Columbus Energy Resources Share Discussion Threads

[arrynillson] 23/1/2018 12:31

12bn - have you thought of introducing Schroders to KOD - you could explain to them why you saw value in them at almost double current share price - tell them what a great call you made with your CERP sale advice at 2p - those youngsters will be keen to learn from an ' experienced ' investor like you ( it will be a great case study on what to avoid if you want to keep your job! ).

[northpole2] 23/1/2018 11:00

Schroders have a very structured approach to investment and don't have "young fund managers" with a remit to do what they want. Investment decisions are taken by the lead managers after careful analysis. That is their modus operandi. I speak from real knowledge on this. Schroders also have a strong reputation to protect, they are one of the most successful institutional investors in the London market.

There is NO HIGH RISK FUND!

And CERP have stated they can fund the SWP themselves. Directors have to have evidence to make those statements publicly. Your 50% JV statement is just a guess. A guess without any evidence.

[12bn] 23/1/2018 10:32

Schroders are invested in Redt as well,this is another risky Aim share that they were never in previously,I reckon that they have set up a new high risk fund and it is some young fund manager trying to make a name for himself.It would explain the end of the year buying to boost the share price artificially,imo. A Cedros farm in would only happen if Koots finds a mug to put in most of the money,as I doubt Cerp could afford a 50% JV cost!!!!

[nexus7] 23/1/2018 10:30

From Garnhiem. Mon 20:37
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RE: Update
It was more of a response to Joes claim on an acquisition.. although looking closer, the onshore fields on offer require CO2 or alternatives are within the SWP area (ish).. and we do have a BOD experienced in CO2 and waterflood.

Follow the strategic road map :)

[12bn] 23/1/2018 06:08

I do not know the answer to your question Garnheim,in fact imo, you seem the most informed poster on Cerp. Maybe Arry can help you but as I have him filtered I don't read his posts. Have you asked whether the cost of drilling to the Herrera sandstone level is affordable or whether Cedros drilling can only be afforded if it is very shallow wells? Watch out for ambiguity in any reply. The share price is only doing as well as it is due to production numbers being with-held imo. Koot felt it was OK to mention 1 weeks production number but not 3 months on a recent RNS.

[nexus7] 23/1/2018 00:01

Oil Rises on Saudi-Russian Alliance Talk After Market Hesitates

→ It may be 2019 before the oil market re-balances: Al-Falih
→ U.S. crude stocks are seen dropping 2.5m bbl last week: Survey


Oil closed higher after Saudi Arabia and Russia signaled production cuts may be extended into 2019, initially worrying traders that their efforts aren’t working...

[nexus7] 22/1/2018 20:44

improved oil recovery

[wstirrup] 22/1/2018 20:17

Not being an oil man... Can anyone answer...What's IOR?

Injection Oil Recovery?

W.

[nexus7] 22/1/2018 18:47

From Garnhiem. Today 18:31
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RE: Update
As a strategy to increase its oil production, Petrotrin is seeking to partner with suitably qualified local and/or international Firms that are interested in jointly designing and implementing IOR projects across its acreage/fields, both onshore and offshore. This Pre- qualification Process seeks to identify those Firms that meet certain financial, technical and other criteria that Petrotrin deems necessary for such partnering.

Possible IOR project areas in Petrotrin’s onshore acreage include:
• Forest Reserve
• Parrylands
• Point Fortin
• Guapo



PRE-QUALIFICATION EVALUATION CRITERIA
1.1 Legal Entity
1.2 Conflict of Interest
2.1 Credit Facility Sources of funds of Applicant
2.2 Historical Financial Performance
3.1 Experience in IOR Projects
3.2 Resources
3.3 Project Plan & Execution Methodology



Question 1:
Please clarify Conceptual Contract Model as indicated in Pre-qualification Criteria point 3.3 Project Plan and Execution Methodology.
Answer 1:
Petrotrin is seeking to partner with companies that will assess the potential of the areas identified for possible IOR projects and make a proposal to invest in the development of the project/area via a risk sharing model. The proposal should be based on the contractor's technical and financial capability and risk appetite. An example of one such model may include funding the full/or a percentage of the cost of the project and receiving payment plus a premium based on incremental oil production. As there are many potential models, Petrotrin would allow the contractor to conceptualize their own risk sharing model.
Petrotrin will however, not pay for the cost of any initial study to determine the potential of the project/area.



For this..CERP would need to get past the pre quailification first.

[nexus7] 22/1/2018 18:42

From DeanVM
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Facts and newsToday 13:53Please can posters back their posts up with links to how they have their opinions.
I'm a LTH and I'm going to hold on to my shares until we get passed the 10p mark.
Brokers are estimating Cerp to go over 20p (fact).

[nexus7] 22/1/2018 15:56

From bigdouble Today 09:58
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Update
Before the end of the month is my view. I am not talking production, it will be Spain, bolt or something unexpected. Enjoy the ride.

