Member Info for THE_CHAIN

Setanta if you truly believe the bod have withheld or lied about market sensitive information pertaining to 16-2, you need to contact the Fca and stop repeating the same message on here. Its not constructive in my honest opinion. You are starting to sound like a basher! Although I am sure you are just venting your frustrations.

Setanta just look at the wider market. Its a sea of red.

Some of todays decline is to do with US markets, oil down today. World starting to realise we really are entering another recession

I disagree art, nothing about the 16-2 test in December suggests the well is untenable. In fact it points toward it being economic, but as you mentioned more gas than expected.

trying to ignore that and focus on fundamentals setanta. Hence trying to discuss future value generation and not focusing on the sp at present. Not that it doesn't upset me to be over 40% down on a 25k investment, that's a lot of money to me!

This excerpt interests me

Gas rates are substantially higher than expected, with modelling suggesting the well is capable of production plateau rates of 10 million square cubic feet of gas per day and 500 boepd of liquids.

So exclusive of gas, 500 barrels of liquids per day?

Can anyone verify how accurate this is

One BOE is roughly equivalent to 5,800 cubic feet of natural gas or 58 CCF or 5.8 MCF. Another tip is that gas production as reported to the COGCC is in MCF or 1000 cubic feet. So if we divide the number reported for gas production by 5.8 we will have the equivalent of barrels of oil.

... Can't flow the well.... Yet. Crypto mine opens the door, probably ramp up to 4 megawatt. Then dominion come in, I read possible 10.5m cubic feet a day of gas. What's that in oil equivalency?

Don't think we should be discounting the gas so much in this current climate. Still lots of profit by the looks of things.

Perhaps an error in my understanding then, but what is the difference in economics relating to actual barrels of oil or oil equivalent production? Surely if it is oil equivalent, the economics must also be the same?

My other investment is in a gold mining operation, they have similar issues with gold equivalent copper. Ultimately the economics are the same or actuallt improved by this.

From the well test RNS in December :
Proven rate-constrained production high of 1,083 barrels of oil equivalent per day;

Simulation modelling indicates potential rates of 2,100 barrels of oil equivalent per day;

Seekingvalue. We know 16-2s potential, but do not know what through put a 1 mega watt crypto facility will allow. Not the full bopd that's for sure.

We know 16-2, with the gas fully utilised can produce 1000 bopd. 2100 boepd.

To be honest I have no idea!

I think this is something that the company should clarify! Another thing that could help us in the near term is understanding what the crypto and subsequent oil production means for our sales figures.

Could be waiting a while. I'd rather see us getting nearer 16-2s full bopd, with current oil price it would pay for itself in a very short amount of time indeed. I just see the crypto play as a good alternative to flaring, until we can tie in with dominion next year, including the other 3 Wells.

Don't disagree with anything there setanta. But, the optimist in me hopes the initial 1 mega watt crypto operation Is a testing success, and is quickly ramped up to 4 mega watt there after, allowing greater daily liquid capacity. From what CH has said, the crypto operations are modular and relatively easy to upgrade, so I think upgrading could be quite rapid. All the while this is going on, we should be well on the way to drilling our 3 new Wells. Hence my continued optimism.

GLA
CHAIN

Totally agree the bhoys. I can sympathise but doddy as I am also underwater here. But feel optimistic that things will turn around when we begin drilling, we need regular news flow and some good old fashioned speculation to interest new share holders. As I've said previously we should be 9-12p now, not this joke of a share price.

GLA
CHAIN

Agreed pawn. Some people seem to struggle with the concept of mid to long term investment here. All looking for quick money. Investments in growing companies take time.

They'd be better suited to fruit machines or betting on sports to be honest.

Bye bye. You know who you are.

Agreed whistler. Mobilisation RNS's will be good for us.

Hopefully this turns around for you soon then setanta. I am underwater here, considerably. But the 9-18month prospects here for me as a relatively new holder are considerable, based on current know company fundamentals. I am still quietly confident that when get drilling and RNS's become a more frequent thing the share price will pick up. The market loves regular news flow. I also think it would be good for the company to keep releasing monthly sales figures, why not shout about the profit when the oil price is so high.
Frankly the current share price based on all known information is a joke, we should be 9-12p

Cmon Colin let's get these contracts done and get drilling!

GLA
CHAIN

In saying that, the next 3 Wells are not like normal oil exploration. We already have a good idea of what we will find!