Member Info for Spudsoil

Can someone confirm what global gas price we use as the benchmark for the gas we produce? I know we have a fixed price contract for. Ow, I’m thinking ahead to when that ends. Reading that gas prices are at a multi year high, must admit don’t pay much attention to gas prices in the same way I do Brent, but it can’t hurt our cause if prices are high and set to stay that way.

We are due a quarterly update in the next couple of weeks plus the AGM. In the short term the quarterly update is far more important than the spud news today, as it will clearly signpost the latest flow rate position plus updates on workover/remediation. It’s the performance of existing wells that is most likely to influence the share price at present, and then the focus shifts to drill success/performance of the new well(s) as the year progresses. I wasn’t expecting much movement today as it’s been well signposted, it’s the next stages where we move in to the higher risk success/failure phase. Until then let’s hope the quarterly update provides the spark we need

Do we think the overhang from the placing has cleared yet? These sells are relentless

OK MP you are winning me over. I think for me it’s more that it creates an image of a company that is still really struggling and in my head we aren’t anymore, but I probably need to be patient for a little longer. I’m with AJ - I think BH sort 16z as their first project.

Not sure I agree - we are selling a load of oil either right now or very soon. PH confirmed that in the podcast. Surely that gives us the income stream to be able to pay the bills. I get the need to be conservative but there’s a point where this needs to stop. If an oil company can’t pay its staff in cash when oil is 70+ then they clearly have little confidence in production stability. I’m trying not to be too one sided here but I see no reason for this to continue beyond receiving the proceeds from the pending oil sale.

I hope AGM and July brings an end to the shares for salary scheme. That has to be a factor in the SP action? That and confirmation of flow rates and we have the platform we need for future success!

A very worthwhile read for anyone who hasn’t done so as yet. Some of the numbers are staggering and this is not wildcat land - this is known territory where historical production touched 70k bopd per day, an important factor when considering risk/reward. And now we have gas too.

1. Confirmation of oil sales, via the q2 update coming in a few weeks
2. Confirmation of latest flow rates, via same source as above

That gives comfort that we are (hopefully) profitable at current flow rates and will remain so for x number of months even with natural decline (assuming Brent price stays buoyant).

Focus then switches to the upcoming drilling programme, which feels more and more like the company making moment if we nail the next 12 months.

For all the optimism (and I am feeling very optimistic) Blocks track record is played 3, won 1, lost 1, result still tbc on the 3rd (16z). So there is understandable caution from potential investors. If we can change that to ‘won 2’ after 16 as workover, and keep on winning with each new drill then confidence returns. When that happens if oil price is anything near where it is at the moment then I honestly think we will be in a completely different place mcap wise.

We are pretty much identical share price to 12 months ago. Forgot the cash raise as that is basically cash sitting in our bank account at the moment so it nets off. It’s either bargain of the year or we were massively overrated 12 months ago………

Enjoyed the Vox podcast. Seems to be more of a quiet confidence in what they are doing. Also pleased to hear they are rolling with a quarterly update now - means we get certainty around updates that aren’t linked to one off events, and hopefully brings a sense of increased professionalism to the communication strategy.

If Brent floats between 70 and 80 for the rest of 2021 and wr16 starts to contribute our financials could start to look strong over the next few months. 2021 is all about setting up a stable profitable base, 2022 is where the magic could happen. But I’d expect the company to be worth a lot more by the time the magic does happen!

I suspect the payment of salaries in shares is a contributing factor. By definition that provides a scenario ranging from none of those shares are sold through to all shares are sold. So neutral to bad for any investor wanting to see buying pressure. In a low volume environment that is likely to keep a lid on the share price. Personally i think once that scheme ends the price will improve, although that’s quite logical as the scheme stopping reflects a more financially stable company which in turn should drive sp improvement.

We expecting an update on the performance of the 38 and other legacy wells, plus the work they are doing on 16. Results from the testing they announced earlier this year must be due soon I would think?

For those keeping a close eye on the price of Brent. In q1 Brent averaged just under $61 for the qtr. in April it averaged just under 65 and so far in May it’s north of 66. Those 4 or 5 extra dollars per barrel soon add up.

Am thinking we can’t be far off another ops update? Updates on 38 testing is due i guess anytime from now throughout May, but I’m weirdly more excited about 16 as had written it off but think that is the surprise to spur us on. As long as 38 is knocking out a decent level anything resembling respectability from 16 takes us comfortably in to profit, that then serves as a double whammy - operational resilience whilst we undertake 2021 drilling activity, and the cessation of the salary for shares scheme. As painful as it is for holders over at HUR it reminded me of why I invested in Block - with no lines of credit we are comfortable knowing that any dilution will be for operational reasons, not debt restructuring. That will count for a lot when we start to become profitable as future risk of share price dilution becomes smaller and smaller. Onwards and upward over the next few weeks

Decent summary. Delivery failed to meet expectations previously but potential remains, ergo if 2021 delivery meets/exceeds expectations we are off to the races.

Thanks for clarifying. I’m sticking with this share at least until we hit double figures. I’ve made mistakes in the past bailing out of oilers having given up hope. My lesson has been to add on a few months expectation in terms of sp appreciation as it always seems to take the wider market longer than I thought to grt interested. But interest will arrive at some point if we deliver our plan - of that there can be no doubt. Key next milestone is updated flow rates inclduing 16 remediation. Think most of us have discounted that to zero given the issues over the past two years so whatever it delivers is a bonus for me, and I suspect most other investors also.

Why bizarre?

2000 boepd by end of year and we are laughing like dogecoin holders

Sneaky feeling we get a juicy update next week on 16

Six months ago oil price was ranging between 40 and 50 dollars and Block was mothballed. Now Block is producing, covering almost all costs (and that will surely flock to covering all costs once next update comes) and oil ranging from 60-70. The share price is on a par with where it was six months, so whilst acknowledging there are more shares in issue that is offset by the increase in cash in bank. Logical conclusion? When we get confirmation of stable flow rates and thus income stream, we are due a big re-rate.