[the guardian] 22/1/2018 15:15

Looking at today's trades, we're lucky not to be lower.

[arrynillson] 22/1/2018 12:44

Even 12bn grudgingly admitting deep drilling on Cedros has a chance at being profitable ( now that he's been educated! ) - what's not profitable is advising readers to sell at 2p only weeks ago - still no apology from the buffoon!

[garnhiem80] 22/1/2018 12:40

Can’t see CERP jumping in with both feet upon receiving new/renewed production licences..

Probably see well reactions in Icacos/bolt leases first, with well extensions and possible side tracing.. all of which would have to be confirmed by CERP.. on top of ongoing works in Goudron waterflood.

Koot has proved his actions can lead to a sustainable share price.. next is self sustainablity in operations.

Was there a reason why Petrotrin farmed into T.E.D leases in the SWP? I’m not entirely clear how the private petroleum licences work (haven’t come across any others in Trinidad)?

[12bn] 22/1/2018 12:12

I agree that if the source reservoir is ever drilled to then Cerp really does have a chance to turn profitable but I doubt that well will ever get drilled.

[12bn] 22/1/2018 12:08

Good post Garnhiem80,good research,you deserve to do well. I would contact Cerp regarding their costings though as I have a feeling that they are being economical with the truth. They may be able to drill a shallow well on the Cedros Peninsular but I cannot see them being able to afford even 50% of a deep drill to the Herrera sandstone reservoir,which may be even deeper than 13000 ft.

[arrynillson] 22/1/2018 11:15

12bn - we've had this all out before so both your memory and comprehension are failing you again. CERP needed BOLT as they have the leases on the deep drilling ( which is what we are discussing) - shallow drilling at less than 5000 is unlikely to be a priority for CERP in SWP as they have great infrastructure in Goudron and plans to maximise output there through new pumping tech and water flood ( which you believe can't work even though it has been successful in Trinidad and Koot has great experience with it in North Sea! ). Without dinosaurs we might not have had the oil in Trinidad so they have their place in history - possibly not for advising on O&G investments haha!

[garnhiem80] 22/1/2018 10:51

Well SWP1 was drilled by Trintoc in 1984 in a spot to the East of Coromandel Settlement. Way back in 1954 saw the drilling of the deepest land well on the Peninsula, Apex Cedros 4 (ACD4) to 16,155' and found 30'of Lengua light oil/condensate pay at 13,000'. This well is just onshore Esperanza Bay.

IN 2001, Trinidad Exploration & Development completed 270 square km of 3D seismic over a large southern part of the SWP and drilled only one deep well FRM-1 in 2008. It was planned to go to 15,500’ but only reached 12,300’ (10,000’ TVD) before mechanical failure and cost overrun. A 50’ section of oil pay was found at 11,750’ drill depth but the lower Herera sandstone reservoir rocks were not reached. This well lies within the Cedros Private Mineral Rights License.

[12bn] 22/1/2018 10:34

Northpole2,as a relative newbie,I don't suppose you know that Cerp have plenty of land in the Cedros Peninsular that isn't linked to Bolt. In fact the old LGO bought up the drilling rights to almost everything in that area in private hands (when these locals could prove their title,which was less common than you would expect). Permission to drill was never even applied for,WHY? Have you asked the company what their costs are expected to be to drill to 12000 ft? The company will probably give out a vague 'from income' and avoid mentioning that the figure given will be for drilling a shallow well. I suggest that you quiz the company on this and don't be fooled by their deliberate ambiguity on depths of drill and costs. It is your investment,it is up to you holders to get to the bottom of this companies position,I can merely point you in the right direction.

[12bn] 22/1/2018 10:21

Not much buying today I see. I suppose even Cerp understand that it is better to buy at 5p rather than 6p. It should prove a good move to just hang fire on the buy button,imo.

[northpole2] 22/1/2018 10:19

12bn. The reason it hasn't been drilled since 2011 is that the BOLT transaction had not yet been completed. You can't drill a well until you have secured the licence and obtained all the necessary regulatory approvals. No oil company could even if you are Shell or BP. I repeat what was said by the Company in the Interims in September ...

"Most importantly, the additional funds will enable the Company to progress towards implementing its hugely exciting exploration programme on its South West Peninsula (“SWP”) assets. It is now the Company’s view that it should be in a position to internally fund the first few exploration wells on our SWP portfolio without the need for a partner to jointly fund the programme. Whilst Columbus may still look to source a partner to farm-in to the SWP programme, as a means of de-risking and potentially speeding up the programme, this is no longer considered to be an essential requirement to unlock the huge potential the Company sees in the SWP portfolio and, subsequently, to potentially deliver transformational growth in the medium-term".

The Company clearly has a different view to you on the costs of the wells and their ability to fund. It would appear you are behind the times on this 12bn. As you would appear to be on many other things. Schroders clearly believe the story and they are renowned as shrewd and picky investors.