Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
Shareholders in Jersey Oil & Gas (JOG:247p), a UK North Sea-focused upstream oil and gas company that owns an 18 per cent interest in the P2170 licence (Blocks 20/5b & 21/1d), Outer Moray Firth, can expect results in mid-April from an appraisal drilling programme that has just commenced on the flagship Verbier discovery in Block 20/5b. Initial operator estimates suggest gross recoverable resources associated with the Verbier discovery is between 25m and 130m barrels of oil equivalent (boe) with an estimated mean of 69mboe. The purpose of the appraisal well is to accurately determine the potential volume range in the discovery. Management estimates of the value potential for the estimated recoverable oil volume ranges, together with an opinion that all outcomes are potentially commercially viable, suggest a net present value (NPV) in excess of �30m attributable to Jersey Oil and Gas at the low end of the range, and a NPV in the order of �200m at the top end. Neither scenarios factor in valuation upside potential of the Cortina prospect, located on the licensed acreage, which is estimated to hold mean prospective resources of 124mboe, or for that matter additional prospectivity across the licence area. It was the potential for a transformational drilling campaign that attracted me to Jersey Oil & Gas when I suggested buying the shares at the 200p level in my 2019 Bargain Share Portfolio. Clearly, other investors can see the attraction too as the share price is now 19 per cent higher on an offer-to-bid basis. Of course nothing is guaranteed in the oil exploration industry, but with the company holding net cash of �22m at the end of June 2018 � more than double its �9m to �11m share of the cost of drilling the Verbier appraisal well � then even if the prospect only has 25mboe of gross recoverable resources, representing the low end of the estimated range, this is still worth �30m to Jersey Oil and Gas shareholders. That sum and surplus net cash of �11m (after expensing the appraisal drilling costs) backs up three quarters of the company�s current market value of �53m. However, based on gross recoverable resources of 77.5mboe in a mid-case scenario (of which 14mboe are attributable to Jersey Oil and Gas) and $7 per barrel of oil with first production in the second half of 2021, analysts have an unrisked NPV estimate of 417p a share for Verbier alone, a sum 70 higher than the current share price. Also, if the company hits pay dirt on Verbier, then there will be a positive read-across for prospectivity across both Cortina and Meribel, other two P2170 licence prospects. *Buy.*
https://t.co/AntBavuGNy "£10 a share" could be on the cards.
Perhaps there will be an RNS and a FSC before the Mayfair event.
Omar the guy with multiple accounts on Facebook, trying to sell his unique system to the world? LMAO
Dick, what are you talking about " a few years"? We are on the verge of our appraisal well to see how much we have. Could jump to £10 (ala Malcy) in a matter of weeks. DYOR
I recall James recently said he had a "clever plan" with regards to future of TE-10/ TE-11.
So the "heavy guns are just a precautionary step Kirk, nothing specific to our geology". All good.
Not tight, Fat lad. Still not learned to read an RNS, I see. "The successful retrieval of this gas sample confirms the presence of moveable hydrocarbons in the reservoir, and importantly is the first successful MDT gas test from the TAGI sandstone in the Tendrara licence (where testing has historically been hampered by the tight nature of the sandstone)."
Mickey, you are a self confessed liar and have misled the market before. A disgrace to this board. I urge everyone to check this scum-bag's post history before paying any attention to his words, likewise the insufferable bore JezTheFez and his imaginary brother SimontheZealot who has also admitted to being a liar. Post histories never lie.
Net pay upgrade and confirmed multi tcf potential are both more than I was expecting. Fabulous news. This really is looking huge.
TR1: NOTIFICATION OF MAJOR INTEREST IN SHARES
Exactly, this is now perilous territory for shorters. We just don't know what is around the corner; GSA could also drop any time.
I echo SG's legitimate concerns. Also, fickle investors don't just disappear after selling, it's as if they want to create doubt in others to validate their decision.
GSA could drop any time.
Neptunes, as usual you are failing to understand what has been presented to us in the form of RNS updates and what James Parsons has communicated to us in the recent FSC. TE-10 will have no bearing on the GSA. Let's have some basic comprehension.
Unless, of course, the imminent GSA is announced or a bid is made on the company, in which case traders will be locked out. Far too risky to trade now, IMHO.
Unless, of course, the imminent GSA is announced or a bid is made on the company, in which case traders will be locked out. Far to risky to trade now, IMHO.
Agreed, "following the identification of gas bearing sands within and below the currently mapped TAGI structural closure" is highly encouraging.
You didn't just deramp, you lied to investors. You deliberately misled the market, creating uncertainty which facilitated a drop in the SP before results were published. You are a self-confessed liar. There will certainly be repercussions.
And this is just the start. Now to drill the remaining TAGI section, "After completion of the intermediate logging programme, the Company plans to drill the remaining TAGI section to total depth just beneath the Hercynian Unconformity and then perform a well test, including possible mechanical stimulation." A very strong buy from this position!