Member Info for orslega

2 weeks on since last SC update Northcote Chairman Ross Warner said, We are pleased that our plans for Shoats Creek appear to be coming to fruition.� Getting LM#14 and our other Shoats Creek wells producing and tied in for gas sales is our top near term priority, and once we have achieved this we believe that we will be in a position to consider other bores with re-entry potential in gassier pay zones at Shoats Creek, with a potential to generate additional low risk, low cost revenue to Northcote. Natural Gas Sales The project management team is undertaking discussions to tie-in production of natural gas utilizing one of two existing tie-in points located at Shoats Creek Field.� Once gas sales can be undertaken, additional exploitation opportunities of well bores with re-entry potential in gassier pay zones holds substantial potential to generate additional low risk, low cost revenue at Shoats Creek Field.

yes not that long ago natural gas prices were in the low 2's.....now futures are pointing to late 2's/3's; that means circa 40% increase to the top line on any gas sales. That increase will be significant to Northcote as they are about to turn the tap on. The beauty about the Shoats Creek gas opportunity is that it is a very low cost model in terms of getting it out; LM14 (and smaller wells) are workovers - LM14 tests results are an indicator of some serious revenue to come. As the RNS stated once they get LM14 tied in they are going after more gaseous targets already identified. Plus the infrastructure is all in place. http://www.barchart.com/commodityfutures/Natural_Gas_Futures/NG?search=NG*

helpful "I am not sure that bidding in MX is such a good idea." Agreed. It is not a good idea - I was thinking about other MX business streams, non bidding : )

Makes sense, leave the MX opportunities for Northcote : )

Just depends on the entry cost; plus, IF there is a change in the NCT board what direction might they be heading? I'll guess and say that a new board (IF that happens) will have other much bigger plans other than the ADL 12.5% participation right with Indonesia. imo But the ADL participation rights are still valuable NCT assets; the opportunity to get into a project like Siak day 1 will be of interest to many, so maybe a new board might just turn that opportunity for cash and sit in for a free ride. Quite possible imo

http://www.bna.com/mexicos-demand-natural-n73014444898/

"Less imports from Canada and more exports to Mexico mean that�the U.S. will become a net exporter of natural gas this year or next. U.S. piped gas to Mexico has more than tripled since 2010 to about 3 Bcf/day.�By 2019, 15 new pipelines will more than double capacity to Mexico to around 15 Bcf/day.�This is far more than anticipated imports, but extra pipeline access�that would help Mexico meet peak demand. This is important because there�s basically no storage available in Mexico,�lacking�mature fields, aquifers, and saline domes to store natural gas.�Mexico has liquefied gas storage of about 3 days, far lower than�the average storage capacity for OECD countries of nearly 85 days.�" http://www.forbes.com/sites/judeclemente/2016/05/08/the-u-s-natural-gas-export-boom-means-pipelines-and-lng/#190a25187423

reza1, absolutely NOT! Go and wash your mouth out, lol RRR have simply used some of their placing monies to partake in Shoats Creek. That's where it ends. Andrew Bell is very bad news, I do sympathise with RRR shareholder on that front.

peterz, I am expecting some serious admin cost savings, been asking questions for a while now......imo

you joke but I have grass cutting here most days at this time of the year.....rotation system, always somewhere needing attention.....I say it keeps me healthy but my wife says "what, sitting on a tractor!" My shed has super fast wi-fi, good for the coffee break and see what else is going on, further a field so to speak... ps am hearing AGM will be happening soon, a few major changes I expect, all for the good of the company and us shareholders...imo

My understanding is that UK Funds generally will not touch any AIM micro stock with a market cap of less than �50M. They have clear mandates for investing, Not long to go then. ha ha Bigtimber - what you grinning about? lol : )

labratt "Received further replies regarding lm14, would urge others that are interested to contact the company and ask why they are not including these details in the RNS as I have. Due to lse rules cannot post the reply but it is incredibly frustrating when they have clearly had a great result that it is totally underplayed. " Wonder how great that test result turns out to be in production terms? The test result was no doubt a big pointer what the goal is : )

LM20 is of no real significance given our revenue interest now; LM14 however is very different; hyperthectically and taking LM20 as base since you raise it - test V production; so if LM14 performs at half the production based on the announced test, what revenue does that equate to NCT, given the workover and gas tie infrastructure costs already sunk? Back of envelope, gas alone $6,500 per day x 52% (revenue interest) = $3,380 per day; reduce test rate by 50% for sustained production - that is over $600K pa gross to NCT on gas alone from LM14; that would be even on a substantially reduced production rate, so a very significant contribution to overheads. Not insignificant even if someone is pessimistic. The big prize is no doubt gas and they have said precisely that i.e. they are going after gaseous zones, see last RNS. I thought you said NCT were very upbeat last week after e-mailing NCT but unable to say exactly what was said?

