The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
have generated a lot of interest .. https://www.breakingnews.ie/business/oil-and-gas-finds-could-deliver-11bn-tax-bounty-899397.html
With a comment from Hugh at the end ..
Great report - thanks Rudey. I think it gives an early indication of just how much media attention will be given to the drill on Inishkea. Inishkea represents a major strategic energy supply for many years for Ireland and will assist them in the transition to renewables.
I was sitting here wondering what on earth I could do to generate more interest in EOG. I don't think I have to do anything - it will come with the drill bit, Very happy to continue to add at this ridiculous level.
After last week ended with love ins all round I was going to write a positive post to get this week off to a great start but Hugh beat me to it. Good news on the clean up at West Firsby - a barrel a day keeps the doctor away and just a small snippet more regarding the farm out of the three licences - TERMS AGREED! Great stuff ..Board level now need to come up with a reason why they would override the NW Europe Division chiefs of a major oil company.
My Dream is still ON ...
Excellent
summation Johnnie - exactly my thoughts .. boards like this play a very important part in attracting new investors in the absence of news generated by the company. One of the problems on LSE is that there is only one board per company and there is no control over the content. Personally I would filter out most of the contributors here yesterday.
Right now EOG may be classed as a one trick pony - Inishkea - the gas prospect of up to 2TCF close to the existing Corrib field. They have a backstop - in fact several including sufficient funds as well as existing production and the possibility of Wressle coming on line in the future - but the main attraction for me is Inishkea.
You ask if they will get Ireland sorted? Well in my opinion they have and not entirely of their own making.
First let me define my personal target - the spud date for a drill on Inishkea - I am in here at a low enough average to benefit from an escalating SP - with all the associated newsflow and excitement and most of all the considerable public interest leading to the day of the spud when like all good AIM punts the investors who took a chance at this SP sell out and the SP 'unexpectedly' drops. Hanging on for more at that stage is pure greed and you can only sell to someone who sees future potential - when that potential dries up there is no-one to sell to.
Spud date will be next year and I am patient enough to wait for that.
External Factors - for the next 20 or 30 years as the world moves to renewable energy, Gas power generation is the easiest way to fill the gap both in replacing existing coal, oil and in Irelands case Peat power generation as well as the need to level the power load as renewable supplies waver under clouds and lack of wind.
An island without its own natural energy resource (with the exception of peat) is in a perilous position and totally dependent on other countries. WIth Brexit that will bring an intermediate country into the equation from the source which is additional unwelcome.
Corrib is in decline - with additional resources it can get back to full capacity - in fact from the research I have done, there is the possibility to increase the maximum capacity of that plant substantially without additional investment - it can and should be part of Ireland's energy strategy over the next 20 years but at the moment has only a 10 year life left.
There is no other option - environmentalists have shown that they will not let another such plant be built and E&P companies will not take the risk of trying to build another. The LNG terminal(s) planned in Cork have little prospect of being built while the demand for LNG is focused on China and the Far East and the prices are higher.
The investment into Corrib by a Pension Fund with billions at their disposal and a Canadian Oil company whose investment in Corrib is now being significantly rewarded will be keen to see additional exploration if not taking part them selves
Then we have the recent investment into the company during the placing which significantly also stated that they were in negotiations at board level with a major oil company for a farm in. If you exclude the possibility of Ireland coming to fruition and all the assets EOG has there, then persuading a company to invest £4m into what remains is highly unlikely given that the investment company can only realise a return on their money at that percentage of the company they have bought by either selling on the open market or by the sale of the entire company. EOG are not going to be providing dividends in the near future for sure. And these investment companies have a time frame to work with - they can't afford to stick £4m into a company that is not going to deliver in the short term rather than the medium to long term. Sure it is as much as a punt as I am making but they are much better at making investment decisions than I so I take heart that they decided to do so at this particular time - i.e. when a major oil company is looking at farming in ..
As I have said before the main fact to be taken from the interest by the major oil company is that the prospects have passed the examination by the junior management of that company including their geologists. It is an attractive prospect to them. And if it is to them then so it will be to others. We can speculate on the delay of confirmation of the farm in but it really has not been all that long and budgets have to be calculated and approved. I am sure we will hear soon enough and then the fun starts.
