Member Info for BaysilHope

Maybe Old News of Germany & Fracking - NY Times BERLIN — In a potential shift in German energy policy, the government of Chancellor Angela Merkel is preparing a framework that would let energy companies extract oil and natural gas by the controversial practice of hydraulic fracturing, or fracking. BASF’s oil and gas subsidiary, Wintershall, used hydraulic fracturing for many years to extract conventional gas but has been prevented from doing so recently because of rules against fracking. BASF and other companies also want the government to authorize shale gas production as a possible tool for lowering energy costs. “It is necessary to find out more about the potential that shale gas actually has in Germany. Today, nobody knows whether shale gas development makes sense,” the company said - BASF has been investing in plants in North America to take advantage of the low gas prices there. – My thoughts USA decades of cheap gas – would BASF relocate to the US !!! Largest Chemical manufacturer in the World?

To Quote 6 year anniversary up 2014 - FYI Quote news ' Newton Energy Corporation Announces Core Asset in the UK East Midlands; Update on Belvoir and Potential Farm-Out; Divestment of Non-Core Assets in the UK East Midlands CALGARY, ALBERTA--(Marketwire - Jan. 28, 2013) - Newton Energy Corporation (TSX VENTURE:NTN) (the "Company" or "Newton") announces it is focusing its activities on the Belvoir prospect as a core asset. Belvoir Prospect The Company believes that its efforts in its UK East Midlands licenses have produced the prospect of a core asset in Belvoir. The company has recently completed a re-interpretation of Belvoir and has derived an internal estimate of mean reserves which could potentially increase the existing 2 million barrels recoverable in accordance with its current reserve report . The Company recently exhibited the Belvoir prospect at the Prospect Fair in December. The Belvoir prospect was drilled by British Petroleum in 1981 while testing slim-hole technology. The well produced several hundred barrels of oil before it waxed off. Newton is currently seeking partners to appraise the Belvoir prospect which is wholly owned by Newton and located in PEDL 204 and PEDL 208 on the Company's UK East Midlands acreage. The Company is working with local stakeholders to facilitate further appraisal drilling of the field. The foregoing transactions will be subject to UK Governmental regulatory approval by the Secretary of State for Energy and Climate Change, the necessary approvals from Alkane Energy Limited under the Joint Operating Agreement for PEDL 254 and PEDL 255 and all other regulatory approvals including the TSX Venture exchange Joint PEDL 254 with Alkane & Oil interests . ATB HTH Check out the companies accounts on PEDL contingent liabilities.

EDR/Alk Bright future joint capabilities - attached VSA report on the 14th Round joint bidding '' This round will present ALK with a rare opportunity to expand its organic growth pipeline for a nominal cost. We understand that it will apply for between six and ten licences, on which it will look to develop CMM and stranded gas projects. The UK Department of Energy and Climate Change (DECC) awards licences to firms based on technical competency, financial strength, drilling commitments and past record. On these measures we feel ALK’s applications will be viewed favourably. In addition, the DECC (and its predecessors) has historically split parcels between multiple operators, to prevent land grabbing and to encourage diverse development of the UK onshore oil and gas industry. We would expect ALK/EDR to demonstrate a similar strategy to the recently completed deal on any new acreage awarded during the 14th Round, with ALK having rights to the shallower CMM/stranded gas potential and EDR retaining the deeper shale gas potential. Previous round Feb 2008 stragglers present ideal take over targets for both EDR& ALK Split horizontally ACREAGE GROWTH - KEY TO ALK/EDR SHORT CUT MY ALK POST SHORT ALK/EDR - SP growth prospects lies in substantial acreage gains –SCALE. ALK in position to treble acreage IMO 6 mths – 1st - There are few deeply disc offerings (2008 Onshore stragglers) failings of past exploration Obligations/Cash/Man’gt - door open & 2nd Strong bid 14th Onshore Rd. Why? MM’s love scale – ALK 800sqkm IMO could limit SP upside – with EDR cross support gives indirect access 180 bcf gas changes dynamics. 9. Joint Ambition – No.3 Position in Shale UK - The right combo of deals could position EDR & ALK in new CMM/N Gas Oil & CBM/Shale growth areas and reduce new invested exposures - fluid locational trade-offs with +500k acres. The combined synergies > 2 independent parts –EDR consolidate shrewd dealing. Outlook - very bright + ve dynamics/cross boarder growth patterns - merged interests - agile pack – room to grow. 10 BODs - P O’s A.Lodge advising & on both BODs- competent execs strong mix. 11. Concl’n IMHO Priority acreage gains for both must Act now unlock SP Valu’n. Risk – No buying -ALK states Strong BID. IMHO HTH DYOR ATB. Goods news flow & variety ahead. Will also buy EDR. I'm with EDR as well as ALK great companies No.3 in Shale awesome with own non Shale business models - Shale news free in -3 years. enjoy.

