Chaotic CBM development in China If the experience of Green Dragon Gas is any indication, the CBM industry in China is somewhat chaotic. In an Oct. 9 press release, the company said it was surprised to find out that its Chinese partners had drilled 1,500 wells on five of its six CBM licenses – without the knowledge of Green Dragon Gas. The company didn’t find out about the wells until five of the licenses were reissued by the government in July. The company estimated that about US $500 million was spent in total on all 1,500 wells. The wells could boost the company’s reserves at the next independent evaluation as well as add to its gas production without it having spent any money on exploration. With the newly discovered wells, the company could meet its production target of 510 MMcm (18 Bcf) of gas by 2014. Green Dragon Gas also has reengaged Greka Drilling to drill wells over the next six months. Green Dragon was confirmed as the official license holder by the government despite claims from China United Coalbed Methane Corp. The company was waiting on all of the information available about these wells from the state-owned companies – China National Offshore Oil Co. (CNOOC), CNPC, PetroChina, and China United CBM. On Oct. 29 Green Dragon announced a nonbinding preliminary agreement with CNOOC in relation to the drilling that had been carried out on its license area. The company said at the time that it believed it would accrue revenue and reserves from the wells drilled by these companies.
Green Dragon 1P reserves up 400% Source: SMW Green Dragon Gas has revealed an increase in estimated 1P reserves of 400% to 300 bn cu ft. Net 2P reserves are up to approximately 600 bn cu ft from 313 bn cu ft at the end of December and net 3P reserves have increased to approximately 2,600 bn cu ft from 2,508 bn cu ft. The increase in estimated reserves by the Company (primarily at Shizhuang South and Shizhuang North) is based on information recently disclosed by the Chinese parties. Green Dragon remains in positive dialogue with the Chinese parties, in order to gain further information. As additional material information comes to light, the Company will make further announcements in this regard. Founder and chairman Randeep S. Grewal said: "The company in-house engineers have made their best estimates following the receipt of pertinent information from the third parties of their drilling activities. "We expect this preliminary information will be further enhanced over the next few months and thereafter audited by Netherland Sewell and Associates at year end, in accordance with our standard practice. "Green Dragon is in constructive dialogue with the relevant parties in order to successfully ascertain the appropriate entitlement over this extensive drilling activity. "At this point we are aware that gas production and revenues have been extracted from the blocks and these will be disclosed in a later update following verification. We are committed to resolving this matter amicably but are ready to enforce our rights if needed to ensure appropriate entitlement to Green Dragon shareholders." Story provided by StockMarketWire.com
It was only the sell of 3000 shares nothing to worry about.
For this week !
# Trades Vol. Sold Vol. Bought PE Ratio Earnings Dividend Yield 28 13,800 31,477 -34.826 -9.29 0.00 0.00 All going to kick off early next week !
Golf balls of course ! No trades !!
8.05am GMT
Yes that's good news as we are now on an upward trend so perhaps £4.00 for next Tuesday .
Looking good
All looking very positive for GDG.
Good morning Interesting comment from your broker ! Looking at the commodities market as a whole AQU are placed well now to ride the new wave of optimism. Thte trading range on historic value should push us towards and perhaps through the 50p during the next few weeks.
You may well be correct the fact that GDL have all the kit technology and ambition to move across to new countries. With a depressed SP they could if all the blocks fall into place be the multi bagger of the three, but GDG hold the purse strings and they need to be in good health for the other umbrella companies to also become successful. We will know all very soon !
Green Dragon 1P reserves up 400% 28 October 2013 | 07:40am StockMarketWire.com - Green Dragon Gas has revealed an increase in estimated 1P reserves of 400% to 300 bn cu ft. Net 2P reserves are up to approximately 600 bn cu ft from 313 bn cu ft at the end of December and net 3P reserves have increased to approximately 2,600 bn cu ft from 2,508 bn cu ft. The increase in estimated reserves by the Company (primarily at Shizhuang South and Shizhuang North) is based on information recently disclosed by the Chinese parties. Green Dragon remains in positive dialogue with the Chinese parties, in order to gain further information. As additional material information comes to light, the Company will make further announcements in this regard. Founder and chairman Randeep S. Grewal said: "The company in-house engineers have made their best estimates following the receipt of pertinent information from the third parties of their drilling activities. "We expect this preliminary information will be further enhanced over the next few months and thereafter audited by Netherland Sewell and Associates at year end, in accordance with our standard practice. "Green Dragon is in constructive dialogue with the relevant parties in order to successfully ascertain the appropriate entitlement over this extensive drilling activity. "At this point we are aware that gas production and revenues have been extracted from the blocks and these will be disclosed in a later update following verification. We are committed to resolving this matter amicably but are ready to enforce our rights if needed to ensure appropriate entitlement to Green Dragon shareholders." - See more at: http://www.stockmarketwire.com/article/4694186/Green-Dragon-1P-reserves-up-400pct.html#sthash.PZypgskn.dpuf
The SP of all three will certainly significantly rise when the Heads of Agreement have been thrashed out. November will be an exciting and profitable month which ever stock you hold. GL
Iam of an opinion that this side of Christmas GDG will be the best performing of the three. They have most to win from the compensation that will be paid by the Chinese,however the knock on will be a well funded E&P company needing the expertise of both GEL and GDL .
Interesting to see two £100k plus black trades after hours. Looks like someone is building up a large holding !
Boooom Sea of blue ! £200k just bought !!
All looking very good for an imminant big rise.
I think your right and would of thought they will be going for the £10.00 per share. Going to be very interesting.
Up 40% today !!!!