Member Info for Hubstar

The prediction is that by 2020 Africa will account for 20% of world oil production. In recent years there has been a scramble for African oil and gas licences following some sensational discoveries. SacOil is led by a Board that has an enviable network in the continent and that are used to doing business in Africa coupled with a real depth of experience in the oil and gas industry. Two recent appointments have been John Bentley and Bill Guest who became Non-Executive Directors in May 2011. John was behind JSE-listed Energy Africa Limited which he turned into one of the leading independent upstream companies with operations in a dozen African countries and several big hydrocarbon resource discoveries in the late 1990’s before it was acquired by Petronas. John was also the Executive Chairman of FirstOil Africa until taken over by Bowleven in 2007. Bill Guest has been a Director of a number of UK-quoted exploration and production companies which includes being President of Gulf Keystone Petroleum and a Non-Executive Director of Matra Petroleum. The business model of this AIM and JSE-listed oil play is to provide the finance and enter joint ventures with local partners in a number of African countries with a clear focus on projects where value can rapidly be added by supplying the necessary financing. Given these sort of fundamentals it is little surprise that investors have got very excited about the potential of SacOil which caused the share price to climb above 20p in Johannesburg ahead of the AIM flotation. The dust has now settled and today the shares sit at a quarter of that price and that begs the attention of serious investors. We initiate our coverage on the stock with a Speculative Buy recommendation and with a target price of 27p.

BARCLAYS OIL AND GAS FOCUS December 14th 2011 By Andrew Stannard "CHRISTMAS CRACKERS" The AIM market has suffered like its FTSE big brother an uncertain year but there are many gems on offer for brave investors looking for excellent returns this christmas and new year.The aim resources sector looks seriously oversold and now looks poised for a good recovery. I have identified four stocks that could show impressive near term growth to help your xmas go with a bang ! Gulf Keystone Petroleum * ( GKP ) SacOil Holdings Plc * ( SAC ) Victoria Oil and Gas * ( VOG ) Desire Petroleum * ( DES ) Click for more details and Pdf *

ONLY 20K AVAILABLE without going NT

Yes mate there are some clues there for those that look that something is going on at sacoil, as per my 21.42pm post you can see how and why finncap put that 98p per share possible future value on existing assets.

Evening mate, hope you had a good day :-) some very interesting trading going on here lately and as per previous post those bigger trades were published when the mm,s had moved out on a wide spread to soften volumes and thus process and mask the trades. Not the size of trades that caught my eye but the mm,s all staying on the same prices while this went on did.....i have a feeling when these trades are completed they will move this ahead and start a proper re-rating. I am sure there will be some smart money moving in here :-) Unlike my dose of wind the other night lol lol , this gut feeling is real :-)

Evening mate, have been tied up abit lately so not so many posts but been keeping a close eye on things,was some very interesting trades here today including one of 450k @ 4.25p and another of 227k @ 4.39p which followed on from that large buy yesterday at full ask of 4.75p , these had no effect on the shareprice and i believe these trades are not ordinary trades but corporate....we may see some more tomorrow ! Hubsters gut instinct tells him that something is going on here and we may hear about it soon :-)

Some concise info here on sacoils assets which i believe have been overlooked lately. The deal with Total could ultimately be worth US$300 million to SacOil, which will receive US$61.5 million staged over the next five years, of which US$7.5 million has already been paid. It also leaves the company with a 12.5 per cent interest ( free carry ) in the licence. As important, the group receives a free carry on all the exploration work right up to the final investment decision phase – in other words the point at which it is decided whether Block III is commercially viable and bank debt financeable. In Nigeria sacoil has stakes in licences OPL 233 and 281, which have already seen oil discoveries and where there is obvious scope to add value by turning a contingent resource into reserves.,there does seem scope for a substantial increase in reserves at OPL 233 with consultants TRACS identifying more than 100 feet of net oil and given that this block lies adjacent to the 600 million barrels plus Apoi field,” Green points out. “Good seismic here together with this well data could allow a significant resource to be proved up by the end of 2012.” Two wells already exist on OPL 281 as well as good seismic data, which points to one large field that may potentially contain close on 100 million barrels. All that could be confirmed by future appraisal drilling which looks set to begin in April or May 2013, the GECR analyst adds. In the DRC SacOil owns a 3,177 kilometre licence area known simply Block III. It is in the Albetine Graben, the source of Tullow Oil’s (LON:TLW) Kingfisher and Giraffe-Buffalo discoveries over the border in Uganda. “To date the real excitement in this region has been on the Ugandan side of the border where discoveries have produced well flow rates anywhere from 350 to 13,000 barrels of oil a day,” Green says. “In this region discoveries made to date add up to over 800 million barrels of P50 contingent Resources and these have come from two distinct types of oil plays which are either escarpment/near-shore plays such as Kingfisher or Victoria Nile Delta plays, which includes the biggest find so far at Giraffe-Buffalo.

