Tag: Range Resources

3 Bulletin Board Zeros!

Bulletin Board Zeros!

It really is time that we here at Guerillainvesting took the mantle up and COMMENTED on some of the so-called “Bulletin Board Heroes” for exactly what they are. At best life -style company’s run for the benefit of their Board at worst out and out frauds using the London Stock Exchange as a mechanism for Corporate self aggrandisement. Of course not all are fakirs or frauds some are just badly run company’s while others have failed through poor management decisions or been subject to the vagaries of the market in which they operate. I hear an awful lot about the “China frauds” but there’s another class of dodgy geezers operating out of Perth Western Australia. The “Aussie Lurkers. What’s a Lurk? Google it!

So today we release our very own “Bulletin Board Zeros” slot. Let’s take a look at three closely linked Bulletin Board Zeros. First up; Kea Petroleum (LON: KEA)

Compare what they are telling the market to what Mosman are telling us. Two companies operating in the same basin using the same drilling company and involved with MEO. Kea stated in yesterdays RNS, “Kea has been working hard to resolve mechanical problems with the Puka-1 well, while continuing to produce from Puka-2. Unfortunately the problem cannot be resolved with the equipment currently. An alternative longer term plan is under consideration however given the current oil pricing environment, the Board has decided that the site is shut in until the economics of continued site operations improve.” So the economics of the oil price crash for Kea mean that it’s a busted flush.

By the way you’ll notice that Keas’ interests are in three petroleum exploration permits in the Taranaki Basin of New Zealand. Does that ring a bell? Kea’s joint venture partner, is MEO. Does that ring a bell? Keas’ share-price has tanked and tanked and tanked. It tanked way before consolidation and dilutions and has tanked post consolidation and dilution. Remember this is the company that were briefing the market post the plugged & abandonment RNS of the 18 August 2014 that the share price collapse was a “Massive overreaction” No credibility whatsoever. Maybe the Board should suspend or shut in their bloated remuneration, perks and expense accounts? Stay well away from them. A Bulletin Board Zero.

Mosman Oil & Gas (LON: MSMN) Investors will recall the great hullabaloo and Mosmans’ continual screams of “Discovery! Discovery! Discovery!” back in the summer of 2014, which catapulted their SP into the stratosphere. Of course while the sp rocketed the Company raised millions in cash while ‘some’ pocketed millions in share options that were sold at a massive premium. I along with others began to immediately smell a rat here. All was not what they were “Screaming”. Mosman continually failed to clarify any of the data on what now turns out to be basically a ‘Phantom Discovery’. We all recall this line from the June 2014 RNS on the ‘Discovery’ “Company has been advised by its technical and legal advisors that in accordance with the New Zealand legislation the data from work completed to date meets the definition of a Discovery and the regulations require this to be reported to New Zealand Petroleum & Minerals” They then went on spinning this story out over the months. When a Resource company strikes oil, they get the data on size of discovery & flow rates, (IP’s) out there as soon as possible. At most a few days or so. When a company prevaricate for months upon months they are basically with-holding poor data.

Use yesterdays MSMN RNS as a pointer as to how this POS runs. The RNS is basically saying that their Phantom Discovery’s, which have (after 7 months) never produced any oil, will not be effected by the oil price crash, indeed it’s beneficial to Mosman because it provides “Opportunities”. So the economics of the oil price crash here is a bountiful opportunity! Tell that to all the poor saps who bought in on the hyped up bullshit on the so called Discovery’s in guess where? Taranaki Basin New Zealand. Does that ring a bell? Drilled by Drill Force does that ring a bell? Mosman are in negotiations to takeover? MEO. Does that ring a bell? Stay well away from this Australian POS. A Bulletin Board Zero.

I couldn’t let the opportunity pass by without mentioning that other classic Australian POS Range Resources (LON; RRL). Currently suspended. What have Range got to do with the above two? Promised much , prevaricated on drills that were dusters and bullshitted on their assets. Apart from the fact that they’re an Aussie outfit. Take a tip from a wise old bird. Stay well away from these three Bulletin Board Zeros!

Viva!

Dan

23 January, 2015
Range Resources. The Abraham letter they tried to ban!

This is a copy of the letter from Abraham Limited Range Resources Major share-holder, explaining why they voted out the Rory ‘stories’ Scott Russell #storyteller and his band of merry men! Apparently the Range Resources Nomark, oops sorry.. Nomad stopped the female representative from Abraham reading it out!

AN OPEN LETTER TO ALL THE SHAREHOLDERS

Ladies and Gentlemen,

Good morning!

Today, at the Annual General Meeting, Abraham limited, as the largest shareholder, have voted “against” to the re-election of most directors.

Based on full trust in the board, the management and the promising development prospects of Trinidad blocks, we subscribed the shares of Range. We hoped our investment would relieve the financial distress of Range and attract more funds to be invested in Range, so that the company could achieve the expected production in Trinidad and improve the operating status.

Unfortunately, the board and the management disappointed us. They failed to fulfill our expectations, and the company’s operating situation has not changed substantially. As a result, the company’s stock price continued to fall which caused serious damage to the interest of shareholders. Abraham Limited, same as other shareholders, not only has the feeling of suffering, but hopes to work corporately with other investors to make our efforts to the development of Range and make our sincere suggestions and advices well heeded.

We are very grateful to the efforts made by the management of the company, but we believe that the existing management is not sufficient in the near future to achieve the strategic goal. Firstly, because of inefficiency, no progress was made in the incremental production plan in Trinidad. The company declared an incremental production plan for the blocks in Trinidad in May 2014. However, as of today, we haven’t seen any substantial progress and significant increase in oil and gas production. Thus, the long-term interest of shareholders cannot be guaranteed; Secondly, the general and administration and finance costs are too high, the company’s operation has gone into a further deterioration.

In 2014 fiscal year, the total general and administration expenses and finance costs are over USD 36 million, with an increase of 18.85 million compared with last year. On this occasion, the board still requires to increase the remuneration. Furthermore, there was no improvement on the financing although the management keep complaining the lack of investment in drilling rigs. Apart from some high-cost bridging loan, they were not able to introduce a large amount of high quality funds to improve the company’s financial status. If we turn a blind eye to this situation, it will be difficult for the company to realize profit, the interests of shareholders will suffer further damage.

For the above reasons, we rejected the re-election of most directors, only David Noel Riekie and Ian Peter Olson remained. We believe that our decision and new management will lead the company to achieve sustainable development. The international crude oil price is declining, in the next two years, Range may face severer test of market competition. We will try our best to adapt the operating strategy to the changed internal environment, external market conditions and reduce the management cost. The goal is to make a profit and maximize the benefits of the whole shareholders.

Introducing professional management and bringing the company back on track. We will keep focusing on the core business, oil and gas exploration, production and sales. To keep the business and management on track, we will introduce international management with rich experience both in oil and gas development and corporate governance.

Optimizing capital structure and lowering the financial cost. We have the faith that we are able to introduce qualified investors to help the company to optimize the capital structure, replenish the working capital and reduce the finance costs.

Carrying out the incremental production plans and making a profit. I do believe that we have the ability to assistant Range to conduct the incremental production plans, and increase the working efficiency by technical methods to increase production in a short time and achieve our expectation.

Merging new projects and seeking new growth opportunities. We will take the advantage of the downtrend of oil price and look for suitable oil and gas resources on a global scale, so that we could mitigate the risk of operating single oil field and guarantee the long-term growth of the company.

As the largest shareholder of company, we sincerely wish the management will be changed smoothly and help the company get on the track of sound progress as you do. Furthermore, we do hope that we could picture the future with you all, and I also ask for your support and concerning so that we could witness the rebirth of Range together.

Again, thank you for the efforts of all the directors and the management team, and thank you for the support and trust of all the shareholders.

Dated：28 November 2014

Abraham Limited

Explains an awful lot!

Viva!

Dan

29 November, 2014
The Smallcap Oil & Gas round up.
Very quiet week in the Smallcap Oil Underverse.

Afren Energy (LON: AFR)
More bad news from Afren this week. The Board has temporarily suspended Iain Wright and Galib Virani, both Associate Directors of the Company. This is in addition to the 31 July 2014 suspension of the CEO, Osman Shahenshah, and the COO, Shahid Ullah, pending investigation in relation to the receipt of unauthorised payments potentially for the benefit of the CEO and COO. No conclusive findings have yet been reached and the investigation is ongoing. The investigation has not found any evidence that any Board members, other than Osman Shahenshah and Shahid Ullah, were involved.

