Life After Ugandan Drilling

Monday, Jun 15 2009 by
8

Iti-1 Completed and abandoned with a clear implication that GBP are not going to use any further resources in this area.

 I am interested in what may happen in the shorter term.  Based on current SP valuation 15/6/09 Global are £10.5m  and  what they do have  available to them is approx. £13.5m and 25% of the EA5 Licence.  I am ignoring the pending legal action and Leighton as I do not believe this will have any significance in the next 9-12 months.

Whilst there is substantial overlap with TRP I am taking a view they will keep the two companies separate as Namibia is LT and they will have plenty of exposure to Uganda via TRP anyway.  Surely the GBP vehicle will have looked at a number of plays in the interim period which due to the unfortunate circumstances at Iti-1 could now be brought to the forefront.  The question in my mind is which territories would appeal to management and how quickly they realistically may now move.  For a number of months it has been said how many O&G plays have been depressed due to lack of funding, well GBP may be about to step up to the plate but where ? 


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Global Petroleum Limited is engaged in the oil and gas exploration, development and production. The Namibian Project consists of an 85% participating interest in Petroleum Exploration Licence No. 002 (Licence) covering Offshore Blocks 1910B and 2010A in the Republic of Namibia. The Licence covers 11,730 square kilometers and is located in offshore Namibia in water depths ranging from 1,300 meters to 3,000 meters. On August 26, 2011, the Company announced that it had completed the acquisition of Jupiter Petroleum Limited (Jupiter) which holds prospective oil and gas exploration interests in offshore Namibia and in offshore Juan de Nova, a French dependency in the Mozambique Channel. On February 28, 2012, the Company sold its interest in the Olmos production wells and related lease, which formed part of the Leighton Project. In June 2013, the Company sold Eagle Ford Shale assets. more »

Share Price (AIM)
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7.5



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132 Posts on this Thread show/hide all

djpreston 30th Oct '10 93 of 132
1

Why stop at Key?

Fund Management: European Wealth
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DearLeader 30th Oct '10 94 of 132
2

Would anyone else want to sell? KEY acreage would offer a pretty good risk reward ratio for GBP. As you know, Nyuni drilling coming up, more Wildcat stuff with 50% West SS and a producing asset down the line with KN-1. They could buy the whole caboodle of course, but the Italian and UK part of KEY's portfolio doesn't seem that desirable.
Unless of course they are considering a farm-in via Aminex. The KEY route though would give them the full 20% of Nyuni and 50%of West SS which may work out cheaper but no Ruvuma, which may be one of their options...
cheers
DL

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REO100 30th Oct '10 95 of 132
3

I thought KEY would be too difficult, I believe they are currently raising funds and I assume their focus is rapidly changing towards Nyuni.  As operator with 50% West SS that might be an option as I am still uncertain on progress there.

At the AEX AGM I came away thinking Nyuni really could prove to be the jewel, if the KEY report is correct  it would seem they are targetting the Nyuni prospect identified in the ISIS report summarised in the AEX half year report 'Contingent In Place Resource Potential'.  After what looks like a good deal to increase to 50% and finally some stirring on the pipeline I would be surprised if AEX were to reduce on Nyuni - I thought far more likely on West SS and Ruvuma.

All guess work and speculation, there are deals to be done and I get the feeling they might just happen soon.

Reo 

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salty64 3rd Dec '10 96 of 132
1

The first Eagle Ford Well.

"The overall programme of fracture stimulation of the well and recovery of the
frac fluid is expected to take about two weeks and at the end of which the well
will be production tested.

Global has a 7.939% working interest (5.95% NRI) in the well. "



http://www.investegate.co.uk/Article.aspx?id=201012030725093238X

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RedTedsRoadshow 20th Dec '10 97 of 132
2

Global Petroleum Limited - First Eagle Ford Well - 1,200 BOPD

http://www.investegate.co.uk/article.aspx?id=201012200750192569Y&fe=1

Texon Petroleum Ltd (ASX: TXN) has advised that the first Eagle Ford well, Tyler Ranch EFS #1H, has flowed 1,267 boepd representing 1,202 bpd of light sweet crude oil and 782 mcfpd of gas with a flowing tubing pressure of 2,610 psi on a 16/64" choke. Some of the frac fluid is also still being recovered.

Global has a 7.939% working interest in the well and a beneficial interest (NRI) in the production of 5.95% or some 75 boepd of the above production.

The Company's share of oil and gas being produced from the well is now part of Global's revenue stream.


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RedTedsRoadshow 20th Dec '10 98 of 132
1

To put it in context a little take a look at the latest Texon presentation...

http://www.texonpetroleum.com.au/Documents/Investor/Present2010/tplptn101020.pdf

Page 16 shows the spread of successful wells in the area. This well was in the green blob expected to produce >1000bopd and did just that - it is one of the better figures.

Page 28 shows only two more wells in the EFS before the end of 2011 (assuming the 2nd 2010 blob is moved back). However the next page indicates 60 potential locations.

Lots of activity in the Olmos but don't think Globals agreement covers that.

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REO100 13th Jan '11 99 of 132
3

I have sold my holding today.  I have held for sometime but started seeing quite a few posts yesterday on ADVFN conveying 'enthusiasm'.  Whilst it will be just my luck management are going to make a positive announcement I can't help thinking that the momentum game has occurred due to PIs happy to jump in.