I can say it was a certain buy mate,they would not accept a trade of that size for starters and secondly right on the mid price when actual sell price is 4.075p. They could be director of institutional buys IMO ,something going to happen here soon IMVHO.

I would also add that three mm,s have been sitting on the bid all day so likely they been processing those bigger trades ( buys ) if that was a sell it would have dropped like a stone .

Hi mate, that must have been a buy - they have not been taking sells of that size for sure and either that or robbed someones stoploss ,been a number of chunky buys today.

Block III, DRC In Block III through the joint Venture with Total, it is envisaged that the work program committed to will demonstrate prospectively and eventually lead to oil production.Following the Total farm-in, SacOil is carried through exploration and appraisal of Block III in the Democratic Republic of Congo. We think that this is a great deal as it brings in a world-class operator,materially limits financial exposure for the foreseeable future and kick-starts activity levels in a highly prospective area. Prospective resources of 513mmbbl (64mmbbl net to SacOil),are estimated in Block III, which is adjacent to major Ugandan discoveries. Block III is situated in the Albertine Graben, DRC and comprises an area of 3,177 km2, which is mostly lowland (Semliki river plain) and is flanked by rift margins. Block III is on trend with Lake Albert discoveries in Uganda. The largest discovery in the Escarpment/Near-shore Play is Kingfisher (200MMbbl) and the largest discovery in the Victoria Nile Delta Play is Giraffe-Buffalo (300MMbbl). Over 800 million barrels of recoverable oil have been discovered in the Albertine Graben, and the total resource base is estimated at two billion barrels. To date, the majority of the exploration has been within the borders of Uganda, but the DRC concessions are considered to be highly prospective, with Block III being close to recent significant discoveries. Nigerian Assets: Nigeria has become Africa's biggest producer of crude oil and it is believed that the Niger Delta holds some of the world's richest oil deposits. OPL 233 is a 126 km2 shallow water block with a water depth of less than 30 ft and is located immediately off the coast of the central delta region of Nigeria, some 120 km due south-southeast from the Forcados terminal. The block is adjacent to giant Apoi field (>600MMbo) and is flanked by a number of oil and gas fields and discoveries. The AGR-TRACS (an oil and gas industry recognised independent expert) petrophysical interpretation of the Olobia-I well-logs indicates 103 ft of net oil and 54 ft of gas and condensate across five reservoir pay zones. The block is sparsely covered by 2D seismic data with upside in Block 233 potentially significant.On OPL 233, SacOil with its partners are committed to acquiring 3D seismic data which appraise the existing discovery and is envisaged to give a better understanding of the prospectivity of the remaining block. The data will also be used to update the existing CPR. OPL 281 is an onshore block covering some 138 km², and is located in the western delta region of Nigeria approximately 25 km due east from the Forcados terminal. Two discovery wells have been drilled to date on the block, namely Obote-I in 1970 which encountered hydrocarbons at four levels between 8,720 ft and 12,350 ft, while Ekoro-I drilled in 1967 discovered eight hydrocarbon sands between 8,260 ft and 10,761 ft. The block has discovered but undeveloped hydrocar

Nice one mate, some good sized buys coming in today so far and what looks like one mm filling an order , i have a hunch that some of those bigger buys today and yesterday could be director buys ( we shall see ) dont work too hard mate!

227k at 4.39p just gone through

Morning mate, was tempted for a top up this morning and got some more at 4.05p so well happy :-)

Evening mate, and good to see you :-) good post on the finncap report and funnily enough was just looking at it this evening again.....there was also this paragraph near the front and note the UNRISKED 98p valuation. Investment Summary: By seeking to exploit its African identity and key relationships, SacOil is well placed to implement an aggressive acquisition-led strategy. Three attractive licences have already been secured, demonstrating this growth potential, and by forming partnerships with EER and Total the company benefits from technical skills and operational experience not yet established in house. As the company continues to grow, we expect management to be strengthened and this should help reduce the current discount to total NAV. Fully unrisked, our valuation rises to 98.1p/sh, offering >20x upside to the current share price from the existing licence portfolio. With new licences expected to be acquired in the near term, this upside potential is likely to grow, making an early investment in SacOil an attractive opportunity to consider.