Amerisur Resources (LON: AMER)
Updated on Platanillo-18 in the Platanillo Field, Colombia, the 14th new well of the current drilling campaign, in addition to three successful sidetracks.
The well has been successfully drilled to a total depth of 9,511ft MD. The reservoir section was logged and log analysis indicated the presence of 20ft gross, 7ft net oil column in the U sand formation and the presence of 13ft gross, 12ft net oil column in the N sand formation. AMER tested the N sand. A total of 5ft of the 12ft net oil pay was perforated and flowed 340 BOPD of 18.0 API oil on test.The Company subsequently completed the well for commercial production from the U sand. A total of 5ft of the 7ft net oil pay was perforated and flowed 530 BOPD of 29.7 API oil on test. The well has now been placed on commercial production at approximately 360 BOPD. Current field production remains constrained in the range 7,000 to 7,500 BOPD. The Colombia and Ecuador bi-national agreement has been ratified and provides for the movement of oil and gas between those countries under favourable terms. Ecuadorian documentation has been submitted and formal approval is expected soon. In the meantime the Colombian environmental license process is underway. All indications are that the transfer line will be in operation by the end of the year.

Bowleven (LON: BLVN)
Said that all parties to the LUKOIL/NewAge Etinde farm-out agreement announced on 24 June 2014 have agreed to an extension to the longstop date. With the majority of conditions to transaction completion now satisfied, the longstop date has been extended by two months, to 31 October 2014, to enable satisfaction of the few remaining conditions. The principal condition still to be met is approval by the Cameroon government of the transfer of the equity interest and operatorship. The approval process by the Cameroon authorities has commenced and the longstop extension provides additional time to enable logistical arrangements to be made for this requisite step in the process.

Cadogan Petroleum (LON CAD)
Released their Half Yearly Report for the Six Months ended 30 June 2014. You can read t by clicking HERE

Caza Oil & Gas (LON: CAZA)
Announce THE result at Gramma Ridge and provided a drilling update at Lennox. Both properties are operated by the Company. Click here to read it.

Chariot Oil & Gas (LON: CHAR)
Update on its Namibian portfolio, its repositioning in the region and forward work programmes across these licences. Click HERE to read it. Also announced today that all conditions of the Placing Agreement relating to the GBP8.8 million Placing of 58,596,038 new ordinary shares in Chariot have been fulfilled and the Placing Shares will be admitted to trading today at 8am.

Circle Oil (LON: COP)
Some good news from COP re’ the El Mediouni-1 well. EMD-1 was spudded on 8 June 2014 and drilled to a TD of 1,200 metres MD in the Upper Ketatna carbonates. The stratigraphy encountered in the well was exactly as prognosed and very good light oil shows were encountered both in the Lower Birsa carbonate primary target and the Upper Ketatna carbonates secondary target over a combined interval of 133 metres. Strong hydrocarbon indications encountered in the Birsa and Ketatna carbonates confirm the existence of a working petroleum system in the Mahdia Permit for this and other prospects. The robustness of the El Mediouni trap has also been proven. The losses incurred within the target formations, as described below, give further confirmation of high quality permeability. The gross oil zone interval in the Lower Birsa is 77 metres and the Upper Ketatna has a minimum interval of 48 metres, subject to confirmation by logs. Using known reservoir and fluid parameters from equivalent formations in the Gulf of Hammamet, the internally estimated most likely recoverable prospective resources discovered by the EMD-1 well are approximately 100 MMBO. The hole conditions in the well deteriorated rapidly and multiple attempts at open hole logging by wireline and tough logging conditions equipment failed. Ultimately the decision was taken to terminate further efforts and suspend the well.

Falcon Oil & Gas (LON: FOG)
Announces that it has filed its results for the three and six months ended 30 June 2014. To read them CLICK HERE

Gulf Keystone petroleum (LON: GKP)
Issued its results for the six months ended 30 June 2014. Click HERE to rad it.

Mosman Oil & Gas (LON: MSMN)
The Australia and New Zealand focussed oil exploration and development company, advises that it has entered into an agreement to acquire the entire issued share capital of OilCo Pty a wholly owned subsidiary of High Peak Royalties Limited (formally Torrens Energy Limited).

Northcote Energy (LON: NCT)
Has completed the acquisition of its interest in the 1,670 gross acre producing Shoats Creek Project in Beauregard Parish, Louisiana, US. Northcote is now the operator of this project, which further strengthens the Company’s portfolio beyond its operations in Oklahoma, where the Company has work ongoing across its properties, with the main focus being on the non-operated Zink Ranch Project.

Ophir Energy (LON: OPHR)
Announced a successful Mzia-3 flow-testin Block1 Tanzania which was completed in November 2013 having successfully encountered gas in the main Lower and Middle sand targets. A Drill Stem Test has now been successfully completed. The well flowed slightly ahead of expectations at an average controlled rate of 90mmcfd for 6 days with peak flow of 101mmcfd, constrained by equipment limits. The Deepsea Metro I drillship will now move to Block 4 to drill the Kamba-1 exploration well which will also target the shallower Pweza North structure. The Tonel North-1 appraisal well has been completed on Block R, Equatorial Guinea. The Tonel North-1 well was drilled approximately 5km north-east of the original Tonel-1 discovery well. The well encountered gas pay combined in the lower target sands but the upper sands appear to be low gas-saturation. Analysis of the well data is ongoing. The result is expected to marginally reduce the discovered volumes in the Tonel field but will not impact the commerciality of the base case 2.5mmtpa FLNG project. The Vantage Titanium Explorer drillship has now moved to complete the Silenus East-1 exploration well which is targeting ca.420bcf of low-risk mean prospective gas resource as a primary target and will be deepened to test a secondary, high-impact but high-risk oil target that on current mapping could be a potentially extensive play across the Block.

Salamander Energy (LON: SMDR)
Announces its half year results for the six months ended 30 June 2014. Click HERE to read them.
29 August, 2014
The Smallcap Oil & Gas round up.

The famous, witty BMD smallcap oil & gas round up!

Back again. Tough to get this written up! Always struggle to get this out on time!

Chariot Oil & Gas (LON: CHAR)
Said this week that its wholly owned subsidiary, Chariot Brasil Petróleo e Gás Ltda, has signed a farm-out agreement with AziLat Limited through its local subsidiary AziBras Exploração de Petróleo e Gás Ltda. Following completion of this agreement, which is subject to the approval of the Brazilian authorities, AziLat will hold a 25% equity interest in Chariot’s BAR-M-292, BAR-M-293, BAR-M-313 and BAR-M-314 blocks in the Barreirinhas Basin, in return for paying 50% of the 3D seismic acquisition and processing costs to be incurred across these blocks. Chariot will remain Operator with a 75% equity interest. CHAR also said that it had raised approxi. £8.8 million from a placing of 58,596,038 new Ordinary Shares at 15p per share. Announced on 22 July 2014 and remains subject to fulfilment of the conditions within the Placing Agreement and admission of the Placing Shares to trading on AIM. It is now expected that the Placing Agreement will become unconditional and Admission will become effective no later than 08.00 on 29 August 2014. Following Admission the Company’s share capital will consist of 260,770,702 Ordinary Shares with a nominal value of 1p.

