Serica Energy Share Discussion Threads

[captainfatcat] 10/4/2018 09:08

The commercial arrangements re Columbus announcement is a bit ambiguous and could be read a couple of ways. I take it as the decision is made and they are angling for reductions in cost or pipeline tariffs if construction targets are not met which push production further back. Maybe there is some key commercial criteria proposed pipeline between the nearby Arran field and the Shearwater platform that has to be met before its fully sanctioned. Still T's to cross and I's to dot...

Regardless the decision has been made due to the OGA 31 March deadline a condition of the Columbus licence extension. They must also submit an FDP by 30 June 2018.

So I read this as by the end of June Once the FDP is submitted the 6.7 mmboe of net 2C contingent resources Columbus resources will be redefined as bankable reserves.

[nigelpm] 10/4/2018 09:06

Not going to get into a debate about who said what and trawl through a load of posts but needless to say they were and have been proved hopelessly wrong.

[dunderheed] 10/4/2018 08:44

6492, No I think it's been 'settled' the fdp will be nade with this potential back out to allow sqz to revert back to Lomond?
That's how I read it. Decision made but with agreement with relevant teams but contingent upon future scenarios?
I'm happy with this, it's cheaper but worse case if it doesn't progress as expected, there is a fall back.

[rogerlin] 10/4/2018 08:39

If the Arran development does not proceed as planned, Columbus cannot be developed through Shearwater on a stand-alone basis. The selection of this route has been made conditional on that decision being made to the satisfaction of Serica. Therefore, discussions on commercial arrangements will continue with the Lomond field operator, in the event that the Shearwater option does not mature in the requisite time frame.

Columbus plan not entirely settled then.

[farmscan] 10/4/2018 08:32

I saw it but took no real notice who posted it as it was clearly nonsense.

[pineapple1] 10/4/2018 08:28

I saw the post from Nigel today but i have to say that i remember no poster previously stating what was suggested by Nigelpm. Who he is refering to i have no idea.
imho

[farmscan] 10/4/2018 08:20

The post has been deleted or edited from earlier this morning.

[dunderheed] 10/4/2018 08:17

I've never seen posted on here any expectation of cash from BKR being received in January. Honestly Nigel 'nice but dim' must be getting stressed over his other favourites sia and ophir.
If indeed this was discussed very early on so what?
What relevance does that have to these results? Silly boy Nigel!
I'm very pleased to see Columbus decision made, with lower expected capex costs than lomond proposal.
Also very pleased to see potential spud date of May for R3?!

[nigelpm] 10/4/2018 08:10

Anyway, everything on track for a bonanza year - don't think the market has quite caught up yet!

[pineapple1] 10/4/2018 08:04

Results Better than i thought i,m pleased to say.

[nigelpm] 10/4/2018 07:58

Slide 9 explains the production interruptions on BKR assets - why didn't they put that explanation in the earlier update?

[nigelpm] 10/4/2018 07:56

Very strange that anyone thought we’d be getting cash from a deal that wasn’t yet complete... I certainly didn’t think that

That's the mentality of some of the posters on this board for you.

[captainfatcat] 10/4/2018 07:56

Columbus decision at long last

[sawney] 10/4/2018 07:54

Erskine offline till Q3

Only if they don't clear the blockage before the new pipeline...

[spandy83] 10/4/2018 07:53

It doesn't say that... they want the permanent solution done by q3. The temporary fix is also underway in the meantime.

[captainfatcat] 10/4/2018 07:52

New presentation.

[spandy83] 10/4/2018 07:52

Very strange that anyone thought we'd be getting cash from a deal that wasn't yet complete... I certainly didn't think that

[rediffusion] 10/4/2018 07:50

Erskine offline till Q3. Imagine what the share price would be without the BKR deal.

[dcarn] 10/4/2018 07:44

My understanding is cash from BP asset production will be backdated to 1st Jan 18 upon completion.

[nigelpm] 10/4/2018 07:35

Reduction of cash from 34m at year end to 33m now totally against expectations of some here that BP deal would be cash generative immediately.

[spandy83] 10/4/2018 07:32

Decent set of results as expected. No Nast surprises, no delightful surprises. Hope Erskine's temporary fix is dealt with v. Soon - it's a shame they aren't more precise with forecasting that. Is this the first time they've said 'late' Q3 for completing BKR too? Not an issue especially if Rhum3 is pretty much done by then. Happy to hold as ever!

[sawney] 10/4/2018 07:29

A few points of interest...

...and has participated in three applications for new licences in the UKCS 30th Offshore Licensing Round....

...the Lomond operator continues to make every effort to clear the blockage with further equipment currently being mobilised.....

....Importantly, Ofgem has recently approved the raising of the National Transmission System ("NTS") entry specification for CO2 content of gas delivered at the St Fergus Gas Terminal to 5.5mol% CO2 largely eliminating the need for costly blending gas required up to now to offset the relatively higher CO2 content of Rhum gas....

....Rhum R3 well. Operations are expected to commence in May this year. The well is already connected to the necessary infrastructure and it is expected that production will commence before the year-end....

....Shearwater hub as providing the optimum export route for Columbus gas and liquids. This selection is contingent on a near-term commitment being made by the Arran field partners to the construction of a pipeline from the Arran field to Shearwater passing near the Columbus field with appropriate tie-in points. The OGA has been informed of the decision and Serica has commenced the preparation of the field development plan which is intended to be ready for submission by mid-2018...

Although the expected first gas date would be around a year later than the Lomond alternative, the overall capital costs under this option are lower.

...Therefore, discussions on commercial arrangements will continue with the Lomond field operator, in the event that the Shearwater option does not mature in the requisite time frame. The Lomond option has been engineered in detail and is capable of being fully implemented.....

[lord gnome] 10/4/2018 07:24

LoL Stan, but it could be a very merry Christmas. Lots of positives in today's numbers. Happy to hold for another year.

[gersemi] 10/4/2018 07:14

This company will be all guns blazing by September 2018. A long term solution for Erskine now being implemented and BP assets absorbed by Q3-18. And no debt. And Columbus

A great little company. Fingers crossed for stable oil-gas prices

[stansmith3] 10/4/2018 07:14

so twitteratti were right again a few weeks agoso i guess i am locked in until q2/q3...