Member Info for Zebediah16

AJ: I suspect B Robotics is going to go slow and wait to see how the BD 260 rig is progressing, so we might see it next spring. Hopefully ZEN by then can wave wads of cash at them to speed it up

sea7: the Board's expectation that approximate all-in average oil production costs will fall from the current US$19 per barrel to a cost of US$13 per barrel when the Company achieves a production rate of 1,000 barrels per day in Azerbaijan.

how long ago was this statement? I think they need to reduce costs right now - if they could go from US 19 to US 16 at current production that is a saving of nearly USD 1000/ day. We would assume that the costs of US19 reflected old practices, old ESP pumps etc

1000 bopd at US 13 / day is still also kind of high/ The major Mideast producers ( SA, Iraq etc) have a cost of production of US 5 a day

is the much vaunted BQ500 rig a faster driller ?

How long does it take to drill a 5000 metre well ? 3-6 months?

onshore cost of production for the large producers seems to be below USD 10 / barrel. The UK has the highest cost of production , which partly explains PMOs share price movements ;-)

https://knoema.com/rqaebad/cost-of-producing-a-barrel-of-crude-oil-by-country

"If these rigs do all turn up then what are Zen going to do with the BQ, BD260, A80, A100 and the 180?"

is that a joke? There are no shortage of drilling targets

You're right the Saudi fields are on shore. I was thinking of the Azer offshore production which is around 800,000 -900,000 bopd.

agreed bobbymacc has no idea. Cost of production is very very low , thats what makes this whole show profitable. It wont have the scale of offshore but it will be a nice earner once it gets going

this is like the Hollywood film "There Will Be Blood"**. Can the Creditors be held at bay for long enough to strike it lucky at C37? Will the supply of the 180 tonne truck rig be delayed by subplots and rivals! Is the imminent arrival of the BD260 rig a reality or just a mirage ?

Is AC a charismatic and ruthless CEO prepared to stop at nothing to realise his vision? We shall see, but this is cutting it close to the wire. Will we lose our shirts or strike Black Gold? The countdown to the EOY has started, a somewhat arbitrary deadline but its needed :lol:

** about the early 20th century Californian oil boom for those who dont want to look it up

It still could be hit and miss becasue its not a targeted drill. This is more like an exploratory drill based on their geological speculation

160 / day is just notional , it was doing 5/ day before which suggests it was blocking up. Hopefully atleast they can get up to a multiple of that, maybe 50/day plus

who beleive that from a day ago

Did they say at some point there would be (hopefully) less sand blockage in the Upper Cretaceous? I thought I read it somewhere

so this obstruction clearing should return production to 160 / day ? Thats if they leave it at that of course and dont go for extending the well

looks like there is no easy solution to sand blockage other than gravel packs and plenty of rigs on standby. Will ZENs much vaunted strategy pay off :lol:

that buying spree , which was quite heavy, could not prevent this rout

the Kraz truck / A100 rig has no apparent purpose right now since its too underpowered and working over the old wells has been fruitless. Placing ESP pumps is done by the A80 rig

So they pushed the date out and thats why its turning up now as a bare bones truck chassis with no rig on it. But then why not cancel the truck order?

I think they are going to put a flatbed on it and then move stuff about . Kraz trucks are handy - wish I had one as well

dont get it . .Did they order the truck and were unable to cancel the order ?

dint think he would buy 1 million in one go, but who knows

What to make of AC's buying. Does he have endless pots of cash?

Professional fees - those geological studies
Listing costs (non-recurrent) - does that mean Listing on Merkur cost 360k CAD? no justification
Other admin expenses - Too much ???
Travel - AC likes to travel in style
wage bill - ZEN has to keep its large local staff on board. Cant fire them
Share based payments - the largest item is non cash

Six months ended September 30, 2018 in CAD ('000)

Professional fees 483
Audit fees (yearly cost) 109
Listing costs (non-recurrent) 360
Accounting and bookkeeping 41
Negotiations for acquisitions (non-recurrent) 64
Legal 112
Office 206
Bank commissions 34
Insurances 69
Foreign exchange 23
Other administrative expenses 585
Salaries 874
Travel 488
Share based payments (non-cash item) 1,019

Well if this company is spending its way into Administration there is atleast some buying today, so people are willing to lose their shirts. Or maybe its AC

Mudpump you are rapidly becoming AJ's clone. if you think this company is going bust then why hold shares? Doesnt matter about the asset, a company can still go bust trying to get it all out

Some administration fees are indeed high. They paid for two separate consultancy studies this summer so some of the costs can be attributed to that