To quote VSA Report - 'This round will present ALK with a rare opportunity to expand its organic growth pipeline for a nominal cost. We understand that it will apply for between six and ten licences, on which it will look to develop CMM and stranded gas projects. The UK Department of Energy and Climate Change (DECC) awards licences to firms based on technical competency, financial strength, drilling commitments and past record. On these measures we feel ALK’s applications will be viewed favourably. In addition, the DECC (and its predecessors) has historically split parcels between multiple operators, to prevent land grabbing and to encourage diverse development of the UK onshore oil and gas industry. We would expect ALK/EDR to demonstrate a similar strategy to the recently completed deal on any new acreage awarded during the 14th Round, with ALK having rights to the shallower CMM/stranded gas potential and EDR retaining the deeper shale gas potential'. My input - Previous round Feb 2008 stragglers no drilling no management no clue - present ideal take over targets and good acreage. ATB

Thanks for your post – my earlier submission was copied directly from VSA (0.32p is their calc) and the encouraging aspects were in their 6 page valuation they stated ALK would bid for 10 blocks 14th Round - normally a complete block is 100sqkms = 25k acres x 10 = 250k and that ALK would be active in the M & A market which I’m very happy about. To answer your question ALK have 133m shares in issue fully diluted assuming Henderson Convert – their £2m loan @ 17p per share - strike price on the EDR deal 40m @ 20p = £8m – a 1p increase in EDR holding 40m x 0.01p creates £400k uplift in the Balance Sheet value of the EDR holding. £400k/133m shares – is approx. 0.32p per 1p growth in EDR. This thinking is a little dangerous and over simplified by VSA - My argument is the dynamics of the cross boarder holdings with EDR are massive (plus acreage) and can’t be quantified like this – the potential trade offs/potential to be No. 3 in Shale dwarf that calc (which still carries –ve if EDR SP falls ) both companies have superb NON Shale business oppos EDR Propect A +150bcf Nat gas (5-6 Oil related drills soon) and can comfortably carry the distance successfully - then everything Shale is pure gain. HTH ATB Good luck.

See VSA Report today - could be a very blue Monday - Alkane Energy (ALK) shares have reacted well to the sale of assets to Egdon Resources (EDR) but is there still upside at 43.5p? Broker VSA reckons so, arguing for a base case valuation of 54p a share in a long and detailed note. It writes: Having promised developments on its shale gas potential in its FY 2013 results, Alkane Energy (ALK LN) has now delivered. On 13 May, the company announced an agreement with Egdon Resources (EDR LN) for EDR to acquire shale interests in ten of ALK’s UK petroleum exploration and development licences (PEDLs), subject to shareholder and DECC approval. - See more at: http://www.shareprophets.advfn.com/views/5876/alkane-energy-at-435p-worth-54p#sthash.xWxHncCl.dpuf HTH ATB

Cluff look very interesting Ken will dig into this and distract the Mrs from shoppin , I keep up to date on your very informative posts as far as CRES enjoy your info . Many thanks Baz. Good hunting. I Like Igas very much & I think the top three Shale UK options are a tight bunch we need each other & will over time do well. ATB Thx.

