Oil is drifting and was around even on the week. Zephyr Energy has announced a raise of £2.25m which is more than enough to cover their costs of the dual use well in the Paradox Basin. I link to a Podcast with Total Market Solutions as part 1 of 2.
Oil rallied yesterday as Chinese oil imports rose m/m and y/y quite substantially. Union Jack has bought a large chunk of North Kelsey from operator Egdon who now both have a 50% stake. President has spudded the EVN-1 well at Estancia Vieja whilst its workover rig is prepping LB-1001 for testing and production. Touchstone has hit paydirt at the Chinook well making 3/3 significant gas finds. Finally the mess that is GMS and Seafox is coming to a head, quite what these shenanigans are supposed to gain for shareholders is not clear.
In a packed programme tonight...the oil price which ended last week on a downer is up nearly $2.50 as I write. DGO has signed up with Oaktree Capital Management in an interesting co-funding deal. IOG has walked away from a potential bid for Deltic, not the first to do so recently and Chariot seem to have found a top quality country manager for Morocco. Union Jack and Reabold have spudded at West Newton and Predator has updated on operations and added detail on Trinidad. Finally what might be the deal of the year, Zephyr has announced good news from the Paradox in Utah.
Oil has bounced, after the JMMC yesterday the meeting warned on member adherence but more significantly the KSA has said it will take on the 'gamblers' in the oil market, if necessary holding an extraordinary meeting to keep the market tight. Union Jack Oil raised £7m in a significantly oversubscribed placing and subscription yesterday which keeps them well funded for a very long time.
Oil continues to drift tracing the rise in virus numbers worldwide, Tropical Storm Sally is about to become a Cat 2 hurricane as it approaches Louisiana. Union Jack Oil has interims and has been working hard to get its three key developments drill ready and is looking for 'significant progress'.
Oil stays high as Hurricane Laura approaches the Texas coastline. Union Jack and Egdon have received proceeds from Humber and Pharos has announced interims and extended prospects in Vietnam. President has much going for it in 2H 2020 with a drilling campaign and are back in talks with NOC re Paraguay.
Oil remains very quiet, a modest warning from the Opec meeting to keep production under control. The West Newton partners announce that the operator has submitted screening requests for two new potential hydrocarbon well sites with substantial potential. And Premier has put together an imaginative and bold refinancing offer in order to finally see the end to the debt pile it has been labouring under.
Oil continued to rise slowly yesterday, now still at peaks last seen on March 6th. Opec's technical committee meet today ahead of the JMMC tomorrow with compliance at 97%. PetroTal report 2Q financial and operational results, during the quarter the 6H well came onstream on time and under budget. The quarter is self explanatory and the recent shut-in of the Bretana field looks likely to be over soon. Rathlin Energy as operator have updated on ops at West Newton where it looks like at long last the drilling operations are imminent.
The oil price is unchanged today so remains at highly satisfactory levels above $40. A highly optimistic announcement from the West Newton operator Rathlin shows just how exciting this might be and that the preparations are well underway for a campaign with what I consider to be significant upside for UJO and RBD.
Oil remains range-bound which is no bad thing right now. San Leon has announced a cracker of a deal which has triple benefits and shareholders should like. IOG update again, this time on the award of the Phase 1 platform contract to HSM Offshore. Sound topped up their recent raise with £725,000 from the broker option. Union Jack Oil announce that Egdon have updated at Wressle and that the UJO acquisition of a further 12.5% of PEDL 180 and 182 has been approved by the OGA.