Member Info for FabPhil

(Bloomberg) -- Natural gas markets around the globe are rallying as the world’s importers have come to a stark realization: there isn’t enough supply to go around.
https://uk.finance.yahoo.com/news/isn-t-enough-natural-gas-112742895.html

Independence not mutually exclusive. "The difference between mutually exclusive and independent events is: a mutually exclusive event can simply be defined as a situation when two events cannot occur at same time whereas independent event occurs when one event remains unaffected by the occurrence of the other event."
As the trap intervals are so different I think it is reasonable to assume independence.
90.55% chance that at least one layer is successful is correct.
Also, on page 10 of the July 2020 presentation, it says "all intervals have GRF-1 gas shows"
GLA

We are in the right sector at the right time ... "World leaders meeting in Cornwall are to adopt strict measures on coal-fired power stations as part of the battle against climate change.

The G7 group will promise to move away from coal plants, unless they have technology to capture carbon emissions."

https://www.google.com/amp/s/www.bbc.com/news/uk-politics-57456641.amp

Another conference with EOR CO2 on the Day 1 draft agenda.
Trinidad and Tobago Energy Conference 2021
Theme: Leading the Caribbean’s Energy Transition
Day 1- June 7th 2021
Only 4 weeks away, momentum seems to be building. It is an impressive list of speakers for Day 1 and with the mandate for the steering committee to manage “Large-Scale CO2-EOR projects” the conference could provide the platform for more details!
https://energynow.tt/trinidad-and-tobago-energy-conference-1#speakers-and-agenda
Increasing Investment, Enhance Oil Recovery, Carbon Capture and Carbon Markets
Arlene Chow, CEO, Heritage Petroleum
Dirk Forrister, President and CEO, International Emissions Trading Association

The Chinese are arriving...?
Interesting that Sinopec are scheduled to be presenting on “Enhanced Oil Recovery” in June’s energy conference in Trinidad...
“experiments and simulations on integrated approach of CO2 EOR and storage in mature reservoirs”
https://www.spe.org/events/en/2021/conference/20ttce/schedule-overview.html
Tues 29th June, 8:30am
Chaired by the Ministry of Energy-Trinidad & Tobago

From page 12...
“ we calculate Morocco reserves are almost 10 times as valuable as SDX’s Egyptian reserves.”
PG has mentioned the favorable terms in Morocco so it’s good to see it confirmed here.

Wow,
Morocco are calling for tenders for the possibility of a Floating Storage Regasification Unit.

Anyone know a company that could help?!

The cash raise mentioned “additional business development opportunities have been created...”
Maybe this is one of those opportunities?
https://www.moroccoworldnews.com/2021/04/340784/morocco-issues-call-for-construction-of-floating-regasification-unit/

An interesting article here on how tax credits are luring US companies to capture CO2.

PRD are in discussion with the Ministry about tax credits which surely are on the way, as it’s a win-win policy which will further enhance the economics of the projects and add to Trinidad’s green credentials.
https://cen.acs.org/environment/greenhouse-gases/45Q-tax-credit-s-luring/98/i8

Sounds promising!
“In February 2021, the Ministry of Energy and Energy Industries (MEEI) announced that Cabinet agreed to establish a carbon capture and carbon dioxide (CO2) enhanced oil recovery (EOR) steering committee, responsible for managing the implementation of a large-scale CO2-EOR project in Trinidad. Potential oilfields identified for this project include those run by Heritage in Point Fortin, Guapo, Gran Ravine and Forest Reserve. The committee comprises members from the MEEI, Heritage, UWI and NGC.“
https://newsday.co.tt/2021/04/15/how-using-carbon-dioxide-enhances-oil-recovery-in-tt/

255,600 ounces discovered on a $5million budget.
Not a bad return.
SE still completely open.
2021 exploration budget doubled to $10.
Encouraging I would say.

