Argos Resources;
Reported encouraging progress on the processing and interpretation of its recently acquired 3D seismic data over its 100% owned licence PL001.
In April 2011, the Company announced the completion of the acquisition of 1,415 net square kilometres of 3D seismic data, including coverage over the entire licence area, a halo outside the licence boundaries and tie-ins to key wells. The 3D data covering the northeastern quarter of the licence was prioritised to be processed on a fast-track basis. This processing was completed in May and interpretation of the data is now well advanced. Commenting on this progress, Ian Thomson, Chairman of Argos, said: “Through sharing costs and seismic acquisition with adjacent operators, and being able to tender for a larger seismic programme as a consequence, we have been able to acquire more 3D data and at lower cost than was envisaged at the time of the flotation in July of last year. The 3D seismic we have obtained is the best quality data seen in the basin to date, allowing us to map prospects with confidence.
Bahamas Petroleum;
Released news on the Trading of American Depository Receipts on OTCQX in United States. With effect from 7.00 am (EDT) 5 July 2011, American Depositary Receipts (“ADRs”) in the Company’s ordinary shares will be traded on the OTCQX market International Tier. Each ADR represents fifty ordinary shares in the Company. Bahamas Petroleum retains its primary listing on AIM.
Cadogan Petroleum;
Announced that its transaction with the major integrated Italian energy group, Eni S. p. A completed on 6 July 2011, the conditions precedent to the transaction having been met to the satisfaction of both parties. Under the agreement Eni have acquired a 30% interest in the share capital of Pokroskvoe Petroleum BV (parent company of the holder of the Pokroskvoe licence), with the option to acquire a further 30% interest in the future. Eni also acquired a 60% interest in the share capital of Zagoryanska Petroleum BV (parent company of the holder of the Zagoryanska licence). Both licences relate to the Group’s operations in eastern Ukraine. The consideration comprises a cash payment of USD38 million for the Zagoryanska licence, and an initial payment of USD10 million from the Pokroskvoe appraisal work programme agreed with Eni to an amount of USD36 million (including VAT). Subject to successful results from the Pokroskvoe appraisal work programme and award of production licences for both the Pokroskvoe field and the Zagoryanska field, Eni will pay the Group further amounts of up to USD90 million.
Caza Oil & Gas;
Said that the O.B. Ranch #2 development well had reached its target depth of 13,210 feet. The logs indicate potential pay in the Frio, Yegua and targeted Cook Mountain formations. Data from the logs and core samples from the well have confirmed Caza’s geologic and seismic modeling, which hypothesized that the O.B. Ranch #1 discovery well (which originally targeted a deeper Wilcox structure) was producing from the fringe of a more extensive Cook Mountain sand package. The O.B. Ranch #2 development well has been drilled closer to what Caza believes to be the center of the Cook Mountain anomaly with the aim of gaining valuable geologic knowledge of the Bongo/Cook Mountain sand and the regional Cook Mountain sand picture, while adding further production to the Company’s portfolio. Caza is currently running production casing and preparing the O.B. Ranch #2 well for further completion operations in the Cook Mountain. The completion procedure will include a fracture stimulation program, which is scheduled for the end of July, 2011. The initial rate will be announced following completion of the fracture stimulation procedure. The log data also indicates potential pay in the shallower Frio and Yegua formations at approximately 5,530 feet and 9,000 feet respectively.
Coal of Africa;
Advised that the application for rectification in terms of Section 24G of the South African National Environmental Management Act, 107 of 1998 authorisation has been granted by the Department of Environmental Affairs with effect from 5 July 2011. As expected the authorisation contains specific conditions the Company will be required to fulfil due to the uniqueness of the area. The construction phase at Vele is expected to be completed within six to nine months from the restart date and will ultimately ramp up to an initial production profile of 1 million tonnes per annum. Re-employment of staff and contractors will be phased in line with the production ramp-up. The Company will update the market of further developments in this regard.
