Member Info for SimonT

You posted this earlier;
"It also satisfies the oil sales issue that the local market is saturated with other Oilers output£"

Do you know the current daily volume of domestic (Georgian) oil produced in Georgia?

https://tradingeconomics.com/georgia/crude-oil-production

I would hardly call 400bod a saturated market?! It makes me wonder why people believe every hole Block Drill will produce 300+bod when the countries production as a whole has not exceeded 400bod since Sept 2015!

GOG has PSA's with 10 companies at present and the total production is only 400bod!

Cautious, I would be surprised if it is the case that they don't have to inform us of whether a permit which ultimately allows the well to flow or not expires or is renewed! But the worrying thing is the company not informing their shareholders of things they dont have to even thought they are significant. So they are saying we wont tell you anything we don't have to?!

Thanks Hepseal, but an email doesn't cut it like an RNS, on such a big issue as to whether the well can stay in production, we need to be told officially if that is actual fact.

AJW, I would have to disagree with you on whether the 60 day flaring licence has kicked in, the well was shut in, why? Then the company announced Resumption of production had occurred on the 11th of July in their RNS titled Resumption of production on the 26th of July. The change of tack to describing the well as cleaning came at a later date maybe to buy some time before announcing results as they are clearly having some issues with the well. An email to Hepseal from Justin mentioned extending the licence, the company need to clarify if an extension has been applied for and whether this has been granted because that 60 days is up on the 9th of September.

To me this RNS says more about the attitude of the company toward its share holders than it does about what's happening on the ground!

Oh the peasants will be happy if we throw some crumbs over the wall!!

When this started to fall I said at the time it was time to sell at 14p and got ridiculed for my comment! with the next drill 5 months away and gas take off at least 8 weeks from a contract signing there was no way the SP was going to hold up at the high's.
My answer to your question is no not yet, there are too many uncertainties we need answers too.
A few weeks ago people were complaining of news being given in interviews and shouted for RNS's, now we have emails saying the 60 day flaring permit will be extended to December but until I hear officially that they have applied for an extension and been granted it I will be waiting it out as no extension could mean 16az being shut in again sometime around the 9th of September. And the time they have bought for results with the 90-120 day clean up period doesn't fill me with confidence about the productivity of this first well.

This is going to 0 5 0p ( . ) Insert the decimal point where you wish! :-))

Found a bit more on the test results of Corosan 1;

In 2000, Carapal Ridge, a structure within the Central Block, became the largest onshore discovery made in Trinidad and Tobago in the last 40 years when it tested at 62 million standard cubic feet of gas per day (mmscfd) and 1,625 barrels of condensate per day (bcpd). The discovery well is on an extended production test with approximately 20 mmscfd and about 500 bcpd being sold to Petrotrin. Gas is transported via a 12km 10-inch pipeline that connects to NGC's network. Other discoveries in the Central Block include the Corosan-1 well, which, in late-2001, tested at 8.2 mmscfd, and the Baraka-1 well, which, in July 2003, tested at 22 mmscfd and 660 bcpd.

https://www.rigzone.com/news/oil_gas/a/11699/bg_group_to_acquire_aventura_energy/

Just poking around to see what I could find out about the Corosan1 well drilled by Vintage petroleum in 2001 I came across this;

Vintage Petroleum, Inc. announced that completion and initial testing operations have concluded on the Carapal Ridge #1, the first of two exploration wells drilled by Vintage in the onshore Central Block of Trinidad. The initial tests indicate the Miocene Herrera formation encountered by this well is a high quality gas reservoir. Five separate intervals within a total gross pay of l,000 feet were individually tested at a combined daily rate in excess of 50 million cubic feet of gas and 1,500 barrels of condensate.
Current plans are to pursue a gas connection that would allow a multi- month production test and sale of hydrocarbons to confirm that sufficient reserves exist for future development. Work is also ongoing to assess the potential market options for reserves, as further development opportunities are dependent upon obtaining access to a long-term gas market.

"The high flow rate potential of the discovery well has encouraged us to develop an accelerated plan for an extended test-to-sales, which is anticipated to begin during the fourth quarter. While this multi-month test is underway, we will work closely with our partner, Petroleum Company of Trinidad and Tobago Limited (Petrotrin), the state oil company of Trinidad, to identify favorable long-term market options that will allow further development of the project if warranted," said S. Craig George, CEO.

Currently, the completion rig is being mobilized from the Carapal Ridge well to the second exploration well, Corosan #1, in order to initiate completion and testing operations. Vintage is the operator of the onshore Central Block with a 65 percent working interest. Petrotrin owns the remaining 35 percent working interest. Vintage has initiated requests with Petrotrin and the government to obtain their consents to assign 38.5 percent of Vintage's working interest to Aventura Energy (Trinidad) Limited.
https://www.rigzone.com/news/oil_gas/a/1767/vintage_petroleum_provides_update_on_trinidad_operations/

I also found another small mention in the Energy Caribbean year book saying;

Central block on land, Corosan, carapel, Baraka wells drilled by Vintage and Vermillion, found gas but were looking for oil 2001.

