Anzon Energy Share Discussion Threads

[bomfin] 12/7/2007 08:09

With Nexus up 20 cents A I've dipped by 'toe' back in.

[ntv] 11/7/2007 10:20

after mkt news
no comment on if they are insured
short term vessel hire will cost big bucks and if they are not insured....

[ed 123] 11/7/2007 09:25

Just returned to the thread. Snap JONNO1 !

I can't fathom this out, the move up 10% by AZA and down 5% by AEL. It makes no sense to me.

[ed 123] 11/7/2007 07:38

Something to cheer up holders - AZA up 9.8%.

[jonno1] 11/7/2007 07:38

up nearly 10% in OZ, nearly sold my last piece yesterday, buying opportunity, or last gasp??? discuss

[ed 123] 10/7/2007 13:29

Thanks PETOIL and other posters.

I was crying into my cocoa on Friday :-(((

As ever, AEL looks too cheap in the market, imho. However, while I've held AEL I have watched other opportunities come and go. Friday's news finally convinced me to exit.

I suppose a bid for AEL is possible, it looks so unwanted by the market. AZA still has its reserves and there is still the RAK P link. Time will tell.

Good luck to all holders.

[scubbler2] 06/7/2007 10:17

If its like critical illness or redundancy policies they have a fight on their hands!!

[spacecowboy3] 06/7/2007 09:57

Hi scubbler

I see the announcement says - "A business interruption insurance policy is available to the Joint Venture." - which doesn't seem quite the same as saying "Any loss of profits caused by this interruption is covered by our insurance policy".

Anyone got any knowledge/experience of this type of thing?

[scubbler2] 06/7/2007 09:39

Thats three of us still here then -lol

[spacecowboy3] 06/7/2007 09:27

Hi markfrankie - looks like it's just the two of us then :-)

The AZA production problems do seem like bad luck (although there has to be a point at which bad luck grades into incompetence). What I'm a bit more peeed off about is the lack of news from the RAK partnership. When it was announced in October 06 they said -

The MOU provides a platform for the Company to pursue international oil and gas opportunities with RAK Petroleum. Initially the particular focus will be on the Middle East where the special relationships held by RAK Petroleum will assist the rapid growth of E & P opportunities for evaluation by AEL. The intention is for the two companies to expand their interests beyond the Middle East with clearly stated objectives of building a major influential E&P group in several geographic locations. A combination of RAK Petroleum's influence and AEL's technical management expertise coupled with the financial capacity of the two organisations underpins the rapid projected growth of this new alliance.

I had thought that comments like "rapid projected growth" indicated they already had something planned but it seems not. Given that, I suppose 9 months is not that long for acquiring acreage, etc. and (even) more patience is required. RAK paid £1-20 for their 3.8m shares and the convertible price is £1-45 so one assumes they must have thought there was significant upside.

[scubbler2] 06/7/2007 09:27

Space - interesting posts - I think most are speechless at the endless stream of problems. Operating in difficult waters using newish technology but this appears to be more than 'teething problems'- but hanging on hoping they get their act together.

[markfrankie] 06/7/2007 09:11

unfortunatly not, im still here for my sins

[spacecowboy3] 06/7/2007 09:05

Not much consolation but AEL is still undervalued compared to AZA -

Shot at 2007-07-06


I seem to be talking to myself - am I the only one left here? :-(

[spacecowboy3] 06/7/2007 08:18

More disappointing news from Australia -



At 7:00 pm on 5 July the Single Point Mooring (SPM) for the Basker Spirit parted and the Basker Spirit drifted away from its location. No personnel were injured and no environmental incident has occurred.
....
The actual nature of the damage to the SPM could not be determined overnight. Inspections will be conducted during the day but it is anticipated that the producing operations will be curtailed for a number of weeks to repair the SPM. A business interruption insurance policy is available to the Joint Venture.

Ho hum.

[goodgrief] 30/6/2007 17:45

Some interesting comment from The Herald Sun. Seems the line is that they're giving up the gas supply deal to focus on the more lucrative oil business.

So good news after all!?



Gas put on back burner

Mandi Zonneveldt
June 27, 2007 12:00am


BASS Strait oil producers Beach Petroleum and Anzon Australia have given up a 15-year gas supply deal, potentially worth $600 million, to focus on the more lucrative oil business.

The two companies will defer gas production from the Basker Manta Gummy project in Bass Strait - originally slated for 2009 - and put more work into evaluating the oil and gas fields which were described yesterday by Beach managing director Reg Nelson as "very much larger than we first thought".

Beach had signed a 15-year agreement to sell gas from the project to Alinta, but the deal was contingent on a final investment decision on the gas development being reached this month.

Alinta had planned to pipe the gas to Tasmania to feed a new 200MW gas-fired power station. That project is now under review.

Anzon and Beach began selling oil from Basker Manta in January last year, breaking BHP Billiton and Esso's decades-long stranglehold on the Bass Strait.

Mr Nelson said last night the gas project, estimated to cost $500 million, would have yielded only a "modest return".

Given the uncertainty around the project's reserves, he said further evaluation work was needed to allow a more informed investment decision.

Anzon and Beach are now considering replacing the floating production, storage and offtake vessel and shuttle tanker they have been using to produce oil with a larger FPSO to allow increased oil production.

A gas development is still on the drawing board, with a decision expected within 12 months.

Mr Nelson said last night he was confident there would still be a market for gas from the project, even with the delay.

"What the price will be I don't know, but I certainly believe it will be equal to the current price," he said.

Beach shares lost 5 yesterday to $1.47. Anzon also lost ground, falling 11 to $1.14.

[joan of arc] 29/6/2007 09:03

You've got it Ed. There's obviously a feeling that these guys can't organise themselves, see ahead or anticipate problems. That there is no sign that the Arabian connection is coming to anything and no sign of new prospects, with Indonesia dead, this is seen as a one trick company without much of a future. Hence the lousy rating. In the absence of something surprising don't hold your breath for 100p!

[ed 123] 29/6/2007 08:01

Even the weather is against the Company. There was a similar drop in AZA the day before and one biggish sell triggered the corresponding drop here.

I keep expecting this to bounce but it keeps going lower.

I perceive a lack of confidence that AZA and partners will get the oil out smoothly (no pun intended).

When they have settled into a period of uninterrupted production we should be back at 100p, imho.

[goodgrief] 29/6/2007 07:47

Weather halts production for a few days and the share price falls 10%
Or did something else terrible happen?

[stephenwilson] 27/6/2007 08:51

OK, thanks for that sranmal.

[sranmal] 27/6/2007 08:49

The gas is being reinjected into the reservoir via Basker-3 IIRC.

[stephenwilson] 27/6/2007 08:34

Ed Does the gas remain in place or is it lost, presumably by flaring during extraction. Can you take oil from a well and leave the gas intact?

[ed 123] 27/6/2007 08:20

Thanks GoodGrief.

Just guessing but it seems to have been a case of getting out the easy stuff first (ie. the oil). The oil will give big earnings and hopefully restore confidence. The gas remains in place for another day.

[goodgrief] 27/6/2007 08:03

Beach and Anzon pulled the plug on Alinta, rather than the other way around.