ALK/EDR - SP growth prospects lies in substantial acreage gains –SCALE. ALK in position to treble acreage IMO 6 mths – 1st few deeply disc offerings (2008 Onshore stragglers) failings of past exploration Obligations/Cash/Man’gt - door open & 2nd Strong bid 14th Onshore Rd. Why? MM’s love scale – ALK 800sqkm IMO could limit SP upside – with EDR cross support gives indirect access 180 bcf gas changes dynamics. 1. Capex – 2010-13 Now Gas Assets ahead> prod’n – funds for acreage. 2. Desire – 2010-13 PEDL growth can be overcome - (2011 7 Star+ 13th Bid 2008 ltd to 4 block PEDLs) . Recent ALK deals included Plant & gas reserves Greenpark & Maltby two bril buys - 4 sold PEDLs 11 43 161 169, acq’d at discount. ALK - drill risk/large acreage gains at output expense/ SP collapse. No issue now N/A +£40m not £18m. 3. Results - Exceptional shale profit (£ X?m) underwrites 2014 results, ALK at liberty (1st) to pursue strategic aggressive license territories –with EDR hunting license. Wish List! 4. Funding – Post deal +£8m liquid, Fin Capacity could max acreage - new debt - (one term loan £3m repaid & Convr’n of £2m Henderson to equity) IMO - £12-14m mix ready NOW!! - Ex Placing. 5. Acreage Opportunity 1 – Strong 14th Bid (Guess + 10 blocks 100k acres min) Mine & Dine! EDR have £2.7m - 14th Round – ALK more. 6. Acreage Opportunity 2 -UK 13th round 2008 PEDL’s -a 6 year DECC anniversary & moratorium for exploration obligations or face relinquishment - that deadline is this month - a few out there - struggling some with reasonable reserve prospects – cheap targets. ALK has opportunity/ resource & proven resolve for good deals. News in 6-8 wks before Interims? 7. Acreage Opportunity 3 Competitors -– digesting major deals IGAS/DART, Cuadrilla +1m acres & EDR Ok - ALK (In Top 3) leverage to exploit PEDLs IMO – Opportunity +Resources = Gain. 14th Onshore critical mass – delivering upside Potential for future energy prod Dev pipeline 10yrs. 8. Acreage Opportunity 4 –De Risk Shale from any ALK new rich areas – EDR convert Shale reserves critical mass for Mkt Cap and get economies of scale & feed ALK turns EDR Nat gas into cash for both – guess only! 9. Joint Ambition – No.3 Position in Shale UK - The right combo of deals could position EDR & ALK in new CMM/N Gas Oil & CBM/Shale growth areas and reduce new invested exposures - fluid locational trade-offs with +500k acres. The combined synergies > 2 independent parts –EDR consolidate shrewd dealing. Outlook - very bright + ve dynamics/cross boarder growth patterns - merged interests - agile pack – room to grow. 10 BODs - P O’s A.Lodge advising & on both BODs- competent execs strong mix. 11. Concl’n IMHO Pr

Previous post - Very Sorry for rushing I meant the Queens Speech & Her Majesty - no excuses (Not HRH) my massive error - no malice intended. Please forgive my ignorance. Sorry again. Overcome with the moment.

I did see & listen to the heart warming news, HRH mentioning 'Shale' and the need to invest in UK resources. As regard to the scare mongering protestors, the mining area I live has hundreds of miles of massive void coal seems from a decades of mineral extraction - without due care and legislation 1875-1984. Before you purchase a house locally - need a mining search for subsidence - house prices have increased here over the last 100 years in line with the UK market. I live directly above a world record breaking seam 1905 then supplying steam coal to the Russian fleet. With new build developments on -going today Redrow and a New £20m Morrisons right above the old colliery & tar plant . So 1000m wells properly controlled located and monitored to exacting standards should work with common sense & expertise. ATB Happy days. Time to buy.

Great Edison review/Valuation of Egdon good read - made very clear their prospects Re NAV 67p and I really like this company lot of good news to flow conventional & uncon drilling (Max Upstream OPs). Given Shale was never in the ALK SP IMO the 40m could be worth @ 67p or 20p a share to ALK in value terms down the line without any Shale windfall. Neil OB webcast really worth listening to - they spent 12 months negotiating this deal so expect a lot of currently hidden development potential both sides to unfold joint co-op measures - accelerating up & down stream projects alike. ALK shale windfall is partially ring fenced no detail - IMO in the asset swap EDR must (guess pre -con) facilitate access to its 170bcf of untapped Natural Gas resources,' A' prospect N Yorks p 1929 offshore with onshore access 150bcf, shared Nooks farm with ALK 1bcf, Ralph Cross 3.3bcf, North Somercote 7bcf Holmwood 16.6bcf - ALK accelerate down stream development for EDR - EDR get no capex access to royalties cash for take off/ prod & can concentrate on Oil - E & P leave ALK to the gas - ALK get 12-18 mths accelerated planning & permitting with less dev costs, access to cheaper gas - win win - IMHO if you look at the £8m sale as an equity injection it will accelerate ALK access to funding. Finally NO'B views EDR/ALK as a joint operator for the 14th Round bidding with' A compelling case to put before DECC in the bid process. As Malcolm VCA and hydrocarbon capital - put it ALK - wild about them watch out for some sex & violence Feb 14 webcast. Both BODs have done their homework with long hours of negotiations - EDR/ALK are some of the oldest license operators in the UK and know each others territories backwards - both will Max common ground & interests - hope the deal goes through - we will then hear the ALK story unfold over time. HTH DYOR ATB Possible access and assistance (with our man on the Board) to 170bcf of Natural Gas on possibly 5-10 sites offering new geographic spread & access to cheaper product - mmm! Both gain - Top up Monday.