Also note on the Heritage website, under our values
"Technical and Operational Excellence
Technology should enable growth and increase efficiency
We will invest in proven technology to increase reserves and production"
I wonder where in Trinidad they can find this proven technology?
Announcement soon IMO.
https://heritage.co.tt/

PRD are addressing climate change concerns through sequestrating CO2. We are in the right sector at the right time. Surely Massy are looking at this with some interest!

“The UN Secretary-General, António Guterres, called it a red alert for our planet.
He said: "It shows governments are nowhere close to the level of ambition needed to limit climate change to 1.5 degrees and meet the goals of the Paris (Climate) Agreement. “
“The major emitters must step up with much more ambitious emissions reductions targets."
https://www.bbc.co.uk/news/science-environment-56208651

Momemtum in this sector is building.

This recent Reuter's article hightlights the potential value of PRD T&T project.

Carbon offsets gird for lift-off as big money gets close to nature
"LONDON (Reuters) - An expected dash by big corporations for offsets to meet their climate targets has prompted financial exchanges to launch carbon futures contracts to capitalise on what could be a multi-billion dollar market."
 "An emitter can buy a credit awarded to a forestry or clean cooking stove project for a tonne of carbon dioxide emissions the project has prevented."
https://reut.rs/3km8iB7

Yes
https://polaris.brighterir.com/public/sdx_energy/news/rns_tool/story/xq6j62r

To give an idea of the size of the prize
SDX is targeting 2 BCF
PRD is targeting 819 BCF

From SDX RNS, 5th Jan 2021
“Four wells in Morocco (75% W.I.)
The campaign which will commence in early Q2'21 and complete late Q3/early Q4'21 will target approximately gross 2 bcf of recoverable resources,”
From PRD RNS, 7th Dec 2020
“Upgrade of gross audited Best Estimate recoverable prospective resources for Miocene gas targets to 819 BCF with addition of the MOU-4 Prospect, representing an increase of 92% over previous SLR resources estimates”

Nice to see PRD mentioned in this article...
https://www.naturalgasworld.com/irish-gas-lobby-welcomes-clarity-on-offshore-licences-85217

Sums Iraq up quite well, corruption and incompetence ... "That Iraq, one of the world’s largest oil producers, cannot reliably supply electricity to its citizens and has to import electricity is symptomatic of the dysfunction that led to antigovernment protests last year and brought down the previous government.
Iraq’s energy infrastructure has suffered from three devastating wars since the 1980s, destroying refineries and power plants. But since the American-led invasion of Iraq overthrew Mr. Hussein in 2003, corruption and incompetence have prevented Iraq’s government from fully restoring electricity."

Positive results hopefully coming soon ...
"Drilling: A final drilling programme is being carried out at the Sanioumale East ("SE") deposit. Results to be released before year-end to complete Hummingbird's, to date, successful 2020 exploration and drilling campaign"

SW produced 15m at 18.25g/t
A few more over 100gm intervals in SE would send a strong message to the market.

Is the feeling here that approval will be granted?

Irish policy seems unclear atm ?

https://www.google.com/amp/s/www.irishtimes.com/opinion/letters/u-turn-on-natural-gas-exploration-1.4412861%3fmode=amp

"The Closing of the Farm-Out (“Closing”), is conditional on completion of all ancillary documentation required to implement the terms of the FOA, confirmation of the Agreed Funding by SpotOn and is subject to the approval of the Minister at the Department of the Environment, Climate and Communications."

This from our largest shareholder Ruffer at 9%, June Fund report
"The quarter was again dominated by the COVID-19 virus and the global response to it. The world is
still coming to terms with the economic shock, but stock markets have responded to the
unprecedented support for the economy from government spending and central banks. As noted in the
previous quarterly report, it appears we now face a prolonged period of weak economic growth, zero
interest rates, ‘unconventional’ monetary policy measures and unfunded fiscal expansion. The
implications for stock markets may be somewhat ambiguous, but the case for gold is about as good as
it can get!"
EU 750 billion! euro rescue package, markets can not continue as if nothing is happening, gold and HUM are looking like a good bet. For sure, this next quarter, in the dry season, there will be a focus on HUMs AISC, leaner and meaner to follow.