Is it time to get excited yet, TXP are 20 days into the drill!!

Boffer give it a rest with the £12m institutional holders! The share register since the announcement of the placing has only increased by 35,062,906 shares, Amati increased from 37m to 64m, Dean Anthony Smith increased from 8.7m to 10m and Alistair Ferguson increased from 13.9m to 20m. The total of 35m increase in shares at the placing price of 11p equates to just under £4m, the rest of the shares were flipped by the financial service providers that took part in the placing or are below the threshold to declare making them irrelevant as we wont get to know what happens to them. So we only have a third of the placing shares being declared as held at this time. All the info is in the register and TR1's.

Sea7, you seem very upset that it is not still there? Hep-seal, Sea-7,, Was it you? heptathlon: athletic contest with seven events.

I am of the opinion that the 60 day flaring licence was for production as flaring while testing in the immediate period after drilling is allowed. The company announced production had resumed in the RNS on the 26th of July titled "Resumption of Production at West Rustavi"

Block Energy Plc ('the Company' or 'Block'), the exploration and production company focused on the Republic of Georgia, is pleased to announce the resumption of production at well 16aZ ('the Well') at its flagship West Rustavi field ('West Rustavi' or 'the Field'). Production resumed on 11 July "

If the 60 day flaring licence kicked in on the 11th of July it will expire on the 9th of September. The company needs to clarify whether the well will have to be shut in again after that date?

Of course! After the ones who said buy this at 17p 16p 15p 14p its going to 50p £1 etc who have suckered people in that are now sitting on losses!!
And those people still claim they are the ones who are right about this company so I don't think that will happen!!
I was told to buy it at 14p and replied I had it as a sell at that time, I was scorned!

BP it is unfair to speculate that the well is not flowing, they did say it was continuing to clean up and used the word improve, whether that relates to quality or quantity we don't know!

After a lot of talk about their history and experience along with some positives they then spent a lot of time in both interviews talking about the difficulties of the geology, and saying how the 3D will help them drill much better wells. anyone else get a thought in the back of their mind that they might be setting the scene to soften the blow of bad news?

I hope some of that news flow is a signed gas deal and infrastructure building, what did they say? 8 weeks to construct? because the present 60 day production licence they are running on expires in 4 weeks on the 9th of September!

If your dream scenario does happen and they announce the news that the wells are performing at much higher rates and open it up no one is locked out! buyers at that level just wont make as much as those already holding, but on the flip side those waiting to see if that will be the case are not exposed to any risk! You pays your money and takes your choice based on your own appetite for risk!!

RBT, my view of the market reaction is that if there were good news regarding the 16az well he would have said so, so no news is being seen as bad. Also saying 90/120 for clean up gives him an excuse to put an update for that well behind the drilling of 38 to take the focus off it too, again which looks like he might be trying to take attention away from it and onto the new well? But the new well being analogous to 16 might mean more of the same problems? This will fly if/when the company get both of these wells sorted and in stable production, until then the market has doubts about whether Block has the experience/ability to make these wells and this company successful.

The MM's have offloaded today Boffer, before lunch sells were a million ahead of buys but that has reversed by 2m+ to finish with over a million buys ahead of sells. It makes me laugh when I see them make it blue and the FOMO's pile in at a premium, they do it every few weeks and it works every time!! Back to the regular downward trend tomorrow no doubt as we wait for WR16az news with trepidation, will it be an increase or decrease in flow??

You may well be right Bigbench there might be a decent bounce here but on the other hand there might not be. It is not unusual for the oil in the immediate vicinity of the well bore to produce high initial short term flow rates and then decline when the oil has to migrate through the source rock to reach the well bore. The longer it flows the further oil will have to migrate, with every passing day the oil has to migrate a greater distance so it will take a while to establish the sustainable flow rate. Just offering a realistic view as opposed to the rose tinted one that oil flow will increase once the well is clean which is possible but I would say not probable? The original estimate of 300 ish bod would have been based on rock porosity tests and down hole pressure analysis etc and is more likely to be correct than being able to sustain the much higher flows as was seen initially. So I imagine Block is back to plan A rather than having wells which will sustainable flow much higher. Their inexperience got them all in excited puppy mode which has caused the discontent, i imagine the well is behaving as it should. So with the gas take off in place and more wells drilled the company will continue to grow as per the original plan just not as fast as it would have at 3x the flow rates which is unlikely to happen!!
So yes, looking solid here, like a ship leaving the harbour rather than a rocket on the launch pad.