It is a Canadian rig and it is modern and high tech and maybe some of the crew are experienced Canadian operators, supplemented by local talent of course. Drilling has really progressed since the 50's and 60's. (needless to say). I own a couple of Canadian oil and gas companies of different sizes. Advantage is a small one. Ovintiv is a big one. They are amazing drillers. Ovintiv takes 9 days to drill 10,000 foot wells with 1 mile laterals. They just reported 55 wells in a row without a sidetrack at one of their main areas of focus. We don't have to do anything like that in Trinidad. But TXP can really have massive improvement from where they are operating now. These wells are into huge conventional reservoirs that can be drained by a few vertical wells with no fracking. That is not to say they are not complex with the high pressures but they should get better and better at doing this. They have learned from Chinook and from Cascadura Deep and from Cascadura1-ST. This new rig should be a step change in operations. There is nothing like it on shore in Trinidad.
RE: I don't see any obvious near term bad news23 Jul 2021 21:35
I agree - if they can keep two rigs going full time they should spend all cash flow doing that. If the wall of cash starts to cover that cost and accumulate in the bank -then by all means pay a dividend. Getting to 3 rigs will be too much for them to handle, in my opinion. Just beyond their scale and starts to present whole new range of problems.
... that the radio silence is because they are having more troubles with the well. Would like a little tweet showing DM with a bounce in his steps. Drilling for gas with a mineral rig with a small bore may be challenging. The plan is to drill the appraisal well (or wells) with a bigger well bore. Maybe they could switch to that for the next wells and be able to do appraisal on the same well bore. That has to be cheaper than drilling each prospect twice, and likely would be warranted if there is a discovery at Tai that increases their confidence in the next 2-3 prospects.
I don't see any obvious near term bad news23 Jul 2021 20:02
I guess if Chinook Cruse is not commercial that would qualify - but that would be very dirty indeed as TXP has already talked about it as a discovery, shown us a flare, and told us where it will tie in at Cascadura first drill pad.
Nothing bad can happen at Cascadura or Coho as those three wells are all done and just waiting to hook up.
There won't any short term results at Royston. Canadian rig can't do anything but arrive and start drilling predictable shallow oil wells on the legacy side.
Really only short term news can be: 1. Chinook numbers, 2. Royston spud, 3. Coho hook-up accomplished miraculously (or even a plan for Coho done and pipeline construction started), 4. Cascadura plan accepted. A lot of the other stuff just ain't happening this year. And that stuff is pretty baked in and will just happen when it happens.
Cscadura hook-up next year, Cascadura development wells next year . Coora deep test - next year. Second Coho well (maybe) next year. Royston development wells (God willing) maybe end of next year, Kraken and other wells in second exploration series 2023.
Really nothing out there short term can be very disappointing, that is why it surprises me when share price sags. The next really exciting (with tension as it gets closer) news is Royston results, probably 2 months out.
Seems like waiting on results is my AIM theme22 Jul 2021 21:40
I only own three AIM issues but investors on all three boards are sitting on pins sand needles waiting for the next bit of what is perceived as delayed information. In each case it will possibly have material impact on the shares.
1. Helium one is awaiting Tai results (which could prove commercial amounts of helium in Tanzania confirm the whole basin) 2. Jubilee waiting on 6 months operations update that last year came out on July 12. (But August 5 the year before) 3. Everything is late on Touchstone exploration - (well hook-up at Coho, test results at Chinook, and spudding of important Royston well (and more).
Maybe Monday will bring an RNS from all three companies. Have to get one off the three fairly soon, one would think.
Good positive and helpful commentary. Paul has been saying all year that impatience is our biggest problem. That is a lot better problem to have than no gas or oil found. The results of the first phase of the exploration program on Ortoire block have been pretty amazing and the biggest well (royston) of five well initial exploration program is yet to come. And there is a lottery ticket called Kraken in the three well second exploration program which has now been laid out.
Same observation I guess, if we are leasing the block why not give us the old seismic on the block. And if we renewed the same lease, why give us the seismic now. Just trying to understand that. What do we pay for the lease if they don't get any share of the proceeds. Is there a fixed fee?
Lots of good info. I had not looked closely at Trinity Exploration before, thanks for sharing that presentation!
Does anyone else find it just a little odd that Heritage has been a 20% partner on the Coora block for more than 5 years and has had some interesting old 3D seismic on the block that they never felt like sharing?
I wonder where TXP got the 3D seismic on the Coora block? The tweet just says they “received” it. I don’t think TXP was shooting seismic there, but just over by Royston in middle of Ortoire block. I wonder how old the Coora 3D seismic is?
Reminds me that TXP got lots of old data from Shell including specific well data on the well Royston is twinning and many other old well bores that helped them shape their entire plan for Ortoire block and pick their targets for first phase of exploration. Now Shell is seen as the Coho villain.
wonder where they got the 3D seismic on a okra block city? just says they “received” it. I don’t know think TDP was shooting seismic there / just over by Royston in middle of Ortoire block. Wonder how old the Coora 3D seismic is?