The Smallcap Oil & Gas round up.

It’s been a brutal week for some of our watched companies none more so than for Sefton Resources after they took a mauling at the hands of BMD, Tom W & disgruntled share-holders. The veil was lifted. Revealing the rotten face of corporate greed, deceit & woeful failure. While over at 3Legs Resources positive share-holder action has resulted in a “move to remove the Board.” Take note Sefton

3Legs Resources : 3LEG

Issued an announcement this week stating that a General Meeting has been requisitioned to remove the majority of the Board, including the Non-Executive Chairman, Tim Eggar, and Peter Clutterbuck, Chief Executive Officer. Lynchwood Nominees, which has a 10.27% holding in 3Legs Resources and is a vehicle of founder and non-executive director, Robert Jeffcock, has submitted the requisition and is seeking the removal of Tim Eggar, Peter Clutterbuck, David Bremner and Rod Perry. If successful, that would leave Robert Jeffcock, Barry Rourke and Clive Needham on the Board. In addition, Lynchwood Nominees is seeking the appointment of Brett Miller and Rhys Davies both from activist investor and 5.58% shareholder Damille Investments, and Richard Hills of Guernsey.Trading in the shares of 3Legs Resources commenced on AIM in June 2011 having raised £62.5 million at 190 pence per share. The current share price is 38.5 pence. 3Legs Resources said it would issue a notice of meeting in due course.

Amerisur Resources : AMER

Announced the successful completion of the equity placing. A total of 70,000,000 new Ordinary Shares have been placed by RBC Capital Markets, acting as sole bookrunner in relation to the Placing, at a price of 37.5 pence per share raising gross proceeds of £26.25 million (approximately US$42 million).

Chariot Oil & Gas :CHAR

Acquired a stake in two offshore licences in Morocco. Chariot has agreed a deal with Maghreb Petroleum Exploration, which will transfer its 75% ownership and operational interests in its Loukos and Casablanca/Safi licences to Chariot. In exchange, Chariot will take on the work commitments and obligations of the initial exploration phase for each licence. This transfer remains subject to the approval of the Moroccan authorities.

Ithaca Energy : IAE

A plethora of news came this week from IAE…Acquisition of Non-Operated Interests…Production and Operations Update…Bank Syndication Closure…Option Award Exercise and SIP Purchase. Four RNS releases. To read them click the link.

Kea Petroleum : KEA

Announces the appointment of Richard Anthony Edward Parkes to the Board of Kea Petroleum as Managing Director, with immediate effect. Based in New Zealand, Richard will be responsible for the day to day running of Kea. Richard has extensive exploration and operational experience having spent over 25 years in the upstream Petroleum industry. He has held numerous technical and senior management positions in companies such as PetroFrontier, Santos and GeoServices.

Mediterranean Oil & Gas : MOG

At long last some good news from MOG. The offshore Guendalina gas field achieved production (net to MOG 20% WI) of 11.14 million scm in the third quarter (10.93 million scm in the second quarter), in line with the Company’s expectations. This represents net production by the Company of 121,000 scm/day. In addition, the Company’s onshore Italy gas fields achieved production of 1.92 million scm (net) in the third quarter (2.38 million scm (net) in the second quarter),which excludes production from the effective date upon which the Company agreed to sell certain non-core onshore assets to Canoel International Energy Limited (“CIL”). This represents net production to the Company of 20,800 scm/day. The Company is also pleased to announce that it restored production on 1st October at the Monteverdese Concession surface facility that was shut-in for the third quarter and part of the second quarter.

New World Oil and Gas : NEW

Got the go-ahead by regulators in Belize to take a further 10% stake in the Blue Creek Project. The assignment was approved by the Belize Ministry of Energy, Science & Technology and Public Utilities following the acquisition of an additional 43 line km of 2D seismic data. It brings the company’s total working interest in the Petén Basin project to 35 percent. Under the terms of a farm-out agreement in June 2011 and amended in February 2012 and May 2012, New World can earn up to a 100% working interest in the project by achieving various milestones. These include a three phase 2D seismic acquisition programme totalling 231 line km and an exploration drilling programme. With the seismic programme completed, drilling has just commenced on the B Crest Prospect, which will be drilled to a total depth of 7,000ft into the mid cretaceous Yalbac 2 Formation, with results expected by year-end. NEW also raised £8.6 million in a share placing to fund operational work on its assets in Belize and Denmark, at 9 pence per share. Proceeds from the deal will fund the drilling of a third well at New World’s Blue Creek Project in the productive Petén Basin in Northwest Belize. It will also cover a planned 3D seismic programme on its Danica Jutland project in Denmark. The new well is set to target Prospect A which RPS Energy has given P50 volumetrics of 124 million barrels of oil on a 100% working interest basis.

