Member Info for Adon30

I think that one is TXP Cascadura EIA
https://www.ema.co.tt/esummary/index.php/details/1/6215

This looks like the pipeline by NGC... If not in the ortoire block itself it is an extension to a metering station
https://www.ema.co.tt/esummary/index.php/details/1/6096

https://mobile.twitter.com/ZephyrEnergyPlc/status/1518890091560808449

https://www.malcysblog.com/2022/04/oil-price-diversified-energy-chariot-egdon-union-jack-and-finally/

The combined Paradox Basin and Williston total 2P proved reserves on an NPV-10 basis of over $111m is huge and given that it comes with potential for ‘many multiples of added value of potential upside’ and that the management plan to increase reserves and resources within a year their confidence is high. Indeed the fact that Sproule have given Zephyr the OK to book as proved reserves from the State 16-2 well should confirm that.

Given the time differences I havent yet had an opportunity to speak to Colin so I may add further comments in due course but there is no doubt that this is an exceptional CPR which makes it more surprising that the share price has fallen this morning.

Investors who have followed this story closely know that it is backboned by what I consider to be a very high quality management team who have put together a company based on firstly a plan for the Paradox which worked and then skilful addition of production in order to fund the drilling programme.

The shares at today’s 7p are a steal and I must get Colin in front of a camera shortly…

If the company is only valued at $111m then there must be plenty of upside in the SP for the remaining $900m of Contingent Resources.....

It is good that they put the interview to go out with the RNS and welcome after the delays to the CPR.
I'm going to have to listen to it again as noisy where I am.

2C resources doubled!
2C Resources: Significant increase to resource estimate across the Cane Creek Reservoir:
27 million net boe -more than double the 12.3 million boe from 2018 CPR

Could also see double figures for the SP today

Has anyone watched the interview yet?

https://www.zephyrplc.com/cpr26-4

I'm not so sure MEM. They can only book proven from what they have found and one drill is not enough for that. The time to judge will be after the following 3 drill campaign and what that proves.

Even with contingent it is a lot in place.

Remember all this years drills and probably all of next years including getting them into production will be funded from the acquisitions. From that the paradox production that comes online this year will be extra cash

There is also an EIA going through. These can take months and months on their own. Be nice to get an update on this.

Not sure if there are any government websites that you can see current EIA status... You can in some countries. Anyone in TXP will know about these and how long they can take.

They were waiting on a rig to do the Tunisia work. They did mention who had the rig currently in the presentation but I can not remember who (or be bothered to check).

Josef Schachter's Top Picks: April 20, 2022

Touchstone Exploration (TXP TSX)

Touchstone is an E&P company focused on oil and gas development and exploration in Trinidad. In 2020, they had significant success drilling on their exploration block Ortoire and will start bringing on the first of the discoveries in May. By year end 2022, it should be producing over 10,000 boe/d and by the end of 2023, 28,000 boe/d. It has a large exploration inventory thereafter. TXP has a market cap of $300M. We have a 4-5 year bull market peak target is $6.00.

At that extra pressure, I believe it was 500psi more than expected from Rharb basin equivalent, I think most rigs would have struggled had they not managed to increase the mud weight. Reading further information about it they were lucky not to loose the well. The fact that they were drilling for gas saved them a little as they were prepared.
The lack of even further tool analysis was because of fear of hole damage on what was already shaky ground. So the decision to case the hole effectively closed those options. If they had gotten a analysis tool stuck in the hole we would not be at a point where testing can commence and where would we be then. Ok it has taken a while but all that extra time has allowed them to go at the testing with a set plan. We wait to see the outcome of that.
I think I also mentioned when the drill was completed that they had not achieved TD but having found such a large prize there was little point going deeper for a smaller one and loosing it all. The smaller ones being the GRF-1 equivalent sands.
As for gas clouds etc. I still think it is a large gas field with the fault trap increasing the pressure but around a substantial kitchen. I was expecting some condensate at MOU-1 but they found dry gas. This in itself is not an issue when they are looking at rapid development via CNG as the liquids would have required additional separators. There had however been petrochemical analysis around the other drilled holes which found oil residues at surface as well as gas (It is in the fastnet report as can not lay my hands on it at the moment).
Let us see what the testing and additional drilling bring. As PG says many times he'd rather put a hole in the ground and find out what is actually there rather than paying for expensive data that only might.

