Member Info for abzzba

Stas, your not the brightest or maybe you fall into the ""i know nowt about the oilfield" category, H2 was not completed, it was drilled and well tested, the well test told us it flowed at 30 bbl/d, it has not been completed, we did not spend money on completion as we are going back to it next year, it was suspended, remedial work to increase the flow rate will take place next year, then it will be completed.

So many negative posters fixated by the daily price fluctuations when investors like myself are more interested in the long term, so many negative posters that have ZERO knowledge of oilfield practises, elevated pressures are part and parcel of drilling wells, in this case those elevated pressures will be used to our advantage as we can flow more oil than intially expected.

Cashrules, MATAD need to get better understanding of the Heron field hence H2 800 m away from H1, but given the new info on H1 and its potential productivity we "should" be sinking the very next well alongside H1, this would also help control the elevated gas pressures H1 is encountering.

I suspect we will just get the go ahead to start selling like we got the go ahead on the well pad etc etc.

Production is being trucked to the neighbouring Block XIX TA-1 facilities and stored. The commercial terms of the Cooperation Agreement with Block XIX operator have been agreed and the final wording is being prepared for sign off by MRPAM. Once approved, export paperwork for Block XX crude can be prepared and sales will then commence.

Gusto says no one should be buying, seems like a lot are.

If we can find a few more H1s then we are looking at 1000 plus bbl/d from each well, not the 500 bbl/d we expected.

Good place to start H3 is right alongside H1.

Altan5, joined LSE 17th Nov 2020, 8 posts in total all negative MATAD, very fishy he / she pops up now.

This will go higher over the winter period,

Sales agreement will be signed soon.

H1 producing 250bpd just now but the latest RNS says its capable of much much more.

Cash for our current 6000 barrels of stored oil (as of today and icreasing daily) paid soon.

Will H1 need to be turned off for remedial works. Probably not, no reason why it would.

Lots of news due over winter, DQE deal/Posible PC takeover or do we go it alone with soft loan.

This will go higher, a lot higher, Mongolia needs our oil.

H2 poor flow rate almost certainly due to low reservoir permeability, fracking will allow more flow, quite a common occurance in oil wells, either way H2 suspended until next year season, good thing is the rig will not be required for fracking so we can get on with drilling H3, H1 is the real surprise, to quote the RNS ""Rate tests have achieved flow rates similar to, and in some tests, higher than the maximum 821 barrels of oil per day (bopd) rate recorded during the well testing operations in 2019"", great news and more than makes up for the H2 poor flow rate, we need to be drilling a few more wells (H3, H4, H5 etc) closer to and around H1 location.

Based on H1 results now the well has flowed for 3 weeks Heron field which covers 214 sq/km might turn out to be way more productive than we could ever have dreamed.

Magna, ref your post below and the gibberish " Field development from heron 2 has shown structural formalities" line.

Field developments re H2, surely you mean well development ?, and exactly what are you speaking about when you mention "structural formalities", total gibberish, not uncommon here where posters with ZERO oilfield experience utter absolute crap.

Https://www.ajbell.co.uk/articles/stockmarketwire/222332/petro-matad-sources-loan-shareholder-it-awaits-licence-mongolia

I see we have gained a few new muppets in my absence, pretty dim to ask why we are producing oil if we cant sell it, obviously the stored oil is increasing at circa 250 bbl/d (just now) per day and once the agreement is signed the whole lot will be trucked to China and we will be paid, if we were not producing just now and waited until the agreement is signed then we would not have almost 6000 barrels (as of today) stored ready to truck to China, and he calls himself accountant.

Agree, added a "few" more at this price its a steal. Fundamentals same as they were, potential is huge, sit back and wait for newsflow (plus more oil flow from H1). If H1 is so productive we need to be sinking a few more wells around it.

Hamm, ref H2 and low reservoir permeability mentioned in yesterday RNS, fracking should solve this issue. Read up on it at the below link, and your right, to-date we have not completed H2 hence no cash used for that operation.

Yesterdays RNS was not that bad, more oil production from H1 than expected (long term), bad news was H2 suspended for now plus our H1 oil being stored not sold, but it will be once docs signed so hardly an issue. Markets over reacted, but sure most took the opportunity to buy more shares at bargain basement prices, nowt really changed.

https://www.linkedin.com/pulse/hydraulic-fracturing-solution-low-permeability-reservoirs-omar-ostos

We now know our H1 oil is being stored at Block XIX TA-1 facilities , H1 has been producing since Oct 24th so 22 days, 22 x 250 bbl/d = 5500 bbl oil in storage right now worth $368,000.

From yesterdays RNS its quie obvious H1 daily production will rise to around 500 bbl/d, maybe even more. Do the figures yourself.

Given the life of a producing well can be anything between 15 and 45 years WOS is probably correct, at 500 bbl/d H1 alone would be worth many multiples of our current £25m mkt cap.

Crazy to think the shares i bought yesterday at 1.7p will be sold in a few short years around 35p price mark once the refinery starts up and we have 9+ wells all producing by that time. Longer term (10 years) who know how many wells we could have.

Dont really se what has changed, we have H2 not flowing commercial amount but it only suspended until they work out why, H1 is producing and at higher volumes than expected but currently choked back to 200 - 300 bbl/d for now, very obvious and very normal that choke will be opened up to allow higher production, think we should be poking few more wells closer to H1 next.

As for silver lining added considerably today.

TBT, quite sure you are right, NEGS will ba all over ths, fact is its bad news AND good news, H2 suspended but by no means dead but on the brigter side H1 producing at higher pressure than even the 821 bbl/d pressures so can be opened up.

Our oil being stored so mounting up ready for sale once the dotted line signed.

Luqs, agreed, but if the intention is one big RNS, we have to add time on for the completion, so next week RNS saying we'll completed and on stream, read 7th October RNS stating completion equipment being sourced

With every day that passes without an RNS the more likely the next RNS will tell us H2 has been completed and is now onstream, pumping xxx bbl/d.