It seems that despite the occasional up day like today most are down, except the shipping market which is like Christmas Day at the moment. Today i look at iog with a very decent plan for the project, Premier which like others is struggling, Reabold with cheap production in California, Tower an up to date CPR, President with prices in Argentina might be sticking, VOG with new CEO Roy Kelly, Pharos looking ok but Egypt might take the brunt and a success for SDX. And BPC who have delayed their well...
Oil down again as Covid-19 seems to be a very random visitor. Reabold has issued an upbeat statement about its US operations which are doing very well whilst the highly experienced Graham Lyon joins Sound as Exec Chairman. I attended the Jadestone Capital Markets event yesterday and was most impressed as I thought I would be, full of quality. And Egdon Resources confirm that they have hit the guidance with production of 178 b/d.
It's Bucket List time and the February update is out today, cue trauma.....
Touchstone raises £9m, Reabold/UJO slightly behind at West Newton, Falcon has more success in the NT and BPC take on £8m more debt.
The headlines are obviously of the US taking out Qassem Soleimani thereby reigniting tensions in the Gulf and surrounding areas. Companies catching up on news include Echo who are perforating and stimulating at Tapi Aike and have spudded at CLix-1001. Genel have another excellent producer at TT-34 and are unlikely to be affected by current problems in the Middle East. NU-Oil has made a modest raise, much to come from that company this year whilst it is now positioning itself for the inevitable deal. Reabold have found oil and gas at West Brentwood and Eco (Atlantic) has light oil to the North and the South.
Oil recovered yesterday after initially falling on an API report that showed a build in stocks, the subsequent EIA report showed a draw of 1.1m barrels and oil recovered to be roughly even on the day. Echo has announced that its rig is on the move and should be ready to drill the CLix-1001 well by the end of December. DGO has announced a new NED as well as announcing that the 2Q divvi will be paid on 20th December and a sterling equivalent of 2.65p a share. PetroTal has also appointed two new NED's after recently the Chairman of the Board moved to the non board position of CFO. And Touchstone announce that the Coho-1 well has produced well making it a red letter month for the company.
Oil remains quiet after the Opec meeting probably for a little while or until trade talks falter... Eco Atlantic and JV partners are submitting the next exploration phase to the Government of Guyana but is overshadowed by Tullow's second profit warning yesterday. Ironically their acreage in Guyana is now probably the best in the portfolio and the company is bereft of CEO, Exploration director and of course dividends. DGO has announced a 3.5 cent dividend for the 3rd Q and Falcon are progressing well in the Beetaloo. Gulf Keystone has announced production numbers and the 55/- b/d has been slightly postponed but apart from that the outlook is good. Finally Reabold has commenced drilling at West Brentwood in California.
Happy Thanksgiving and whilst today and Black Friday means very little trading in oil markets until Monday it is a time of the year fraught with risk especially with the Opec+ meeting next week. I welcome Longboat Energy to the market with its former Faroe management and talk about Jadestone, also with a very high quality team. With Bahamas Petroleum preparing for 2020 drilling they are starting the necessary steps for local investors and the environmental needs.
The oil market is quite tight and President Putin has helped the Opec + cause ahead of the December 5 meeting. Coro and Empyrean have announced a highly successful appraisal of the Mako field although the deeper prospect wasnt deliverable. Reabold has invested in Corallian and Danube keeping their pro rata holdings.
Oil rose slightly again on Friday after dreams of a trade deal but no sign of anything yet. Today Genel announce that their farm-out onshore Somaliland is underway after buying in the 25% balance from East Africa Resource Group. Reabold and Union Jack announce that operator Rathlin have upped their numbers quite substantially and confirm that the discovery is primarily oil which should when the CPR comes out deliver significant value.