Andalas Energy And Power Share Discussion Threads

[jammytass] 14/1/2019 07:19

Looks like this could fly

[therealtonythetiger] 14/1/2019 07:06

Update on Bunga Mas PSC


Andalas Energy and Power PLC, is pleased to report that Arcandra Tahar, Deputy Minister of Energy and Mineral Resources (“Deputy Minister”) issued a press release on Friday 11 January 2019, that the Bunga Mas PSC will be one of 6 licences that will be converted to gross split PSC’s by mid-February 2019. As announced on 29 August 2018, Andalas has a conditional agreement to acquire an initial 25% (rising to 49% and then 100%) interest in the Bunga Mas PSC.

The operator of the Bunga Mas PSC applied to convert the PSC to a gross split PSC as part of the process to extend the exploration period, one of the key conditions to completion of Andalas’s acquisition of an interest in the Bunga Mas PSC. Andalas regards the conversion to a gross split PSC as an important and positive step in this process.

The modelling performed by the Company to date indicates that the conversion of the PSC to the gross split PSC is likely to alter the economic profile of a successful development of Bunga Mawar. Importantly, however, it does not alter Andalas’ view that the deal exposes shareholders to significant upside under both the original PSC terms and the gross split PSC terms.

In addition, Andalas believes that the new gross split PSC will provide operating advantages - the Deputy Minister highlighted that the gross split PSC regime was created to make oil and gas licences efficient, uncomplicated, simple and with more secure processes.

Andalas will advise on the terms of the extension at such time as approval is granted by the government. The terms will include, amongst other things, the terms of the extension of the exploration period and the application of any transitional provisions between the old and the new regime.

Simon Gorringe, CEO of Andalas Energy and Power PLC said, “This change in licence terms is in line with the Indonesian government’s intention to have all oil and gas licences structured on a Gross Split basis and although we still do not know the exact terms of the new licence the company has the ability to renegotiate its economic interest with the operator to ensure the project meets our investment criteria.

“This news validates our decision to grant a short extension to the long stop date last month. The announcement by the vice Energy Minister indicates that the PSC will be formally converted in February, during which time we will continue to work with the vendor towards finalising the acquisition.

“We have established a good relationship with the Bunga Mas Operator who wants to close the deal as soon as possible and is willing to work with ADL to ensure that a satisfactory deal can be agreed. I look forward to updating the market as we progress with what continues to be an exciting deal.

“Andalas is paying consideration for the acquisition of Bunga Mas of 19.2 million shares (£177,600 at the closing share price on 11 January 2019), which we believe would represent very good business should we be successful in the planned development of the Bunga Mawar formation that has 2.3 million barrels of best case contingent and prospective resources.

“Furthermore, successfully developing Bunga Mawar is expected to provide cash flow to support the exploration and appraisal of the other leads and prospects on the licence that have total operator assessed best estimate prospective resources of 54 million barrels of oil and 26 BCF of.

“We look forward to an exciting few weeks and months as we provide the market with updates across our portfolio, including completion of our acquisition of an interest in the Bunga Mas PSC and both the forthcoming Colter new drill, which is targeting 22 million barrels of oil (1.76 million net to Andalas) and the additional studies on our Badger investment.”

Gross Split PSC Regime

Indonesia introduced a new PSC scheme based on gross production split in 2017. The Government’s intention was to incentivise exploration and exploitation activities by providing spending and operational freedom to operators.

The new regime is based on a gross production split without regard to a cost recovery mechanism. Hydrocarbons produced from the PSC are shared between the contractor and the government. The production split is determined by reference to the characteristics of the project. The base split for oil is 57% to the government and 43% to the contractor and for gas is 52% to the government and 48% to the contractor. The base split is adjusted by reference to variable and progressive components. The variable components include the status of the working area, field location, depth of the reservoir, availability of infrastructure, type of reservoir, carbon dioxide content, hydrogen sulphide content, specific gravity of oil and domestic component during the developments stage and the production stage. The progressive components comprise oil and gas prices and cumulative oil and gas production. By way of example, the first plan of development under a gross split PSC will attract an additional 5% contractors split and an off-shore field in water depths greater than 1000m would attract an additional 16% contractors split.