He was a non exec. Same as he is now at NTOG. Still has his finger in other companies as non exec also.
But exactly as you say. He is overseeing other projects.

"With immediate effect Dr. Steve Staley is stepping down from the Board to pursue other interests. The Board wishes to thank him for the significant contribution that he has made to the Company since admission to the Official List (standard listing segment) and to trading on the London Stock Exchange's main market for listed securities Standard List segment in May 2018."

First thing this morning there has an uncrossed trade (UT) at 7.5p which raised the high limit and increased the spread. Even though it was actually trading at 7.2-7.3p. So everything looked like sells earlier. Then there were the 1m of sells including the 300k mentioned which dropped it into the 7.1-7.2p range.
SP hasn't really moved that much just a lot of shares being moped up today and made to look worse than it actually is. Looks a pretty normal trading day so anyone getting back in on this dip will lift the price back again. There is going to be plenty of FOMO with this CPR due.

That 99p end price from the small buy has already been knocked down 4% to 95p to make it look like a falling share price and shake out the sellers.
It has happened numerous times before and most days. Not always been successful though

I also think he may have been about to say it'll be ready by the end of the week. But as it is a short week decided to pull back from that just in case.

Other point was 50-60% will be hedged. Didn't say how much for or how long. What do we think hedge value will be? $80-85? Gas amongst that as well.

They plan to do both. Just that building a pipeline will take a lot longer.
They can produce from 16-2 at a restricted rate providing the gas for the electric generator for the crypto and start selling the oil. Once the pipeline is ready they can go higher flow and by then they may have several wells to produce from as well.
It all depends how quickly they want to monetise things

Well there it is.
Fingers crossed for a good result as they have been banging the drum on this one for a while.

Deepsea Stavenger moved overnight.
Didn’t have to go far. Would expect a spud rns Monday

I think following the drilling part of the 26th Jan RNS (which they will be able to fund themselves from proceeds). They will be in a better position to further the options around JV and partnerships and have even better negotiations to benefit shareholders. So early 2023 for me would be the ideal time.

"It is anticipated that cashflows generated by the Acquisition will be deployed into the Paradox project and the Company intends to commence a high impact three-well drilling programme in the second half of 2022 to further delineate the scale of the project. This will include:

· one delineation/development well targeting the Cane Creek reservoir in Zephyr's 25,000-acre White Sands Unit ("WSU");
· one exploration well targeting the WSU's shallow Paradox formation; and
· one delineation/development well in the historically prolific Cane Creek Field (new acreage south of the WSU)"

This line also from the 26th Jan RNS:
"and Zephyr will consider joint venture and strategic partnerships for further expedited development of the project."

Also people may want to look again at that RNS and how they plan to use crypto with a new entity to benefit shareholders.... It is all there in that one RNS.

4 months waiting for a well to come on line is nothing in O&G especially in a new area.
As we have explained to you before it is not a pure oil play. It is Oil and Gas. Large amounts of gas. Way too much to just vent into the atmosphere. IF you look at any O&G company it takes a lot of equipment and infrastructure to get gas to customers. TXP have taken years to get a little gas pipeline in! Not including the legislative side for development. And if you have read the RNS or presentation you will know that they were looking at (possibly) going down the bitcoin farming route to make the most of the gas. But development takes time. It is not instant. Some of the equipment they require will take 3-6 months to fabricate and that is once ordered.
I am looking forward to their development plans (much more so than the long awaited CPR).
I am also quite happy to wait on the company and know that it will grow into something more by the end of the year.
As people have said many times before. Patience.