Falcon Oil & Gas (LON: FOG)
further to its press release of 2 May 2014, its 98% subsidiary, Falcon Oil & Gas Australia has completed its Farm-Out Agreement and Joint Operating Agreement with Origin Energy Resources, a subsidiary of Origin Energy and Sasol Petroleum Australia, a subsidiary of Sasol, each farming into 35% of Falcon’s Exploration Permits in the Beetaloo Basin, Australia. Key transaction details can be read by clicking HERE

Fastnet (LON: FAST)
Copies of the Annual Report for the year ended 31 March 2014 have today been sent to shareholders along with the Notice of Annual General Meeting. Copies are also available from the Company’s website. www.fastnetoilandgas.com

Fortune Oil (LON: FTO)
Has increased its interest in China Gas Holdings through an acquisition of 13,252,000 shares. The shares were acquired from the China Petroleum & Chemical Corporation as part of a share placement. The shares were acquired at a price of HK$14.80, a 5.1% discount to the closing price on the date the acquisition was made on 13 August 2014. Due to logistical constraints on the date the acquisition was made, the Acquired Shares were allotted to First Level Holdings, a substantial shareholder of the Company and private company controlled and beneficially owned by Mr Daniel Chiu, a Director of the Company. The Board has acknowledged an arrangement between the Company and FLH, where FLH will transfer all the allotted shares at cost (i.e. no profit or loss) to the Company, at the earliest convenience. The Company will indemnify FLH against all costs associated with the acquisition, financing and transfer of any Acquired Shares. The transfer is expected to be executed in coming days. The acquisition represents approximately 0.26% of the issued capital of China Gas. Upon transfer from FLH, the Company’s interest in China Gas will be 934,745,463 shares, or approximately 18.62% of total issued shares of 5,021,048,561, per China Gas’ most recent disclosure. This includes 737,374,000 shares already held by China Gas Group, the joint venture company in which the Company has a 50% interest, and 184,119,463 shares already held directly by the Company.

Kea Petroleum (LON: KEA)
Puka-3 well is being plugged and abandoned after reaching a depth of 2,200mMDRT. Ashes to ashes dust to dust!

Leni Gas & Oil (LON: LGO)
More oil. Not long now before lift off. Announces that well GY-668, the fifth of its planned 30 new development wells at the Goudron Field in Trinidad, and the fourth well from this drill pad, has been successfully drilled to a depth 1,946 feet measured depth. Based on independent petrophysical analysis of the electric logging the well intersected 191 feet of net oil pay in the Goudron Sandstones.

Magnolia Petroleum (LON: MAGP)
Released a Reserves Report & Production Update today which sent their shares on a rocket ride. Up 67% at time of writing. MAGP received an independent Reserves Report covering its leases in proven formations such as the Woodford and Mississippi Lime, Oklahoma, and the Bakken and Three Forks Sanish, North
Dakota, as at 1 July 2014. In addition, the Company has received an independent production report which has demonstrated an increase in Magnolia’s net daily production to 257 boepd as at 1 July 2014, up from 150 boepd as at 1 April 2014.

Mosman Oil and Gas (LON: MSMN)
Lodged with the Australian Securities and Investments Commission the Bidder’s Statement in relation to an offer announced by Mosman on 2 July 2014 to acquire all of the issued shares of Trident Energy, an Australian unlisted public company with onshore and offshore oil interests in Australia.
Click HERE for the link to the full Bidder’s Statement:

Nighthawk Energy (LON: HAWK)
Two bits of news this week from the US focused oiler. 1/ An update on production and development plans at its 100% controlled and operated Smoky Hill and Jolly Ranch projects in the Denver-Julesburg Basin, Colorado. Highlights; Average gross oil production from all wells in the calendar month of July 2014 was 2,007 bopd… Blackcomb 12-14 well at Arikaree Creek expected to commence production in August 2014… Cumulative gross oil production from the Arikaree Creek field has exceeded 700,000 barrels… Additional reserves at Arikaree Creek to be developed through horizontal drilling… 3D seismic and multi-well development program planned for Snow King discovery… Drilling rig currently on location at Jackson Hole 1-32 well. (Nighthawk has an average Net Revenue Interest of approximately 81.5% in the gross oil production) 2/ HAWK has secured a credit commitment from the Commonwealth Bank of Australia for a new US$100 million Reserve Based Loan. The RBL has a maturity of four years and an initial borrowing base and availability of US$35m. Nighthawk expects the addition of future reserves and production growth to add to the availability of the RBL. Interest rates will be at a competitive premium to US Libor rates and will enable the Company to substantially reduce its borrowing costs. Yes that’s right borrowing more money reduces your borrowing cost! What crock of shit!

Nostra Terra Oil & Gas (LON: NTOG)
The oil and gas exploration and production company with a growing portfolio of assets in the USA, announced the spudding of the 17th development well in which it has an interest in the Chisholm Trail Prospect, located in Oklahoma. The Wilson 3-8-5H well (CT-17) has spudded and is drilling forward. The well will be drilled to an approximate 11,700 foot measured depth, at a TVD of 6,500 feet, with a 4,200 foot lateral into the Hunton formation. Nostra Terra holds a 2.92% working interest in the well. The Wilson is an increased density offset well to the Jones (CT-8) which has been one of the best performing wells in the play. Both the Wilson and the Jones are operated by Stephens Production Company. Nostra Terra’s Chisholm Trail portfolio has varying size interests in 17 wells, 11 of which are producing with 6 in various stages of development, from permitting to fracking. All but two of the wells are in the prolific Hunton Limestone formation. Nostra Terra will make further announcements as the operations at CT-17 progress. Matt Lofgran, Chief Executive Officer of Nostra Terra commented: “The wells in the Chisholm Trail prospect are starting to reach payout. By participating in a portfolio of low-risk wells with other suitably qualified operators, we are able to both grow our revenue and also dedicate time to new assets where we’ll be the operator.”

Oilex (LON: OEX)
Said this week that Cambay-77H continues to produce light crude oil and gas as the well recovers frac water during clean-up. Cambay-77H crude oil recovered from flow-back operations is currently being transported to a nearby refinery for sale, where it attracts a price similar to Bonny Light Crude. Gas produced concurrently with crude oil during flow-back continues to be flared to ensure safety of all well-site personnel. Samples of the oil, gas and water have been shipped to facilities for analysis. Preliminary analyses of the recovered water have been received and confirm that the water is consistent with frac water and not formation water. Oilex is currently awaiting analysis results for the oil and gas samples.

PetroNeft (LON: PTR)
The oiler operating in the Tomsk Oblast, Russian Federation, is pleased to announce a number of significant actions following the completion of the Licence 61 Farmout to Oil India on 3 July 2014, in particular the re-commencement of drilling operations on Licence 61. All debt due to Macquarie and Arawak has been repaid; PetroNeft is now debt-free. Joint Venture Working Group has been established.. Work Programme and Budget for 2014 and 2015 finalised… Drilling crew mobilised to commence drilling of Tungolskoye No. 5 well within the next week… Second Drilling crew to re-commence production drilling at Arbuzovskoye will be mobilised shortly… The Sibkrayevskoye No. 373 delineation well will follow the Tungolskoye No. 5 well… Seismic acquisition crew mobilised to commence operations for the acquisition of 1,000 km of high resolution 2D seismic in Q1 2015… Following the completion of the Farmout of a 50% interest in Licence 61 to OIL on 3 July 2014 a number of significant activities have taken place.

Roxi Petroleum (LON: RXP)
The Central Asian oil and gas company with a focus on Kazakhstan, updated the market with news of the deep discovery at its flagship BNG asset together with progress at its BNG shallow Well 143 and at Well NK-31 at its Galaz Contract Area. Click HERE to read

Salamander Energy (LON: SMDR)
North Kendang-2 exploration well (“NK-2”) was plugged & abandoned this week as SMDR announced that first oil has been received in the tanks of the newly converted Suksan Salamander Floating Storage and Offtake Vessel at the Bualuang field in the Gulf of Thailand. This is the culmination of the planned upgrade to the field’s facilities which targets a reduction in operating costs of up to $25 million per annum. New power and processing modules were loaded out to the Bravo platform in the first half of the year. These have been operating smoothly since hook up and commissioning in May. The FSO arrived on location in July. Following hook up and commissioning the new FSO is now fully operational. As well as halving the day rate of the production vessel, these upgrades double water handling capacity, increase potential production rates and extend the productive life of the field. The Rubicon Vantage Floating Production, Storage and Offtake vessel will depart the field in the coming weeks. Salamander Chief Executive James Menzies commented: “We have upgraded production infrastructure in the Bualuang field on both time and budget. The new facilities enhance the value of the field, minimise the risk of future downtime and mean we are well positioned for the next phase in the field’s growth.”

San Leon Energy (LON: SLE)
An AIM listed company focused on oil and gas exploration in Europe and North Africa, provided an update this week. You can read it by clicking HERE San also

22 August, 2014
The Smallcap Oil & Gas Round up.

Lot of angst among UK Retail Investors this week over placings.