Last point - ALK investment 2prong attack Cap Profit from old licence -re- invest in new 14th (maybe Acqn) but in time aimed to eliminate it's major operating weakness - limited renewable gas supply CMM 5 -8 years. Tie ups with EDR & new acq'ns 14th round - will in time leave access in inexhaustible supplies (INcl CBM) from their own licence concessions - cheaper than wholesale - (controllable costs maybe 3-4 years away) with EDR deal MOU and so on - possible future quantum leap operationally as well as new acreage CMM/CBM and shale whilst the Yanks are quiet. IMO DYOR - my previous point if your competitors are feeding can't fully react and you've dealt with the target before Seven Gas - watch this space. Value to ALK unlimited 'Future' access to gas especially South Wales closed mines major target UK Methane. Wishful thinking or 4 years away?!! IMHO High Risk Guess.

Just a thought, Shale M & A's are now becoming more liquid & brokers will taste the future appeal - post trespass leg'n . IGAS & DART great match - Sept deadline massive acreage increase - EDR swallows ALK acreage - leaves ALK liquid & can go (Whilst ER do very well) with Henderson downsized % < 20% & ready for more exposure new Convertible loan notes for growth etc - to go on the acq'n trail. Who's next? UK Methane? - Acquire then split licence sale to EDR - potential self perpetuating model only In my imagination - win win. possible great potential IMHO - can fail obviously - risky guess - DYOR ATB. ALK should not be left in the shadows good business and 2015 should bring record trading results (STOR margins) - NB of the licences sold to EDR most before 2008 (4 1998/96 lowish cost - one 1992) Interim results could hopefully IMO be a ripper Sept 14 - Balance Net Assets surge via Shale into equity & profit justifying acq'n?? - after Henderson Convert +£2m +40% NAV growth that can attract new finance 14th Round. Slow and patient these guys build value.

Until this deal is done with EDR (Shale or no Shale) - ALK share price inherits an element of uncertainty surrounding it's future course of direction (accelerated development or not) - key date 5th June for EDR deal. Longer term no probs just maybe a longer waiting for growth - without a positive result with EDR. ATB

14th Round Bid again review - wild guess - ALK&EDR have existing licences - PO eyes the market IMO +3years as E&P oppo - potentially with Neil O'B to be on EDR BOD squares the triangle PO/ALK/EDR - strategically NOB appointment is the missing triad link this board appointment powerful combo with £2bn back up form Premier Oil - lack of internal fighting and strategic geographical edge. Bridge building for future gains - could be a tough nut.

Next 2 months - developments surrounding 14th Onshore bids only increases interest in the sector and future shareholder value all round - especially with Premier Oil - represented on ALK & EDR BOD directly/indirectly. PO Eyes wide open and help strategically in the bidding process? Hence ALK 2013 accts states P 8 - putting forward - Strong bid. IMO DYOR HTH.

Reading away - missed this simple important piece of info clearly publicised - Joe Darby Alk Board Non Exec also on Premier Oil board both ALK & Premier +20% shareholders in Egdon see 2013 ALK Acs - sorry if old news - Does this mean an even (possible on-going) closer measure of co-operation. IMO only IMO ALK bid for 14th Round (has cash) and feed could (IMO)Egdon new shale ground over time retaining top slice. Basically ALK need more above CMM licence & sell below EDR need more shale & have Shared boardroom representation & see Malcy's blog 22nd May few shale plays - therefore whats happening to Eden Energy 500k acres and UK Onshore Gerwyn Williams as I said before) ?? Will only improve ALK & EDR's lot. Ken - End.

