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Proactive weekly oil highlights: Rose Petroleum, 88 Energy, Echo Energy…

Published: 04:30 23 Jun 2018 EDT

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Rose Petroleum PLC (LON:ROSE) revealed the details of a new competent persons report assessing its Paradox basin acreage, in Utah, United States.

The new report, which is informed by recently acquired 3D seismic data, presents resources estimates for a 17,250 acre area (of a total 80,000 net acres in the Rose portfolio) and it solely features a single reservoir the Cane Creek reservoir, which is one of multiple prospective reservoirs in the play.

It sees some 15.6mln barrels of gross 2C contingent resource and 31.23bn cubic feet of gas, which equates to 9.25mln barrels and 18.5bn cubic feet net to Rose. Those net resources were valued in the CPR at US$122.4mln (discounted net present value) pre-tax.

Echo Energy Plc (LON:ECHO) told investors that “significant hydrocarbons” have been identified in the EMS-1001 through the interpretation of well data.

Specifically, the Argentina-focused exploration company, in a statement, said that a “significant light oil column” was encountered in its third well of a four well programme.

EMS-1001 is located within the Fraccíon C licence, it was drilled down to 2,460 metres and it cut through the Upper Jurassic Tobifera formation in which significant gas and hydrocarbon shows were recorded.

SDX Energy Inc (LON:SDX, CVE:SDX) has announced a new gas discovery, in the SD-4X well at the South Disouq Concession, in Egypt.

The well was drilled down to a depth of 7,806 feet and it encountered 89 feet of net conventional natural gas pay in the Abu Madi horizon.

Significantly, SDX said the well was “on prognosis” and that the reservoir section had a similar quality but was thicker than the original SD-1X discovery well.

The wait continues for definitive results from 88 Energy Ltd’s (LON:88E) Icewine-2 well in Alaska.

The company continues to recover fluids injected previously through fracking and a hydrocarbon flow has yet to be measured (other than gases associated with the process).

Victoria Oil & Gas plc (LON:VOG) chairman Kevin Foo told investors that he believes the Cameroon gas company will grow stronger and create a more diverse product base, despite the grid power supply issue it is currently facing.

The company, which produces and supplies gas in the Duala region, is presently working through a period of lower volumes after a supply deal with a key customer lapsed without renewal.

It is expected to significantly impact the 2018 financial performance - albeit this has been understood by investors for some time.

Solo Oil PLC’s (LON:SOLO) part-owned Tanzania specialist gas business Helium One has raised US$2mln in a pre-IPO funding round.

The capital injection was supported by investors from Australia, Asia and Africa.

Following the equity issue the AIM quoted firm will retain a 13.8% interest in Helium One, and, the funding round sets a valuation of £2.84mln for Solo’s stake (compared to a March 2017 acquisition cost of £2.55mln).

Ireland-focused explorer Lansdowne Oil & Gas Plc (LON:LOGP)  chairman Lord Tim Torrington told investors that it is refreshing to see a return to drilling activity on the horizon at the Barryroe project.

As the AIM-quoted group releases financial results, for the year ended 31 December 2017, Barryroe is the main subject of conversation thanks to the farm-out deal struck during the current period, March 2018.

Lansdowne said it expects the farm-out deal with a Chinese consortium to close during the third quarter of 2018.

Australian Strategic Materials signs US$600 million LoI

Rowena Smith, CEO and managing director of Australian Strategic Materials Ltd (ASX:ASM, OTC:ASMMF), joins Jonathan Jackson in the Proactive studio to discuss the company’ s Dubbo Project, in Central West New South Wales. This project aims to extract and process critical minerals and rare earth...

5 hours, 23 minutes ago