Ithaca Energy;
It’s been a busy week for Ithaca as it announced that stable production from the Jacky field had been restored in the J01 well at approx’ 3,120 barrels of oil per day (1,482 bopd net to Ithaca). Jacky Joint Venture Partners are Ithaca (Operator, 47.5%), Dyas UK Ltd (42.5%), North Sea Energy (UK) Limited
(10%).We also got an “Athena Project Update” The engineering and modifications associated with the dry dock works in Dubai to extend the Floating Production
Storage and Offloading vessel, ‘BW Athena’ by 65 feet and install a turret docking system have been completed. The vessel has now been re-floated ready for installation of the new power generation and water injection modules during July 2011. This is another critical milestone accomplished towards achieving first oil in Q4 2011. The market was also notified that on July 5, 2011, Iain McKendrick, Ithaca’s CEO, acquired 30,000 common shares in the Company at a price of £1.46 per share. Iain McKendrick’s total revised beneficial holding in the Company is 130,490 common shares, representing approximately 0.05 per cent of the issued share capital of the Company. We then got news on the appointment of Mr. Mike Travis as Chief Production Officer. Mr. Travis is anticipated to commence employment as an officer of the Company at the beginning of 2012.Mr Travis (aged 51) has over 28 years of diverse offshore and onshore experience in the oil industry which
has been acquired in the North Sea and other challenging international locations. He has held key leadership positions throughout his career in all aspects of Production and Development projects including asset management, drilling and operations. Mr. Travis has previously been employed by BP, LASMO, Venture Production and more recently by Premier Oil. He has a strong track record of generating outstanding team performance and delivering results, throughout his career.
Lansdowne Oil & Gas;
Announced that it has commenced 3D seismic operations on its Amergin, Rosscarbery and Midleton Prospects in the North Celtic Sea, off the south coast of Ireland. The surveys are being shot using the seismic vessel Polarcus Samur and are expected to take approximately 20 days to completion.
Max Petroleum;
Released an update on its operations in the Blocks A&E licence area in the Republic of Kazakhstan. The Kazakh government has approved an extension of the trial production project for the Zhana Makat field until 15 December 2011, while the Company seeks final regulatory approval to convert Zhana Makat to full field development status under its Blocks A&E exploration and production contract. FFD approval will allow the Company to develop and produce the field for up to 25 years, as well as grant the Company a right to sell 80% of its crude oil production on the export market under the terms of the Contract. Max will sell 100% of its crude oil production on the domestic market pending FFD approval, which is projected to be in place during the fourth quarter of 2011. Current oil sales into the domestic market are generating after-tax net proceeds that are approximately $15-$17 per barrel lower than comparable export sales. The Company does not anticipate any material adverse impact to its financial condition or its ability to implement its ongoing post-salt and pre-salt drilling programmes as a result of selling domestically during this period. The Company is currently producing approximately 2,200 barrels of oil per day, generating approximately $3.5 million in net proceeds per month from domestic oil sales. Max expects daily production to increase to more than 3,000 bopd during the third quarter of 2011 as four additional wells are brought onto production, including the ZMA-ET1 and ZMA-ET2 wells recently drilled in Zhana Makat, the BOR-3 well in the Borkyldakty Field, and the ASK-1 well in the Asanketken Field. The BOR-3 appraisal well in the Borkyldakty Field has reached a total depth of 1,688 metres, with electric logs indicating 28 metres of net oil pay in five Triassic sandstone reservoirs at depths ranging between 1,366 and 1,556 metres. Reservoir quality appears excellent with porosities ranging from 18% to 25%. The Company is running production casing in the well, which will be completed using a workover rig and placed on production in July 2011 under the terms of the trial production project for the Borkyldakty Field. Following BOR-3, the rig will move on to drill the KZIE-1 exploration well on the East Kyzylzhar 1 prospect followed by the SAG-1 exploration well on the Sagiz West prospect, both of which are located in Block E. A second shallow rig is on location at the Uytas Field and is expected to begin drilling the first of three appraisal wells in early July 2011. When the rig has finished drilling all three Uytas appraisal wells it will move on to drill the ZLGS-1 exploration well on the Zhalgyz South prospect in Block A. Max has tendered for a third shallow drilling rig to drill the ASK-2 well in the Asanketken Field to accelerate the drilling of Max Petroleum’s shallow exploration, appraisal and development programme. The Company expects to spud the ASK-2 well in mid-August 2011. Furthermore, Max plan to begin drilling the pre-salt NUR-1 well in the Emba B prospect on Block E in the latter half of the third quarter of 2011.