The role of SKK Migas is limited to control and monitoring of gross split PSCs and whilst it will approve work programmes it will not approve budgets which will be provided as a supporting document. Contractors may carry out procurement of goods and services independently and the governments procurement regulations will not apply the same restrictions as under the former regime.

[therealtonythetiger] 10/1/2019 18:14

A renewed strategy to deliver value..
hxxp://www.andalasenergy.co.uk/wp-content/uploads/2019/01/Andalas-Energy-Initiation-of-coverage.pdf

[therealtonythetiger] 08/1/2019 17:11

In case you missed it..
hxxps://www.voxmarkets.co.uk/blogs/

Simon Gorringe discusses operational progress.

[therealtonythetiger] 07/1/2019 21:36

Nice start to the week. My 5p target looks very reachable

[therealtonythetiger] 07/1/2019 21:36

In case you missed it..

Andalas Energy (ADL)

What have shares done?

Following a share consolidation, Andalas rocketed from 0.02p to 1.3p between August and September. Shares now trade at 0.62p each.

What’s its current market cap?

£2.29m.

What was cash at last count?

The firm had a cash balance of $38,000 as at 30 April, the end of its financial year. This was bolstered by an $827,000 placing that completed after the end of the closing period. This figure is now more than six months old. Keep an eye out for Andalas’s cash balance when it publishes its interim results for the current financial year.

What’s next?

In the UK, Andalas’s major hub of activity over the near future will be the Colter prospect, where it owns an 8pc interest.

An offshore well drilled at Colter in 1986 recovered oil on test within the Triassic Sherwood Sandstone. This is the main reservoir at Wytch Farm, which lies immediately north of Colter and is Europe’s largest onshore oil field producing over 450MMbbls to date.

For some time now, Corallian – which operates the licence – and its partners have planned to drill an appraisal well on the historic discovery. This will evaluate whether it is on the flank of a commercially viable accumulation. This much-anticipated well is due to be drilled in Q1 2019.

The gross unrisked mid-case oil contingent resource in the section proven up by the original offshore well at Colter is estimated to sit at around 4MMbbls. Predictions have put total unrisked mean-case prospective resources at 15MMbbls for the rest of the structure.

If all goes to plan, then Colter could be a strong value driver for Andalas.

[therealtonythetiger] 07/1/2019 17:00

Nice start to the week. My 5p target looks very reachable.

[therealtonythetiger] 07/1/2019 14:14

In case you missed it..

Andalas Energy (ADL)

What have shares done?

Following a share consolidation, Andalas rocketed from 0.02p to 1.3p between August and September. Shares now trade at 0.62p each.

What’s its current market cap?

£2.29m.

What was cash at last count?

The firm had a cash balance of $38,000 as at 30 April, the end of its financial year. This was bolstered by an $827,000 placing that completed after the end of the closing period. This figure is now more than six months old. Keep an eye out for Andalas’s cash balance when it publishes its interim results for the current financial year.

What’s next?

In the UK, Andalas’s major hub of activity over the near future will be the Colter prospect, where it owns an 8pc interest.

An offshore well drilled at Colter in 1986 recovered oil on test within the Triassic Sherwood Sandstone. This is the main reservoir at Wytch Farm, which lies immediately north of Colter and is Europe’s largest onshore oil field producing over 450MMbbls to date.

For some time now, Corallian – which operates the licence – and its partners have planned to drill an appraisal well on the historic discovery. This will evaluate whether it is on the flank of a commercially viable accumulation. This much-anticipated well is due to be drilled in Q1 2019.

The gross unrisked mid-case oil contingent resource in the section proven up by the original offshore well at Colter is estimated to sit at around 4MMbbls. Predictions have put total unrisked mean-case prospective resources at 15MMbbls for the rest of the structure.

If all goes to plan, then Colter could be a strong value driver for Andalas.

[therealtonythetiger] 07/1/2019 14:13

In case you missed it..
ADL – Andalas Energy and Power: could it be a 10 bagger!?
hxxps://i2050capital.wordpress.com/2019/01/06/adl-andalas-energy-and-power-could-it-be-a-10-bagger/

[therealtonythetiger] 07/1/2019 14:12

In case you missed it..
hxxps://www.voxmarkets.co.uk/blogs/

Simon Gorringe discusses operational progress.

