Rainbow Rare Earths Phalaborwa project shaping up to be one of the lowest cost producers globally. Watch the video here.
European countries will soon be scrambling to find gas from other routes, if Ireland is not interested in Barryroe, I am sure others will be, perhaps a connection into the UK would be an option?,…GL S
European gas prices hit record as Russian flows via Yamal reverse,..
“European gas prices hit a new record high on Tuesday after a pipeline that brings Russian gas to Germany switched to flow east, a move the Kremlin said had no political backdrop, while two big German customerssaid Gazprom was meeting supply obligations.”
“Westward gas flows through the Yamal-Europe pipeline, one of the major routes for Russian gas to Europe, had been falling since Saturday and, after stopping early on Tuesday, reversed direction, data from network operator Gascade showed.”
https://www.reuters.com/business/energy/russian-gas-flows-germany-via-yamal-europe-stop-gascade-data-shows-2021-12-21/
BP comments from a couple of weeks ago…
“Even allowing for the fact that the SpotOn deal felt like an echo of the disastrous Apec deal, the company seems to have enough support from a sufficiently large bloc of shareholders to proceed on its own.”
“A number of sources to whom the Business Post spoke, but who declined to be quoted on the record, echoed this view, but added that the company’s board, which is now led by Menton and Mackay, must provide a detailed and credible plan for the drilling.”
“A strategic review is underway but its details are a closely guarded secret, according to several sources. Shareholders want the review to set out a clear roadmap to developing the asset, however, which they feel could restore broader confidence in the project.”
“Just how much they will put in is a broad question: a drilling project of this nature could be small, in the high single-digit millions of euro, or it could run to more than €50 million. The quantum, according to those sources, is entirely dependent on that plan and its credibility.”
“The appetite, however, is not in doubt. One individual, when asked, said that if the plan was good, they would write a cheque for the rig (ie, the engineering set-up for drilling the oil). Another said that any future fundraising would probably be oversubscribed, either by new shareholders stumping up money to take a stake, or existing shareholders looking to maintain their positions.”
L, with the likes of Goodman, O’Driscoll, Furlong, LC, BHC, Stansfield, Menton and other major shareholders and their associated networks, I would imagine they will have a number of options, without having to knock on you door, or trawl through the dregs of spivvy Aim brokers, …GL S
BP comments from a couple of weeks ago…
“Even allowing for the fact that the SpotOn deal felt like an echo of the disastrous Apec deal, the company seems to have enough support from a sufficiently large bloc of shareholders to proceed on its own.”
“A number of sources to whom the Business Post spoke, but who declined to be quoted on the record, echoed this view, but added that the company’s board, which is now led by Menton and Mackay, must provide a detailed and credible plan for the drilling.”
“A strategic review is underway but its details are a closely guarded secret, according to several sources. Shareholders want the review to set out a clear roadmap to developing the asset, however, which they feel could restore broader confidence in the project.”
“Just how much they will put in is a broad question: a drilling project of this nature could be small, in the high single-digit millions of euro, or it could run to more than €50 million. The quantum, according to those sources, is entirely dependent on that plan and its credibility.”
“The appetite, however, is not in doubt. One individual, when asked, said that if the plan was good, they would write a cheque for the rig (ie, the engineering set-up for drilling the oil). Another said that any future fundraising would probably be oversubscribed, either by new shareholders stumping up money to take a stake, or existing shareholders looking to maintain their positions.”
