Member Info for GreyPanther

Hi Rubey. That's an interesting rumour that condensate may also have flowed from the A-2 well. It certainly makes a lot of sense to me. Judging by the fairly rapid progress seen from the air at the B site, it looks increasingly likely (to me anyway) that the B-1 will be followed by the A-2 EWT. Of course, that's unless they have to do an EWT on the B-1 too!

A very good RNS, at last. I wonder what took them so long?

A very good RNS, at last. I wonder what took them so long?

A better horse's mouth? Well, maybe. However, if you compare what UJO said in their 17 June '19 RNS "The well also encountered hydrocarbon shows within the deeper Cadeby formation, a secondary target. The intersection is consistent with the WN A-1 well from which an oil saturated core was recovered" with the Reabold RNS the same day, and then look at RBD's RNS on 19 June '19 only 2 days later (and which looks a bit like a clarification of their earlier RNS) it still seems more likely to me that a Cadeby core wasn't taken in A-2. My source is sure that's the case, and also pointed out that Reabold may have slightly "over-egged" their earlier RNS. Still, it's probably all a bit academic now. All the best, GP

Thanks SelfishMcN. That certainly seems pretty definitive. Could "the intersection is consistent with the West Newton A-1 well from which an oil saturated core was recovered" mean there were oil shows in the A-2 well but not necessarily a core? Tthis is what I heard from one of many horses' mouths, so I was taking it on trust. All the best, and maybe more news quite soon.

Hi there SelfishMcN. I think it was only in the A-1 well that the Cadeby formation had both a core taken and oil shows. I don't think the A-2 had either in the Cadeby. The A-2 cores and oil and gas column were in the Kirkham Abbey. At least, I've not seen a positive mention of the Cadeby in the A-2 well in any RNS. Have I missed something in an interview?

You might possibly be interested in a discussion of the "Cadeby Reef" over on the UJO BB, or not, as you wish …..
"hanks SelfishMcNimby. I’ve now listened to Graham Bull’s talk and that’s definitely what he said. I should also add that he’s obviously very reliable technically. However, I still don't know what he was referring to since there’s been very little oil or gas production from the Cadeby / Lower Magnesian Limestone anywhere in England. The nearest onshore Cadeby production is (or was) a small amount of gas from Kirkleatham, near Redcar, about 100 km to the north-west of WN. Gas and condensate have also been produced offshore from the Cadeby in the Hewett gas field, about 150 km to the south-east. Unfortunately neither of these two fields has been described as containing reefs. I then had a search through the geology literature and found out that the Cadeby Formation was first described in a quarry at Cadeby, near Doncaster, about 75 km south-west of WN. At Cadeby itself it’s a “35 metre succession of dolomitized bryozoan-rich patch reefs and domed algal stromatolites”. Most modern patch reefs are fairly small, flat-lying deposits of coral and shelly materials, and a bit like a large cow pat as they were once described to me. So they aren't at all like most modern reefs. I then had look at the Onshore Geophysical Library which has some useful info on the Cadeby Formation in wells near to and at WN. It was 34 metres thick in Rathlin's Crawberry Hill well and 33 metres thick in their WN A-1 well. These thicknesses are very consistent with the 35 metre thickness seen at Cadeby Quarry about 75 km away. Unfortunately there isn't a description of the Cadeby reservoir at WN A-1, but the consistent 33 to 35 metre regional development isn’t a good argument for the presence of reefs around WN. That’s in my opinion, of course"

Thanks SelfishMcNimby. I’ve now listened to Graham Bull’s talk and that’s definitely what he said. I should also add that he’s obviously very reliable technically. However, I still don't know what he was referring to since there’s been very little oil or gas production from the Cadeby / Lower Magnesian Limestone anywhere in England. The nearest onshore Cadeby production is (or was) a small amount of gas from Kirkleatham, near Redcar, about 100 km to the north-west of WN. Gas and condensate have also been produced offshore from the Cadeby in the Hewett gas field, about 150 km to the south-east. Unfortunately neither of these two fields has been described as containing reefs. I then had a search through the geology literature and found out that the Cadeby Formation was first described in a quarry at Cadeby, near Doncaster, about 75 km south-west of WN. At Cadeby itself it’s a “35 metre succession of dolomitized bryozoan-rich patch reefs and domed algal stromatolites”. Most modern patch reefs are fairly small, flat-lying deposits of coral and shelly materials, and a bit like a large cow pat as they were once described to me. So they aren't at all like most modern reefs. I then had look at the Onshore Geophysical Library which has some useful info on the Cadeby Formation in wells near to and at WN. It was 34 metres thick in Rathlin's Crawberry Hill well and 33 metres thick in their WN A-1 well. These thicknesses are very consistent with the 35 metre thickness seen at Cadeby Quarry about 75 km away. Unfortunately there isn't a description of the Cadeby reservoir at WN A-1, but the consistent 33 to 35 metre regional development isn’t a good argument for the presence of reefs around WN. That’s in my opinion, of course.

Hi mixster. How do you rate our chances for a Cadeby reef discovery in the B-1 well? Speaking personally, and as a former geologist, I'm rather cautious about it There's certainly been a lot of talk about reefs but, as far as I can see, no true reef has been found so far in any of the wells in the area. Granted there were Cadeby oil shows and a core was taken in WN-1 but that's just about it. There seems to have been very little porosity in WN-1 and the oil shows were fairly minor. At the time, I believe the Cadeby was seen by Rathlin as a better target than the Kirkham Abbey, and I can see that the Cadeby reef is also mentioned in the CPR. But I've still no real idea how they came up with the concept. Perhaps it's based on the offshore Hewett field which is gas and condensate bearing in the Cadeby equivalent (non-reef) section, but that's quite a long way away. Or is it just that the Connaught / Rathlin geologists were all Canadians and they all love reefs!

