in the Exxon operated Canje block, also adjacent to the prolific Stabroek block, through its holding in JHI Associates. Several targets have been identified for drilling including Bulletwood-1, Jabillo-1 and Sapote-1. I have not seen and resource figures, but imagine they will be of similar size and COS to those on Kaieteur.

WTE also has a 0.12% interest in the Tullow operated Orinduik block, also adjacent to Stabroek, through its holding in ECO Atlantic. Further major exploration drilling is anticipated for 2021 targetting around a billion barrels.

Prior to the virus outbreak Exxon was planning to drill a total of 6 wells on Kaieteur and Canjie over the net few months all at zero cost to WTE. Exxon is currently still going ahead with Tanager-1 which is expected to spud next month. If all seven wells (Kaieteur 3, Canje 3, Orinduik 1) are drilled as originally planned that should amounts to around 30 MMB P50 net recoverable to WTE, with further upside in additional targets. Six of the wells are Exxon operated, many have a high COS and all are on trend with the prolific Stabroek block.

The current NAV of its block interests is around 10p per share, which underpins 2/3 of the current market cap of only £17M. The shares are also thinly traded so any interest in the shares will lead to a very rapid increase in share price especially with the first well coming in at 72% COS! Given all of this I expect WTE will perform extremely well indeed in the days and weeks ahead.

STRONG BUY

Barrels to date and counting.

Canje is the source for all fields updip.ie one big sump. Thats why Exxon eager to drill.