EOG are going ahead on their own at this stage with all the preparatory work for a drill in 2020. Of late we have seen longer and longer delays in the Irish DCCAE department so it is prudent of them to start early but it is also an indication that they are positive that this well will be drilled.
I see very very little risk that this will not happen and I judge my risk reward on that alone with of course the backstops I mentioned to prevent the SP sliding much further down from here. Good time to invest in my opinion.
Excellent summation Johnnie - exactly my thoughts .. boards like this play a very important part in attracting new investors in the absence of news generated by the company. One of the problems on LSE is that there is only one board per company and there is no control over the content. Personally I would filter out most of the contributors here yesterday.
Right now EOG may be classed as a one trick pony - Inishkea - the gas prospect of up to 2TCF close to the existing Corrib field. They have a backstop - in fact several including sufficient funds as well as existing production and the possibility of Wressle coming on line in the future - but the main attraction for me is Inishkea.
You ask if they will get Ireland sorted? Well in my opinion they have and not entirely of their own making.
First let me define my personal target - the spud date for a drill on Inishkea - I am in here at a low enough average to benefit from an escalating SP - with all the associated newsflow and excitement and most of all the considerable public interest leading to the day of the spud when like all good AIM punts the investors who took a chance at this SP sell out and the SP 'unexpectedly' drops. Hanging on for more at that stage is pure greed and you can only sell to someone who sees future potential - when that potential dries up there is no-one to sell to.
Spud date will be next year and I am patient enough to wait for that.
External Factors - for the next 20 or 30 years as the world moves to renewable energy, Gas power generation is the easiest way to fill the gap both in replacing existing coal, oil and in Irelands case Peat power generation as well as the need to level the power load as renewable supplies waver under clouds and lack of wind.
An island without its own natural energy resource (with the exception of peat) is in a perilous position and totally dependent on other countries. WIth Brexit that will bring an intermediate country into the equation from the source which is additional unwelcome.
Corrib is in decline - with additional resources it can get back to full capacity - in fact from the research I have done, there is the possibility to increase the maximum capacity of that plant substantially without additional investment - it can and should be part of Ireland's energy strategy over the next 20 years but at the moment has only a 10 year life left.
There is no other option - environmentalists have shown that they will not let another such plant be built and E&P companies will not take the risk of trying to build another. The LNG terminal(s) planned in Cork have little prospect of being built while the demand for LNG is focused on China and the Far East and the prices are higher.
The investment into Corrib by a Pension Fund with billions at their disposal and a Canadian Oil company whose investment in Corrib is now being significantly rewarded will be keen to see additional exploration if not taking part them se
if it gets support ..
DO NOT BUY these shares whatever you do. The management is useless and the assets worthless. There is no prospect of this SP EVER going up again. The only people who hold shares in this company are NOT Naive and are NOT inexperienced that is why they have lost a lot of money and they certainly DO NOT want any new shareholders because they would be naive and inexperienced to invest here. So if you are Naive and Inexperienced F Off - although I don't know how you would know if you were Naive and Inexperienced before you bought a share here - Catch 22 maybe? Ireland doesn't need gas. What on earth were the management thinking about taking on a licence so close to Corrib - nuts. All Ireland needs is a few more cows and their gas problems will be solved - everyone knows that. Just leave EOG alone and to the current shareholders - they are the only ones who know how really bad this company is...
Get my drift ??
50% chance of achieving this says Europa DYOR http://www.europaoil.com/navchart.aspx
DYOR https://researchlibrary.finncap.com/Public/Details/Europa%20Oil%20%7C%20Gas
to announce the farm out at Inishkea. A lot of very unhappy UK Onshore Oil investors around and probably selling up. EOG sitting on a veritable goldmine if the farm out that is under negotiation to a major oil company that would lead to THREE funded drills offshore Ireland with the best being Inishkea. That should be drilled next year into a possible 2TCF prospect next door to Corrib. Much better investment I think than the Weald.