[therealtonythetiger] 06/1/2019 15:59

#ADL – Andalas Energy and Power: could it be a 10 bagger!?
hxxps://i2050capital.wordpress.com/2019/01/06/adl-andalas-energy-and-power-could-it-be-a-10-bagger/

[therealtonythetiger] 04/1/2019 15:59

hxxps://www.voxmarkets.co.uk/blogs/

Simon Gorringe discusses operational progress.

[therealtonythetiger] 31/12/2018 20:45

Andalas Energy (ADL)

What have shares done?

Following a share consolidation, Andalas rocketed from 0.02p to 1.3p between August and September. Shares now trade at 0.62p each.

What’s its current market cap?

£2.29m.

What was cash at last count?

The firm had a cash balance of $38,000 as at 30 April, the end of its financial year. This was bolstered by an $827,000 placing that completed after the end of the closing period. This figure is now more than six months old. Keep an eye out for Andalas’s cash balance when it publishes its interim results for the current financial year.

What’s next?

In the UK, Andalas’s major hub of activity over the near future will be the Colter prospect, where it owns an 8pc interest.

An offshore well drilled at Colter in 1986 recovered oil on test within the Triassic Sherwood Sandstone. This is the main reservoir at Wytch Farm, which lies immediately north of Colter and is Europe’s largest onshore oil field producing over 450MMbbls to date.

For some time now, Corallian – which operates the licence – and its partners have planned to drill an appraisal well on the historic discovery. This will evaluate whether it is on the flank of a commercially viable accumulation. This much-anticipated well is due to be drilled in Q1 2019.

The gross unrisked mid-case oil contingent resource in the section proven up by the original offshore well at Colter is estimated to sit at around 4MMbbls. Predictions have put total unrisked mean-case prospective resources at 15MMbbls for the rest of the structure.

If all goes to plan, then Colter could be a strong value driver for Andalas.

[therealtonythetiger] 31/12/2018 12:54

euclid5.. nothing in there about Indo.

[euclid5] 31/12/2018 12:02

Andalas Energy (ADL)

What have shares done?

Following a share consolidation, Andalas rocketed from 0.02p to 1.3p between August and September. Shares now trade at 0.62p each.

What’s its current market cap?

£2.29m.

What was cash at last count?

The firm had a cash balance of $38,000 as at 30 April, the end of its financial year. This was bolstered by an $827,000 placing that completed after the end of the closing period. This figure is now more than six months old. Keep an eye out for Andalas’s cash balance when it publishes its interim results for the current financial year.

What’s next?

In the UK, Andalas’s major hub of activity over the near future will be the Colter prospect, where it owns an 8pc interest.

An offshore well drilled at Colter in 1986 recovered oil on test within the Triassic Sherwood Sandstone. This is the main reservoir at Wytch Farm, which lies immediately north of Colter and is Europe’s largest onshore oil field producing over 450MMbbls to date.

For some time now, Corallian – which operates the licence – and its partners have planned to drill an appraisal well on the historic discovery. This will evaluate whether it is on the flank of a commercially viable accumulation. This much-anticipated well is due to be drilled in Q1 2019.

The gross unrisked mid-case oil contingent resource in the section proven up by the original offshore well at Colter is estimated to sit at around 4MMbbls. Predictions have put total unrisked mean-case prospective resources at 15MMbbls for the rest of the structure.

If all goes to plan, then Colter could be a strong value driver for Andalas.

[oilbuy] 31/12/2018 08:11

Coulter drill is an appraisal well , not a production well. I can see a placing on a good result so be ready for it !

[burtond1] 31/12/2018 07:52

https://total-market-solutions.com/2018/12/31/our-outlook-for-2019-part-2/

[therealtonythetiger] 28/12/2018 20:50

Director’s Dealing.. On 27 December 2018, Mr Gorringe acquired 3,000,000 Andalas ordinary shares at a price of 0.66 pence per share, representing 0.82% of the Company's issued ordinary share capital.

[therealtonythetiger] 28/12/2018 07:06

Director’s Dealing.. On 27 December 2018, Mr Gorringe acquired 3,000,000 Andalas ordinary shares at a price of 0.66 pence per share, representing 0.82% of the Company's issued ordinary share capital.