Member Info for Mirasol

"My understanding of Farm In,s are that if one party fails to contribute they automatically loose their share of the licence."

In a simple one well farm-in you earn the interest AFTER the well is completed (or at some specified point eg - when it enters the target horizon). A multi-well farm-in may have a series of earning points.

IIRC Spirit paid for Phase 1 of the deal but not Phase 2 - so they will retain a portion of the interest

You can't just take an FPSO and plug it straight into somewhere else. There will be all sorts of differences in the fluid composition, the amount of gas etc. It will all have to be audited, redesigned and re certified for the FI. Anyway, without an approved FDP we're still years away from starting production. The subsea kit has to be built (assuming the y just adopt the POM/Harbour work), installed, lines laid.... a shed load of work before the FPSO turns up.

"If the adjudicators cant stick to their own short term time line "

I don't think they ever gave a date - it's people on here putting their own dates to "a few weeks".

As I've said , international lawyers do not look at the world as you and I do.

https://www.gov.uk/hmrc-internal-manuals/oil-taxation-manual/ot21000

provides hours, if not days of reading - it isn't simple

" does the Farm in state that if Spirit cannot fund or doesn,t want to fund it relinquishes its 50%?"

Farm-in agreements are rarely published in full but normally there is a time frame for performance - and the earning points can be staged.

"But lessons have been learnt by Rathlin "

heid - they can learn all the lessons they like but they can't change the rocks

which reminds me - still waiting for that famous Zechstein report you promised us

"Not to forget about £2m of warrants to be exercised between 1.20p and 1.50p."

Seems to be a reluctance to activate those warrants before actual performance eh?

"This is really basic stuff but the market anticipates, it is focused on the future and not on the past."

So it pays absolutely no attention to past performance? Especially by CEO's??

Are you kidding us?

"I am confident that Rathlin will get West Newton to flow."

but you were before the last very long and expensive test that produced..... nothing

"Can anyone explain how in the ERCE upgrade mentioned in Energy Voice, 2P reserves of 5.8 mill barrels gives $70.8 mill net present value "

The clue is inteh words "net present value" -

net -as in after tax, OPEX , the FPSO etc etc
present - the future cash flows discounted (at 10% in this case) to the present day - £1 mm in 5 years time is not the same as £ 1 mm today . A project that produces very little for 10 years and then a monster amount in year 10 may have the same cash flow overall as one that makes £ 10million this year and then gutters along for another 9 years - NPV shows the value of money up front.

and still no CPR either

"All belong to the forever desperate ramping Ocelot !!! I"

Don't think he/she is desperate at all . Look at the posts - always calm, always polite, never utters a single breath of criticism against the management of the companies they support (UKOG, ANGS, Alba). Almost all cut and paste stuff. My guess has always been it's someone in a company connected with those oil companies - PR, broker or similar. They have no skin in the game but just keep plugging a generally optimistic line.

I suspect no-one will decommission anything in Italy until a) they see the judgement b) they get the cash otherwise they just walk away

Most companies re-estimate the decommissioning cost every year or two - it doesn't mean anything.

The ACTUAL decommissioning date is driven by reservoir performance and the COO

"decommissioning the temporary port in the Falklands"

Godders - that was beaten to death a month or so back

IF it is ever decommissioned it won't cost very much at all

"It is to be hoped our illustrious leaders had the sense to build in safeguards against Navitas takeover, then again perhaps not"

It may be the only road out at the end...............

"any cetqainty at all over the well/reservoir, which could STILL peter out at any moment."

Very unlikely the reservoir would go totally south in a few days , or even weeks. You'd see a change in trend first I think

The one well is a worry - time and cost of a repair would be substantial. That's why they should diversify ASAP

End of Feb we had 44 new rampers on here in 2 days - only Sparrowhawk (guess who?) has ever posted again.................

Starting to sweat BV?

Those deadlines are approaching fast............. and there is no way they can dodge them...............

"Argentina is a basket case."

Absolutely - yet in the 1930's it looked as it would join countries like the USA, Canada & Australia in economic development.

The usual Latin American curse of "the man on the White Horse" intervened - in this case Peron. The country is unloved within S America - talk to Bolivians, Chileans and Brazilians for example. "Arrogant", "stupid" etc are often used.

Still, they are the neighbours for the FI so it doesn't pay anyone to be at daggers drawn. Best to keep things ticking over Right now the Argentinian Navy is on its last legs and is no threat to the FI. Their Govt makes ritual claims a couple of times a year but practically it's all quiet and long may it remain so.

What is needed is for Sea Lion to get on production ASAP - I think Navitas are the right people - we'll just have to wait ... and God knows we're used to that in this share