Member Info for NoEasy

Not one to hang about Jiving I've already started that ball rolling! A few scoops today and if all goes well tomorrow a trip up the road beckons for a white pudding supper, lathered, absolutely lathered in broon sauce (none of that HP stuff mind). F%$k it I'm setting off now.

Shaa can I borrow your bike?

Offshore for both parties Jiving?
https://theenergyyear.com/interviews/nigerias-risky-onshore/

'Many have written off Mozambique due to political instability & an Islamic insurgency in the north...'.

Yep one of them was me. I will have to completely rethink my position now. If that amount of money is piling in to gas at the far north of the country where insurgents hit a town only 37 miles away then what am I worrying about with our far south opportunity. We are looking at both gas and oil and if anyone wonders where all the gas will go have a look at ESKOM's problems, they supply (or should I say don't supply) the vast majority of electricity across the southern africa region.

Great post that Asmalik.

' I would have expected new over the lunch period or certainly bu close of business today so maybe a last minute RNs at 1615'.

There will be no RNS on the marginal fields pre-qualification because we are not eligible to apply. If Shoreline have applied and they eventually secure a field then at that point we may make an appearance.

Cheers Jiving.

Room for us:

'Eligibility and Bid Evaluation

As one of the key objectives of the marginal fields licencing round is to promote indigenous participation in the Nigerian oil and gas sector and to foster technological transfer, the licensing round is exclusively intended for participation by indigenous companies i.e., companies duly registered to carry out petroleum exploration and production operations in Nigeria with 100% indigenous shareholding.

International Participation: a Not-so-small Margin

However, upon the award of the marginal field, the awardee may assign up to 49% of its interest to another party subject to approval by the Minister of Petroleum Resources. As a result, and while the bidding process remains an exclusively indigenous affair, foreign technical and financial partners are not outrightly precluded from participation in the development of marginal fields once contracts are awarded and fields need to be developed.'
https://www.cnbcafrica.com/africa-press-office/2020/06/10/what-it-takes-to-get-a-marginal-oil-and-gas-field-in-nigeria/

Sorry typo; "doesn't seem as though it is."

I don't see us getting an announcement re pre-qualification if indeed we have entered the race for a marginal field, unless Art is reading this board and takes the view that on the whole investors seem positive about such a move. Any publicity is good publicity as they say.

One thing I got wrong was my previous thought that pre-qualification was against named licences. It does seem as though it is. Pre-qualification is just to weed out applicants who have neither the technical nor financial ability to take a field forward. The next step that opens up for those pre-qualified is being supplied with more 'teaser details' on fields available (at a price) and from there entities can home in on particular fields (again at a price). Jiving is that how you see it?

Well put Baserite. We were going to get everything in one big announcement at one stage, that may be out of our hands now but I would expect that Shorecan will have had some input in the settlement regarding definitive timelines for drilling. Be interesting to see what we get in the next eagerly awaited announcement.

Baserite that post brought back memories regarding the 'mother of all RSN's'. Guess the onus is on Essar M now to dictate what happens and when. I will be happy just to see the settlement is legally done and dusted, that the basics remain the same as the initial resolution announcement, that there is no additional financial pressure on us to take us up to first drill and that the PSC has been extended. If we get more such as timelines for a drill in the same announcement that's a bonus at this stage for me.

Just following up on your post RK regarding this bit:

'Because the 3D seismic is correlated with known geology we can be sure with a high degree of certainty where the oil, water contact is and how much is there.'

This is the one bit that stuck in my mind when trying to join some dots previously. It centres on one word I saw in one of the presentations, 'resistivity'. The presentation, which had quite a bit on the seismic, mentioned, 'note the high resistivity'. Looked it up;

'High resistivity is a characteristic of the presence of hydrocarbons and low resistivity is indicative of water. However, log analysts could not differentiate between rocks containing hydrocarbons and those with no porosity because both exhibit high resistivity. Even when hydrocarbon-bearing zones were identified using resistivity tools, the volume of hydrocarbon could not be determined without a porosity measurement.' https://www.slb.com/-/media/files/oilfield-review/defining-porosity.ashx

'Resistivity is the measurement of fluid conductivity and the formation. Conductivity is the reciprocal of Resistivity. Surveys are carried out in various oil and gas fields and then Resistivity logs prepared are studied. These Resistivity surveys help in creating a three-dimensional structure of the hydrocarbon formation below the surface. This helps in identifying oil and gas reservoirs with high chances of trapped oil and gas in the geological formations.' https://www.petropedia.com/definition/3244/resistivity

So to expand on why we have a 'high degree of certainty' we know what the porosity is from the drill and we also know that the resistivity measurement is high, therefore we can indeed see what is oil and what is water.