When will these CEO’s learn to manage these highly dilutive events with integrity? Sneaking around the City of London with their finger against their lips saying sssshhh! Isn’t the way to behave. Take note David Lenigas!

UKOG shot themselves in the foot this week!

Caza Oil & Gas (LON: CAZA)
Talk about over egging the pudding! Caza is pleased to announce another excellent result for the second 3rd Bone Spring well drilled on its West Copperline Property, and to provide an update on drilling activities at Gramma Ridge and Broadcaster properties, all of which are located in Lea County, New Mexico. Click here to read the full RNS

Chariot Oil & Gas (LON: CHAR)
The Atlantic margins focused oil and gas exploration company, is pleased to announce that, following the launch of a proposed placing on 21 July 2014, it has successfully placed 58,596,038 new Ordinary Shares at a price of 15 pence per share to raise gross proceeds of US$15 million (approx. £8.8 million). The Placing Proceeds will be (Pissed away again!) used to further the Company’s 2014/15 portfolio development activities, facilitate the acceleration and completion of its 3D seismic work commitment in Brazil and add an additional new venture opportunity in a current country of operation to increase option value and sustain the growth potential of its portfolio.

Egdon Resources (LON: EDR)
Has commenced drilling operations at the Wressle-1 conventional oil exploration well in Lincolnshire Licence PEDL180 located to the East of Scunthorpe. Drilling operations are expected to take around 38 days. The planned well will be drilled as a deviated well to a total depth of about 2,300 metres (ca. 1,850 metres TVDSS). It has been designed to intersect a number of prospective Upper Carboniferous age sandstone reservoirs in a structurally favourable position near the crest of the Wressle structure. The Prospect is located on trend with the producing Crosby Warren oil field and the Broughton-B1 oil discovery, both to the immediate northwest, and the Brigg-1 oil discovery to the immediate southeast. All contain oil in various different sandstone reservoirs within the Upper Carboniferous succession. The gross mean Prospective Resources at Wressle, as calculated by Egdon, are estimated to be 2.1 million barrels of oil. The interests in PEDL180 and the Wressle-1 well are: Egdon Resources 25.00% (Operator). Celtique Energie Petroleum 33.33% Europa Oil & Gas (LON: EOG)33.34%. Union Jack Oil (LON: UJO) 8.33%

Empryrean Energy (LON: EME)
If any one ever wanted to learn about some of the various ways underhanded Boards grant themselves massive options that make them millionaires then you only have to CLICK HERE!

Faroe Petroleum (LON: FPM)
Announces that production has recommenced at the Njord and Hyme fields (Faroe 7.5%) in the Norwegian Sea.

Frontier Resources (LON: FRI)
Released an operational update on its activities in Namibia, this week. Frontier’s Blocks 1717 and 1817, located in the Owambo Basin in northern Namibia, cover an area of approx. 18,933 square kilometres. Frontier are operator with a 90% working interest while NAMCOR, the Namibian National Oil Company, has a 10% carried interest in the licence. The Company recently retained the services of Earthfield Technology of Houston, Texas to undertake a study to evaluate the depth to magnetic basement of aeromagnetic data purchased from the Geological Survey of Namibia. As part of the study Werner Deconvolution depth profiles were generated every 2 kilometres across the Blocks. Werner Deconvolution is an automated function for determining the depth to magnetic rocks in the subsurface, including the basement, from carefully processed magnetic data.Mapping of the depth to basement solutions shows a deep basin with sediment thickness up to 10 kilometres (~33,000 feet) in the central and northern part of the licence area, and shallow basement overprinted with near surface volcanic intrusives in the southern part of the license area. Interpretation of the data has revealed several deep seated basement structures. The mapped positions of these structures will serve as a guide to optimally locate the focus areas of the continuing exploration program which will include an additional geochemical soil gas survey to be integrated with the encouraging results of the 2013 survey, followed by the acquisition of 2D seismic data.

Ithaca Energy (LON: IAE)
The Tullow Oil Norge AS Tullow operated exploration well 31/10-1 on the “Lupus” prospect in licence PL507 in the Norwegian North Sea did not encounter hydrocarbons. Just say it! ‘Plugged & Abandoned’

Jubilant Energy (LON: JUB)
Announced an upward revision in its Reserves, Contingent Resources and Prospective Resources for the Kharsang Field in Arunachal Pradesh. The Reserves and Resources Estimation for the Kharsang Field, prepared by Gaffney Cline & Associates (“GCA”) in June 2014, gives the update as of 30 September 2013. Click here to read it.

Kea Petroleum (LON: KEA)
Commenced drilling of the Puka-3 well using the Drill Force Rig 6. Puka-3 is targeting Mt Messenger formation sands at about 1,580m True Vertical Depth which have been interpreted from the recent 50 square km 3D seismic reflection survey carried out in the south western part of PEP 51153. The drilling of Puka-3, from the same well pad as the producing Puka-1 and Puka-2 wells, is the major component of Phase 1 of the farm-out agreement with MEO New Zealand Pty Limited.

Leni Gas & Oil (LON: LGO)
Well GY-667, the 4TH of its planned 30 new development wells at the Goudron Field in Trinidad, and the third well from this drill pad, has intersected 187 feet of net oil pay in the Goudron sandstones based on analysis of the electric logging. The well has now been cased to a depth 1,905 feet in order to isolate the Goudron Sandstone and the high pressure Upper Gros Morne gas intervals and is now drilling ahead to the primary Gros Morne Sandstone oil target which is expected at approximately 2,180 feet true-vertical depth. Well GY-667 has a planned total depth of 3,600 feet TVD which is equivalent to 3,840 feet measured depth at a bottom-hole location that is approximately 590 feet south east of the surface location. The well will also investigate the presence of reservoir potential of the Lower Cruse at this location. Once TD is reached the well will be logged and cased ready for completion as a production well. The fourth well from the current pad, GY-668, will be drilled immediately following the end of drilling operations on GY-667. Further information will be provided once the well has reached TD. Looking very good for a massive spike on production data from not 1 but 4 wells!

Maple Energy (LON: MPLE)
Has received an approach which may or may not lead to a cash offer to acquire the entire issued and to be issued share capital of the Company. Shareholders should note that the approach is highly conditional and preliminary in nature. Accordingly, no assurances can be given that a formal offer will be forthcoming or that any transaction will occur. Further announcements will be made as appropriate.

Max Petroleum (LON: MXP)
Announces that it is launching a review of strategic options open to the Company with the intention of maximising value for shareholders. (It’s firesale! Max are in debt up to their eyeballs and are more than likely to go bust!) The review of strategic options may include a corporate transaction such as a merger with, acquisition of or subscription for the Company’s securities by a third party, a sale of the business or a farm down or disposal of assets. Discussions in relation to a merger with a third party or a sale of the Company will take place within the context of a “formal sale process” in accordance with Note 2 on Rule 2.6 of the City Code on Takeovers and Mergers, such that the Board of Max Petroleum is able to have discussions with third parties interested in such a transaction on a confidential basis.

Northern Petroleum (LON: NOP)
The firesale has started at cash strapped NOP. They’ve signed a sale and purchase agreements to sell the Company’s interests in all of its UK licences and assets for £1.5 million to UK Oil & Gas (LON: UKOG). Completion of the sale is subject to the approval of UKOG becoming an operator for certain licences by the DECC and the completion of an intra group transfer of certain asset interests within Northern Petroleum on or before 31st October 2014. The UK assets and licences comprise the 10 & 5 five per cent minority interests in the Horndean and Avington producing fields respectively, 50% interests in the Markwells Wood and Baxters Copse discoveries, and a 65% interest in a licence offshore the Isle of Wight. Net production to the Company during 2013 averaged approximately 20 barrels of oil per day and contributed €591,000 of revenue and €345,000 of gross profit to the Company for the 12 months ended 31 December 2013. The book value of the UK assets in the consolidated accounts for the Group as at 31 December 2013 was €300,000 and stated proven and probable reserves were 60,000 barrels of oil. The consideration from the sale will be reinvested in Northern Petroleum’s production and redevelopment project in north west Alberta, Canada.

