A quiet week in the Smallcaps underverse. Don’t forget to sign the Government e-petition for an investigation into the Sefton Resources Fraud Click HERE to read it.
Bankers Petroleum (LON: BNK)
The tiddler BNK announced its 2013 Second Quarter Financial and Operational Results. During the quarter, Bankers achieved its second consecutive quarter of free cash flow and record production levels, headlining “Free Cash Flow of $9 Million and Q3 Average Production to Date of 18,300 bopd”
Bridge Energy (LON: BRDG)
The exploration drilling campaign in PL 457 covering wells targeting the Amol and the Asha East prospects has commenced, with the wells being located on the Utsira High and Gudrun Terrace, respectively. Both wells will be drilled by the semi-submersible rig Borgland Dolphin. The Asha East exploration well will be drilled as a side-track from the Amol exploration well main bore, with the results from Asha East well expected first. Bridge has a 20% interest in the wells. Wintershall (operator) 40%, with the other partners VNG (20%) and E.ON (20%). More details of both prospects can be found in their most recent Corporate Presentation with Reserves and Resources Report at http://www.bridge-energy.com/investor.
Caracal Energy (LON: CRCL)
Provided an operational update summarizing current development and exploration drilling activities in Chad, as well as facilities construction and progress toward first oil production. To read it CLICK HERE
Caza Oil & Gas (LON: CAZA)
Hit pay dirt this week. Another strong result for the Company’s second Caza Ridge horizontal Bone Spring well on its Copperline Property in Lea County, New Mexico. The Caza Ridge 14 State No. 4H horizontal 3rd Bone Spring well was fracture stimulated in twenty-four stages and has been flowing back for the past few days. Under controlled flowback the producing rates have remained steady, and the well produced at a peak 24 hour rate of 1,004 barrels of oil and 1.3 million cubic feet of natural gas, which in aggregate equates to 1,221 bbls of oil equivalent. The well continues to clean up and recovered hydrocarbons and frac fluids during the same 24 hour period at a gross daily rate of approximately 2,678 bbls equivalent on a 30/64ths adjustable choke at 1,200 pounds per square inch flowing casing pressure. This is the second successful 3rd Bone Spring well on the Copperline Property. Log data and core samples were also obtained across the Brushy Canyon, Avalon and 2nd Bone Spring Sand intervals. The data indicates the presence of oil and natural gas across each of these intervals, which is favorable for the future development of these shallower sections. Management believes the deeper Wolfcamp formation on the property is also prospective for oil and natural gas. Caza chas a 58.75% working interest (44.8% net revenue interest) in the Caza Ridge 14 State No. 4H well.
Eland Oil & Gas (LON: ELA)
The oil & gas development and exploration company operating in West Africa with a principal focus on Nigeria, updated on activities for the OML 40 License, located in on shore Nigeria. Eland said that “Once first oil is achieved, the long term development and appraisal drilling programme for OML 40 will commence with the Opuama Field which has certified gross 2P reserves of 54 Million bbls (from a total licence 2P number of 82 Million) and an initial production capacity of 30,000 bopd.”
One to watch! Genel Energy (LON: GENL)
Has agreed to acquire a 40% interest in the Adigala Block onshore Ethiopia from New Age (African Global Energy) Limited. Under the Transaction, Genel will acquire a 40% non-operated interest in the Adigala Block from New Age (Ethiopia) Limited, a wholly owned subsidiary of New Age (African Global Energy) Limited (“New Age”). The consideration involves a payment in respect of back costs and a contribution to the cost of a 2D seismic acquisition planned before the end of 2013.
Leni Gas & Oil (LON: LGO)
Busy week for LGO on the RNS front. Further to the announcement on 1 August 2013 the Company has confirmed that all certification is now in place and the additional capacity, allowing daily sales of up to a maximum of approx. 745 barrels of oil, is now in use. The first sale through the newly constructed facility was made last Friday with a total of 665 barrels being sold. Future sales will use the full capacity of the sales tanks and will give the Company the ability to sell all its production up to in excess of 530 barrels per day. Separately the Company has acquired several additional pump jacks in the local Trinidad market which will complement the next batch of ten new Chinese built pumps which have just cleared customs and are being transported to the field. A further ten new Chinese built pump jacks are on order for mid-September delivery. Well reactivation in the field continues in line with the Company’s plan to reactivate up to 90 of the original 154 wells. LGO also has successfully concluded an agreement with the Petroleum Company of Trinidad and Tobago to reduce substantially the overriding royalty rates associated with oil production from the Goudron Incremental Petroleum Service Contract and to extend the contract by five (5) years to November 2024 in consideration for LGO undertaking additional drilling activities at the onshore Goudron Field in Eastern Trinidad. The Highlights: Overriding royalty rates have been reduced on all oil production from 1 August 2013. Overriding royalty rates on production over approximately 40 bopd have been reduced. A five year extension to the contract, subject to mutual agreement, has been included.
