Member Info for pauldrayton

Euribor 12 month rate now over 4%, meaning the interest rate on the award is now over 8%.

It’s all part of the process but the final hearing is scheduled for January next year. After that it’s probably anything from 1-12 months for an outcome.

With Velocette spudding in September and drilling likely to take at least 6-8 weeks (and possibly much longer), it would be great if the partnership could get another deal over the line before the results so there is less riding on it.

Where is Ohtaxes when you need him?!

Here you go dai:

A 36" x 42" hole is planned to be drilled from 508 m to 574 m TVD. After completion of the section, a 30" x 36" conduit is installed and cast with cement.

The section will be drilled with seawater and periodically cleaned with highly viscous mud pellets. After drilling to the planned depth, the hole is displaced to 1.30 sg of water-based displacement fluid. Drilling cuttings and excess cement are discharged to the seabed.

A 26" hole is planned to be drilled from 574 m to 1,530 m TVD. After completion of the section, a 20" surface pipe with a wellhead is installed and cemented to the surface.

The section will be drilled with seawater and periodically cleaned with highly viscous mud pellets. After drilling to the planned depth, the hole is displaced to 1.30 sg of AQUA-DRILL water-based drilling fluid. Drilling cuttings and excess cement are discharged to the seabed. After the cement job is complete, a high-pressure riser and BOP will be installed on the wellhead.

If shallow gas is encountered, the 20" surface pipe with wellhead will be installed above the gas zone to be able to drill through the gas zone with the BOP installed on the well (option).

A 17 1⁄2" x 20" hole is planned to be drilled from 1530 m to 2113 m TVD. After completion of the section, a 17" extension pipe is installed which is cast with cement.

The section will be drilled with either AQUA-DRILL water-based or DELTA-TEQ oil-based drilling fluid which is gradually weighed up from 1.30-1.50 sg. Both fluid systems are included in the application.

A 16" x 17 1⁄2" hole is planned to be drilled from 2113 m to 2700 m TVD. After completion of the section, a 13" casing is installed which is cast with cement.

The section will be drilled with DELTA-TEQ oil-based drilling fluid which is gradually weighted up from 1.70 sg to approximately 1.80 sg.

A 12 1⁄4" hole is planned to be drilled from 2,700 m to 3,360 m MD / 3,270 m TVD. After completion of the section, a 9" cement-cast casing will be installed.

The section will be drilled with DELTA-TEQ oil-based drilling fluid which is gradually weighted up from 1.76 sg to approximately 1.80 sg.

An 81⁄2" hole planned to be drilled from 3360mMD / 3270mTVD to 3909mMD / 3824m TVD. The section will be drilled with DELTA-TEQ oil-based drilling fluid with a weight of approximately 1.80 sg.

If hydrocarbons are found, it is planned to install a 7" extension pipe in the well and perform a well test. The 7" extension pipe will be installed at approximately 3908 m MD / 3823 m TVD and cast with cement.

Thanks - I did participate in the placing via spreadbet - usually they find a way to ensure the spreadbet position gives you the same rights as a shareholder although perhaps not with warrants.

Passive is this on the IG spreadbetting?

Anybody know how that works? I thought you’re supposed to get exactly the same treatment as if you’re holding shares?

The timings range from 40-60 days for a dry well or 100-130 for a discovery.

So results likely towards the end of the year (or possibly even early next year on a success case).

Whilst we wait:

The well is located on Eggakanten in the Norwegian Sea, approximately 47 km southeast of the Aasta Hansteen field. The shortest distance to land is 187 km. The sea depth at the location is 475 meters MSL. The activity will be carried out with the semi-submersible drilling rig Transocean Norge. The earliest planned start of drilling is 1 August 2023.

The purpose of the exploration well is to investigate the hydrocarbon potential in the Intra Nise 2 formation in the upper Cretaceous sand layer (Velocette prospect). In the event of a discovery, gas/condensate is expected in the Velocette.

The well is planned to be drilled as an S-shaped deviation well with the hole sections 36" x 42", 26", 17 1⁄2" x 20", 16" x 17 1⁄2", 12 1⁄4" and 8 1⁄ 2" in the main well, as well as a sidetrack with 12 1⁄4" and 8 1⁄2" hole sections. The sidetrack is included as an option, and will only be drilled if hydrocarbons are discovered and the gas-water contact cannot be demonstrated in the main well.