Hi Rubey. I'd agree that that the first interpretation must have been wrong, and thanks for providing the link to Graham Bull's presentation. While he was talking about Biscathorpe I noticed the accompanying slide contained the following words "Biscathorpe-2 well suspended for a possible future sidetrack". So the whole well obviously can't be sealed off or they would have nothing from which to sidetrack. So I'd hazard a guess that only the lower part of the well has been sealed off, perhaps just the Dinantian. Sadly this seems to he been the most interesting bit of the Bisc- well.

Hi Rubey. I take your point about Humber perhaps having a good reason to dispute / not to pay their share of the Biscathorpe costs, and we don't yet know what's in that agreement. But wouldn't that reason apply to the other partners? UJO must surely have known what was going on, even if they weren't completely in agreement with it, and they presumably paid up since they aren't in default. It was only Humber. Also, the apparently abortive Bisc-2 well was suspended, so I assume costs must have been owed up until that point. Also, I don't think the licence operating agreement would allow Egdon to make a decision of such importance unilaterally, and without a majority of the partners in agreement.

Hi isdeer. A side-track well will certainly not be as costly as Bisc-2 was. Even so, the Humber settlement agreement with Egdon presumably covers all the unpaid back costs, including the Bisc-2 costs, but probably not future costs. I'm guessing that the original well cost £2.5 to £3 million, so Humber's share could easily be £500 to £600,000. That may not be all of it either. It presumably depends on when they stopped paying their bills on the Bisc licence. At a guess they may need to find nearly £1 million if you include future Bisc costs

Hi gogetter. Egdon may have a reasonable sum of cash coming their way fairly soon as a result of the settlement they signed with Humber a couple of months ago. They haven't said how much it will be but it relates to Humber's non-payment for the Biscathorpe-2 well, so it should be a reasonable amount. Assuming the well cost from £2.5 to 3.0 million, Humber's 20% share works out at £about 500,000 to 600,000. However, we don't know if Egdon paid all of it.

Hi ismalia. Other than WN, which of the Biscathorpe and North Kelsey prospects have planning consent and are therefore genuinely drill ready in your view? We haven't been told that the Bisc sidetrack location has been agreed between the partners, let alone having planning consent from Lincs CC. And then there are all the other consents. So IMHO it's probably only WN and North Kelsey that are genuinely ready to go. I am also worried that Egdon have insufficient cash do all that on top of Wressle, but no doubt we will see.

I don't expect Humber / Frazer Lang to necessarily do what many of us might think is the most logical thing. By that I mean hanging on to their new RBD shares in the hope for a big SP rise on the WN B-1 spud. Don't forget hey signed a settlement agreement with Egdon a few months ago regarding Biscathorpe, and this is now their only remaining prospective licence. I would guess that the Egdon settlement requires a reasonably large amount of cash from Humber to settle up their unpaid drilling Bisc-2 costs. So it's possible that they may need more cash than they will be getting from RBD for WN, or from UJO for the Wressle interest. So it could still be a bumpy ride!

The RNS says " 350 million Consideration Shares have now been issued to Humber". Are they only free to sell 120 million of them at present?

Reabold Resources plc
("Reabold" or the "Company")
Completion of Acquisition of Further 16.665 per cent. interest in West Newton
Issue of Equity and Total Voting Rights
Reabold, the AIM investing company which focuses on investments in upstream oil and gas projects, is pleased to announce that, further to its announcement of 26 May 2020, the conditions precedent for the acquisition of an additional 16.665 per cent. interest in the onshore UK licence PEDL 183, which contains the West Newton field, from Humber, have now been satisfied.
Accordingly, the 350,000,000 Consideration Shares have now been issued to Humber and application has been made to the London Stock Exchange for the admission of the Consideration Shares to trading on AIM ("Admission"). It is expected that Admission will become effective and that dealings in the Consideration Shares will commence at 8.00 a.m. on 30 July 2020.
As a result of the Acquisition, Reabold now has an effective economic interest in the Licence of 56 per cent, comprising a 39.66 per cent. indirect interest, via the Company's 59.48 per cent. interest in Rathlin, and a 16.665 per cent. direct interest in the Licence.

I agree that we are wildly undervalued compared with UJO. Perhaps we should ask ourselves why this is. Are we confident that a comparison of our and UJO's other (non-WN) assets, the two managements and their strategies, and how the two companies are being run might not have something to do with it? Our foray into Corallian and now possibly Deltic have me slightly worried. Let's hope they don't make a bid for UJO!

Hi BMC77. You are right about Colter now being irrelevant. But if you'd seen the original data (which I have, plus some of the other Corallian prospects) you might wondered about their technical judgement. S&S obviously don't have any technical skills of their own and this isn't their expertise, so they have to buy it in. All their interests were indirect until they bought Humber's WN interest. Speaking of that, the OGA website still shows Humber as being on the licence and not RBD.

BP had far bigger fish to fry at the time elsewhere in the East Midlands Basin, rather than chasing Biscathorpe. In any event,some real progress has been made here today with our SP up by 9% and our market cap now £42 million. Roll on the next RNS! Whatever it's about, I'm expecting .... well, hoping that it must be positive news