Oilex (LON: OEX)
Announced that following successful mill-out operations the Cambay-77H well has commenced controlled flow-back of frac fluids with light oil/condensate being recovered to surface and separated for sale along with associated reservoir gas. Gas associated with the well flow-back is currently being flared to ensure safety of all well-site personnel. After carefully monitoring well flow-back operations under controlled conditions Cambay-77H continues to exhibit characteristics of a high performance multistage frac’d horizontal well. The well is currently cleaning up and Oilex will advise the market of a stabilized flow rate via a production test once frac fluid return and clean-up operations have been completed. The recovery of ~API 50 light crude during flow-back operations has been particularly encouraging indicating higher than expected liquid hydrocarbon production. Measuring these liquids will provide valuable information regarding the quality of the 8 fracture stimulations and the deliverability of the reservoir.

Rose Petroleum (LON: ROSE)
Director Richard Needham sold (flogged) 1,900,000 ordinary shares of 0.1 pence each in the Company at a price of 3.92 pence per Ordinary Share as part of restructuring his SIPP to allow a drawdown. (Pull the other one it’s got bells on!) Following this transaction, Richard Needham holds 2,096,666 Ordinary Shares in the Company representing 0.16% of the current issued share capital of the Company.

Sirius Petroleum (LON: SRSP)
Has conditionally raised gross proceeds of up to US$20,000,000 by way of a placing and a subscription. Conditional Placing of 63,530,215 Ordinary Shares and Subscription of up to 326,333,333 new Ordinary Shares, being an aggregate of up to 389,863,548 new Ordinary Shares at 3 pence per share to raise up to £11,695,906 (approx. US$20,000,000) before expenses.

Sound Oil (LON: SOU)
The Mediterranean focused upstream oil and gas company, announces the issue of shares in respect of the final equity tranche of the £14 million institutional funding first announced by the Company on 25 April 2014. The Company has issued a total of 64,287,500 new ordinary shares in the Company to Metano Capital S.A. The issue of the New Ordinary Shares represents the final of two tranches of the £7 million equity issue associated with the institutional funding. The remaining debt tranche, totaling a further £5.5 million, is expected to complete shortly. Application has been made for the 64,287,500 New Ordinary Shares to be admitted to trading on AIM and it is expected that dealings will commence on 28 July 2014. Following the issue of the New Ordinary Shares, the Company will have 415,300,815 ordinary shares in issue. As a result of the issue of the New Ordinary Shares, Metano Capital S.A., a wholly-owned subsidiary of Continental Investment Partners S.A., is now interested in 64,287,500 share or 15.48%. of the Company’s issued share capital. Marco Fumagalli, a director of the Company, is Managing Partner of, and a 25% shareholder in, Continental Investment Partners S.A. (Looking good here for some form of M+A in the not too distant future)

United Kingdom Oil & Gas (LON: UKOG)
Raised GBP2,000,000 before expenses by way of a Company arranged placing of 200,000,000 new ordinary shares of 0.01p each in the Company at a placing price of 1 pence per Placing Share to institutional and other investors. The proceeds of the Placing will be used to make further investments in accordance with the Company’s investing policy and provide further working capital. As announced yesterday, UKOG has conditionally agreed to acquire Northern Petroleum’s UK production and exploration oil and gas interests for a total consideration of GBP1.5 million. Following completion of the Placing the Company will no longer elect to issue the Consideration Shares but will satisfy the consideration wholly in cash. The Company will therefore have 1,293,230,175 Ordinary Shares in issue with voting rights and admitted to trading on AIM. This figure may be used by shareholders in the Company as the denominator for the calculation by which they will determine if they are required to notify their interest in, or a change to their interest in, the share capital of the Company under the Financial Service Authority’s Disclosure and Transparency Rules. David Lenigas, the Company’s Chairman commented: “The Placing significantly enhances the Company’s balance sheet and enables the Company to continue to pursue further investments in the conventional onshore and offshore oil and gas in the UK.”

Urals Energy (LON: UEN)
On 21 July 2014 the Moscow arbitration court dismissed the claim of UEN Cyprus Limited in respect of a case to recover the sum of US$41,652,000 from Urals Energy on jurisdictional grounds. The Claim was dismissed on jurisdictional grounds, it being between two Cypriot companies, the Board anticipates that it is likely that an appeal will be made and also that a new claim will be launched in Cyprus. Urals Energy reiterates that it does not believe that the copy of a purported debt repayment agreement received by the Company to be a genuine document, and therefore does not accept that the Company could be bound by its terms. The Board will continue to pursue all appropriate actions necessary to defend the Company, including possible legal action in all applicable jurisdictions. Further announcements on this on-going process will be made when appropriate.

26 July, 2014
The Smallcap Oil & Gas round up.

The famous, BMD smallcap oil & gas round up!

Amerisur Resources (LON: AMER)
The oil and gas producer and explorer focused on South America, is pleased to announce an update on operations in Colombia and Paraguay. CLICK HERE

Aminex (LON: AEX)
Has signed a sale and purchase agreement for the sale of Aminex USA Inc. to Northcote Energy an AIM listed oil and gas company, and Springer Oil and Gas, a private company, for a total consideration of USD$5,000,000. Consideration from the sale of Aminex’s US portfolio of assets, which mainly comprise the Shoats Creek field in Louisiana and the Alta Loma field in Texas, will allow the Company to pay down part of its loan facility and provides further flexibility for working capital.

Borders & Southern (LON: BOR)
In April 2012 Borders & Southern made a significant gas condensate discovery with its first exploration well in the Falkland Islands. The discovery had a high condensate yield and a good quality reservoir. An initial scoping facilities study proposed an FPSO development, stripping out the liquids and re-injecting the gas back into the reservoir. Our phase 1 reservoir engineering study indicated that a mid case of 200 million barrels of liquids could be recovered from the discovery. Subsequent to this work, the Company has enhanced the seismic data with rock physics information derived from the Darwin East well and undertaken a more detailed phase 2 reservoir engineering study. Additionally, the 2008 seismic data has been reprocessed and merged with the new 2013 3D survey. Reprocessing of the 3D seismic has greatly improved the quality of the data. Resolution has been enhanced, amplitude mapping is sharper and fault definition has improved. This new data has confirmed our previous interpretation of the potential distribution of hydrocarbons over Darwin East and West. The phase 2 reservoir engineering study used a more detailed geological and petrophysical description of the reservoir, creating a 3D model in Petrel (The phase 1 study had used a simple layer cake model) and incorporated results from a laboratory revaporisation study and analysis from side wall cores. Our new base case model estimates a wet gas in place of 2.6 tcf and the recovered condensate of 263 million barrels. The increase in recovered condensate from our phase 1 model to the phase 2 model is attributed to improved net pore volume and an improvement in fluid recovery. New base case estimate of recoverable condensate of 263 million barrels is of course dependent on successful appraisal wells. However, this resource assessment only includes the reservoir interval encountered in the discovery well on Darwin East. Our seismic interpretation indicates that Darwin West is structurally higher than Darwin East and that two additional potential reservoir intervals below the main reservoir, each displaying amplitude conformance to structure, may be encountered. These additional potential reservoirs do not extend over the whole structure, but nevertheless could add further to the total recoverable resource depending on their thickness and quality.

Doriemos (LON: DOR) United Kingdom Oil & Gas (LON: UKOG) Solo Oil (LON: SOLO)
All three updated on the highly prospective Horse Hill prospect. Horse Hill Development Ltd, the operators of the Horse Hill Prospect in the Weald Basin near Gatwick Airport, have advised that site construction has now commenced for the proposed 8,512 feet Horse Hill-1 well. The well is expected to spud in July 2014 and is targeting a number of conventional stacked oil targets in Jurassic aged reservoirs and possible gas in the Triassic. After evaluating the Jurassic targets in the Portland sandstone, Corallian sandstone and Great Oolite limestone, the well is planned to be drilled to Triassic age formations in order to evaluate the potential, so far unexplored, for conventional gas within the Horse Hill structure.

Falcon Oil & Gas (LON: FOG)
Announces the appointment of Mr. Michael Gallagher as Chief Financial Officer (“CFO”) with immediate effect.