ATB

Perhaps not quite everything people need to know as this line indicates:

' NSAI did not use ShoreCan seismic inversion products in their analysis and estimates of independent reserves/resources evaluation.'

That's a pretty big hole considering what we do know of from the state of the art amplitude extraction and simultaneous inversion techniques on the 3D seismic. The exploration upside includes two further zones the NSAI didn't comment upon because the seismic interpretation material wasn't available to them when they did their report. The subsequent interpretation 'reveals dramatic divergences between gas, oil and water saturated sands, and has enabled COPL to estimate significant in place oil resource potential in the 7200’ and 8000’ zones.' Some 5 billion+ barrels of potential oil in place on which they put a conservative 25% recovery figure.

And that's still not everything people need to know about OPL 226 including the risks. Good source of info for investors besides the presentations are the 2017 prospectus with embedded NSAI report and the 2018 prospectus.

http://www.canoverseas.com/wp-content/uploads/2017/06/COPL-Prospectus-2017.pdf

http://www.canoverseas.com/wp-content/uploads/2018/08/COPL-Final-UK-Prospectus-Dated-August-23-20184.pdf

Additionally the MD&A reports on the companies website are helpful.

Connah, It may be something or nothing. Nigeria has opened up bidding for a number of marginal fields (fields that have previously recorded a discovery but have remained undeveloped for at least ten years). There is a reasonable chance COPL & Shoreline may have entered the race for another licence for off-shore Nigeria. We have had no indication they have, at this moment just speculation. The first part is 'pre-qualification' to see whether interested parties meet the governments criteria to go forward to the next phase of the bidding. We could have the results of that around 16th July and if so see if we have and what we have gone in for.

Oil, Thanks. I was looking at it from an investors perspective. MM's will do what they do but key here is PI's seeing it for what it is. I may be missing something here and with your previous knowledge I won't at all be ashamed to be told by you what it is.

I am seriously struggling with the notion of 'delayed despondency'.

Silver you are a top guy.

ATB NE

'You could put a silver lining on the RNS but seriously what’s the point. This will nose dive back to where we were last week on opening. Sorry to be doom and gloom just being realistic,....'

This from the 1st July announcement:
'In a Prospectus approved by the FCA on 26 June 2020, the Company has reserved 411,326,189 common shares in the capital of the Company to be allocated for the settlement of debts to its unsecured creditors, accrued unpaid wages to its employees and the secured Promissory Note due to its CEO at the Placing Price. The Company's intention to enter into these arrangements was outlined in a previous announcement on 13 March 2020. The Company intends to settle these agreements in the coming days.'

Where's the logic? Investors having had that info for two weeks (or since March if someone was to push it) but only when the shares are placed does it suddenly mean something? If it takes that long for people to react to news it's going to be a field day for those who don't wait.

People ask to be kept informed abut what is happening, they are informed by an announcement on the 1st July but take no notice of the contents.

We survived on thin air for 8 months, people are owed money. Now we are on the road to recovery that debt needs to be repaid and this has been quite clearly stated previously as being the vehicle to do so. Anyone trying to push it as bad news perhaps needs to better understand the company and their own prior research abilities. This is nothing new to those who can read. Harsh but true.

"Soon " wasnt one of their words :-)

Gave me a good laugh that one Rift. Still waiting patiently but they are clearly working on opportunities and that, plus the cash in hand, is enough to keep me here. Time enough.

No issues Yacht, just chewing the cud for 10 days.

I do remember that Rk. I could probably add a few more:-) I think he was undone by CEO's who are a lot better at the 'game' than he was. I'm sure he gained something from it all though.

Never been one for the usual quotes found on bulletin boards but come Friday of next week!