Have some info here on sacoil,s current assets for you. DRC - Block III ( Working Interest 12.5% free carried ) After the successful farm out deal to ToTal, SacOil is fully carried through to commercial development on Block III which has target prospective resources of 513 million barrels.ToTal has paid sacoil $7.5m net cash, and a $54m bonus payment in two tranches pending.The project can now be fastracked ahead of earlier estimates. Analyst notes suggest the DRC assets are on trends with recent large discoveries in the Lake Albert Basin. Nigeria – Block OPL 233 ( Working Interest 20% ) Background: OPL 233 is an offshore oil block previously operated by Chevron. It is located in the shallow Marine central Delta region offshore Nigeria. The block encompasses an area of approximately 126 square kilometres. The water depths range from 10 to 30 feet and the block is adjacently north of the Apoi oil field. The block was awarded to NIGDEL United during the Mini-Bid Round in 2006. Current equity participation is NIGDEL 60%, EER 20% and SacOil 20%. Olobia-1 well indicates 103ft of net oil and 54ft of gas and condensates across five reservoir zones in the well. Based on an evaluation by TRACS it is estimated that the 2C Best estimate on the unrisked contingent resources is 19mmbbl (3.8mmbbl net to SacOil). Therefore if a second well, Olobia-2, is drilled and tested the reserves can immediately be booked and classified as a producible reserves.In OPL 233 there is only one field, the Olobia Oil and Gas field, which has been conceptually developed and worked up to a point that can be drilled. Exploration upside: EER/SacOil have mapped additional leads and prospects using the existing seismic data and estimate an exploration upside, with prospective resources in the order of 300mmboe, which will be further evaluated with an OBC (Ocean Bottom Cable) survey. Nigeria - Block OPL 281 ( Working Interest 20% ) The onshore block is located in the Western delta region of Nigeria, 25km from the Facades Terminal. One structure has been identified and two wells were drilled by Shell in 1967 and 1970, both of which discovered hydrocarbons.Of the two wells, Obote-1 encountered hydrocarbons at four levels between 8,720ft and 12,350ft and Ekoro-1 discovered eight hydrocarbon sands between 8,260ft and 10,761ft. OPL 281 was evaluated by TRACS to contain 99.2mmboe of gross reserves with an expected initial gross production rate of 15 kbpd. Peak potential production rate could reach 30 kbpd, when it could deliver up to $200m in revenues in our assumptions. With relatively low running cost and a total capex need of $50m net to SacOil, the field could generate significant cash flows in excess of $40-45m pa.

Morning mate,some good early trades here today and looks like it could move up abit

TICK UP, some nice trades early on today

You are welcome, there are many recent reports out on sacoil and perhaps the most concise is the Uk Analyst one which i post a link to here. Good Luck http://**************/shop/page-advice/action-advertorial.show/id-130015105 Intro SacOil Holdings - African oil play with the promise of early production - Reiterate recommendation of Speculative Buy at 4.125p with a 27p target price Dual-listed SacOil is an independent African upstream oil and gas business. The company offers investors the promise of early production and cash flow as well as the chance to add substantial value by moving opportunities up the value chain. The recently announced interim results served to remind the market of the African oil play’s impressive portfolio. The focus of attention over the past six months has been on the blue sky opportunity in Block III in the highly prospective Albertine Basin the Democratic Republic of Congo (DRC) which has been neatly de-risked following a farm-in by Total. At the same time the team has also has been fast tracking progressing the OPL 233 and OPL 281 concession blocks in Nigeria towards early production and revenues. In October, the company announced a $25 million Standby Equity Distribution Agreement with Yorkville which followed a R75 million (£5.9 million) funding at R0.67 (5.28p) by Timtex Investments which should help provide the funds to accelerate these projects.

Sacoil is one of those undiscovered stocks that will take off very quick at any time,i dont think the current 4p levels will be here long and they are due a re-rating IMO,they have some very attractive assets currently in nigeria and the Drc that will progress quickly and further assets will be added anytime.In their first deal they farmed out 60% of block III in Drc to ToTal for $63M ( $54M to come ) and retained a free carry on a 12.5% Working interest in a block that could hold hundreds of millions of barrels in the prolific Albertine basin. Their nigerian blocks are existing discoveries that were never developed by oil majors in the 1970,s and also have potential for multi MMBOE in both blocks (one shallow offshore and one onshore block ). They are well funded and have cash reserves around £11.8M at present and also a $25M seda in place. Recent company statements quoted an intent to " fast track operations" so things could move along fairly quickly and expect a new asset to be added. Hope that helps.