The Smallcap Oil & Gas round up.

Afren (LON: AFR)
Updated on the on-going testing programme on the Hunt Oil Middle East operated Simrit-2 well, yielding incremental flow rates of 5,368 bopd, with a cumulative rate of 18,952 bopd from six of the 12 zones tested. Following the conclusion of drilling operations at the Simrit-2 well, located on the northern part of the Ain Sifni PSC, Kurdistan region of Iraq, the Partners have successfully completed three further DSTs in the Jurassic Mus, Adiayah and Butmah formations yielding incremental flow rates of 5,368 bopd of 21o API oil using the Hitech-3 rig. The Partners have now achieved aggregate flow rates of 18,952 bopd to date. Remaining testing operations will focus on Upper Jurassic and Cretaceous reservoirs.

Bahamas Petroleum (LON: BPC)
Good news came this week for BPC. The announcement made on 10 March by the Minister for Environment & Housing which sets out the decision of the Government of The Bahamas to defer any referendum on the future of oil development in The Bahamas until after the exploration drilling phase, allowing the Bahamian people the data from which to make an informed decision on the framework for energy industry activities. With its decision to proceed with exploratory drilling, the Government has demonstrated a responsible approach both to the industry and to potential future investors. Any subsequent referendum will only be conducted once the presence and scale of petroleum reserves is established. Future activities will take place in full compliance with all the environmental and safety regulations of The Bahamas. The Company supports the Government process to provide a modern framework to govern industry activities with revised and upgraded regulations consistent with international best practices.

Edge Resources (LON: EDG)
Has finished drilling the second well of the Company’s Spring drilling program in Primate, Saskatchewan. The well was successfully drilled and cased without incident and is now being prepared for production.

Bluebird Energy (LON: BBE)
Has placed 470m new ordinary shares with investors at a price of 0.4p per share, raising a total of £1.88m The net proceeds of the Placing will provide additional working capital as the Company proceeds with its strategy of diversifying into other business sectors which are perceived as offering better investor returns on net assets. James Ede-Golightly, Chairman, has invested £25,000 and Gordon Hall, senior non executive director, has invested £10,000 in the Placing. Independent director, Brian Marshall is not participating in the Placing and having consulted WH Ireland, the Company’s nominated adviser, considers that the directors’ participation is fair and reasonable insofar as the interests of shareholders are concerned. As Christine Keeler famously said, “Well they would say that wouldn’t they?” I need to “GoLightly” here!

GeoPark Holdings (LON: GPK)
Successfully drilled, tested and put into production two new wells – Yagan Norte 5 and Sauce 1 – in the Tobifera formation on the Fell Block in Chile. GeoPark operates and has a 100% working interest in the Fell Block. The Yagan Norte 5 well flowed at a rate of approximately 810 barrels of oil per day and 0.5 million standard cubic feet per day of gas through a choke of 10 millimetres, with a well head pressure of 585 pounds per square inch. Further production history will be required to determine stabilized flow rates. The Yagan Norte field was discovered in 2009 and has produced over 320,000 barrels of oil to date. GeoPark also re-entered the previously drilled Sauce 1 well and deepened the well by 65 metres to a new depth of 3,260 metres to test the Tobifera formation. An open-hole production test in the Tobifera formation flowed at a rate of approximately 220 bopd and 0.5 mmcfpd of gas through a choke of 8 mm, with a well head pressure of 780 psi. GeoPark is currently drilling the Yagan 3 well (in a field located south of Yagan Norte). Preliminary information indicates hydrocarbon-bearing zones in both the Springhill and Tobifera formations and testing will begin in March. The company has interests in six blocks in southern Chile where it is the first and only independent oil and gas producer. GeoPark also has interests in ten blocks in Colombia and three blocks in Argentina. During 2013, GeoPark will carry out a 35-45 well drilling program in Chile and Colombia – with a total expected work program investment of US$200-230 million. One to watch!

Ithaca Energy (LON; IAE)
Announced that it had averted open warfare this week. JEC Capital Partners, LLC and JEC II Associates, LLC and another shareholder of Ithaca have withdrawn their requisition to the board of directors calling a meeting of shareholders for the purposes of adding two new directors to the Board and that the pending proxy contest has been terminated. As a result, no special meeting of shareholders will occur on April 8, 2013. In addition, the Requisitioning Shareholders have agreed not to take any steps to oppose the previously announced acquisition of Valiant Petroleum by Ithaca. Ithaca and the Requisitioning Shareholders have entered into agreements with respect to the withdrawal of the requisition.