"The company is a some way from having cash flow to cover company overheads even with the workovers at Shoats Creek" Any more updates from the company on LM14 testing/near term tie in? That might just help....a lot : )

Positivity even : )

I definately reckon so - be nice to see some positively : )

blingybird, just had a quick look, you are quite right, the 2015 accounts confirms RC did exchange services tor shares in the company. As did other directors. "The loan note to Randall Connally at 31 December 2015 was converted into equity subsequent to the year-end. " There was also an announcement on 6/10/2015 - other directors were also taking shares in lieu of salary - money where mouth is : ) 6 October 2015 Northcote Energy Ltd (�Northcote� or �the Company�) Consulting and Directors Shares; Issue of Equity; Total Voting Rights Further to the announcement dated 12 February 2015, the Directors have received their second quarterly tranche of their 2015 contracted remuneration in Ordinary Shares, being 22,222,222 Ordinary Shares (�20,000) in respect of Randall Connally, 22,222,222 Ordinary Shares (�20,000) in respect of Ross Warner 13,333,333 Ordinary Shares (�12,000) in respect of Charles Wood, together the �Settlement Shares�. Accordingly, following the issue of all the Settlement Shares, the holdings of these Directors will be as follows: Plus also previously on 12/2/2015, RNS In conjunction with the Placing, the Directors have agreed to subscribe for a total of 192,963,335 new Ordinary Shares ('the Settlement Shares') in exchange for converting (a) existing indebtedness from the Company being �55,000 due to Randall Connally in respect of an unsecured short-term loan, �50,000 to Daniel Jorgensen in respect of accrued director's fees and �16,667 to Ross Warner in respect of accrued director's fees; and (b) the first quarterly tranche of their 2015 contracted remuneration in shares at the Placing Price, being 22,222,222 (�20,000) in respect of Randall Connally, 22,222,222 (�20,000) in respect of Ross Warner and (c) a proportion of their 2015 contracted remuneration in shares at the Placing Price, being 13,333,333 (�12,000) in respect of Charles Wood. The Company has agreed to issue the director's 2015 remuneration in full for Ross Warner and Randall Connally and, in part for Charles Wood, in Shares at the Placing Price. These Shares will be issued quarterly in advance with the first tranche being issued in conjunction with the Placing. So yes, more "money where mouth is". Enjoy the weather the cold beers. Cheers

bigtimber, precisely; as part of the Mexico Energy reform the regulations dealing with O&G waste were materially re-written. My understanding from a while back is that under the then new Mexico government regs passed in March 2015, the Mayan plant is intended to one the first treatment plants in Mexico to satisfy the treatment criteria of dirt tainted with oily chemicals generated from the discharges from field exploration, drilling, production, well treatment and well completion activities. Maybe not immediately but certainly part of the plans for the site capabilities. Catch up later.

"My limited view which I have voiced does agree that shoats creek was never going to be the big draw and randy was happy to give up a little there for a cash flow and future funded drill program" blingybird - agreed. But the last recent RNS for Shoats Creek, although poorly written it gave us some very upbeat news about testing on LM14 gas; we are waiting to hear more but the with a revenue interest of around 53% on LM14, that could be a big figure for NCT share. RNS: "Lutcher Moore #14, (“LM#14) (Frio formation, Northcote 70% WI), now tested 40 bopd and 2.5 million cubic feet (gross) of natural gas production over 24 hours;" That equates (for LM14 gas only) 2.5 MMcf = 2500 Mcf * US$2.50 per Mcf = $6,250 per day = $2.3M x 52% revenue interest $1.18M (gross) to NCT. And more gaseous targets identified per RNS. Low cost workovers at Shoats Creek are beginning to show that a low risk, low cost high impact strategy is starting to pay off. And very nicely if tests = production.

re AGM, yes no news yet; I am guessing that there are some board changes a foot (widely rumoured) which are probably being finalised; once that has happened I expect an AGM date to be announced as that will need shareholders to vote accordingly. imo