Member Info for ocelot

A range of assets in, above all, N Wales and Greenland with exciting prospects which are grossly undervalued by the market.

Goldman Sachs Group Inc. increased its fourth-quarter price target for Brent crude oil to $110, implying a jump of almost a fifth from today’s level.

“We are here sitting at near record low inventories. Demand will increase this winter because a lack of gas will drive more oil demand and now we have a loss in supply from OPEC and likely from Russia,” said Damien Courvalin, head of energy research for Goldman. (from Bloomberg)

OPEC+ agreed to cut its collective output limit by 2 million barrels day, delegates said, as the group seeks to halt a slide in oil prices caused by the weakening global economy.

It’s the biggest reduction by the Organization of Petroleum Exporting Countries and its allies since 2020, but will have a smaller impact on global supply than the headline number suggests. Several member countries are already pumping well below their quotas, meaning they would already be in compliance with their new limits without having to reduce production ...

https://www.bloomberg.com/news/articles/2022-10-05/opec-panel-recommends-2-million-barrel-cut-to-output-limits?srnd=premium-europe&sref=Em01M8Hr

Strategic goals are laid out on p 12:

Angus will continue to invest in legacy oil and transition gas as this will
be important for at least the next decade and will maintain an
accessible onshore feedstock for essential materials

Angus will steadily build up its geothermal projects and expertise to
launch a nationally significant programme without subsidy.

Angus will invest in storage (gas, oil, CO2, and battery) in order to
facilitate the transformation of the energy distribution network as this
is both well aligned with long-term policy and commercially profitable.

From p5:
2023-2025: Steady growth through Geothermal, Energy Storage and further
acquisitions of OECD hydrocarbon assets

The reference to the OECD makes it clear they are not restricting their ambitions to the UK.

Re the shareholder structure:

GL reckoned about another 10% was in firm hands with holders in the 2% - 3% range, ie below the disclosure threshold.

That would make the free float about 57% and means the potential for an upward squeeze in the share price is there.

Note re Brockham: 80% of 150bopd = 120bopd.

at $91.59 x 365 at £1 = $1.1421 = c£3.5m of revenue pa.

The presentation refers to the Company's timetable of future operations including, inter alia, a further proposed sidetrack during Q2/3 2023 of the southern lobe of the Saltfleetby Field to address further gas contingent resources (1C) of approximately 12 BCFs as detailed in our CPR of February 2020.

Additionally, as noted in RNS of 27 April 2022 and 23 May 2022 it is the Company's intention to abandon the Kimmeridge layer in BRX4-Z and reperforate the same well in the Portland reservoir. The Field is currently achieving flow rates of between 40 and 50 bbl/day.

It is the Company's expectation that this operation, addressing the crest of the structure, will add a further 100 bbl/day to production from the field during Q1 2023. Planning permission for this operation has been obtained and preliminary permit approval has been received from the Environment Agency.

The Company also expressed its expectation that the Loan Facility and contingent payments to Forum Energy would be satisfied in full by Q3 2022.

Think the recent flurry of media interventions shows Angus management is confident in Saltfleetby and its prospects.

Given that, would not be surprised if news of external growth activity follows quite soon.

Also said they'd made a start on paying down the debt.

Also mentioned that the rise in energy prices has made geothermal a financially far more attractive proposition.

Hopes to build up Brockham to about 150bopd v 50 at present.

Awaits inspector's decision re Balcombe.

Planning on seismic data collection in Devon re geothermal project there.

Made it clear he wishes to take advantage of the 91p in the pound investment incentive in the Energy Levy while it is available (this concerns next year more than the current one).

Right at the end, asked where he thought Angus might be in 2/3 years time:

"a relevant part of the energy landscape of Western Europe".

Re-affirmed intention to pay a dividend.

Prepared to look at farm-ins and even corporate combinations.

.

How odd! Some of the anti-Angus people tried this after the failure at Brockham, gave up and became active derampers instead.

On another note, let's see what GL has to say this evening.

https://drillordrop.com/2022/10/03/jacob-rees-mogg-rules-out-local-referendums-on-fracking-and-says-shale-gas-companies-could-canvas-door-door/

This may have been posted already by a poster I have filtered.

https://www.bbc.co.uk/news/uk-politics-63121832

Broken back above $1,700 today.

OPEC+ is considering a reduction in its production limit of as much as 2 million barrels a day, although the impact on global supply could be smaller.

The group may discuss a cut of that size, plus smaller reductions ranging from 1 million to 1.5 million barrels a day, when it meets on Wednesday, delegates said. Any curbs would use existing baselines to measure each country’s contribution, one delegate said.

Several members are already pumping far below their officials quotas, meaning they could automatically be in compliance with their new limit without having to curb production. It could still result in the cartel’s largest reduction since the deep cuts agreed at the outset of the Covid-19 pandemic in 2020, but the actual impact on global oil supply could be significantly smaller than the headline number suggests ... (from Bloomberg)