Global Petroleum (LON: GBP)
Tried to distance themselves from the Tower Resources (LON: TRP) duster this week. GBP noted the recent announcement by the partners in the Welwitschia-1A well of their decision to plug and abandon the well. The Welwitschia-1A well was drilled to a depth of 2,454m in Block 2011A, adjacent to Global’s Block 2010A in the Walvis Basin offshore northern Namibia. The Global technical management team wishes to make it clear that the geological setting of Global’s blocks 2010A and 1910B is distinct from that targeted by the partners in the Welwitschia-1A well. The great majority of the prospectivity in Global’s acreage is mapped in older sediments. These deeper structures were not reached by the Welwitschia-1A well. Therefore, the significant potential of these deeper traps and reservoirs remains to be tested. Don’t waste share-holder money. It’s a duster above and it’ will be a duster below.

Gulfsands Petroleum (LON: GPX)
Drilling operations within the Rharb Centre Permit in Northern Morocco using the COFOR SAS Cabot 750 rig have now recommenced with the drilling of the Lalla Yetou Updip-1 gas exploration well (“LTU-1”). The LTU-1 well location has been selected based upon interpretation of the Rharb 3D seismic survey data acquired by the Company during 2013. LTU-1 is designed to be drilled to a total vertical depth of approximately 1180 metres, and will evaluate predicted Miocene aged sandstone reservoirs contained within a fault bound structural closure that have been identified from 3D seismic data as having the potential to be gas bearing. LTU-1 is located up dip structurally from a previous well Lalla Yetou-3 that found gas bearing sands. The Company expects that drilling operations at LTU-1 will be completed within 28 days.

Independent Resources (LON: IRG)
Results for the fifteen months ended 31 December 2013. Click HERE to read.

Leni Gas & Oil (LON: LGO)
The third of its Goudron development wells, GY-666, was successfully spudded this week and is now drilling ahead. As with the previous two wells the third well in the planned 30 well redevelopment program is intended to test the Goudron, Gros Morne and Lower Cruse sandstones, all of which are known to be productive for oil in offset wells. The well is being drilled as a deviated hole with a maximum angle of 16 degrees from the same well pad as used for the recently drilled well GY-665. Well GY-665 will be completed as a Gros Morne producer once the Well Services Rig 20 is demobilized from the well pad. The reservoir pressure recorded at the Gros Morne in GY-665 is higher than that observed in the recently completed well GY-664 and this is likely to lead to improved production potential. Well GY-666 has a planned total depth of 3,700 feet true-vertical depth (“TVD”) (equivalent to 3,820 feet measured depth) to a bottom-hole location that is approximately 900 feet south-west of the surface location. The primary target of this well is the Gros Morne sandstones, the top of which are anticipated at a depth of approximately 2,100 feet TVD. Further announcements will be made once the main reservoir targets have been drilled.

Mosman Oil & Gas (LON: MSMN)
As predicted by YOURS TRULY! Wouldn’t you just know it? The third placing in a matter of months. MSMN raised circa £3,000,000 by way of the placing of 13,043,474 new ordinary shares in the capital of the Company at 23p per share.

Nostra Terra Oil & Gas (LON: NTOG)
The AIM quoted oil and gas producer with a growing portfolio of producing assets in the USA, announced results from two additional horizontal wells in the Chisholm Trail Prospect, located in Oklahoma. Click HERE TO READ IT. Click HERE to read todays RNS

President Energy (LON: PPC)
Has spud the Jacaranda 1 well, the first deep exploration well drilled in Paraguayan Chaco for almost 30 years. The Jacaranda prospect will test the potential double play system (Cretaceous and Palaeozoic) in the North West Flank of the Pirity Concession, Paraguay. The well is designed to drill multiple independent reservoir targets. Total gross mean prospective resources of 624 mmboe are being targeted. The well is anticipated to be drilled to a depth of 4200 metres and is expected to take approximately 70 days to drill. A further update will be given after reaching the targeted depth.

Range Resources (LON: RRL)
Rorys stories continued this week. A Trinidad Operations Update and Increase in Reserves. Click HERE

Tethys Petroleum (LON: TPL)
Following on from the recently announced Kazakh State Reserves Committee approval, today confirmed that it has received approval from the Ministry of Oil & Gas of the Republic of Kazakhstan for the extension its Kyzyloi Production Contract for a further 15 years to June 2029.

Wentworth Resources (LON: WRL)
Drilling operations have commenced on the Tembo-1 well in the Rovuma Onshore Concession in northern Mozambique. Wentworth has an 11.59% net interest in this well which is being operated by Anadarko and drilled with the Helmerich & Payne rig #243. The Tembo-1 well is targeting mid-Cretaceous sands with secondary targets in the upper Jurassic. Tembo-1 has a planned total depth of 4,250 meters True Vertical Depth Sub Sea and is expected to take between 60 and 90 days to complete. An update on drilling operations will be provided after drilling operations have been fully completed. To date there have been two wells drilled in the Rovuma Onshore Concession including the Mocimboa-1 well, which encountered oil and natural gas shows in the Cretaceous and is located approximately 17 kilometres to the northeast of the Tembo-1 well.

20 June, 2014
The Smallcap Oil & Gas Round Up.

The famous, witty BMD smallcap oil & gas round up!

Another week has passed in the Smallcaps underverse. What a cracking week it’s been. Dominated by LGO, SOU, CAZA & NTOG. Oilers that have been highlighted over the last year or so as ones to watch. I’ve taken a shine to http://www.malcysblog.com/ good information/opinion coming through. I interviewed David Lenigas this week Read it HERE. What a funny guy! Told him to pack those fags in! Not sure he understood that one. Started rambling on about Hampstead Heath. I thought he was talking slang for “Teeth” told him to get his cavity drilled and filled. Double-entendres galore. Right that’s enough of that! Great write up this week. Enjoy it.

Bowleven (LON: BLVN)
Said this week that a significant milestone has been achieved in the development of the Etinde Permit. Following a Special Operating Committee Meeting, held between the Cameroon State and the Contractor (EurOil and its partner CAMOP) on 21 May 2014, a formal resolution confirming the State’s support and approval of the Etinde Exploitation Authorisation Application (EEAA) has been signed. The formal decree is expected to follow in due course.

Caza Oil & Gas (LON: CAZA)
Has drawn an advance of US$10,000,000 pursuant to its Note Purchase Agreement with Apollo Investment Corporation, an investment fund managed by Apollo Investment Management. With this advance, the Company has drawn an aggregate of US$45,000,000 from the facility, which contemplates Apollo purchasing up to US$50,000,000 of senior secured notes, subject to specified performance and financial requirements. The Company plans to use proceeds from this advance to fund development drilling at West Copperline, Gramma Ridge, Forehand Ranch, Marathon Road and Jazzmaster properties. Forehand Ranch development drilling will concentrate on the Cherry Canyon formation, while development drilling on the other properties will focus on the Bone Spring formation. Heavily tipped at 8p by one of my twitter followers @ABMckinley who just happens to be an offshore oilman. Knows his stuff does @ABMckinley.

Faroe Petroleum (LON: FPM)
Announced the spudding of the Centrica-operated Butch South West exploration well 8/10-6S (Faroe 15%). Butch South West, which is adjacent to the Company’s 2011 Butch discovery, is situated in approx. 65 metres water depth in the Norwegian North Sea, close to significant existing infrastructure with the giant Ula field approximately seven kilometres to the north-west, Tambar approximately ten kilometres to the south west and Gyda approximately 20 kilometres to the south. The significant Butch Main oil discovery (Faroe 15%) was made in late 2011 and contains a light crude oil in a high quality reservoir, the Upper Jurassic reservoir of the Ula formation. The Butch South West exploration well is located in a separate segment from both the Butch East well, the results of which were announced on 12 May 2014, and the Butch Main well. How many times do they need to keep using the word “Butch?”

Independent Reources (LON: IRG)
Are proposing to raise funds of up to £2.76 million (before expenses) by way of an equity fundraising of up to 91,903,213 New Ordinary Shares at an issue price of 3 pence per share, through the Placing and Open Offer.

