Jupiter Energy Share Discussion Threads

[r4282] 31/1/2012 14:51

Rigzone article on Jupiter:

[excellance] 27/1/2012 13:53

all very quiet today!

[excellance] 27/1/2012 07:53

fairly solid rise on asx last night... about 8%

[excellance] 26/1/2012 08:15

JPR has a 5 well Commitment Program on Block 31. The 2009 well (J-50), the 2010 well (J-52) and the 2011 well (J-51) have all been completed. All 3 wells were commercial discoveries. The 1st of the two 2012 wells (J-53) reached Total Vertival Depth (TVD) on 21 January 2012. The well will be cased and completed and flow test results are expected during 1Q 2012. A further well is planned for 2012 (J-55) to complete the 5 well program.

The J-51 well is currently on its 3 month production testing phase.

J-50 and J-52 have had their Trial Production Licence (TPL) applications approved by the Kazakh Central Development Committee and both wells are expected to go on to production during 1Q 2012.

[excellance] 26/1/2012 08:01

35m barrels or there abouts, £55m mkt cap, hmm...

[mirabeau] 26/1/2012 07:44

I think it's a certainty that a placing is on the way. I think they have around £5m in cash so to fully exploit their superb assets they're going to need a line of funding from somewhere (equity placing, debt or both).

I'm quite sure they would have no problem at all in attracting support from the market with such a great asset base and future income flow

[mirabeau] 26/1/2012 07:41

I just checked the ASX price which stood at 42p UK equivalent price..I thought something wasn't quite right so that explains it

[excellance] 26/1/2012 07:39

asx closed for Australia day overnight...

[lastof themohicans] 25/1/2012 12:40

Looking at the announcement again it is worth noting that they saw no sign of water in the reservoir.

Whereas the earlier interpretation of this bit was for the OWC point to lie just south of the well but within its dainage area, so perhaps the area is bigger than expected and there maybe room in the future for another well to the south east.

As the trap seems well saturated with oil the likelyhood of oil either migrating south into the other new prospects, or having passed through the other prospects as it went northwards into Akkar East, must be high.

Interesting times for sure, with so much potential.

LOTM

[lastof themohicans] 25/1/2012 12:31

Well the catalyst in the short term is the award of the flare permit and trial production commencing on J52 and J50.

Once that starts then they will be producing over 1000 bopd in the 1st half of 2012, making a profit of $25 per barrel on domestic sales. However the domestic market is near processing capacity so they might be allowed to produce some of the oil for the international market! :) :)

The back up would be a good flow test result on J53 maybe 750 bopd on a 9mm choke.

[tens machine] 25/1/2012 12:18

just looking for some short term gains really if i'm honest. looks undervalued

[lastof themohicans] 25/1/2012 12:15

Tens machine,

I'm sure you'll not be disappointed over the next year with your investment, especially at these prices.

LOTM

[someuwin] 25/1/2012 12:12

Looks like a relatively unknown gem.

[tens machine] 25/1/2012 12:07

jumped in today

[crosswire] 25/1/2012 10:33

Jupiter Energy worth significantly more than market value, says finnCap

16th Jan 2012, 10:56 am by Sergei Balashov

Broker finnCap said Jupiter Energy (LON:JPRL, ASX:JPR) is worth considerably more than its current market value suggests considering its proved and probable (2P) oil reserves of 24.2 million barrels.

These reserves are hosted by the Block 31 in the Mangistau basin of western Kazakhstan, where the company has drilled a series of successful wells in 2011, which finnCap analyst Will Arnstein said could results in a reserve upgrade in the next operational update, currently expected in March this year.

Arnstein said there is further substantial upside to the current reserve base and, with long-term trial production about to start, the company is "well positioned to add substantial shareholder value as it converts reserves into cash flow".

The trial production will be from two wells and should take the group's total output to 1,000 barrels of oil per day (bopd), while the year end target set by Jupiter stands at 2,000 bopd.

