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As mentioned before
The financial projections take no account of any revenues to be directly received by the Company as a result of oil production at the Brockham oil field or any revenues which may be received by Horse Hill Developments Limited (HHDL) as a result of production testing at Horse Hill, and which would reduce the commitments of the shareholders of HHDL, including the Company. Â
Nothing showing In alba financials for an intercompany loan to ukog? Anything in Ukog finacials to prove this out?
Interested to Find out more , is this specific to Alba/ or others invested in HHDL side?
The Aim for all in HHDL and that includes UKOG would be to get hh declared commercial, get the production licence through planning and approved, then Tellurian have no carry on the 35% interest that reduces the cost to all HHDL members
Taken from Tellurian docs...
"Horse Hill . Pursuant to a farmout agreement with Horse Hill Development, Ltd ("HHDL") dated as of December 20, 2013, the Company holds a 35% interest in PEDLs 137 and 246, where the Horse Hill-1 well ("HH-1") was drilled. In accordance with the farmout agreement, the Company’s costs in relation to these licenses are 100% carried by HHDL until production, including costs related to conducting flow tests. During the first quarter of calendar year 2016, HHDL conducted a successful flow test of several formations of HH-1, including the Portland sandstone and two Kimmeridge limestone formations. UKOG, one of the principal interest owners of HHDL, then reported that the flow tests measured a stable dry oil rate of 1,688 barrels of oil per day in aggregate from these formations. Although the duration of the flow tests of each formation was relatively short, we were very encouraged by these results"
If the ewt covers upto hh1-z ( side track), we will have the commerciality side confirmed before this, i would suspect Production planning applicatoion confirmed after this but before hh2 ( hh2 drilling to be after december 2018 = around feb 19) = Alba covered for 2018 program.
HHL2 11.76 % of 100% drill cost = ( 5 mill previous cost) = 588k.
The press releases state that the revenue from test will be shared into HHDL to reduce the costs for all members.No mention of delayed 2 million 1st earnings mentioned that i can find.
Also im sure i saw in relation to funding
" if HH can get this classed as commercial and get 1 well into production then the companies involved can then approach the banks and get a new source of funding removing the need to dilution" ;p
Think some where DL comments on this?
We have the money for EWT, and im not sure if the hh2 is included in this, i believe not. which is why per the terms with tellurian that if the HHDL group get this declared commercially viable and get a production licence in place out of hh1 then the 35% carry ends and they have to start paying ;p
But max would be 600K for this, that was based on on 5 mill well cost from previous (site prep is done and site infrastructure is there, so a new well shouldnt be as much).
Also the changer is Brockham, if the 8th august goes well for Angus then this COULD be up and adding revenue to Alba before we get to HH2.
Bags of good news on the way, tanker updates,,, flow rates,,,, greenland jorc and planning in for the gold...
Nice of DL & SS to of let the guys with those tele lenses on site today :)
That is top notch nice and really shows the guys want to work with investors to grow this chance.
https://twitter.com/WealdOilers
Some talk of the pump being able to do more than 500 bopd.
Scully is that selling all your shares ;p
Looking at the below you could be selling yourself short, then a profit is a profit and as wilk says it is AIM ;P
http://www.alignresearch.co.uk/alba-minerals/the-bluejay-mining-alba-minerals-conundrum/
Dont forget the impact we have with just the test so far
"we have low costs of approx $20 per barrel"
And at today's rate = $50 a barrel profit x 350bopd, that's approx 6 million a year to be shared betwen partners and that's only from 1 well in the Portland.
Funny enough i thought about investing in hats :D
https://www.hatsandcaps.co.uk/brixton-hats-c_brixton_hats/
At the rate scullys eating them i hear the sales have gone up 150% lol
All good fun :)
Evening all, not a bad day for some ;p
Short term sidewards move, the fundamentals are still the same.
Extremely good plug from DL https://www.youtube.com/watch?time_continue=1&v=CGh03ErAxpM In relation to all in hhdl, and tellurian who all got a mention. And dont forget the majors to come in and buy ;p
The aim for the HHDL group is to get this classed as commercially viable, as per SS wordings & to get this into production with 1 well or 2.
If Ukog, Alba are smart along with the rest of HHDL, then we get the 1 well as a producing well ASAP ;p This then triggers the end of the free carry to Tellurian = A reduction in the next drilled well costs of 35% as the free carry is finished.
This then opens up a market for funding as per DL`s comments, no more share dilutions ;p
From Tellurians point the Commercial and production sign off, maybe best after the next lot of wells are drilled. This would save them around 1.75 mill ( based on 5 mill well cost).
Alba will need to fund around 600k towards HHL2.
Per DL`S comments the plays here are not to burn lots of money, but to do enough for a major ;p
Also we now have Gas flowing on top of the oil...
Alba is so undervalued, and a long term share not to be out of :)
My thoughts, right or wrong.