Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
I remember seeing someone wanting the telegram link mid week I’ll post it on twitter for 24 hours
Search #copl
Or
https://x.com/theunsophistic2/status/1700481526956253569?s=12
It doesn’t sound right saying it, and I await an onslaught 😅
But arts wages are inline with his peers, it gets easily misinterpreted because it’s quoted in cad not gbp
£350k.. he’s bought more than this in shares every year Iv been invested in open market last purchase 300k at 20p if I remember right.
The biggest upshot for me is the loan, if we can get that capex down then the figures look even better.
1300 barrels
Rev 41,750,000
Tax 12.5%
Royalty 22.5%
28300000
Lifting 15/25 per barrel
16500000
Wages 7m
9500000
Butane 3.6m
5.9m
Interest scl 5.2 m
1300 at $88
700k profit at 1300 barrels
I used the higher lifting cost of $25.. it should be $15 now with GGS
I’m going to give you all a quick comparison for the COPL haters out there (this is by no means a dig at BCE, if they do flow 600 bopd+ it’s crazy underpriced)
BCE 27m mcap
reserves: 3.5m barrels
Production: 0 (they hint their producing but no figures in public domain)
Resource: 22m
Debt: 0 (but only 1 well, unsure of infrastructure.. they’ll need debt to increase in size)
JVs: 0
COPL 22m mcap
reserves: 40m
Production: 1200 bopd (peak 2000)
Resource: 1 billion (not million) confirmed, company estimate 2 billion.
Debt: 60m (37 wells, severely upgraded infrastructure, 17 recompletions, 50+ permits)**
JVs: cnnoc (70 billion mcap) more tba
** 19m debt is transferable to equity (without interest and assuming fully converted an extra 470m shares)
I’m going to give you all a quick comparison for the COPL haters out there (this is by no means a dig at BCE, if they do flow 600 bopd+ it’s crazy underpriced)
BCE 27m mcap
reserves: 3.5m barrels
Production: 0 (they hint their producing but no figures in public domain)
Resource: 22m
Debt: 0 (but only 1 well, unsure of infrastructure.. they’ll need debt to increase in size)
JVs: 0
COPL 22m mcap
reserves: 40m
Production: 1200 bopd (peak 2000)
Resource: 1 billion (not million) confirmed, company estimate 2 billion.
Debt: 60m (37 wells, severely upgraded infrastructure, 17 recompletions, 50+ permits)**
JVs: cnnoc (70 billion mcap) more tba
** 19m debt is transferable to equity (without interest and assuming fully converted an extra 470m shares)
A few key take aways for me:
"$8.5 million of liquidity ensures the Company is fully financed in to the first quarter of 2024"
tap facility gone, and only a 200k deficit from the end of july, with the hedge and impacted production.. "A cash position of $5.2 million as at June 30".
COPL finding new ways to say Exxon, without saying Exxon
"The prospective horizons are currently under Joint Venture negotiation with a respected industry leader."
Art shifted to what he does best, geology while anivo have fully impregnated themselves within the company with now 2 directors. The dont want to dilute themseles..
"Anavio and the Company have agreed to discuss a possible reduction of the quantum of payment of any "Make Whole Amount" under the terms and conditions of each of its 2027 Bonds and 2028 Bonds (each as defined below), provided a satisfactory Joint Venture is entered into by the Company, hence reducing potential dilution"
last point, with current oil price volatility we are cash generative with a more sensible financial head.
NITEC has tremendous experience in modeling and designing EOR projects in many fractured and non-fractured conventional reservoirs. These projects include hydrocarbon gas injection, nitrogen injection, CO2 injection, water injection, polymer injection, steam injection, and WAG injection projects.
There is significant interest today in the area of carbon capture and sequestration. Sequestration is often coupled with EOR when oil fields are in the vicinity of the CO2 source (gas plant, power plant, or manufacturing facility). NITEC has completed numerous feasibility studies to evaluate the oil recovery potential under CO2 injection, EOR. The studies have included WAG and continuous injection development schemes. These studies require close attention to reservoir characterization and to the phase behavior of the reservoir oil and CO2. Miscible and immiscible recovery processes have been investigated.
The following CO2 investigations have been completed in recent years:
Elk Hills (USA)
Big Muddy (USA)
Los Perales (Argentina)
S. Glenrock ‘B’(USA)
S. Glenrock ‘C’ (USA)
Grieve (USA)
Cole Creek (USA)
Bab (Abu Dhabi)
Hilight (USA)
Following the announcement of the 33rd Seaward Licensing Round by the North Sea Transition Authority (NSTA), an initial screening assessment (including consultation with the statutory agencies/bodies) of the 931 Blocks offered was undertaken. The screening identified 267 whole or part Blocks as requiring further assessment (AA) prior to the NSTA making a decision on whether to grant licences, should they be applied for.
Following the closing date for 33rd Seaward Licensing Round applications, those Blocks identified as requiring further assessment (AA) were reconsidered against the list of actual applications. It was concluded that further assessment (AA) was required for 96 of the Blocks applied for. Due to the wide distribution of these Blocks in the UK Continental Shelf, the AAs are contained in three regional reports:
https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/1175245/33rd_Round_AA_Southern_North_Sea_and_Mid_North_Sea_High_Consultation.pdf
The 16p risked is based on 980m shares in issue and the Shannon unit producing 2500 bopd. It’s estimated Shannon can reach 5000 bopd with the recent upgrades.
The Unrisked is including development of Cole creek.
No mention of carbon capture and storage.
The CCS (if it is a thing involving COPL) can be worth multiples of the oil, crazy really.
Exxon recently bought Denbury who’s pipeline and lands run alongside copl. This JV has been NDA the whole time, no rumours or leaks (a few hints here and there)
But if copl is in anyway linked to Exxon’s carbon capture plans then 🤷. Especially seen as Exxon is the largest player in ccs and la barge is the biggest ccs project in the world.
At 10m mcap there’s no value attributed to “the find” or “the JV”. It’s valued at maximum dilution from bonds.
Apologies also pilot heat of the moment and all that. I forget who the goodies and baddies are on here 🤣
Interesting links on carbon capture in the telegram group.
Imagine if it is part of the bigger plan.
Yes the hedge contact is for only the first 948 barrels, it’s an 8month contract not 6. We’ve all been through the mill, this asset and the money and time needed to get it performing wasn’t anticipated by even the worst derampers. But a corner is surely nearly turned. I hope one day we can all enjoy copl, instead of being blindsided and made to look like fools, that’s all of us included in that!
Have a good weekend fasty ❤️
Appraisal well: exploration well drilled to establish the extent and size of a petroleum deposit that has already been discovered by a wildcat well.
COPL expects conversion of Frontier 1 Prospective Resources to Contingent Resources and ultimately Reserves as additional producing wells come online;
· The Company has defined an "Oil Down To" elevation for the Frontier 1 at Cole Creek with an area of approximately 8,000 acres;
· The Frontier 1 recompletion program at Cole Creek will continue with 4-27-35n-77w.
In the last week of December, the Company initiated recompletion operations on the well 11-27-35n-77w to evaluate the light oil potential of the Frontier 1 reservoir sands.
Following the announcements by the Company in August and November 2021, discovery has been confirmed on COPL's large leasehold position in Converse and Natrona Counties, Wyoming in four (4) Frontier Fm. (1&2) and one (1) Dakota Fm sand(s).