Member Info for wizard125

Part 2
The flow test campaign also contributed significantly to our understanding of the Kimmeridge play. Flow test inflows and pressure data, together with the specialist analysis of formation image log and core fractures, also demonstrated that the Kimmeridge contains both a local and regionally developed natural-fracture system, key to the future commercial viability of the KL deposit. These fractures are present in both limestones and shales.



Significantly, prior to the testing campaign these fracture-related data showed the key fracture sets to be open, i.e. likely able to transmit fluids under reservoir conditions. Consequently, neither the drilling fluid nor drilling and coring methodology appears to have "damaged" the reservoir (i.e. blocked or plugged fractures surrounding the well bore). As to whether these fractures remained fully or partly open during the necessary pressure draw-downs following acidisation used during testing is currently under investigation.



The ability of these fractures to deliver hydrocarbons to surface at BB-1z without stimulation (i.e. without "fracking") was demonstrated by both the KL5 test and by high initial instantaneous flow-back rates from the KL4 and KL3 test zones of 466 and 719 barrels of fluid per day respectively.



The finding of near identical reservoir geology and geochemistry between HH-1 and BB-1/1z also provided a valuable understanding that the Kimmeridge oil deposit stretches around 30 km across the Weald basin from the north-east at Horse Hill to the southern edge of our 100% PEDL234 Licence, with BB-1/1z likely lying on the deposit's southernmost boundary.



It is worth noting that since BB-1 lies in the extreme south of PEDL234, the well also demonstrates that most of the licence lies within the deposit's most prospective sweet spot. It is in this area where the Upper Jurassic shales are thickest, most deeply buried and have likely generated the most significant volumes of in-situ hydrocarbons.



Consequently, in the light of significant positive technical learnings and understanding of the wider KL deposit gained from BB-1/1z, the Company has accelerated its PEDL 234 drilling plans. We have now selected two further drilling sites in the central area of the licence, the first of which, subject to regulatory approval, should commence drilling in 2019. The required necessary planning application and Environment Agency ("EA") application are currently in preparation and are scheduled to be submitted by the summer.



Whilst the KL flow rates observed to date are likely sub-commercial, we are encouraged by the multiple occurrences of mobile oil observed in the well and their correlation with good calculated oil saturations in electric logs and core analyses. Consequently we are currently exploring new methods and technologies that might enable us to achieve higher sustainable oil rates and commercial viability from the 1400 vertical feet of oil-saturat

Part 1

PEDL234 - Broadford Bridge

The potential and further understanding of the KL oil play has been our prime focus over the past year. The Broadford Bridge-1 and 1z ("BB-1/1z") oil discovery, located in the Weald's largest single licence, the 300 km² PEDL234, 100% UKOG owned and operated by Kimmeridge Oil and Gas Limited ("KOGL"), delivered on most of its technical objectives, namely: "proof of concept" for the existence of a continuous oil deposit within the Kimmeridge section, the determination of the deposit's lateral extent and supporting evidence for a regionally extensive natural fracture system within Kimmeridge Limestones. Importantly, the fracture system was shown to deliver oil to surface without the need for reservoir stimulation utilising massive hydraulic fracturing ("fracking").



The BB-1/1z exploration well, for which operations ceased in March 2018, was a bold 27 km step-out from HH-1, designed to provide proof of our geological concept that oil within the KL, as demonstrated at the Company's Horse Hill-1 discovery ("HH-1"), was part of a regionally extensive continuous oil deposit. Since the two prior Weald Basin wells which tested and recovered Kimmeridge oil to surface, HH-1 and Balcombe-1, were drilled within well-defined mapped conventional structural features, it was necessary to demonstrate that the BB-1/1z location, without any discernible conventional hydrocarbon trapping configuration (i.e. no structural or stratigraphic closure) contained moveable oil within the Kimmeridge.



Consequently, the multiple live, mobile oil shows seen in cuttings and drilling fluids, light oil seen in open fractures in cores, the recovery of oil and gas to surface from KL1 to KL4 flow tests, together with the light oil flowed continuously to surface from the KL5 test zone, presents further compelling evidence that the Upper Jurassic Kimmeridge of the central Weald Basin contains an extensive continuous oil accumulation. We believe that the data provided from BB-1/1z and analysed to date provides us proof of geological concept.



These live, mobile oil occurrences, together with corresponding rock and electric log data likely demonstrate a KL oil deposit of up to 1400 ft vertical extent exists at BB-1z. Geochemical analyses further support this proof of concept, as all oil samples from both BB-1z and HH-1 analysed to date are determined by Geomark Research to come from the same Upper Jurassic shale source, i.e. the oil lies within or immediately adjacent to the Upper Jurassic rocks where it was generated, one of the fundamental characteristics of a continuous oil accumulation.



The flow test campaign also contributed significantly to our understanding of the Kimmeridge play. Flow test inflows and pressure data, together with the specialist analysis of formation image log and core fractures, also demonstrated that the Kimmeridge contains both a local and regionally developed natural-fracture system, key to t

Those shorts could well burn then!

Portland first producing revenue & reserves from low hanging fruit & the Kimmeridge will follow.

Godley Bridge & BB hopefully in PEDL234 likely first followed by the Isle of White.

Ukog has until 2022 to produce a field development plan for the kimmeridge & will benefit from it's reserves to develop the field development plan which is the bigger reservoir which seems to run 30 km North to the South from HH through BB in PEDL234

How far East to West & how sweet the sweet spots are yet to be seen?

With Alba gone & costs covered no worries what does it mean?

Revenue! Revenue! Revenue! & more Revenue.

