Member Info for grewber

Morrocco you are quite wrong about Malcy holding shares in the companies he reports on. He clearly states it in a recent bucket list update ( I would dig it out if I could be bothered). Anyway I raised the question with him personally on a trip to Morocco with Sound and he confirmed it then. I am not naive he clearly leans to the positive on the shares in his list - how else would you get your CEO interviews/ site visits around the world if you didnt. ?

Echo Energy
Echo has announced the completion of well testing at ELM-1004 in Argentina and dry gas has been successfully been produced to the surface, the well has now been suspended in anticipation of subsequent hydraulic stimulation. The well did exhibit some difficulties due to breakdown of cement behind the production casing but with no more need for this rig on site it has moved to test the CSo-2001 (d) well.

The well will now be stimulated which was to be expected in this formation and when that is done I would hope to see a good commercial well with decent flow rates. The market has somewhat over reacted to the news this morning as if they had expected an immediate commercial well going straight onto production, this is rarely the case especially in the Tobífera formation and stimulation should do the trick. Accordingly a 15% fall in the shares is inappropriate…

Basically the rns is explaining there are two problems with this well;

1. Water-- In order to produce the gas the wellbore must be isolated vertically from the surrounding rocks so you only produce gas and not the stuff in the rocks below- in this case loads of water. This is done by cement plugs to isolate the formation you are interested in. In this case the plug has failed only allowing isolation of the top section of the gas column. Given time to rework this problem I would be confident the water problem can be solved.

2. Permeability.- The second problem is the fact that the top section of the gas column that they were able to test doesn't produce commercial quantities of gas naturally. This is due to the Torbifera formation, at this location, has insufficient natural rock fractures (at least in the section they were able to test) to allow the gas to flow to surface commercially. The solution, once the water plug problem is solved is to artificially increase the rock fractures, allowing the gas to flow at what will then hopefully be commercial rates. This process is mechanical stimulation or fraccing.

In time I would expect the water problem to be solved and an increased gas flow rate to follow the stimulation process. However, its unlikely to be a big producer in the long run but then it was never going to be company maker.

GLA

You can buy via your sipp account but not an ISA account with Halifax/ Lloyds. I got fed and opened a Hargreaves Lansdown ISA account , buying was no problem through them.

GLA

That's right Egg, obviously there are several risks but not being able to achieve a commercial flow rate is probably the biggest. That's the point of the flow test after all. Permeability is key and it may flow naturally or require mechanical stimulation (fraccing). We will see soon.

GLA

SG its not just Halifax but Lloyds as well. Same group I know but all the same lots of demand for RBD not being met.

Hi SG

I had the same problem with Lloyds. When I enquired as to the reason I got this reply
." This particular stock has been classified as a PRIIP ( a Packaged Retail, Insurance or Investment Product). To trade these, we need to supply you with a Key Investor Document at the point of purchase. The fund managers have not produced this document, so until they do we are unable to buy the stock"

Others have said they have bought via their Hargreaves Lansdow ISA Account. I did however, manage to buy via my Sipp account.

That's as much as I know.

Perhaps an email to the company?

Without the illusive producing asset I can only see this drifting down for the next few months. I will be back in then for the fun in Q4.

GLA

My ISA trading account will not allow purchase of Reabold. When I ask why here's the reply.

This particular stock has been classified as a PRIIP ( a Packaged Retail, Insurance or Investment Product). To trade these, we need to supply you with a Key Investor Document at the point of purchase. The fund managers have not produced this document, so until they do we are unable to buy the stock.

Anyone else had this problem?

The board have made a big mistake here. I understand Equinor are pulling the strings but to change the drilling order twice without an attempt at an explanation is contemptuous of share holders. The lack of information means investors cannot make informed investment decisions and are left with the conclusion that drilling in mid winter can only be considered as Verbier now being a lower priority.

Very disappointed with the board.

Does anyone know where we are on the drilling schedule.? Obviously the West Phoenix is not due at Verbier for a while but would be nice to know if the contract with Statoil, sorry Equinor, has begun?

GLA

Please sell as much as you can as I want to make one more top up before the action starts.

Has "imminent" finally arrived?

GLA

Guys how many barrell is the question on 120m pay of light oil?
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Not enough information available yet to say - hence the need for the flow test, coupled with seismic. We dont even know if the discovery will flow at commercial rates yet. The July testing will be very interesting.

Guys 500m relates to the vertical depth of the hydrocarbon bearing rock. It is not a measure of how much oil has been found. It is estimated that 120m of that 500m might actually produce oil. You cant get a figure for the amount of recoverable oil from the data that is known to date, hence the need for further testing with the rig in July. GLA

Jersey Oil & Gas JOG announced earlier in the week that it had appointed Gary Toothill as Development Manager to be based in Aberdeen. With plenty of serious experience behind him he is a specialist in the delivery of upstream development projects and production optimisation and his appointment should be noted as a very important and relevant one. Speaking at the Oil Capital Conference yesterday CEO Andrew Benitz confirmed that the rig which will be used to drill the Verbier appraisal is on the high seas and with other commitments is likely to be on site there at the end of the third quarter or beginning of the fourth, subject to other timings. JOG looks in an incredibly strong position at the moment and with both drilling and seismic operations scheduled has significant upside. Ok basically good news, but I cant help thinking the BOD have just slipped a two month drilling delay on us hoping nobody notices. GLA

Equinor are very excited by their new oil discovery in Norwegian North Sea which is "expect to be commercial" with estimated reserves of 15-35 million barrels of oil. That puts Verbier in perspective if it comes in anywhere near its 130 mbo upside. We will find out soon! https://www.equinor.com/en/news/08jun2018-discovery-utsira-high.html

Which is nice

Personally I doubt it. JOG are going to need all their spare cash if Verbier appraisal is successful in the summer for drilling of Cortina in early 2019.

getting the go ahead. https://www.ft.com/content/210755ca-3cb9-11e8-b9f9-de94fa33a81e GLA