Two ways only I think that EOG shareholders will benefit from Inishkea based on Drill Bit Success. Minnows like EOG just take the farm in through to drill. Success means Appraisal Wells, Tiebacks follow appraisals. Both mean excessive capital expenditure. It might be nice to imagine EOG retaining eventual production but to be honest they will be long gone by then either a) sell the asset or b) sell the entire company
So best case scenario how much is 15% (post farm down) of 2 TCF worth ?? A lot more than the currenyt Mcap for sure. Chances of success are 35%, Drill costs £15m? Nice bit of risk reward there ... All I am looking for is the spike leading up to spud .. EOG are in the right place at the right time and so am I !!
Can't believe the lack of interest in the news announced last year that a Major OIl Company is poised to farm in to 3 of our licences with commitments to drill on all three? Whether they do or not is another matter for their board to decide but the positive from that announcement is that our prospects have passed the geological tests. So if the prospective farminee doesn't go ahead for whatever reason which we will never hear about anyway there will be another.
Ireland is dependent on Gas. Kinsale is almost finished. Corrib is in decline. Brexit could cause significant problems. LNG terminals haven't got off the ground. And the best the government can come up with is gas from grass.
CPPIB with billions at there disposal decided to invest in Irish Gas .. they know more than me about good investments to be sure to be sure to be sure ...
a) All of these plays are capable of containing very large volumes of hydrocarbons, which is why the Directors believe major oil companies such as ExxonMobil, Equinor, ENI, CNOOC-Nexen and Woodside are active in the basin
b)The Company is currently negotiating farm-ins to three of its Irish licences (LO 16/20, FEL 1/17 and FEL 3/13) with a major international oil company which is active in North-West Europe
c) Fund a site survey covering the Inishkea prospect, expected in May 2019 with drilling at this site targeted for summer 2020 (subject to partnering);
d) Fund well planning in support of the site survey and basis of design for the final well location. Subject to the successful conclusion of farm-in negotiations, this will enable the drilling of the Inishkea gas prospect in summer 2020, as described above
e) Mean prospective resources ~ 1TCF
• Indicative P10 prospective resources ~ 2TCF
f)Play Chance of Success = 100%
Reservoir presence: very low risk
Source presence and effectiveness: very low risk
Trap: low risk
Reservoir effectiveness: key risk
g) Finncap say - However, the main reason to own Europa remains its exposure to Offshore Ireland, where negotiations are in the final stages to secure a partner and funding for three wells. A successful conclusion to these negotiations would be a major catalyst for the shares.
h) Finncap Target - 41p
I'm having some of that thank you very much
I know how this is going to sound and it is not meant to be rude but I am sure some of you will take offence. A positive sounding bulletin board is good for your investment (and mine of course). So if any of you feel the urge to write disappointing stuff on here why not think twice and just not write it. It will make a difference and when you pop in to read what has been written here your spirit will be lifted by all the positive comments and a rising SP. What is more aspiring shareholders will also be reading what is good about this company. I haven't been here long enough to comment on past performance but what I see now I really like. A wee company in the right place at the right time with the right asset backed now with significant cash in the bank and an income stream. I'll say it again - there can be absolutely no chance that Inishkea will not now be drilled - a country depends on it for goodness sake not just EOG. A huge investment vehicle like CPPIB would not have bought Corrib just for what was there without considering the potential for prolonging the life of the plant. Peanuts for them and Vermillion to fund a well and PLUS Vermillion, CPPIB and Equinor are all committed to further capital expenditure anyway on maximising production. This little company is a no brainer in my opinion ...
What on earth is going on here? You lot seem to be so bogged down in the past you don't appreciate the future. This little oil and gas company is sitting on a veritable goldmine at an SP that will rocket when the punters come on board for a ride to the spud of Inishkea. That well will be drilled. There is absolutely no chance it will not in my opinion. A major oil company has had a look at the seismic and has seen enough to take the farm in deal to the board for approval. I don't care if the board whoever they are turn it down, as far as I am concerned someone else will take it on in that event. Ireland cannot do without a new major gas discovery. I was looking today to see where the Stena Icemax was .. on contract to Exxon Mobil in Cyprus looking for Gas. Interestingly another island so desparate for the stuff that they are funding part of the drill. Just keep talking the share down please. I now have half of what I intend to buy here and I also intend to double my money this year here. So keep the SP down while I finish off my purchases .. Thanks a bundle. You are doing a great job.
A detailed explanation of the West Frisby Workover https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/713959/Decision_document__pdf_.pdf