Gordon Stein, CFO of CleanTech Lithium, explains why CTL acquired the 23 Laguna Verde licenses. Watch the video here.
Heidhoncho, just to prove I'm not a bad sport and that education is always best nurtured and not aggressively berated. Here is a link for you to read up about the pre salt connection between Africa and the Americas....... in fact look up any article about pre salt Africa/Americas connection and they will all back up my reasoning.
https://www.google.co.uk/url?sa=t&source=web&rct=j&url=https://www.petroleum-economist.com/articles/upstream/exploration-production/2013/west-african-pre-salt-is-the-one-to-watch&ved=2ahUKEwiPjri2nNTlAhVZ8uAKHS5MCvEQFjAMegQIChAB&usg=AOvVaw38yeY4Yi9fW4Kze56wEHp_
Apologies for the typo Crusty that ruined my delivery :-(
Ahhhh Crusty, Crusty, Crusty......I would expect nothing less from you. Your negativity and suspicion towards your own investments defies most people's logic. Luckily I enjoy your dulcit tones to help me drift of into the evening ;0)
Heidhoncho, well get off your high horse and try actually contributing with your amassed wisdom. Granitic was a texture description of the basement limestone thanks .... And....how you can possibly say there is no scientific reason why 2 land masses which are ripped apart wouldn't share geographical and reservoir characteristics is odd because that's something a 4 year child could grasp.......sheesh
Anyway......if you want to take cheap pot shots that's up to you, I wont be going down that road thanks :-)
Just a few old posts to remind the LTH why we are here and maybe throw some light on AAOG for new investors. Please remember some of these posts are quite old so some info may be out of date but he principles remain the same. Sorry for boring any LTH who don't want to read my rampy posts, blame Tiburn ;-)
Ok, so here's why I think we go for Vandji anyway, whether we strike in Djeno or not and its a huge reason. Now stick with me here folks, as it gets a little boring and geological. So the Djeno is a post salt clastic formation which is what all the offshore Congo discoveries are drilled into. These produce very nicely at circa 5,000 bopd and would be huge for us. However, 180m years ago Africa was part of a supercontinent called Gondwana and very interestingly at that time Brazil was directly joined to Congo, (like one of those breakable heart necklaces :-) Now Brazil has some of the biggest Pre salt clastic discoveries in the world. Most of their production comes from Pre salt and just to highlight this post salt discoveries have 4108 wells producing 41,000bopd oppose to Pre salt discoveries which have only 77 wells but produces a WHOPPING 1,500,000 bopd. WOW, yes re-read those figures!!!
So the Pre salt is massive in Brazil which was originally joined to Congo all those years ago. Now which formation could possibly be Pre salt that we have a chance to target....Yes you guessed it the Vandji strata is a Pre clastic sandstone. Now....it gets even better because the wells offshore Congo target the Djeno but because the formations out to sea naturally get much deeper as they move away from the shoreline, those companies would of had to drill at least 4000m down to hit the Vandji, hence they never did. Luckily for us the Vandji is very close to our Djeno due to the fracturing of the formation and much shallower than for those far offshore. So it would be a dream for us to tackle this super producing pre salt clastic that is "THE VANDJI". This has not really been drilled offshore Congo before but wells in nearby countries have been targetting the Vandji successfully. So to put the cherry on the cake for you all, I just wanted to highlight the BOPD figures for these Pre salt wells in Brazil. The average production from these wells is 25,000bopd, with one well producing a mighty 36,000 bopd ......Can you imagine!!!!
Clearly none of the above is guaranteed to produce at these rates for AAOG, however you can see why the government/JB and myself are keen to go deeper.
One last point before I completely bore you all. Another very nice twist to our geology is the Vandji sits right on top of the basement. Now historically drill teams always stop drilling once they hit the basement as they contain geology not unlike moonrock,lol. However, due to a strange set of circumstances our basement rocks actually have a chance of containing hydros. They are granitic limestones but for that reason would only be low porosity. Although its worth noting that some basement producing wells in neighbouring countries with similar geology have produced upto 15,000 boepd, so worth tagging.
