Member Info for Phoebus

Nothing available on quote and deal. :D

And the rest.

I disagree. Company fundamentals have been completely transformed and the market should reprice the stock accordingly. Yesterday CLON spiked on open into major risk off sentiment across markets, but CLON fundamentals should win through strongly. Way too big a drill for the market cap. Markets are also starting to recover.

Net to CLON even. LOL

I know people always say potential is huge with a given exploration drill, but at 136.7 MMBOE 2U net to BOIL it really is gigantic for the market cap, especially in a proven area. So gutted I couldn't get exposure to this drill when I spotted it last year. Can't believe our luck.

Wider markets also finally turned positive overnight. FTSE futures up almost 1% already today and NASDAQ 1.5%.

Great response R&S. Hope you do well.

I wouldn't wear length of share ownership as a badge of honor, particularly with CLON. Anyone that's been holding here for years despite nothing whatsoever going on is probably best ignored for having terrible judgement and wasting the time value of their own capital. Long term holders are also often the most resistance to accept that the investment thesis has changed for the better, which is understandable. The stale bull phenomenon. Poster that have suddenly turned up may well have been following this company for years waiting for a moment exactly like this before putting their capital to work.

Actually, I think people's positivity here today is premised on the fundamental value suddenly on offer following the announcement. Dismissing it as a P&D looks very short sighted in this instance. The reason for the SP weakness is likely no more than selling into an opening spike in what is a very risk off market today. Give it a few days to consolidate and we'll see where we are. Fundamentals win out over erratic SP movements in the end.

The placing occurred before the SP rose to 0.8p, so the market cap was £18.2M. Current market cap only £10M.

Re-post from ADVFN board.

"This would be one of the biggest oil and gas wells drilled in Australia by a junior in the last 20 or 30 years," Glovac said. "The upside is huge. It's permitted, it's significantly de-risked, all the capital's been raised, and it's fully funded." At this point, the only risk to it is exploration success.
https://stockhead.com.au/energy/global-oil-and-gas-inches-closer-to-drilling-onslow-sasanof-prospect-with-equipment-on-its-way/

The Mentorc field (green) almost touches the Sasanof prospect (purple).

https://cdn.offshorewind.biz/wp-content/uploads/sites/6/2021/12/29173509/Sasanof-amplitudes-on-merged-3D-seismic-showing-Mentorc-Field-and-Western-Gas-Sasanof-Prospect-outline-Source-Western-Gas-1024x582.jpg

The Mentorc field forms part of the Equus Gas development project.
https://www.westerngas.com.au/equus-gas-project

CLON was basically dormant until this transaction. They had oil licences in Peru that became impaired a long time ago, but appear to still be on the books. They also applied for a block offshore Ghana several years ago, which is still yet to be awarded. They also have a recent MOU for acreage in Chad, but that too is outstanding. Clearly they want to operate in the oil space, but have lacked an active project until today. This explains their website and underscores how transformative this deal is for CLON.

The market has waited a long time for them to do something and they have picked an excellent looking target to finally get the ball rolling. The fact that Western Gas with 52.5% is the operator and not CLON makes CLON's experience of operations or lack thereof a moot point. I for one am delighted they have used their listing to make this exploration opportunity available to UK investors.

From 3:52 in that presentation. 'This means they had an internal assumption of 74% COS... '

Slide at 5:37. 'The liquids rich, low CO2 Mentorc Field is the eastern fault block and is filled to spill into the updip Sasanof Prospect.' Very nice.

You're too kind. You massage my ego. [Kobe reference]

I found this map on the Australian Government's geoscience website and have annotated it in yellow to show the approximate size and location of the Sasanof Prospect. This is clearly a prolific area and the target compares well in size to the larger discoveries in the basin.

https://i.ibb.co/C2W0Qkx/CLON-Sasanof-Location.png

I found this map on the Australian Government's geoscience website and have annotated it in yellow to show the approximate size and location of the Sasanof Prospect. This is clearly a prolific area and the target compares well in size to the larger discoveries in the basin.

https://i.ibb.co/C2W0Qkx/CLON-Sasanof-Location.png

Australian Government page on the Carnarvon Basin.
https://www.industry.gov.au/data-and-publications/2019-offshore-petroleum-exploration-acreage-release/northern-carnarvon-basin

Notes all the huge number of fields marked on the licence maps.
https://www.industry.gov.au/sites/default/files/2019-acreage-release/2019-acreage-release-area-maps-northern-carnavon.pdf

I agree. In terms of risk reward at these levels it beats any exploration drill I've seen in a long time. Currently Kobe beef priced as spam.

That's a pretty good COS for an exploration well and companies at this stage in proceedings are generally at valuations per BOE that a multiples higher even after taking the COS into account. Think several $/BOE risked. CLON is $0.30!

The COS components are charge 100%, reservoir 80%, trap 80% and seal 50%, so the risk is essentially the seal. Given that the operator has already made 15 discoveries from 17 wells on the adjacent acreage, that's a 88% seal success rate. If those odds continue the COS would be 56.3%.