Leni Gas & Oil (LON: LGO)
Has entered into a non-binding Heads of Agreement with Maxim Resources. ( A TSX Venture Exchange listed company) regarding oilfield development opportunities in Trinidad and Tobago. On signature of the HOA, the Company will make an initial refundable payment of CDN$75,000 to Maxim. Subject to contract and due diligence, the HOA’s contemplate further payments totalling up to an aggregate of a maximum of CDN$2.425 million subject to performance milestones, in return for which LGO will receive approximately 30,000,000 shares in Maxim, representing a maximum of 49.99% of the issued share capital of Maxim. Upon successful negotiation and execution of definitive agreements with respect to the transactions contemplated in the HOA, LGO shall have the right to nominate two directors for election to Maxim’s board of directors at the next annual meeting of Maxim’s shareholders. Maxim is currently in litigation with Jasmin Oil and Gas Limited (“Jasmin”) concerning Maxim’s rights to a working interest and revenue from the South Erin Block in southern Trinidad. The South Erin Block contains the producing Jasmin Oilfield, and various other prospects and leads, under a farm-out agreement from the Petroleum Company of Trinidad and Tobago. Maxim originally invested over US$ 4.2 million in the drilling of additional wells in the Jasmin Field which has been producing for a number of years. Should Maxim gain effective control of the South Erin Block, LGO has agreed to provide CDN$5 million to a work program on the Jasmin Oilfield and shall earn a direct working interest of not less than 50% of the Jasmin Oilfield on terms to be agreed between the parties.

Max Petroleum (LON: MXP)
Reported that it has commenced drilling the ZMA-A22 development well in the Zhana Makat Field on Block E using Zhanros Drilling’s ZJ-20 rig. Total vertical depth of the well will be approximately 1,338 metres targeting Jurassic and Triassic reservoirs.

Nighthawk Energy (LON: HAWK)
Released a grandly titled “Smoky Hill Development Plans and Reserve Report” this week. Yawn!!!! You can read it by clicking Get the bopd numbers up. The company also released their Final Results

Northcote Energy (LON: NTC)
Released an operational update this week. Mucho too long with many points that need to be read in their entirety. You can read the OP by clicking what several “Sefton piss takers” emailed in this week: We Love You Brokerman Dan.  The phrase rather tickled me.

Nostra Terra Oil & Gas (LON; NTOG)
Has as part of its continuing development plan to build a portfolio of working interests in US oil fields, entered into an agreement with Brown and Borelli, an independent oil and gas company, to acquire a 5% WI in the High Plains Program, located in Texas. This agreement signals NTOG’s entry into an exploration program where “proof of concept” could lead to multiple future prospects, each of which in turn, will likely include multiple drilling locations. Yes Matt, all well & good, but what’s the daily Nostra bopd?

Range Resources (LON: RRL)
Released their half-yearly report today. You can read it by clicking Pull your finger out Landau

Salamander Energy (LON: SMDR)
Has reached agreement to farm-out a 30% interest in the Bangkanai Production Sharing Contract, Central Kalimantan, Indonesia to PT. Saka Energi Indonesia. On completion of the transaction, Salamander will have a 70% operated interest in the Bangkanai PSC, which contains the Kerendan field development and surrounding exploration. The company also announced that it has agreed an asset swap that will see the Group acquire the outstanding 15% interest in the Bangkanai PSC, Central Kalimantan taking its interest in the licence to 100%.

Trapoil (LON: TRAP)
Released news that it entered into a definitive sale and purchase agreement on 11 March 2013 in relation to the acquisition of an additional 45 per cent. working interest in Licence P.1556, Block 29/1c containing the Orchid oil discovery from Summit Petroleum Limited for a cash payment of £1.5 million.

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  1. kennyb41 says:

    Why nothing on Madagasgar oil Dan?
    I bought this on your advice and still hold at a loss having bought at 22p,i don’t buy to sell in the short term,you tipped this and then nothing,is there a problem?

    Kind regards

    • Hi Kenny

      The Smallcap round up contains news from the smallcaps underverse which has been released this week. No news from MOIL hence why they’re not mentioned.