h, with the likes of Goodman, O’Driscoll, Furlong, LC, BHC, Stansfield, Menton and other major shareholders and their associated networks, I would imagine they will have a number of options, without having to trawl through the dregs of spivvy Aim brokers, …GL S
TS, agreed and I think all things considered it is a very carefully structured update, albeit a bit long winded, but it has added some significant depth and substance to the challenges and also the tremendous benefits of the Barryroe development, It also sets a very proactive tone, in relation to the engagement of Providence, in regards to vitally important debate of both energy transition and energy security for the Irish community and this I feel will be as equally important as the technical aspects at this stage, in relation to the successful development of Barryroe and especially the DECC ministry granting the lease undertaking, It is also good to note the appraisal pathway, which makes very good sense, especially considering the importance of Natural Gas and with key meetings taking place in Europe on the 22nd of this month, I also thought the Lansdowne update was good, it was very succinct and to the point,...GL S
EU Energy concerns will no doubt be heightened next week, as Russian natural gas flows via the key Yamal-Europe pipeline have significantly fallen today, to one of the lowest levels year-to-date (according to data at the Mallnow metering station on the German-Polish border), apparently Gazprom booked 80% less capacity of Yamal - Europe for Saturday than the day before, a capacity of 89.1 million cubic meters was available for booking at the entry point to the Polish section of the gas pipeline, but Gazprom only ordered only 5.2 million cubic meters, perhaps Putin is about to raise the political bar, in light of recent demands of NATO in relation to the Ukrainian dispute, I sense Minister Ryan will have to find a lore than a €100 in energy poverty relief payments!, …GL S
Great summary DC and as frustrating as the current situation is, it does not compare to the frustration experienced in 2019, I would also suggest we are probably in the best position since we IPO’d back in 2017 and if one thing history has taught us, the Jangada board will only release when every T is crossed and I is dotted, the current situation has all the hallmarks of something substantial being worked on and I would not be surprised if the development discussions are the subject of an NDA, as we know from previous releases, the majority of DFS works were at a very advanced stage, so I very much doubt it is DFS related, this feels like a deal of some description is being negotiated,…GL S
It doesn’t look as if that €100 energy contribution gimmick is going to go very far in January, as new close of business highs were reached across European natural gas benchmarks, they closed today at record high settlement prices (intraday was higher in October) the Dutch TTF closed at at €116.084 per MWh and UK NBP closed at 294.54p per therm, That's ~$220 per barrel of oil equivalent!,…GL S
More supportive press, although considering we have one of Ireland’s preeminent PR and communication experts on our board, the silence from Providence is very baffling,…GL S
Republic will need equivalent of another Corrib gas field to supply power plants
“The Republic will need the equivalent of another Corrib gas field to supply power plants planned by government, says one industry figure.”
Eamon Ryan, Minister for the Environment, Climate Action and Communications, recently confirmed that building new gas-fired electricity plants was a “national priority”.
Government climate change plans include proposals to build enough gas power plants to generate a total of 2,000 megawatts of electricity to aid a shift to renewable energy by the decade’s end.
“Tom O’Brien, managing director of Corrib field shareholder Nephin Energy, recently said there may be potential replacements for the country’s only gas reservoir in nearby areas already licensed for exploration.”
“If these proved viable they could tie in to Corrib’s existing infrastructure, allowing their gas to be brought ashore with minimum disruption.”
Providence Resources, majority owner of the Barryroe field off the south coast, which could produce up to 350 million barrels of oil, has said the area could hold significant quantities of natural gas.
https://www.irishtimes.com/business/energy-and-resources/republic-will-need-equivalent-of-another-corrib-gas-field-to-supply-power-plants-1.4753491
The current buy price on RSP is 2.55p, the 100k trade was a buy,…GL S
With forecasted gas demand growth of circa 23% and electricity demand growth of circa 33%, Barryroe’s future as a producing indigenous asset looks set to gather even further momentum in the months ahead, it may just turn out to be perfect timing taking into account demand and value,…GL S
Future demand
During 2020, gas supply was constant and delivered without interruption to service. This is testament to the resilience of the network and its proven capability to deliver on gas demand in all conditions. According to Gas Networks Ireland projections, reflected in Figure 5, gas demand in Ireland is expected to grow by 23% between now and 2029,
The main drivers for growth are within the power generation sector, and include:
• significant projected growth in electricity demand and the need for additional gas-fired power generation to meet this demand
• expected growth in electricity demand of 33 per cent by 2029
• projected growth in industrial and commercial sector gas demand, in line with growth in new connections
• the phasing out of coal and peat.
Gas demand came close to record levels over a number of days at the beginning of January 2021. Notably, on the ‘peak day’ for Republic of Ireland (ROI) gas demand (January 8th) electricity interconnectors operated as net exporters of electricity to Great Britain (GB). This, combined with high electricity demand and moderate wind generation in ROI, drove high demand for gas-fired power generation. Closing at 6.1 TWh, gas demand for January (2021) was the highest monthly gas demand level in over a decade and the third highest ever. The only time gas demand was higher in Ireland was in 2010, when the country experienced some of the coldest weather on record.
