Wentworth CEO sees both capital and dividend growth opportunities in Tanzania's Mnazi gas field Watch Now
"Could it be that they have already installed gas to wire facilities and are both generating electricity and pumping oil."
Since he didn't mention it last week when he needed as much good news as he could find I really doubt it
Chitty - I've been following O&G shares for 30 years and that's what people pay - non producing discoveries (ie NOT Proven) were going at $4-$7 in 2017/18 -eg Equinor (statoil) paid Barra Energia $ 4.84 per bbl (after tax) for around 100mmbbl offshore Brazil. back in 2015 Goldman Sachs published a paper that showed deals for 2P (proven + Probable reserves) were between $ 9.4 and $13 a barrel worldwide when forecast oil prices were starting to fall from highs. A lot depnds on how much you want to get into an area - Hannon Westwood published numbers showing asset value of deals for N Sea oil were over $25 a barrel in 2010-2011
You seem to pay less than a dollar for "blue sky" exploration reserves, then maybe $ 1-$3 for oil found but not developed and maybe $ 3-$10 for oil coming into development
"Angus just used to use a virtual office prior to Lucan." i don't think that's true - I think they've had the Chiswick office for some time and I was told that's where the operations (and all the folk Alan2017 sigh ****s off) are run from. The Mayfair address look like a legal/ commercial brass plate operation.
Are the increased rentals due to picking up 50% of whatever SFB costs to rent ?
Wiz - the problem is any new venture will cost money if it has any real value - and if it is already producing it will cost around $10-$20 a barrel for the proven producing reserves. UKOG don't have $10-$20 mm in the bank to buy a small field.
it's what we need but I expect what they're thinking of is another of those exploration/development prospects that have been the death of Solo, Northern, MidMar, Europa etc etc
i'm sure Trans-oceans legal costs (also awarded by the judge) will far exceed £ 80 k - that's only a few days work for a top barrister.
Also the shot across the bows threatening a couple of years in the slammer as possibility she thought of. I've always thought it was a pity Mr Putin didn't send the GP protesters on a Russian rig to Siberia for 10 years hard labour - it would have "sent a message"
"As the oil price recovers to $60+ with the world coming out of lockdown UKOG's timing of bring wells on stream will go hand in hand."
Troll - the last RNS said nothing about new wells being drilled anytime soon - and no word on more wells at HH - which is where the oil is. We're looking at 300-360 bopd for the foreseeable future - if the price of oil goes up by $20 a bbl that's only another £ 4-£5 k a day - enough to keep the lights on but nothing else.
"Why doesn't UKOG immediately appealed this lunatic SCC vote, they will win an an appeal, for sure.. i"
the problem is the appeal procedure takes over a year - you put in an appeal against the decision, the Govt appoints a Planning Inspector he spends month gathering information and then there is a Public Enquiry - look how long it took Egdon to overturn a similar Horlicks at Wressle.
I think we have ot be realistic about the need to spend some cash now on projects other than HH. As the ridiculous planning meeting showed it can take 2-3 years to negotiate the bureaucracy and get a decision that allows UKOG to actually start work. If they don't spend the money now we might be looking at 2025 to drill Loxley/Dunsfold and the IoW even further away.
I can't see any PI's being very happy with that. They need to keep going - and that means paying people but I think overall they need to cut costs so they can live within 300-350 bopd while progressing other targets. Egdon do it - but they don't pay bonuses.....
A lot of people are calling for SS's head (or other body parts)
I can't see how this will happen - the BoD are all very close to him - the FD predates his appointment and goes back to the Lenigas era, the Chairman is someone whose various companies have been major contractor/advisor to the company and Mardon -Taylor has never been heard to say a word.
There is no really big single II and the PI's almost all hold their shares through dealing companies like HL or Barclays - which makes it very difficult to vote or bring pressure.
We're in the same state as many other AIM minnows where , unless we get lucky, the same team will be there forever - Solo, Infrastrata, Europa....................
Profit - they didn't find water at Broadband Bridge - they did find oil . the problem was they couldn't get it to flow. That may have been the rocks, or it may have been that they screwed up the reservoir (as they admitted later) - either way someone with deep pockets (or another AIM ramp & dump outfit) will probably go back one day and take another look. But it's well down the list of UKOG priorities after HH, Dunsfold and the Isle of Wight
Everyone seems focused on the shambolic Planning Meeting - which is a medium term effect. Not many people discussing the shortfall in expectations for the HH2z well which was supposed to become the main producer. Right now they're just about staying afloat on 300+ bopd - if they can get dual flow from hh1z maybe they'll reach 450 bopd - that's a long way from the 1500 we were all hoping for by now. Cash flow for the year is looking a bit sick as well
From the last RNS
"After the initial reported high HH-2z oil rates, significant formation water ingress was observed, requiring the successful installation of a Thermatek plug to isolate the water inflow. It is now clear from the image logs recorded in the well, that both the oil and water flow originated from a series of extensive natural fractures, primarily at the toe of the well, although there are also further natural fractures observed higher up in the well."
No wonder they didn't report earlier - the "new" fractures may be in the "main " reservoir section - not the "different pressure regime" they closed off at the toe. This is probaaly good for the Kimm but very bad for the Portland. If those fractures are closer to the HH-1 than the toe that means the area that can be produced safely , without water, from HH1 is further reduced.
"A few posters mentioned that ANGS pays 400,000 GBP in rent."
That´s probably the total cost of the office ' rent.rates, services, cleaning etc etc - it´s normally 3x the rent cost in Central London
I can't believe that Humber have suddenly found a Magic Money Tree - it would be helpful to know what they have agreed but I'd assume it's deferred payment possibly paid for by production and maybe a dilution of their interest
Poster HH1 HH2z Total
Scallywag3 620 820 1440
Sting69 560 650 1210
Ibug 400 500 900
Mullins 410 420 850
Mirasol 400 400 800
Tetrolite 360 410 770
Profit00 320 380 700
Captain Stanley 250 320 570
panther - I suspect that Premier hold onto their holding as a cheap way of monitoring what's happening in shale in the UK - it costs them almost nothing and the value of Egdon is very small cp their overall finances - I seem to remember Total sat behind Egdon for while as well in some licences. This way you know what's happening and you avoid the green protesters. gluing themselves to your front door. If it takes off you have an inside track and can always just fold EDR in if it really took off - highly unlikely but very low cost and low risk.