I'm hoping this may explain why I've been so POSITIVE about this drill from the moment it began. I hope at least some of the above is useful to my fellow AAOG'ers :0)
GLA TT (13th June
23 July 2019
in my opinion the LTH are not saying that any negative post makes you a troll. What people do object to is when posters clearly come on here with constant ridiculous negativity which could be applied to any E & P company on the AIM. Not only that but their negative slant occurs in every post without any reasoning time and time again. Not even TIPTOP believes this company is without fault or that the management are perfect but I do believe they are good at what they do and the asset/business model of AAOG, is a stellar one. Every E & P company has a mountain to climb because its a notoriously difficult industry to succeed in. I don't believe one shareholder of AAOG would think this company is without risk and if they do they shouldn't be investing at all. However due to many many positive facts, this company has a very well balanced risk\reward ratio compared to 90% of its piers imho. The fact we already have production and facilities, a route to market, an offtake agreement already in place, income from existing oil production, an income from the SNPC, a successful well which found oil in every zone, which is now producing oil naturally and under high pressures, a well which has already hit oil in the prolific Djeno , which is also surrounded by world class fields....... I could go on and on.......but all these positive facts reduce our risk immensely and make this a measured investment rather than the toss of a coin like most AIM oilies.
The market has yet to appreciate the most important point of our success so far. The 12m of Djeno is now proven to flow oil at high pressures which equates to high flow rates. So when we re-enter this well and test the lower Djeno its done so almost risk free. The current 12m of Djeno will have considerable flow rate imho and more than enough to make us a huge success. However, now we've proven oil exists and is free flowing from this 12m zone which person would bet against there not being anymore oil in the lower zone???
So, I certainly don't believe this company is perfect and yes mistakes have been made but we only need to harness a small amount of the possible oil to make this company a huge success as our current value is only £20m. We are talking about 5,000bopd which is proven in our local geology and that's staggering for a microcap. Even if we only begin with 2,000 bopd that would be absolutely transformational for this company and its shareholders. Our very low onshore overheads ensure that profits would be maximised and make offshore producers look insane.
The attraction for me is the idea is simplistic, yet would be extremely successful. However, this company is currently valued so low oppose to potential gains from the re-entry and future success, making this an investment Im very happy and excited to be part of.
BC, I completely disagree. In a perfect world yes but the problem is the oil world is one of probability. The Mengo may not have even flowed once we fracked it, where would we have been then? Even if it had flowed it may have only produced 200-500bopd and require constant maintenance. If the Mengo had flowed at 1500bopd , as suspected, it would have a very steep decline rate and a lot of downtime all massively affecting viability especially with lower oil prices. The Mengo was only a safety net, it was all about the Djeno. However, before we drilled 103c we didnt know if the Djeno even contained oil and if it did would it flow. Well this is where the probability enters because now we not only know it contains oil but it flows naturally at high pressures. This totally trumps anything the Mengo could ever supply us and it's so the right decision to go after the Djeno. It's a far superior reservoir in every way and especially flow rates and decline rates and therefore profit!!!
The big unfortunate mistake was not deciding to go for the Djeno, it was plugging it in the first place. You've got to remember that we are drilling more than 2km out under the sea so we can only trust what the computers are telling us. The thought was that mudding up would have damaged the reservoir too much to allow it to flow, however we now know that wasnt the case. In fact it flows so well and so freely it didnt require any stimulation, its pushing through a crack in a 20m plug and still has so much pressure it requires regular venting .....THATS WHY WE WANT THE DJENO !!!
Trolls on here try to tell us that neighbouring acreage has no bearing on ours. That's rubbish as local geology is everything and this geology does not stop because the government has put an imaginary boundary across it.
The Djeno is very prolific in the area and readily flows 5,000-8,000bopd with out declining over 5 years . Below are some of our neighbouring fields
Lidongo on Marine XI – discovered by Soco Intl – currently testing production from the Djeno Sands
• Lidongo - located 20 km from Tilapia (first well was tested at 4,800/bopd)
• Two recent discoveries in the Djeno Sands by Oryx Petroleum
• Haute Mer A - best estimate (gross) - 168m/bbl
• Haute Mer B - best estimate (gross) - 535m/bbl
• Most recent other entrant to the Republic of Congo
• The operator and major owners of Marine III (from which Tilapia was carved out)
• Produces from Marine XII with ENI
• Litchendjili - producing from the Djeno Sands (1bn/boe in place)
• Masala Marine - 5,000/bopd with 1bn/bbl reserves in the Djeno Sands
• Kitina, Djambala - Chevron operated, producing 50,000/bopd from the Djeno Sands
• Eni recently discovered – 1.2bn/boe in place (in the Djeno Sands, same structure as Tilapia and only 20
km away)
Lidongo on Marine XI – discovered by Soco Intl – currently testing production from the Djeno Sands
• Lidongo - located 20 km from Tilapia (first well was tested at 4,800/bopd)
• Two recent discoveries in the Djeno Sands by Oryx Petroleum
• Haute Mer A - best estimate (gross) - 168m/bbl
• Haute Mer B - best estimate (gross) - 535m/bbl
• Most recent other entrant to the Republic of Congo
• The operator and major owners of Marine III (from which Tilapia was carved out)
• Produces from Marine XII with ENI
• Litchendjili - producing from the Djeno Sands (1bn/boe in place)
• Masala Marine - 5,000/bopd with 1bn/bbl reserves in the Djeno Sands
• Kitina, Djambala - Chevron operated, producing 50,000/bopd from the Djeno Sands
• Eni recently discovered – 1.2bn/boe in place (in the Djeno Sands, same structure as Tilapia and only 20
km away)
Well gmcc, only time will tell :-)........However, I'm convinced JB has got something brewing over the AAOG stove :-)
If our SP doesn't hit 20p..... they dont get their treasure trove!!!!
