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Honestly people, can we all please just calm down a bit..as i was saying to Adrian on Twitter, if everyone over-hypes the results (before they are out), it will potentially have the completely opposite effect, to what I assume they want, if the results are even slightly below the previous short term flow test results.
BB was a prime example of setting expectation way above where it should have been (and to be fair SS had a big hand in that) and then fell short of the (relatively) stratospheric levels. BB to my mind served two primary purposes, to show that there as oil down there but predominantly to show the extent of the connectivity of the Weald. And now there are plans afoot to have 2 more drill sites where the anticipated deeper pockets are.
So for HH should we all not be happy with flows rates at or even a little below the 2016 results ? We will then know there is commercially recoverable volumes there and (as someone else stated earlier) have the possibility to stick more 'straws' down to suck more out using horizontal drilling.
It's a longer term game, not a short term 'hit'. Patience is a virtue.
GLA
I am very happy to see this RNS, as it at least tells us something is about to happen. But what i find agonisingly frustrating is that they give no follow on i.e. when do they expect to get the results, when will they make some decisions on when/how to exploit these resources etc. It's like they can only think of one thing at a time...the one next step!
The irony in all of this is that people who have been quick to dismiss BB as being a failure are forgetting that what BB did do was prove with a high degree of certainty that the oil seen at BB was the same as seen at HH. That can only be if they are connected....which is what SS told us all. And this is why they tested at the periphery of the Weald and hence they now want to drill more wells where they believe the depth of the deposit is greater. It's all linked people.And this is why all the Weald players should be rejoicing ! All IMHO of course !
Dub88...I am probably sitting in my office within a 2 km radius from you....I've been in projects/contracts for most of my life here and I am certain that a company like Sirius will a.) have done their due diligence on ITL and b.) ( as I said earlier) will have insisted on English law in the contract - wouldn't you ? Let's think positively and not about the doomsday scenario at this stage !
Dub88 - ITL are based in the Free Zone of DMCC in Dubai, and I am sure that Sirius will have insisted on English law for the Contract and dispute resolution.
Some people are just never happy ! It's an off-take agreement, it adds to the ones already secured, they are anticipating more....they are slowly building a customer base, which as someone said is no mean feat so far ahead of actually being able to produce/deliver the product. They will get to their target or at least perhaps close (or maybe better will exceed it). There is still plenty of time.
stokey12...I think you need to read the full sentence re pricing 'The agreement has a pricing mechanism linked to a relevant product benchmark and is consistent with the Company's existing portfolio of agreements' So in essence it should be similar to other TorP agreements already secured. In any case in places like Africa it is better to get your foot in the door, prove your product and then you can crank up the price if it performs as well as the trials seem to indicate. I think this is a great boost. And as you say other Africa countries will follow in due course I am sure (IMHO of course!).
Finally someone is listening.. https://www.parliament.uk/business/publications/written-questions-answers-statements/written-statement/Commons/2018-05-17/HCWS690/ You cant get a much clearer directive than that. Perhaps the Mineral Planning Authorities i.e the local Councils, will need to take heed and pull the finger out ! Surely got to help the SP IMHO.
Finally someone is listening.. https://www.parliament.uk/business/publications/written-questions-answers-statements/written-statement/Commons/2018-05-17/HCWS690/ You cant get a much clearer directive than that. Perhaps the Mineral Planning Authorities i.e the local Councils, will need to take heed and pull the finger out !
Finally someone is listening.. https://www.parliament.uk/business/publications/written-questions-answers-statements/written-statement/Commons/2018-05-17/HCWS690/ You cant get a much clearer directive than that. Perhaps the Mineral Planning Authorities i.e the local Councils, will need to take heed and pull the finger out !
A well written, positive, but not over-hyped RNS in my opinion. DB did well to give an appropriate amount of optimism without overselling things. Well done I'd say. There are a few other CEO's in the Weald arena that could learn a thing or two from DB.
..will we hear some news on Thule...surely the report can't take that long to prepare ?! And an update on the Welsh gold perhaps ?? It's like watching paint dry, but the paint is starting to run down the walls (if you get my drift) !