Full development is expected in 2015 with production projected to peak at 5,000 bopd during the year.

This year, the company plans to drill a total three wells, targeting prospective resources of between 65 and 72 million barrels that Arnstein said were worth 296 pence per share.

The first well in the 2012 campaign, J-53, carries the lowest risk and could convert nearly 10 million barrels of prospective resources into 2P reserves, said Arnstein.

The second well could add between 10 and 15 million barrels, while the final well of the campaign, J-54, will target a prospective resources of 37.4 million barrels in the northern part of the block.

Arnstein values Jupiter's current 2P reserves at 77.4 pence per share, while further prospective resources of 65 million barrels have a net asset value (NAV) of 53.3 pence. This gives Jupiter a total NAV of 130.7 pence per share compared to Friday's closing price of 27 pence.

The analyst added that on an unrisked basis, the NAV rises to 367.3 pence per share.

[lastof themohicans] 25/1/2012 10:23

That says it all really crosswire.

Quite a few new shareholders coming on board by the looks of it.

I wonder where the MM's are going to get all the stock from?

Since 300,000 shares is a top 20 shareholder!!

not many places to borrow it from is there!!!

LOTM

[crosswire] 25/1/2012 10:09

Share price forecast

The 3 analysts offering 12 month price targets for Jupiter Energy Limited have a median target of 204.00, with a high estimate of 242.00 and a low estimate of 195.00. The median estimate represents a 270.91% increase from the last price of 55.00

[mirabeau] 25/1/2012 10:03

LotM

Thanks for that

Cheers

[crosswire] 25/1/2012 10:02

Shares outstanding --
Free float 58.15m

[someuwin] 25/1/2012 10:02

I see Westhouse Securities have put out a tagrget for JPRL of 148p!

[lastof themohicans] 25/1/2012 10:00

Mirabeau,

They need to drill one more well in 2012 to meet the terms of their licence agreement.

However they can drill more wells than that if they so choose.

They had 17 months to meet the seismic requirement and did it in the 1st 3 month's!!! and it looks like it is now mainly interpreted already.

You also just need to look at the Waterford Groups track record of investing in these types of companies.

The 2 major shareholders have good connections within Kazakhstan which helps as well.

LOTM

[crosswire] 25/1/2012 09:58

Jupiter hits Kazakh pay

London-listed Jupiter Energy has hit hydrocarbons in the J-53 well on its wholly owned Block 31, onshore Kazakhstan.

Josh Lewis 25 January 2012 08:51 GMT

The well was drilled to a total depth of 3113 metres and shows while drilling, mudlogs, core and open hole wireline logs indicated hydrocarbons in the Triassic reservoir

Jupiter said the open hole logs indicated good levels of oil saturation and porosity, similar to the proved producing zones in the three previous exploration wells on the block – J-50, J-51 and J-52.

An independent analysis by Reservoir Evaluation Services confirmed about 87 metres of gross pay and 56 metres of net pay in the Middle Triassic carbonate reservoir unit which was the primary objective in the well.

Jupiter said the reservoir appeared to be oil on rock and was above the previously identified Akkar East oil water contact.

It added well was drilled 2.8 kilometres south-east of the J-52 well, increasing the known areal extent of the Akkar East field.

J-53 was the first of two planned commitment wells to be drilled this year on Block 31, which lies to the east of the city of Aktau and the Caspian Sea.

Jupiter will now case and perforate the well which will then be stimulated and flow tested for up to 90 days.

[adam] 25/1/2012 09:58

have held since 1.8p (pre 15:1). key point, apart from the per dollar value of oil is the shareholders. including former energy minister of Kazakhstan. expect he knows the ropes.

[mirabeau] 25/1/2012 09:52

That was a herculean auction process

lotm


Are Jupiter obliged to drill 2 wells in 2012 or can they drill more than this number?

I suspect a placing is inevitable but who wouldn't take more stock in such a great little company. It would be a placing from a position of strength rather than as a last desperate act of survival.