Vol. Sold 574,728
Sold Value £5,604
Vol. Bought 2,727,665
Bought Value £26.59k

No big seller today so far.

Good luck Phil, wishing you the very best for the operation & recovery.

This item s from the Drill or drop diary.

Tuesday 31 March 2020
Deadline for restoration. UKOG Broadford Bridge site in West Sussex.

My question is are UKOG going to take it forward as stated or let it go?

Lots of money invested & lost by shareholders but can SS make it rise from the ashes like the Phoenix?

We have planning for Dunsfold awaiting the planning committee.

IOW planning expected to be published shortly for 2 wells.

No mention yet of the planning for the short sidetrack & testing needed at BB as planned with time running out, will the planning come?

Interesting day for Alba.

Over 6,500,000 shares traded!

All sells, No buys!

Where does Alba go from here?

Penguins

The term you used was tag along drag along clause from the articles of association in your post of 14 January 2019 below.

The articles of association do not prevent selling shares to an outside buyer, nor is there a pre-emption clause.

There are both 'tag along' and 'drag along' clauses which confirm this.

Penguins

Did you not within the last year post about the buyouts of minority shareholders in HHDL agreement.

I can't quite remember the term that you quoted something about a drag along agreement.

SS comments yesterday.

Furthermore, following recent discussions, the Company now anticipates that its Horse Hill Developments Ltd ("HHDL") co-venturers are unlikely to contribute their 14.365% share of current cash calls pertaining to HH-2/2z drilling, HH-1/HH-2z testing and the production-related costs detailed above.



Consequently, and in addition to the above, the net Proceeds will be used to fund any potential shortfall from the HHDL partners. In this respect, the Company has also submitted a proposal to its HHDL partners to use part of the Proceeds to fully fund their current cash call obligations in return for a commensurate dilution of their holding in HHDL. UKOG owns a 77.9% controlling interest in its HHDL subsidiary, which holds a 65% operated interest in the Horse Hill oil field and licences.



It should also be noted that UKOG's wholly owned subsidiary, UKOG (137/246) Ltd, which holds a 35% direct interest in the Horse Hill oil field and surrounding licences, will continue to fund its full share of current and future Horse Hill costs. UKOG's overall interest in the field and licences totals 85.635%.



Admission and Settlement

Mirasol

I think you should read the article in full as if I have understood it correctly Seadoc may have been right at the time that the document was written but with Sedoc we always get half truths & misrepresentations with the devil being in the detail.

The article if I understand correctly continues to say that this agreement can not change unless a HHDL partner holds more than 50% of HHDL which was the case at the time of writing with UKOG owning 20%.

Today UKOG own almost 80% of HHDL so I think SS comments yesterday are more relevant than the articles even in the resubmition document of June/July 2018 regarding dilution of Alba holding.

The reality is that if the Kimmeridge is as big as it has been predicted then much more data will be needed & a proper plan.

This is not like a few wells for the Portland it will be a major project over a large area needing detailed planning for operation & transport.

Mirasol

Ukog have another 3 years to explore the Kimmeridge & come up with a field development plan.

They will want data from Dunsfold, the new unnamed site in PEDL234,BB & from Horse Hill.

It will be far easier for the company & share holders once we have an income & hopefully some lending facilities based on reserves.

I am looking forward to what I hope will start to bring this all into fruition.

Plans to drill for fossil fuels on the Isle of Wight have moved a step closer — after UK Oil and Gas (UKOG) said it intended to submit applications for sites in Arreton and Godshill.

UKOG, which holds a petroleum exploration development licence, has carried out tests at the sites — one west of Arreton and the other south west of Godshill.

Previously drilled in the 1970s
The Arreton site was previously drilled in the 1970s by British Gas, but it was not deemed economically viable to develop the site as oil did not flow to the surface.

If planning permission is granted, it said an oil and gas well would be built at both sites.

UKOG: We are not fracking
A UKOG spokesperson said there would be no fracking and no pollution of the surrounding area. He also said the drilling would not cause earthquakes, after tremors were reported at another drilling site.

The spokesperson said:

“We are not fracking. Our well will involve drilling a small 6ins diameter hole, the size of a small domestic drainpipe, which will be lined with steel and impermeable concrete some three-quarters of a mile or more below the surface.”

Profit share with community
The company, which has previously clashed with Frack Free Isle of Wight over plans to drill on the Island, said it would share profits with the community if the projects were successful.

A spokesperson for the Isle of Wight Council said there was no blanket ban on drilling for fossil fuels and any planning application would be determined on its merits.

The spokesperson said:

“National planning policy supports a range of energy sources and, therefore, any scheme must be determined on its merits.

“The Isle of Wight does not have any policy guidance for oil extraction and, therefore, any decision will be based on national policy guidance contained within the National Planning Policy Framework.”

Ukog has until 2022 to explore the Kimmeridge & to bring a field development plan to the OGA.

Something Penguins always neglects to mention.

In the meantime the Portland will pathe the way with the Kimmeridge development & the IOW.

I look forward to hearing good news of the IOW planning developments.

Tony13579

I agree as the HH3 Well cellar has not been prepared & I think that the civil works for this will need to be done before the rig returns.

The interesting thing is this 220 or so BOPD is only under test conditions where the OGA have granted maximum amounts for production over the test period.

This has been increased on a number of occasions as the the OGA are happy to see tests continue at this level.

Once we go into production things can & probably will change.

The consistency of the supply & revenue is a good indicator despite the negative posters here.

The slotted liner is already in & the well clean up in process.

It should not be long for first flows now.

All looking good.

Great post Tony maybe you could post it on the Drill or Drop comments through the link of the article.