As electricity demand continues to grow, and as Ireland moves to achieve the target of 80% renewable electricity by 2030, the role of the gas network has never been more critical.
https://www.gasnetworks.ie/corporate/company/our-network/irish-gas-market-overview/Irelands-Gas-Network_Delivering-for-Ireland_FINAL-file-as-published-11-11-2021.pdf
“But unlike other members, the Government will not look to buy back existing exploration licences held by fossil fuel companies”…
“It would cost many hundreds of millions and I don’t think the Irish taxpayer would look too kindly on that,” Minister for Climate Action Eamon Ryan said.
Considering the government in Ireland have repeated on numerous times that existing licence authorisations can progress through to production, you would imagine that the Providence and Lansdowne boards will be engaging their legal teams to hold Minister Ryan to account! …GL S
I think it is just a brief pause, as there is a weather front moving through the Celtic Sea this evening and the operational window is between the 23rd to the 29th, I think they will restart again tomorrow,…GL S
Some other snippets,…
“Sources close to the company, who would only speak on condition of anonymity, told this newspaper that there is a strong appetite among shareholders to back a fresh fundraising round to do the necessary work itself.”
“A strategic review is underway but its details are a closely guarded secret, according to several sources. Shareholders want the review to set out a clear roadmap to developing the asset, however, which they feel could restore broader confidence in the project.”
“Just how much they will put in is a broad question: a drilling project of this nature could be small, in the high single-digit millions of euro, or it could run to more than €50 million. The quantum, according to those sources, is entirely dependent on that plan and its credibility.”
“The appetite, however, is not in doubt. One individual, when asked, said that if the plan was good, they would write a cheque for the rig (ie, the engineering set-up for drilling the oil). Another said that any future fundraising would probably be oversubscribed, either by new shareholders stumping up money to take a stake, or existing shareholders looking to maintain their positions.”
Perhaps there is more than a little substance in the thinking that the CEO departure was at the behest of the major shareholders and is in some part linked to the funding plans,…GL S
“Shareholders set to back new Providence fundraising drive“
“A substantial bloc of shareholders in Providence Resources, the beleaguered oil exploration company, are willing to back the company in a fresh fundraising drive to help to appraise its Barryroe prospect, the Business Post can reveal.”
“Last week, the company announced the departure of its chief executive, Alan Linn, and the “strategic decision by the board to take the management and financing of the Barryroe project in-house”.
https://www.businesspost.ie/energy/shareholders-set-to-back-new-providence-fundraising-drive-cee711f1
Longwait, your tenacity is very admirable in your attempt to clear up the disruptive elements of this discussion forum, but could you possibly consider letting it rest? and enable some debate on the actual merits and challenges that are ahead of PVR?, many thanks,..GL S
Celtic Voyager making good progress on route to K site,…GL S
https://www.marine.ie/Home/site-area/infrastructure-facilities/research-vessels/track-vessel
Government consent for Barryroe site surveyDublin and London – 8 February - Providence Resources P.l.c. (PVR LN, PRP ID), the Irish based resource development company (“Providence” or the “Company”), is pleased to announce Government approval to undertake a seabed and shallow geophysical survey and an environmental baseline and habitat assessment survey, at the K-Site location, Barryroe, North Celtic Sea, South West Coast within Standard Exploration Licence 1/11 (“SEL 1/11”) The offshore survey, when completed later this year, will be the third in a series of surveys. The survey must be completed to enable Providence Resources apply for any potential further works on the K site location of the Barryroe field. Further regulatory approvals are required before any commencement of drilling could take place on the Barryroe Field. “
ps, the survey is a key element of the licensing agreement and lease undertaking, so I would suggest it means a lot more to the drilling and development plans than your suggested “diddly squat” ….GL S
Manyana, you are right, whilst the farm out agreement with SpotOn was terminated, it has been detailed by PVR, that the intention would be in the main to adopt the way of working, that the individual contractors (that were part of the development consortium) had agreed to deliver, as you also detail, all should be revealed with the strategic review and the related financial strategy,...GL S
Following termination of the farmout to SpotOn Energy, the strategic review, which will include independently evaluated assessments of the field's development scenarios and their potential, is considered essential by the Board.
A snippet from the Half Year update at the end of September....
"The results of this strategic review, encompassing both Providence's Technical Strategy and it's related Financial Strategy, will be completed in Q4 2021 and will determine the strategic plan for the development of the Barryroe Field."