Well testing (DST) and core drilling given a discovery are planned. The main purpose of the well test is to verify reservoir properties and flow profiles of hydrocarbons in the Intra Nise 2 formation.

The duration of the operation is estimated at 50.8 days if the well is dry, and at a maximum of 117 days if hydrocarbons are discovered, including well testing and drilling of the sidetrack.

The well will be permanently plugged back and abandoned after the end of the operation.

Thanks - copied from Yeast is Rising:

“On the lifting of the stay of the enforcement it was said that the first thing you have to do is to register that the award exists and is in favor of RKH and against Italy, f.i. in London and New York. This takes about 2 months and is pretty standard. Than you have to serve the award, which takes many months, is quite complicated and something Italy would almost certainly contest. So if you would try to serve the award before the annulment result, even if the stay is lifted by ICSID, Italy could go to the UK court to ask for a stay pending the annulment result. So after you win that argument, you can serve the award and attach the assets. The advice RKH got was that the time between registering the award and seizing the assets would be between 12-18 months. They already ha a list of assets ready. Keith then told that at Cairns, where he's also on the BoD, they went after some assets that caused much embarrassment to India and that shortened the process. Countries often have assets their people don't know about and you will try to make it difficult for them and expose them. ”

That’s why I think the company ought to explain the plan. I think the first step is to register the award in the appropriate jurisdiction(s), and I can’t imagine the legal fees to do that are particularly high.

I would have thought clauses 2 & 3 are pretty standard.

I think it’s important for Rockhopper to explain what it intends to do now following this ruling. I suspect they would, at the very least, want to get the ball rolling considering it takes time. It’s unlikely they will get the money before next year anyway so the escrow account is probably going to end up being irrelevant. This decision simply means that they can now go after assets without delay.

1: That the provisional stay of enforcement shall terminate 5 business days following the provision by Rockhopper to Italy of documentation that escrow arrangements in the form proposed have been established, provided that Italy does not within those 5 business days submit a reasoned written objection in these annulment proceedings that the escrow arrangements established are not in accordance with the proposed arrangements.

2: Reserves its right to revisit its decision at any time; and

3: Reserves its decision on costs

Https://www.linkedin.com/posts/jo-brown-03923b34_my-client-that-is-a-leader-within-the-oil-activity-7083060039699030016-n3rM?

I wonder what might be starting in August, requiring remedial electrical works.

Https://ats-fig.jgp.co.uk/vacancies/248023-offshore-environmental-adviser?

I suspect the larger holders will wait for definitive news on Sea Lion before exercising. I realise the deadline is prior to the likely FID date but news on an FPSO LOI and possibly funding would enable them to exercise warrants with more confidence that they could all eventually be sold at a profit. Such news would also likely have a large impact on volume which would enable them to sell their current holdings down and exercise the warrants to replace the sold shares if that’s the way they want to play it.

I suspect if all of the warrants were exercised today with the intention of selling straight away at a profit then there simply wouldn’t be the buyers to sustain it, and we’d be back down at 10p in no time.

It’s the old Cambozola license.

Many thanks Yeast - I shall make sure I’m there next year because I love stroopwafels.

Appreciate all the info and thanks for sharing. I found this very encouraging:

“Navitas wants to get to FID on their own balance sheet and after FID, farm out to a third party”.

FID on their own balance sheet would be very positive and the project goes ahead regardless - the farm down process is then done from a position of strength and they aren’t reliant on another party. I wouldn’t be at all surprised if they are in discussions already though, with potential partners (Delek/Murphy?) fully up-to-date so they aren’t approaching people blind once FID takes place.

Sounds like the next news will be regarding the FPSO and that’s a key part of the jigsaw in terms of logistics, timing and project economics. Really interesting that Ian Ramsay had run the rule over Sea Lion before.

Exciting times.

It’s a very fair point buzz.

Rockhopper may be unwilling to commit funds to enforcement until the annulment case has been decided, but if that were the case why waste time and money contesting the stay? They’d have may as well agreed with Italy and moved on.

Maybe a question for the company once the committee makes a decision.

Whackford, my guess (and it is just a guess) is that they will probably sell the award.

I suppose the question is when - it’s likely to be much more valuable should the annulment case be rejected obviously, and the outcome might not be until late 2024.

I suspect they are hoping the remaining warrants are exercised so they can get to that point & then sell it to an entity that doesn’t mind waiting for the money.

The question, I suppose, is what cut a purchaser would want and how much would that leave Rockhopper with.