Leni Gas & Oil (LON: LGO)
The champagne corks have been popping this week. What a week it’s been for LGO share-holders. Goudron oil production has kicked in at 240 bopd on a restricted choke. The well is flowing under its own pressure through a 7/32-inch choke at a wellhead pressure of 660 psi, without any water or sand production. While the 2nd development well, GY-665, in the 30 well drilling campaign, has already intersected approx. 310 feet of gross oil sand in the Goudron sandstones. Neil Ritson, LGO’s Chief Executive, commented: “This is a very significant outcome and I am sure it will be completely transformational for the field and the Company. As the first new production well on the field for over 30 years, GY-664 was drilled with an on-balance mud system and completed with modern tubing conveyed guns. The initial flow rate demonstrates the value of this approach; exceeding the historic averages four-fold. We fully expect many more similar results as the drilling campaign progresses and indeed well GY-665 is already showing consider able potential.” LGO also announced that it has completed the full Equity Swap Agreement with YA Global Master SPV, which has now agreed to provide a total of £1,407,404 in cash funding under the Placing and Equity Swap Arrangements of 23 December 2013. The swap has been terminated. Hooray!

Mosman Oil & Gas (LON MSMN)
Drilling has started (spudded) today, on the first of its three planned wells in the 2014 drilling programme, at its Petroleum Creek Project in New Zealand. On the first well, Cross Roads-1, Mosman plans to test Eight Mile and Cobden Limestone formations known to contain oil in offset wells. The well is being drilled vertically from a newly constructed well pad to an expected total depth of 400 m.

Nostra Terra Oil & Gas (LON: NTOG)
Released their Final Results for the year ended 31 December 2013. You can read them by clicking HERE

Ophir Energy (LON: OPHR)
Said the successful results of the Taachui-1 & subsequent Taachui-1 ST1 well in Block 1, Tanzania has resulted in a new gas discovery. Ophir holds 20% of Blocks 1, 3 and 4. BG Group operates with 60%. The Taachui-1 well was drilled by the Deepsea Metro I drillship close to the western boundary of Block 1. The well was sidetracked for operational reasons to complete as the Taachui-1 ST1 well and was drilled to a Total Depth of 4215mMD. The well encountered gas in a single gross column of 289m within the targeted Cretaceous reservoir interval. Net pay totalled 155m. Observed reservoir properties are in-line with those encountered at Mzia, the other Cretaceous-aged discovery on Block 1. Estimates for the mean recoverable resource from the discovery are c.1.0 TCF. The size of the gas column is such that the discovery could extend into a second compartment to the west which has the potential to be of a similar size. An appraisal well will be required to confirm this upside and is under consideration by the JV partners. A Drill Stem Test will now be performed on the Taachui discovery with results expected before the end of June.

Petroceltic International (LON: PCI)
More debt & dilution came this week from the Serial debtors/diluters as they yet again passed the hat around to the tune of $100,000,000 million dollars! Using the very same cock reasons as the last time and the time before that and… The bullshitters also released an operations update this week. Click HERE to read it.

Petrel Resources (LON: PET)
The board of the Company announces that the legal proceedings being pursued in the High Court in Accra, Ghana in relation to the Tano 2A exploration licence have been temporarily adjourned while discussions take place. Settlement?

Providence Resources (LON: PVR)
Presented 2 papers at an industry conference in Dublin this week. The company provided a general overview of its Irish portfolio as well as a technical paper on the Drombeg oil prospect. Copies of these presentations are now available for download from the company’s website, www.providenceresources.com

Range Resources (LON: RRL)
Released a Company update with the following highlights: As a result of the recent debt repayment, the total outstanding debt of the Company is forecast to reduce from $US10.5 million (as reported on 30 April 2014) to approximately GBP 75,000 by the end of June 2014. The Company’s equity interest in Citation Resources Limited (ASX: CTR) has reduced to 6.67%. Following this change, Range will have a direct and indirect interest of approximately 24% in the Guatemalan Project (previously 32%).

Rockhopper Exploration (LON: RKH)
Announced that a drilling unit has been contracted by Premier Oil to drill a minimum of four firm wells in the North Falkland Basin. RKH also released their finals today. Which can be read by clicking HERE

Roxi Petroleum (LON: RXP)
Updates the market with operational progress at its Galaz and BNG assets and released their final results which can be read by clicking HERE

Tethys Petroleum (LON: TPL)
Has completed drilling and logging of the AKK20 exploration well, the fourth well in its 2014 shallow gas drilling programme in Kazakhstan. The well was drilled to a depth of 681 metres with hydrocarbon shows and electric logs indicating the presence of hydrocarbons within the target Tasaran sand, although testing will be required on this well to confirm commerciality.

Tower Resources (LON: TRP)
The AIM-listed Africa-focussed oil and gas exploration company, announces the completion of its farm-in to Block 2B, onshore Kenya. Click HERE to read it!

Union Jack Oil (LON: UJO)
Announced a potential material unconventional shale oil and gas in place within the northern section of PEDL201, in which Union Jack holds a 10% interest. An independent technical review has been undertaken by Molten Limited. The results of this work indicate that the mean gross unrisked deterministic in place volumetric estimates approximate to 5.4 billion barrels of oil and over 2.7 trillion standard cubic feet (scf) of gas. The technical report, prepared by Molten, examines the shale resource potential of part of PEDL201 within the Widmerpool Gulf

6 June, 2014
The Smallcap Oil & Gas Round Up.

The famous, witty BMD smallcap oil & gas round up!

Cadogan Petroleum (LON: CAD)
The Interim Management Statement for the period from 1 January 2014 to 19 May 2014 can be read by clicking HERE

Circle Oil (LON: COP)
Updated on their Moroccan Sebou & Lalla Mimouna Permits. 12 locations have initially been chosen for drilling, targeting resources of approximately GIIP of 25 bcf and the first well, SAH-W1, is targeting a dipping three-way fault bounded sand lens with TD at 1,225 metres MD and primary targets in the Guebbas Formation at 1,060 and 1,160 metres MD. The Company’s pre-drill estimates are for GIIP of 1.85 bcf and 1.0 bcf respectively for the two targets. Both the Sebou and Lalla Mimouna permits are a partnership between Circle Oil Morocco Ltd (75%) and ONHYM (Office Nationale de Hydrocarbures et des Mines) (25%). CEO, Chris Green, commented; “Circle is very pleased to announce the start of our third drilling campaign in Morocco. We have previously enjoyed significant drilling success in the Sebou permit and our technical team have worked hard to maximise opportunities and ensure this success continues. Reserve replacement and enhancement is the key to maintaining and uplifting our revenues in what we regard as a core country to invest in for the future. We sincerely thank our partner ONHYM for their continuing support and assistance as we start this third drilling campaign.”

Empyrean Energy (LON: EME)
Came out this week shouting from the rooftops. A significant increase in its Reserves and Resources at its flagship Sugarloaf AMI asset (‘the Project’) in the liquids rich core of the Eagle Ford Shale in Texas, USA, following the receipt of an independent appraisal and report prepared by DeGolyer & MacNaughton. Empyrean has a 3% working interest. It was 1p! 2c! 2p! 3p! 2c+2p But like most there was no reference to the 1c! (work it out)

Essar Energy (LON: ESSR)
In ,out shake it all about! Out go the following directors Mr Sattar Hajee Abdoula, good riddance. Mr Philip Aiken AM, good riddance, Mr Subhas C Lallah, good riddance, Mr Steve Lucas, good riddance, Mr Simon Murray CBE, double good riddance, Mr Prashant Ruia, good riddance and Mr Ravi Ruia good riddance. Yes the boyos have really worked their magic, leaving investors in ESSR high & dry having to take a 70p share offer from EGFL Bidco that seriously under-values the company assets. Assets that were trading at close to 600p in 2011. Thanks for all your good work at losing thousands of UK investors millions upon millions of pounds! Take a bow! Essar Energy also announces the appointment Mr Yogendra (Robin) Appadoo (Welcome to the aptly named ROBIN!) as a director of the Company with immediate effect.

Falkland Oil & Gas (LON: FOGL)
The Report and Financial Statements for the financial year ended 31 December 2013 has been posted to shareholders and is available on the Company’s website: www.fogl.com

Global Energy Development ( LON: GED)
Opined that the rig mobilisation has commenced for the Catalina #1 well in the Company’s Bolivar Association Contract located in the northern section of the Magdalena Valley in Colombia, South America. The workover rig is being transferred from the central Magdalena Valley area and the rigging up of all existing equipment is expected to be completed over a seven day period, with key new equipment expected to be ready for shipment from Houston, USA. to Colombia shortly. The transferral process involves the removal of existing production equipment from the wellbore and the installation of surface pressure control equipment and production tubing suitable for use in high pressure operating conditions, after which the workover rig will then be demobilised and removed from the location. After all surface equipment is installed and pressure tested, stimulation of the Simiti will then proceed with initial testing results expected in July.