Nautical Petroleum;
Welcomed the statement made by HM Treasury on 5th July 2011 in respect of the increase in Ring Fenced Expenditure Supplement. RFES has increased from 6% to 10% to the benefit of new field developments and, when taken in conjunction with the Field Allowance announced in the 2009 budget, will materially improve field life economics. For Nautical, both the Mariner and the Kraken field developments will benefit from RFES and the Heavy Oil Field Allowance. The development of the Catcher discoveries will also benefit. These changes are also anticipated to add value to their appraisal and exploration portfolio, including Tudor Rose, Spaniards and Merrow. Later on in the week Nautical announced the drilling of the 9/02b-5 well had commenced on the Kraken discovery located on North Sea Block 9/2b. The well is being drilled approximately one kilometre to the south west of the 9/02-1a discovery well, to further appraise the core area of the field and establish a commercial flow rate.
Niche Group;
The AIM listed investment company with interests in gas exploration and development activities onshore Turkey, informed investors that it had received the results of the first independent evaluation of the recoverable hydrocarbons (the “CPR”) within Oman Resources Ltd’s assets in Turkey. Niche holds loan notes convertible into a 35.7% shareholding in Oman. The CPR was carried out by Senergy (GB) Ltd across licenses AR/ARR/4077 (“Block 4077”), AR/ARR 4396 (“Block 4396”), AR/ARR/4395 (“Block 4395”) and AR/ARR4394 (“Block 4394”) in which Oman has farmed in to a 50% working interest. The CPR has shown Best estimate gross recoverable Reserves, Contingent and Prospective Resources of 397.7 bcf (billion cubic feet) of gas across the Licences; Short-term ability to upgrade Contingent and Prospective Resources to Reserves with the current ongoing drilling and testing activity.
Oilex;
Advises that as at 23:30 Indian Standard Time on 5th July, 2011 the Cambay-76H horizontal well has been drilled to a total depth of 2,740 metres and the completion string has been run successfully. The drilling rig will now be demobilized in preparation for mobilizing the multi-stage fracture stimulation equipment and related services. (Cambay-76H “Tight” Reservoir Well Report No 5)
PetroNeft Resources;
Owner and operator of Licences 61 and 67, Tomsk Oblast, Russian Federation, RELEASED AN OPERATIONS UPDATE Copys of which can be viewed by clicking this link. http://petroneft.com/news/2011/ while down in the Falklands, Rockhopper Exploration, announced that it had entered into a further assignment agreement to secure an additional well slot on the Ocean Guardian drilling rig. Rockhopper will shortly drill well 14/10-6, its third appraisal well on the Sea Lion feature, followed by an additional three wells in succession. Further information concerning the objectives and locations of the wells will be announced as appropriate.
Red Rock Resources;
The gold mining and exploration company with projects in Kenya and Colombia, exploration in Greenland, and interests in steel feed, uranium, and rare earths, reports on progress of the current resource and exploration drill programme on the Migori licences in Kenya with and an outline of continuing and proposed exploration work. The company is also pleased to announce results from the aeromagnetic geophysical survey that was conducted in late 2010. A large exploration programme to assess the targets is planned for next year.Copys of the update and the Update – for Columbia and Greenland can be viewed by clicking the link. http://www.rrrplc.com/toplevel.asp?pageid=4
Sterling Energy;
A very strange Kurdistan Operations Update from the company left brokers amused. After much ado about flow rates of water Sterling finally admitted what everyone already knew. Sangaw North block in Kurdistan Plugged and abandoned. Moving on to a company that’s actually making progress; Victoria Oil & Gas Plc released a West Medvezhye Operational Update. Highlights of which are; Estimated 400 million barrels of oil equivalent (mmboe) in-place in six features mapped by passive seismic and gas tomography surveys; Reprocessing of 845 km of 2D seismic is complete and geophysical/geological modelling underway; Development studies in progress to commercialize the Well-103 discovery and prospective resources.
Xcite Energy;
The Company notes the announcement today by HM Treasury of an increase in the annual Ring Fenced Expenditure Supplement (“RFES”) from 6% to 10% for the North Sea fiscal regime. The increase in the RFES enhances the underlying asset value of the Bentley field by increasing the taxable losses that the Company may carry forward to offset against future Corporation Tax liabilities. Richard Smith, Chief Executive Officer of Xcite Energy commented: “We welcome today’s announcement as an indication of the benefit of industry consultation and the Government’s appetite for assisting with the development of new oil fields in the UK Continental Shelf. The uplift in the supplement together with the Heavy Oil Allowances previously introduced can only improve the already robust economics of the Bentley field”.
BZT. Any update would be great.
Thanks Steve .