That's plenty to play for!!!
My second point should really go under a different heading.
JB has put in place a $25m RBL facility to develop Tialpia. We said we would not be carrying SNPC going forward and needed to sort how that happened. We discussed us getting a larger percentage of the project but SNPC have been slowly paying us back. So if we are only providing 56% of the funding going forward there will be almost $50m available for the project plus oil income. That's a big chunk of capital to invest.
The original game plan was always for SNPC to farm down to a mid-downstream specialist with deep pockets to help develop Tilapia. In suggesting the delay in getting a rig onsite maybe because we are waiting for the government red tape to be cleared for this to happen. We know JB has some friends in high places so maybe hes done a deal for an RBL with the new third party company who is soon to join Tilapia project.
Just my thoughts built on the evidence I've seen but I believe JB would have had us drilling by now if he could have !!!
Sorry about typo's on the move today
So i have 2 points today. First was regarding expansion of the company which is cleary the plan to take on other projects across Africa.
Mark V has been employed by AAOG ! He has been working for us for 4 months and he has been employed for our "growing portfolio of operations in Africa." !!!!
He is a "Senior Drilling Engineer responsible for overseeing all drilling engineering, planning and drilling operations for Anglo African Oil & Gas group worldwide"
This is not the sort of person you employ to drill one well in Tilpaia imho
https://uk.linkedin.com/in/mark-v-50450a44
Maybe we are waiting for a third party with big guns to come onboard. That process could have taken a while to implement !!!
Just a thought
I do hear you Sardy but I'm only posting points of interest which jump out from my research, not trying to start wild rumours from hear say. There are too many signs now that the background activities will soon come to the fore. Ignoring these points wont make it less likely to happen.
I'm in total agreement that we need to get this rig onsite and drilling but the delay booking a rig was very interesting to me. JB is a very organised man and already has RBL in place before the rig is booked.......why ????
He has known for a long time what rig we wanted and where they were, so I dont believe he wouldn't have booked the appropriate rig ages ago, even if more funds were required he would have raised them pronto !!!
TF, not sure who you include in your grouping of rampers and trolls but you should remember many of us have large amounts of money and time invested in this company and want to see a return. I'm always positive about my investment because if I wasnt I would sell up and move on today, even at a large loss.
I believe the depth and skill we now have in management should easily allow us to take on another project and that's what our mission statement says. I would only want to take on another project if it was a separate entity ringfenced from AAOG but having 100% control. If we bought an asset with 2,000bopd of production and 15m barrels of reserves using an RBL type facility allowing enough spare monies for some simple bopd increases it would be a real improvement to our company. I think Tilapia will happen and we are concentrating on that but how many over qualified men does it take to change a light bulb???
I'm sure the management of Carirn Energy didnt sit round waiting for one government to sign a piece of paper!!!
I have endless amounts of enthusiasm for Tilapia but think there is room for another asset in our portfolio but not if it causes any dilution. I think the RBL for AAOG set out the stall there !!
Just my thoughts
Truth, I agree to a point but Tilapia was always going to go a one pace and you cant speed that process up, however you try. Starting early trying to at least acquire another asset has been proven because it's taken 1 year to try to secure Tunisian assets and we still have nothing.
I think whatever we think as individuals the process appears to be overtaking us
We know have 2 new members of staff employed since July to deal with new assets. Taking on an asset which already has production and reserves could propel us into a different league, especially if that asset is under our umbrella and funded on its own merits !!!!
In case anyone missed it ......"to support Anglo African Oil & Gas's growing portfolio of operations in Africa."
Apparently we have a growing portfolio of operations in Africa, well that's a surprise.....to the trolls !!!