I hope management do come up with some good news but I had become increasingly frustrated at what I perceived lack of progress, a woeful website that was just so out of date and PR that seemed non-existent to me.  I also had a fairly large holding for me and this latest bout of enthusiasm has let me sell into good strength.

Anyway I shall be an interested watcher for the time being and hope all those that are still holding are rewarded.

Reo

 

 

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ohisay 13th Jan '11 100 of 132

In reply to REO100, post #99

I had a largish position too and sold half mine this morning for a good return.

I share all your thoughts about the non existent PR and grindingly slow progress on finding a home for all that cash over the past two years - and especially the last 9 months.

I'd have thought with oil approaching 100$ per barrel the time for cheapish acquisitions is rapidly running out too.

I've kept 50% because cash stll covers 80% of the share price and with the TRP market cap approaching £65m I wonder whether a merger of the two might not still be on the cards and lead to some shareholder value - the fact that its isable too played its part.

Who knows?

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REO100 13th Jan '11 101 of 132

In reply to ohisay, post #100

I was going to hold some back, but I am struggling with the TRP valuation and also my thinking may be wrong but I had hoped for them 'finding a home' for the cash by now, but as oil is approaching 100$ per barrel has their bargaining power perhaps diminished some.  Surely the time was when some companies were desperate for farm outs and finance was just a dream ?

Reo

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ohisay 13th Jan '11 102 of 132

In reply to REO100, post #101

I am struggling with the TRP valuation

Me too .! 

Seems to me Namibia is the the new Falklands with multibillion barrel prospects being factored into lots of broker coverage - Chariot oil being another slightly bonkers example...

I'd half thought GBP was being set up as a reverse takeover shell when there wasnt much news forthcoming on acquisitions/ farm ins etc.

Who knows?

 

 


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jonnyt 14th Jan '11 103 of 132
1

I've five bagged on TRP without them even making a discovery!

Wonderful the market isn't it.

To me it's simple. Tuck away a portfolio of minnows with prospective acreage and when then start to think about drilling enjoy the gains, all but risk free.

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Norman115 14th Jan '11 104 of 132

johhnyt,

That is a very good strategy that I have started using recently.

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REO100 14th Jan '11 105 of 132
1

In reply to Norman115, post #104

I agree in the the current market it is working also on ADVFN when certain names pop up you can guess you have a 48 hr trading period. I hope that is not the case with GBP, but I was not prepared to wait and see this time.

Reo

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thegreatgeraldo 14th Jan '11 106 of 132

REO100 - You're spot on by the looks of it

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Fangorn 14th Jan '11 107 of 132

Would that be the likes of kennyruss(6kenny?) appearing on the GBP thread out of interest? Who are the other "names" so I can keep a look out! Cheers

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oilretire 30th Jan '11 108 of 132
3

Global sign S&PA to aquire Jupiter Petroleum

http://www.asx.com.au/asx/statistics/displayAnnouncement.do?display=pdf&idsId=01145813

Jupiter has explo blocks in Namibia & Mozambique. Interesting looking blocks, but any drilling (and hence any ascribed value by the market) a year or two away?

Not sure what to make of it all given Jupiter is owned 50/50 by the two Peters.........who stand to gain 25M GBP shares each.

Blocks may have potential but it's essentially it's SP reducing dilution for me in the short term perhaps?

 

Edit:

didn't realise the two Peters had Neptune before it was aquired by TRP in 2005

http://www.advfn.com/news_Acquisition_13588677.html

On 11 August 2005 the Company was pleased to announce that it had conditionally
agreed to acquire the entire issued share capital of Neptune Petroleum Limited
("Neptune") from Peter Taylor, Peter Blakey and Bayview Investments LLC

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emptyend 31st Jan '11 109 of 132
2

In reply to oilretire, post #108

Interesting to look at the Namibia licences in relation to the Tower/Acrcadia prospects though:

There is a very clear trend running parallel to the Jupiter blocks - but the crucial question is what, if anything, is in them? Is there likely to be a parallel set of prospects in the slightly deeper water?

Chariot's market cap is £260mn and Tower's is £53mn. However, Tower have a 15% interest in their blocks in Namibia whilst Jupiter/Global would have an 85% interest in theirs....

Interesting, too, to see that the Mozambique Channel permit is actually French (due to the island, I guess) rather than Madagascan.

ee

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salty64 31st Jan '11 110 of 132

In reply to Fangorn, post #107

Captain Nelson Forties is an enthusiastic and knowledgable person who makes contributions on smaller oil exploration companies and some mining I believe. I havn't seen him on the GBP thread yet. CAZA, RRL and some NOrth Sea from memory.

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RedTedsRoadshow 31st Jan '11 111 of 132
1

I've reduced my holding somewhat following this announcement.

Happy with the news as it looks prospective acreage and I calc 9.5p per share in cash before the transaction so it's hardly risky....

....but with this news both the risks and rewards have just multiplied....so just being more prudent.

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djpreston 31st Jan '11 112 of 132
1

In reply to RedTedsRoadshow, post #111

Its an interesting deal but rathr incestuous.

Gives lots of scope for rampin....errr promotion of GBP given the "sensational" prospects off Namibia and the valuations of CHAR etc....

Fund Management: European Wealth
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