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Cannot see any need for funding this year, as Niko is already funded.

On flow rates being 1000+bopd for all 3 wells, let's hope on a being in 80/90s, if not over 1p.
As usual we wait & see.
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Will add we obviously would still have T39 hopefully, sometime around mid/end September.

Agree on that on bb the gas was given to much time & as you say let's have Frr, also us concentrate on the oil.
On 1st two flow rates being around 250/300bopd then we should be able to start having a reasonable increase in sp.

On the full flow rates would hope, as Timster mentioned & that is some clear figures are included on monthly revenue for each well.

This post should be read in conjunction with that Rocky theme song “getting stronger” running at the back of your mind.

No, really, I think the dark days are truly behind us - we are becoming a “proper” oil and gas company. What you can’t doubt is that Block 12 is floating on huge oil and gas resources, although you can challenge whether FRR has the financial firepower to accelerate production quikcly. In some ways, the Georgian Govt can also derive some comfort in that the country is on a strong footing to develop its nascent O&G industry and perhaps become self reliant. However, we got no comment on the Arbitration Request in today’s RNS.

Nevertheless, the finances will be getting stronger as oil production starts to rise, as will the internal technical and drilling capabilities with the Company. But there is no threat of big debt overhang thanks to the management converting theirs at 1p a share (at US$26MM), while YA will get repaid on a monthly basis instead of force selling the shares on the Market. The amount of damage [and misery] YA has caused over the years is really unforgiveable [but I guess SN should hold the can for that arrangement!]. Hopefully in the next 4-6 weeks, the company can finally tell us the collective stabilized oil production from Taribani, Mirzaani and MK. If it doesn’t come in the next few weeks, I expect to say something in the half year results by 30th Sept. This will help us to assess progress and cashflow position. On Ud, if it was a positive result, it would have helped investor sentiment and perhaps a catalyst for farmout discussions but monetization would have taken time. Nevertheles, I believe they have the data from Ud, Taribani and MK, which could help with any discussions. No doubt, there is gas there, and lots of it (actually 10.8TCF according to NS&A). We can still hope that some discussions are happening either with the oil or gas to accelerate field development. Or on securing conventional financing probably secured against the Taribani Field. But the question for Zaza would be, would I have to give Taribani as collateral with an implied value to US$484M (as per WHI) for a say US$50M facility? I would say yes. US$50M gets me another 15 wells on Taribani, adding potentially another 10 ,000 barrels a day.

Peoples emotions are all over the place after today’s RNS but Zones 9, 14 and 15 on Taribani are alone worth 0.84p - and now they have opened Eldari B - put another 34m barrels to the recoverable guage. In the meantime, the gas will going in to a JV.

JMO

And on the MK gas my bet is a new test well largely funded by other parties - the side track is probably a holding position. This will have been obvious internally for a while - so in that regard part of the announcement will have already been analysed to death and alternative approaches already being explored - in my view.

Interesting post from Regdik on LSE his morning - he used to work for BP albeit not on the exploration side:

"I agree with coggy well done ZaZa and team.
I’m in it for the gas and this proves we have a significant quantity that will interest any major.
This explains to me why a technical team were in Georgia and not just a well survey team. They obviously had this data and were reviewing the best way of extraction. A Mino will not have the ££ or technology to do this but its bread and butter to a major. It will cost millions per well (hence the 2 year delay as FRR build funds). Would a major be interested - one word Yes. They may pay a nominal fee to FRR and enter into a profit sharing deal (nominal in major speak is anything up to a billion). Let the sheep leave as this will build and build. "

Just preparing to leave Gloucester docks for the river Severn, a lot of which is a dead zone as far as mobile signal is concerned so just a quick comment from me to add to the excellent summaries from Devex and SB.

Of course Ud 2 is a disappointment but the progress on Taribani demonstrates what can be achieved here with modern techniques and a decent cement job. Commerciality of Taribani is clearly confirmed and that alone justifies a much higher market cap than we have currently. The gas there can be injected to boost oil production further on down the line, whilst I have no doubt that a deal will materialise to sidetrack Ud2 in the not too distant future.

Happy to hold for as long as it takes for true value to emerge.

Atb,

of which hopefully will start to happen.

Even though we have more of the above on the gas side, it is looking like Frr will have much more data on the gas & that can only be good for when it is taken forward.

On the oil though that is looking very good for the coming weeks/mths, but we still need sentiment towards Frr to improve of which will start to happen.

Just thought I would re post above.

Am I the only one that is seeing the positive in the results seen at UD-2 ?

As I read it proof of concept has been proven in the test results.

I am not surprised that a poor cement job exists in a Soviet era well, and this is predominantly the reason that we cannot produce out of the section perforated in the existing well bore.

Perform a sidetrack from higher up, hitting the same formation, only this time the cement job will be performed correctly, thereby making production achievable.

A sidetrack being a significantly cheaper, and quicker, solution than to drill a new well to achieve the goal.

Even with the issues in the well as it currently exists "Maximum flow rate of 150,000 scf/d of dry gas has been recorded during the testing period."

Therefore, although the existing well bore is not conducive for production, the production capabilities of the reservoir have been proven to produce dry gas at a rate of 150,000 scuffs a day.

I think some would do well to research what the monetisation of 150,000 scuffs per day of dry gas from a singular well would likely be reflected into in the way of a market capitialisation/sp.

Just IMHO, obviously.

Seems flow rates are going well, but still need them released.

On UD2, think it is saying that they might side track It?

bedex, let's hope For see your post & come up with a cracker of an Rns.

Schulmberger, seem to be moving at a good pace. Let's hope that Frr can pick up the pace, very soon.

Read pyros post.

Every day, is a big day. We have had enough of those, as now we want a "MASSIVE" day.
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Lack of Info on oil, as well & it is time Frr informed us what is happening.
If it is a case of waiting on T39 then that I would have thought can be put in a tweet.

Anymore of the above coming up before Frr release anything.
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You better put yourself in deep freeze for that.
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