Member Info for GreyPanther

I too am happy to see the regular RNSs about each $1m of Wressle income. That's because they also tell us about the latest cash position. I was therefore very pleased to see that we're about £0.8 million better off than 41 days ago. And that's presumably after paying last month's bills.

There are plenty of rigs available in the rest of Europe which aren't busy. Operato]rs like Rathlin and Egdon could club together to bring one to the UK.

We ought to look at the total remuneration package that exec. directors receive. This will include their pension contributions, bonuses, share options, car allowance, health schemes etc, etc. In UJO's case the directors receive the salaries you quoted, no options in 2021,and nothing else. That's not the case with many AIM oilers, particularly RBD.

Hello Heid. I realise that you don't like persimmon. But, apart from the fact that RBD's mkt cap is around £21.4 rather than £20 million, IMO his question about their two CEO's remuneration is a reasonable one . For example UJO (in which I'm much more heavily invested than RBD) has only two exec directors plus two non-execs, and they receive a lot less between them than S&S do. Yet UJO's market cap is nearly twice that of RBD's, whereas not that long ago it was the other way round. If I may say so, I think we'll be a lot more useful to our co-investors if we stick to commenting on our investments, rather than sniping at each other. OK, I can see it's pot and kettle in my case, so no offence is meant. GP

At the Tuesday Q&A session I asked what % of Corallian we own since it no longer appears to be 49.99%.I also asked, if there has indeed been a change, why it has not been RNS'd. I was disappointed, but not much surprised not to get an answer to this, nor to two other relevant questions (IMO). Talking of transparency .... they hardly know the meaning of the word. I suppose they might scrape through at the forthcoming EGM, but their score cards have been marked and, as far as I'm concerned, they didn't get very high marks.

Based on the rather limited reservoir data released by Egdon I don't think we are seeing a production decline due to falling reservoir energy just yet. While I've seen no definitive published info, I feel this to be the case this because no water has been produced so far, and from the original but limited DST data available it seems that no gas cap is present in the Ashover reservoir. I reckon it's much more likely that it's as you suggest, and that the oil rate has to be managed to keep the flared gas at or just below the daily limit imposed by the EA. It's also possiblethat during the summer Egdon may have choked the well back more than is necessary in the winter, but this is just a blind guess on my part.

liviaOil. Thanks for your comments. IMO there's quite a lot we don't yet know about Wressle. For example, the daily GOR and the choke size, and how much gas might be used by the micro-generator for on-site electricity use. The big one, of course, is the oil reserves which are dependent to a large degree on the depth of the oil water contact. But the longer we produce dry oil, the more confident I am that the OWC could be deeper and the reserves significantly larger than originally thought. Well .... I’m very hopeful about that. Presumably the micro-generator could be in place in fairly short order if Egdon pull their finger out. On the choke size I'd be surprised if it was anywhere near the 1” which has been mentioned on this board from time to time. There's probably scope for it to be opened up quite a bit as we are presumably still a good way above the reservoir bubble point. IMO the measured GOR may vary daily during a hot summer, but it could now be going down again. And if the micro-generator were to use (say) 1 tonne of gas per day out of the10 tonne daily allowance, I assume production could be increased by 10%, or by 70 to 80 bopd gross, and this would be very valuable at the current high oil price. It does seem rather odd that any gas burned to generate electricity doesn't count towards the 10 tonne limit, but I'm assured by a mate who knows about these things that it’s definitely the case.

Thanks you Heid

Could someone please give me the link to yesterday's Interview by DB. I think it's on ShareTalk.
Thanks

What a disappointing Q&A session. They answered most things they were asked about very defensively, or even so generally as to not provide a helpful answer. Oza came across like a frightened rabbit caught in a vehicle's headlights, which isn't much of a surprise when you look at the SP. I sorry, but they won't be getting my vote.

656 bopd at Wressle is Egdon's figure for their (and our) year ending 31/7/22 . I'd imagine this year includes a fair bit of down time for well site operations, so production since 31/7 could be significantly better than that if there's been little down time since then.

656 bopd is Egdon's number, so it must presumably refer to their year to 31/7/22 as covered by their preliminary results

Thanks Mirasol. I'm not sure how reliable my info is, but I found something online dated May '22 which said there were only 2.02 Bcf of remaining reserves, and that 92.5% of the original Ceres reserves had been recovered to that date. This suggests that the original reserves were 26.9 Bcf gross, so your 25 Bcf is about right. Since Egdon owns only 10% 0of Ceres, this means Egdon have (or had) 0.202 Bcf (202 Million cu. ft) of net gas remaining in May. I don't knw how long this will last but, assuming 4 Million cu. ft /'day (the average of your April and August figures) this might indicate about 500 days of remaining production from May. So we can perhaps expect production to end towards the end of 2023 or in early 2024, depending on the gas price is then.

I found the following in Egdon's Jan 2022 Interim Results: "The Ceres gas field (Egdon 10%) is undergoing a late-life renaissance for the Company contributing material revenues and cash flow. During the period, Ceres net production averaged 54 boepd with gas prices averaging 184 p/therm or $123.5/boe (H1 2021: 24p/therm or $29.2/boe). A reassessment of the life of field economics has led to the reversal of a previous impairment. of £0.507 million." I estimate 54 boepd at 10% net is about 3.25 Million cubic feet of gas per day (100% gross figure). I wonder what the average gasp rice has been for the last 6 months but it's probably much better than 184 p/therm.

Thanks Mirasol. Do you know what the remaining reserves are at Ceres? From Egdon's 2021 annual report it appears that Egdon own 10% of P. 1241 which contains the Ceres gas field and is operated by Spirit Energy.

I'd be only slightly more inclined to support the current RBD management, rather than the unproven candidates that have been proposed, if S&S were to publicly undertake to reduce the number of paid exec directors to two. This, I believe is the case at Union Jack. As far as I'm concerned, it would make little difference which one of S&S departed, so long as one of them goes.

Hi NOVECKINGOOD. I'm with you on the subject of a WN farmout. I don't think this licence could be farmed-out in its present condition with no meaningful test results from any of the four WN wells drilled to date. IMO the only thing that would facilitate a farm-out or an outright sale is a positive test result from the horizontal well. I'm not really expecting to see the results from it until late Q3 or Q4 2023.

The small North Sea gas asset is a minority interest the Ceres gas field in the Southern North Sea. At current gas prices it's most definitely profitable but I don't think it's been stated how long its remaining reserves will last., but it's probably not very many years IMO.

Can anyone tell me what further technical studies are required? Several years ago we were told that Inishkea is pretty well drill ready to drill. Presumably a well site survey is needed but what other piece of the ji saw is missing other than an adequately funded farm-in partner

Hi Manwell02. West Newton isn't a new play. We are, however, learning very slowly about an old Zechstein play on what was once a new prospect in our part of Yorkshire. But the Zechstein carbonate / Kirkham Abbey play has been explored several times previously in North Yorkshire where it yielded gas with mixed results. I reckin Rathlin and Reabold are still on a steep learning curve, in spite of all the studies they've commissioned. But what have our CEOs and Rathlin's learned so far from their consultants? I reckon the next horizontal weel should tell us if a lot has been learned, or not, albeit at about £10 million or £12 million gross for the next well. That's once it has been tested for weeks if successful. Again that's merely IMO