Max Petroleum (LON: MXP)
The week wouldn’t be complete without an update or two or three of some sort from dear old Max. The oil and gas exploration and production company focused on Kazakhstan, released an operations update for the Sagiz West, Eskene North and Baichonas West fields. To read it in full CLICK HERE MXP also said that it has entered into a memorandum of understanding with Halliburton Kazakhstan LLP a subsidiary of Halliburton Energy Services, whereby Halliburton will provide integrated project management services for the drilling and completion of the Company’s pre-salt NUR-1 well in its Blocks A&E Licence area as well as commencing drilling the SAGW-5 appraisal well in the Sagiz West Field on Block E using the Zhanros ZJ-30 rig. The well will be drilled to a total vertical depth of 1,400 metres, targeting Triassic reservoirs.
Ophir Energy (LON: OPH)
Busy week for OPH on the RNS front. Interim Results for the six months ended 30 June 2013 were released this week. In summary. In the first half of the year the Group added over 3 TCF of gross recoverable resource to its core position in Tanzania over Blocks 1, 3 and 4 whilst derisking the commerciality of those assets with strong flow tests on the Jodari and Mzia discoveries. The ability to execute and deliver the planned exploration programme over the next 18 months was enhanced by the Placing and Rights Issue completed in March 2013 which raised US$837.6million (£553.4 million) and the extension to the drilling contract for the Deepsea Metro I drillship. Three new directors have been added to the Board, deepening the oil and gas industry expertise the Group can draw on. Also Mrs Vivien Gibney has been appointed as a non-executive director of Ophir Energy effective immediately. Vivien has 25 years’ experience as counsel in the upstream oil and gas industry, including roles with Mobil Oil and Enterprise Oil plc
Petrel Resources (LON: PET)
Has agreed to acquire a 20% shareholding in Amira Hydrocarbons Wasit B.V. which is the holder of a 25% carried interest in certain oil and gas exploration and production licences in the Wasit Province of Iraq. Arman Kayablian, COO of Amira Industries N.V., will join the board of Petrel as a non-executive director. David Horgan, Managing Director of Petrel, commented: “We are delighted to announce the expansion and diversification of our exploration portfolio with this acquisition. Petrel has a long-standing interest in Iraq. Following the recent farm out of our Irish acreage, the acquisition refocuses our efforts on one of the world’s premier hydrocarbon basins. The addition of Amira’s assets to our portfolio and the joint venture with the Kayablian family provides our shareholders with greater exposure to the world class hydrocarbon potential in Iraq. We are delighted to welcome Arman to the board and we look forward to working with him.”
Range Resources (LON: RRL)
Noted the recent weakness in the Company’s share price and said that it is not aware of any particular event that would account for this share price weakness. This is a bit rich in my opinion. I suggest Failure in Georgia, Somalia/Puntland and the tie up with Frank Timms’s International Petroleum to name but three “particular events”
Ruspetro (LON: RPO)
The independent oil & gas development and production company, with operations in the Khanty-Mansiysk region of the West Siberian basin, announces yesterday that, following the previously announced Board changes, its committees are currently composed as follows: Audit Committee: Robert Jenkins (Chairman), Jim McBurney, John Conlin.
Remuneration Committee: Rolf Stomberg (Chairman), John Conlin, Frank Monstrey. Nomination Committee: Alexander Chistyakov (Chairman), Jim McBurney, Rolf Stomberg
Alexander Chistyakov, Chairman, commented: “I would like to thank our former directors for their contribution to these committees. With the work of these committees, the Company continues to comply with the requirements of the UK Corporate Governance Code.”
Tethys Petroleum (LON: TRL)
Announced its second quarter 2013 financial results. The Company reports financial results in accordance with International Financial Reporting Standards (“IFRS”). However the report is much too long winded for inclusion in the BMD Smallcap Oil & Gas round up. CLICK HERE to read it!
Tomco Energy (LON: TOM)
Jumped on their rising bandwagon with a rather cheeky RNS this week. The Company noted the strong performance of its shares in recent days and, for the avoidance of any doubt, confirms that it has no imminent corporate announcements. However, TomCo is aware that the Utah Division of Water Quality is soliciting comments prior to 27 September 2013 on its request to issue a ground water discharge permit to Red Leaf Resources Inc. For further information, please visit http://www.waterquality.utah.gov/PublicNotices/docs/2013/redleaf/.
Wessex Exploration (LON: WSX)
Announces that GM-ES-5, the final well of the current four well drilling programme in the Guyane Maritime Permit (offshore French Guiana) has been spudded by Shell as Operator on 10 August 2013.