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The Q&A on the website is interesting. Selling at Urals prices is a no go below $95 for tax reasons. Domestic sales netting $25 and mini refinery $38 with a 53/47 split.
A stuck pipe at 141 and water ingress at 142 with both to be dealt with by new sidetracks. Water in 145 is being assessed by consultants.
There is current uncertainty about whether to progress the A6 or a south yelemes shallow.
802 problems include heat, pressure and a stuck pipe!
The full schedule is on the website (link in a post below) and as usual sounds more hopeful on the shallows than the deeps.
At least we will have an extra $7.5m revenue from boaty!
1700 bopd should still turn a profit, but reduces the capacity to get existing wells worked over and back into production. It also increases our risk of cashflow difficulties should there be a reduction in working capital supplied by oil traders and others. A lot depends on the success of the many sidetracks scheduled for later this year.
CASP have to sell oil internationally at Urals oil prices because they share pipelines despite not being nationally subject to sanctions. This article may help explain the situation better because it deals directly with the rise in the Urals oil price and the ability of the west to impose their price cap
https://www.msn.com/en-us/money/markets/russian-oil-tops-price-cap-set-by-western-countries-for-first-time/ar-AA1dP1FV
Having made a start on looking at the accounts, I think the half sale of boaty may be connected with the net current liabilities of $16m and some uncertainty around their continuing relationship with mini refineries and oil traders who seem to provide them with much of their working capital.
I'm a bit too busy to look through all the numbers today (this retirement business is very time consuming) but I notice I misread the words. The $1.5m refers to the draw down in the accounting period. Thanks for pointing that out CC. Your general points about the swings and roundabouts of the Oraziman cash were very well spotted and highly dubious.
I intend to have a more thorough look at the accounts over the weekend. Still top of the risers board I see, although a few traders have cashed in now
"For much of the period under review and subsequently our inability to sell on the international markets also led to missed profits. However, the recent fall in international oil prices means we are currently achieving broadly the same net outcome by selling to local mini refineries where the deductions to the headline price are much lower."
In other words, the $18m in lost revenue due to the Ukraine war no longer applies in the current period (and was much overstated about last year because of the different tax treatment of exports i.e. it was a gross not a net figure)
Smarty, I agree with almost everything you say, but the figures do not disprove that output was above 3k bopd at some point, for however a short a period.
If this discussion board has any influence whatsoever on CASP then I would like to add my voice to the complaints. Communications are not just bad, they are appalling, and probably contravene AIM regulations. Investors are left with entirely misleading impressions about the state of the company.
Having been here for many years, I now factor this mendacity in, which is one reason I was so against the ramping going on last month. Having said that, I am expecting good results for last year and probable recovery in output by sometime in the autumn.
Kheldar, the figures are fine. What they say is that output has averaged 2k bopd. The RNS saying output was at 3k bopd for a period could have been offset by production below 2k bopd in another period. We don't know how long 3k bopd was kept up for, but I suspect not for very long. CASP has form in this area, reporting a surge in output but neglecting to inform us when it turns out to be shortlived.