The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
SingingLisha
You are obviously failing to realise that the first thing UKOG will do next week is increase the number of shares in issue by nearly 50%. You can always tell when the SP will go down as Adrian tells us he has just bought shares here.
Have updated water figures for November.
PERIODYRMN 202311
PERIODYR 2023
PERIODMNTH 11
PERIODMNNM November
PERIODDATE 15 November 2023
OILPRODMAS 176.814
OILPRODM3 209
OILPRODMBD 0.044
OILPRDDENS 846
AGASPRODMA 6.124
AGASPROKSM 6.881
AGASPROMMS 0.008
AGASPRODEN 0.89
GASFLARVOL 6.881
GASFLARDEN 0.89
GASFLARNH 4.5
WATPRODVOL 185
WATPRODMBD 0.039
Penguins
End of 2020/beginning of 2021 was particularly ague as that was when they were supposed to to produce from the Portland and Kimmeridge.
This was from the Annual.
"Horse Hill Oil Field, PEDL137 and PEDL246 (UKOG 85.635%)
The field and surrounding licence is operated by UKOG's subsidiary company Horse Hill Developments Ltd
(“HHDL”) in which UKOG has 77.9% ownership. The Licensees are HHDL (65% interest) and UKOG (137/246) Ltd
(35% interest).
At the beginning of the reporting period, further well intervention operations on Horse Hill-1 (“HH-1”) were safely
completed, optimising oil flow by isolating the Kimmeridge perforations, by reperforating the full Portland oil
producing section, by insertion of a new simplified production tubing string and by setting the downhole pump
at a deeper level than the existing perforations to increase pumping efficiency.
The intervention was immediately followed by an ongoing series of multi-week production optimisation trials to
achieve an optimum balance between oil revenues and water handling and other operational costs. Trials include
well-cycling (i.e., shutting in the well for a set period each day to reduce water inflow) and pump optimisations.
The trials continued for several months.
These improvements set HH-1 up for long term continuous and optimised oil production from the Portland.
Conversion of the HH-2z well to water injection, subject to regulatory approval, plus further infill development
of both Portland (HH-3 well) and Kimmeridge (HH-4 well) offer significant upside for the Horse Hill field.
Pressure build-up data was also carried out confirming the HH-1 connected oil in place volumes of 7-11 mmbbl."
ÂŁ3m funding facility was supposed to be fully funded up to the construction stage.
"Loxley gas discovery: discharge of planning conditions and preparations for site construction, plus a potential farmout to cover the planned appraisal and development programme, "
There are still 5 Planning Applications still outstanding and the one passed have taken ages to get through. I get the impression the company are spending a lot of time toing and froing getting them passed hence "In the light of the recent successful Court of Appeal decision upholding the Company's planning consent to drill and test the discovered Loxley gas deposit, the Company now aims, subject to further funding, to commence the planned Loxley-1 appraisal programme in the second half of 2024. Certain costs associated with the discharge of pre-commencement planning conditions will also need to be funded."
Penguins
Yet another example of UKOG not telling PI's what was going on.
month oil/m3 bbls bopd water/m3 gas/t
Mar 20 893 5617 181 0.9 22.9
Apr 20 1160 7296 243 0.9 22.9
May 20 871 5479 183 87.6 22.04
Jun 20 753 4736 158 235.7 24.72
Jul 20 600 3774 122 219.5 16.48
Aug 20 633 3982 128 226.3 20.76
Sep 20 445 2799 93 179.6 15.52
Ding dong dell, water in the well.
The "Finalised plans for a short but material intervention in the Horse Hill-1 well ("HH-1") designed to further boost production rates this summer." obviously combined with the new "blue" pump configuration didn't work but we were never told why. Crane was over the well on various occasions between 26th May and 10th June. Lost count of the number of times the pump went on/off and the wireline was used. It has been all downhill since then.
I wouldn't hang my hat on Portland. Look how long it has taken the incinerator at Portland to get through and it is currently at appeal.
Planning 10/01/2020 Land at Portland Port, Castletown, Portland, Dorset, DT5 1PP Request for Scoping Opinion for the Proposed Energy Recovery Facility (ERF), Portland Port, Portland.
Planning 10/05/2022 Outer Coaling Pier Dock Road Portland Port Portland Development at existing 'deep-water berth'.
Planning 05/12/2023 Portland Castle Liberty Road Portland Dorset DT5 1AZ T1 Sycamore - Crown reduction to north-east of multi-stemmed tree, to reduce lateral spread over car park and footpath by 2-3m.
Appeals 11/08/2023 Portland Port Castletown Portland DT5 1PP Construction of an Energy Recovery Facility (ERF) with ancillary buildings and works including administrative facilities, gatehouse and weighbridge, parking and circulation areas, cable routes to ship berths and existing off-site electrical sub-station, with site access through Portland Port from Castletown.
Https://westsussex.planning-register.co.uk/Document/Download?module=PLA&recordNumber=1911&planId=78564&imageId=82&isPlan=False&fileName=Adrian%20Watkins%20%20%20Support%2022-01-2024.pdf
Four years of protestor legal challenges have delayed further drilling and testing at Horsehill Surrey.
UKOG need to test Horsehill first as they have stated in the past to gain knowledge to re enter
Broadford Bridge . More time is needed while we wait for the Supreme Court decision to be handed to
Sarah Finch and Surrey County Council.
Thank you.
Is it going to be another day of 0.011 0.012 ?
After the GM I predict it will be either below 0.009 or 0.09 depending on how the resolutions go after a placing or accepting the other £2m from YA (probably the obvious option). Never has “caveat emptor” been more appropriate here.
22 was different!
https://twitter.com/fossilfreeLDN/status/1541735459662995458/photo/1
It will be interesting to see what % they get for the GM.
UKOG AGM 5th May 2023: Total Votes
Resolution
For % Against % Withheld Total cast
1 577,210,047 98.63% 8,035,239 1.37% 16,043,447 585,245,286
2 550,451,358 92.50% 44,624,775 7.50% 6,212,600 595,076,133
3 548,423,081 92.07% 47,225,842 7.93% 5,639,810 595,648,923
4 564,045,055 94.84% 30,717,274 5.16% 6,526,404 594,762,329
5 506,526,346 87.06% 75,281,245 12.94% 19,481,142 581,807,591
6 508,294,475 87.59% 71,990,125 12.41% 21,004,133 580,284,600
Total Votes at UKOG Annual General Meeting, 28th June 2022
Resolution 1
Receiving and Considering the Accounts
Votes For Votes Against
99% 1 %
Resolution 2
Re-Appointment of Director
86% 14%
Resolution 3
Reappointment of Auditors
96% 4%
Resolution 4
Directors’ Authority to Allot Shares
82% 18%
Resolution 5
Disapplication of Pre-emption Rights
86% 14%
The last GM results in 2020 are here;
https://www.lse.co.uk/rns/UKOG/general-meeting-result-cra8e99ek8z1l5q.html
In 2021 they withdrew Resolution 6 – Disapplication of Pre-emption Rights before the meeting so anything could happen.