Leni Gas & Oil (LON: LGO)
How much mileage can a company get out of one well? More Goudron Field redevelopment activities in Trinidad.(Yawn!) Well GY-664, the first of 30 planned development wells, has now been logged and cased to total depth. The second planned well, expected to be designated GY-665, will be spudded shortly. After provisional analysis of the full electronic logs, GY-664 has penetrated over 1,500 feet of gross sand in three formations; the Goudron, Gros Morne and Lower Cruse, with a calculated total net oil pay of 571 feet. After analysis of the logs it has been decided to complete the well as a Gros Morne production well. What next from TrinaDADDY David Leni? We’ve painted the rig fluorescent orange so that it can be seen from the international space station!

Madagascar Oil & Gas (LON: MOIL)
Has been advised, via a “Communique de Presse: Conseil des Ministres”, that the decree approving test sales of Tsimiroro crude oil in the local market was approved at a meeting of the Council of Ministers on 21 May 2014. It is intended that test sales of, in aggregate, between 55,000 and 73,000 barrels of Tsimiroro crude oil will commence in the second half of 2014 and will last for a period of up to six months under the terms of the current exploration licence. This would be the first market test of crude oil produced within Madagascar, with sales due to commence after the conclusion of a tender process involving oil marketing companies currently operating in Madagascar. This test is designed to establish Tsimiroro crude as a blended heavy fuel oil substitute in the local market, mainly for power generation purposes. Currently stored oil volumes will initially be made available for blending. As at 20 May 2014, cumulative oil production from the SFP, which commenced on 28 April 2013, was 90,789 barrels of oil of which 51,870 barrels of oil are stored in the Tsimiroro SFP Storage Tanks. The remainder of the oil has been used for fuel for steam generation since the start-up of SFP operations. Oil production rates in 2014 from the SFP have averaged 395 barrels of oil per day to the end of April 2014.

Magnolia Petroleum (LON: MAGP)
Has increased the borrowing base limit of its Credit Facility (MORE DEBT) has been increased to US$2.75 million from US$2.1 million.

Mosman Oil & Gas (LON: MSMN)
The Company haven’t wasted any time getting out their first placing (as predicted by yours truly) which will be one of many! 60 days since admission! Now that has to be a record! Mosman raised £350,000 by way of the placing of 3,500,000 new ordinary shares in the capital of the Company at 10p per share. The funds raised will be used to increase the June drilling programme at Petroleum Creek Project in New Zealand, with the addition of a third well and the deepening of the proposed Crossroads-1 well from the initial 250m to basement, estimated to be c.400 metres. Following the issue of the Placing Shares the Company’s total issued share capital will comprise 64,833,701 Ordinary Shares. Lets see how high the shares in issue go.

Nighthawk Energy (LON: HAWK)
A Skeleton in the HAWK cupboard jumped out this week, as the Company were caught with their pants down by the sheriff of AIM, T Winnifrith. Hawk were forced to admit that they were embroiled in a lawsuit brought by Running Foxes Petroleum, Inc against a subsidiary of the Company, in a Colorado state court in the United States. Why Nighthawk failed to tell the market is a question they should answer. No doubt their NOMAD is working on the A mealy-mouthed response. Disgraceful! Time to dump the stock. Any other skeletons out there Steven?

Nostra Terra Oil & Gas (LON: NTOG)
A healthy set of final results landed this week from the tiddler. Click HERE to read.

Rockhopper Exploration (LON: RKH)
Takeover news this week as RKH announced they’d reached agreement on the terms of a recommended acquisition under which Rockhopper will swallow Mediterranean Oil & Gas (LON: MOG). Shareholders of MOG will receive an Initial Consideration Offer of 6.5 pence per share comprising 4.875 pence in cash and 0.0172 shares of Rockhopper per MOG share. MOG Shareholders will also receive a contingent entitlement up to a maximum amount of 3.550 pence in cash for each MOG Share. Which equates to a approx. £29.3 million in total.

Solo Oil (LON: SOLO)
The operator of the Ruvuma Petroleum Sharing Contract, Aminex PLC, has notified the Company that the 2D seismic acquisition to appraise up-dip portion of the Ntorya-1 discovery is now complete and processing has begun. Fully interpreted results are expected during Q3 2014.

Sound Oil (LON: SOU)
It’s getting very hot in Italy, in more ways that one! A good set of finals (Audited) came out this week from the Mediterranean focused upstream oil and gas company for the year ended 31 December 2013. BMD Says; With the Introduction of a cornerstone institutional investor announced earlier this month, following the year-end at a significant premium to market expected to complete in June 2014, investors should be on their Marks here! There’s a lot of background noise in the City so take a tip and get them on your watch-lists! Strong Italian business fundamentals, including: High upside asset portfolio: 18 MMboe (P50) discoveries with NPV10 of €227M and 96MMboe (P50) exploration. High energy and ambitious team. Strong funding outlook. Successful Nervesa discovery with agreed Heads of Terms for a 3.6 to 1 farm out. This farm out fully funds the next well addressing the southern part of the structure and enables achievement of first gas without significant further capital. Continued preparation for the drilling of the world-class Badile prospect end in late 2014 / early 2015. A competitive farm out process is underway. Strong production from Rapagnano, which has been in production since May 2013, resulting in maiden revenues for the Company during 2013. Italian cost base to be covered by production from Rapagnano and Casa Tiberi (first gas expected by end H1-2014). James Parsons, Chief Executive Officer of Sound Oil, commented: “We are continuing our strategy of building a mid cap Mediterranean focused upstream oil and gas company. In Italy this involves continuing to drill, at a minimum, two material wells every year whilst focusing our financial and human resources on game-changing assets such as Badile. The combination of the introduction of an institutional investor and the farm-in on Nervesa, both of which we expect to close during June, positions our Company to fully exploit the potential of our assets.” Of course it does Jimmyboy! Any news from ENI? Nudge! Nudge! Wink? Wink?

Tangiers Petroleum (AIM: TPET)
Yet another company caught out telling whoppers this week via a mail shot organised by an Aussie (now why doesn’t that surprise me?) webShite www.nextoilrush.com/drilling-just-weeks-away-for-tiny-explorer-targeting-1-6-billion-barrels-of-oil/ which slipped past the eagle-eyed sheriff Tom Winnifrith through the onefreesharetip email list! Run in partnership with ADVFN who ran the mailing shot.. Life is stranger than fiction! Sheriff Tom moved quickly to sort out just what had gone on! Suffice it to say all’s well that ends well. Click HERE to read all about the cock-up! The mail shot quoted fantastic oil resource numbers of 1.6 billion barrels which is why you’ll now find an asterix* in the TPET RNS oil numbers which qualifies their 190 million barrels* of net best estimate unrisked prospective resource. A far cry from the 1.6 billion barrels headlined!

Tower Resources (LON: TRP)
More delays at the Welwitschia-1 well. In summary, there has been a delay to the drilling schedule. It presently appears that the financial consequence for the Company will not be material, but the Company does not expect drilling operations to recommence until the end of May.

Trinity Exploration & Production (LON: TRIN)
Released an update on the B-9X infill well-drilled at the Trintes Field on the Galeota license. As a result of the high formation pressure encountered in the B-9X well, a revised completion strategy is required to ensure safe production operations and includes higher pressure rated surface equipment and gas handling facilities, and, potentially, down-hole intervention. It’s estimated that it will take approx. 4 to 6 weeks to bring the well into production. The well is expected to flow naturally with an estimated IP rate in the range of 200-300 bopd and will be the first Trinity-drilled, naturally flowing well in the Trintes field. (Trinidad). Attention is now being moved towards preparing for drilling the B-13X (horizontal) and B-18 (J type) wells that are testing a new well design to increase initial production rates and recoverable reserves per well. Importantly, this well design will also be utilised in the TGAL development so this drilling will de-risk the new field development.

24 May, 2014