Nighthawk Energy : HAWK

The US-focused oil and gas group has agreed a deal with Running Foxes that will settle Nighthawk’s outstanding claims against its former partner – connected with alleged historical poor management of the Jolly Ranch project in Colorado, US. The deal also gives Nighthawk the option of buying the remaining 25% stake in Jolly Ranch that is held by Running Foxes with a waiver of certain amounts potentially owed by Nighthawk to Running Foxes under the production sharing agreement. Nighthawk has conditionally bought back the shares that Running Foxes still owns in Nighthawk for £2.56 million at a price of 2.5p per share. These shares will be cancelled following their purchase. Running Foxes will retain £1.42 million of this consideration and the balance of £1.14 million will be returned to Nighthawk.

PetroNeft Resources : PTR

Owner and operator of Licences 61 and 67, Tomsk Oblast, Russian Federation, provided an update on its operations this week… Arbuzovskoye well 102 successfully drilled and logged. Initial results positive with similar reservoir properties to prior wells…Confirms J1-1 reservoir in eastern portion of the field. Group production remains stable above 2,200 bopd

Providence Resources : PVR

Announced more details about the productive potential of its 80% owned Barryroe oil field, offshore Ireland, this week.Providence has recently undertaken static and dynamic modelling of the main Basal Wealden oil bearing reservoir interval. The work, carried out by RPS Energy on behalf of the Barryroe partners, Lansdowne Oil & Gas : LOGP incorporated the data from all five Basal Wealden reservoir penetrations, together with maps derived from the recent 3D seismic survey. ThE study has established oil recovery factors which range from 17% to 43%. Based on a development scenario involving 41 horizontal production and 22 horizontal water-injection wells over a 25 year field life, a recovery factor of 31% is modelled. These horizontal producer and injector wells are designed to be 600m in length, with the producers incorporating gas lift.

Range Resources : RRL

Reported a 29% increase in 3P reserves across its three onshore Trinidad licenses. The news came at the same time as the company said it has entered into a US$15 million loan agreement with the possibility to increase it to US$25 million based on the production milestone of 1,500 barrels of oil per day. Petroleum consultants Forrest A. Garb and Associates completed a review of the Trinidad reserves following the first year of Range’s operations in the country, which has seen the it successfully complete over 20 wells on its 100%-held licences.Proved (P1) reserves have increased by 14% to 17.5m barrels, Probable (P2) reserves have increased by 23% to 2.7m barrels and Possible (P3) reserves have increased by 150% to 5m barrels. As a result of the upgrade, Range’s PV10 valuation on 3P reserves has increased by 34% to US$680m. Its net unrisked prospective resources (best estimate) have increased by 30.5 million barrels to 40.5 million barrels.

Rockhopper Exploration : RKH

Got the go-ahead by regulators for its planned farm-out deal with Premier Oil (LON:PMO) Rockhopper, which is active in the North Falkland Basin, said the Executive Council of The Falkland Islands Government had approved plans to assign 60% of Production Licences PL023, PL024, PL032 and PL033, and 60% of Rockhopper’s interest in PL003 and PL004, to Premier. In addition, approval was given for Premier Oil to become operator of Production Licences PL023, PL024, PL032, PL033 and area PL004b of Production Licence PL004. Formal completion of the farm-out process is anticipated shortly.

Sefton Resources : SER

Were forced into issuing an update on production figures from its operations in California this week as growing resentment came to a head at their Miningmaven annual investor grasp for cash. A preliminary oil production estimate compiled for the month of September 2012 using operational data. This data indicates an estimate of 3,244 barrels of oil produced or approximately 108 barrels of oil per day (bopd). Sefton noted that the operational data would need to be adjusted for any shrinkage to oil quality specifications and water content. This latest figure compares to an average of 98 bopd in August as reported to the California Division of Oil Gas and Geothermal Resources (DOGGR).

Solo Oil : SOLO

Is seeking an “Industry partner in Tanzania”. It has entered into a Vendor Collaboration Agreement with Aminex : AEX , which has engaged FirstEnergy Capital to manage the farm-out of up to 50% of the two companies’ respective working interests in the Ruvuma PSA in Tanzania.

Tethys Petroleum : TPL

Choked on water today as they announced the preliminary results of exploration/appraisal well AKD07 drilled in the Akkulka Block in
Kazakhstan. The initial drilling and electric log results show potential hydrocarbons in the Jurassic limestone sequence and lower down in a thin Jurassic sandstone near the current total depth of the well. The “Dyna” sheet sand and the “Doris” channel sand were both present and of good quality but both have been interpreted as being water bearing. Drilling is now about to recommence on the well towards a planned total depth (“TD”) of 2,750
metres in order to more fully assess the potential hydrocarbon bearing zones in the Upper Jurassic sand sequence.

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