Thanks Ken - will listen to your advice & I appreciate your wisdom - My fault See BBC tonight - Will sleep - Until the 14th Round Onshore bidding - info overload. Good Night Thx Baz

Sorry for the info outburst, I get PEDL itess - considerations here to answer there's - 1. Current Quoted Shale positions- now transparent IGAS/Europa/EDR etc , 2. Shale now Not quoted Nominee PEDL invisible Shale Cloaking device so to speak within group companies within etc Cuadrilla THIRFD ENERGY See below &! - 3. The New shale revolution potential of the 14th Round 60k sqkm bidding (Maybe x4 size area of previous licences offered to bid) - the dynamics Woolley are hard to answer in a definitive statement. Your request - N Yorks case Third Energy UK Gas have closest PEDL's - exploratory licenses check website (Not Yet Quoted !! maybe) PL077/79/80/81 /dl006 I think to Quote - Third Energy’s aim is to build and develop a balanced portfolio of assets, which delivers As experts in acquisition, development and operations, Third Energy is being steered by a team of surface and subsurface experts in London. With a driven Management team and strong financial backing, Third Energy is a confident player in the oil and gas exploration and production arena. Gas Production Knapton is a unique project that encompasses the full energy lifecycle, from exploration and appraisal to development, gas production and last but not least, power generation. As such Viking UK Gas is a truly integrated energy company. It is also the largest generating station in the UK to utilise onshore produced gas - to day not quoted hard to find the Group owners & when they could float??. As I said UK Onshore Oil & Gas (Welsh Based shared licenses) will float & expose numerous inter company connected interests positions incl ALK - licenced connections not really understood economically but to be disclosed in their future floatation docs - could involve N Yorks maybe & definitely the 14th Onshore may buy into your area through say Egdon/Alkane/ Igas/ Cuadrilla/Europa new -identified positions - these are mega volatile waters before taking a N Yorks position in Shale today as so many have not shown their hands (pre 4th June Q S) - fluid dynamics hard for the market to value - but according to some - UK - largest Shale reserves in the world - we'd welcome part of that investment in South Wales - no problem fracking in certain areas. HTH DYOR ATB A calmer Bazza - sorry Ken hate Red

Early Entrant Advantage - ALK has acquired 20% in the 2nd largest quoted Shale play available (de-risked the sale of shale assets) to date and will protect and enhance that relationship through resource sharing see MOU and BOD rep plus bidding 14th Round maybe a horizontal license play & drilling for acreage license swap. ALK SP down thru trading positions not fundamentals IMO – the BOD have taken negative all news starting with Henderson downsizing since April/ May 1st Update and the shares are still 37-8p the positive news should turn excluding Egdon deal for a minute soon to come Shale promised legislation changes gets press coverage and current deals get less discounted more positive NPV. ALK news– Three Nooks farm project Natural gas update see site prod’n 2014 – Pure further Shale play pipeline DEASL see further encouragement - UK Onshore Gas IPO Gerwyn Williams 250,000 acres Shale in Wales £60bn GIIP DYOR – will start drilling June and will positively impact ALK/EDR valuations. ALK have one shared Shale play with UK Gas same outfit - see below – so next 4 months good news with improving EDR fit & values – ahead of the curve. Licence Data - Licence PEDL014 Start Date 04/04/1996 End Date 03/04/2027 (Anticipated) Licensee Name Registered No ALKANE ENERGY UK LIMITED [03128509] U.K. GAS LIMITED [02648117] Block/Subarea Operator Operator's Group Beneficiary Beneficiary's Group Interest SN/90a ALL ALKANE ENERGY UK LIMITED [03128509] ALKANE ENERGY PLC ALKANE ENERGY UK LIMITED [03128509] ALKANE ENERGY PLC 50% U.K. GAS LIMITED [02648117] U.K. GAS LIMITED 50% SS/99a ALL ALKANE ENERGY UK LIMITED [03128509] ALKANE ENERGY PLC ALKANE ENERGY UK LIMITED [03128509] ALKANE ENERGY PLC 50% U.K. GAS LIMITED [02648117] U.K. GAS LIMITED 50% SS/99b same SS/99c SAME UK Onshore Oil & Gas IPO 21-03-14 – SHALE ENERGY INSIDER PUBLICATION - GERWYN WILLIAMS Shale gas explorer UK Onshore Gas is planning a listing on the London Stock Exchange’s AIM market to finance its exploration programme in Wales, The Times has reported. The company has a lot of faith in Wales’ shale gas reserves and believes it should start exporting globally. Regarding well integrity and safety in the UK’s shale industry, Dr Liane Smith, Managing Director at Wood Group Intetech has said: “To date, there has been too much focus on the fracking process, and not enough on managing the integrity of the wells themselves. Because the shale gas sector is still young, it can learn much from the conventional oil and gas business in terms of best practice. The performance of shale gas wells should be monitored as per conventional wells in order to detect signs of leaks at an early stage. This ensures that action can be taken to control them in a timely way, rather than waiting until the water is contaminated or other problems develop. By taking the lead on well i