Europa Oil & Gas (holdin... Share Discussion Threads

[edgein] 11/10/2017 09:00

Jus,

I'm afraid that post above doesn't make much sense, you don't need an anticlinal structure to get fractured carbonates. Are the Austin chalks for example just one massive anticline? Nope. As chalks are brittle it just takes enough pressure/geological forces for them to become naturally fractured and that can be on a regional scale not just defined to one closure. Yes the BB geology is likely very different to Holmowood in terms of KL. We're likely to get a result that mirrors HH and Brockham than BB. I'm not expecting a section of KL of massive continuous 1000ft+. I'm expecting separate formations that are much thinner, similar to Brockham. In essence what the guy above is getting at is correct in one respect. Due the extensive size of the reservoir with oil throughout it can impact on performance, especially if its highly fractured. The source will only be able to produce so much oil and gas, chalks have limited to no porosity and permeability relies entirely on fractures. Picture this, if you have a 30ft shale filling 1000ft of chalk vs a 30ft shale filling 100ft of chalk reservoir (given similar TOC of the shale and pressure etc) chances are you're gonna get a lot more oil saturation and pressure in the 100ft reservoir (assuming reservoir quality is similar in both chalk formations).

We need to wait until Holmwood gets drilled of course, but I'd look closer to our neigbours at 4kms away rather than about 35kms away at BB. Its great that the KL stretches that far and by all accounts contains oil saturated reservoir and lots of it. But as for reservoir quantity, quality and potential performance is more like chalk and cheese if you pardon the pun. Firstly we'll need to know if there is KL in H-1 and in what quantities and if so we'll have a better idea which other wells to compare and contrast.

Regards,
Ed.

[jusmasel99] 11/10/2017 08:36

Rogerlin hxxp://www.dccae.gov.ie/documents/A0_concesion_map_Jun17.pdf

Shows the well positions. definitely not in the gap. Presumably the gap is an area that has recently been relinquished.

Very interesting post from LSE board this morning with regard to Holmwood and the Kimmeridge play ..

Thanks to CCF ...

Recovering a small amount of oil from such a long interval at BB is not a real surprise. This is a fracture play and BB does not have an anticlinal structure, required to develop open fractures in the limestone. HH has an anticline and therefore fractures. QED. Holmwood has a very strong anticlinal nature which suggests fractures will be developed at Holmwood predicting closer to a HH result than BB. Even Brock may dissapoint as it is a fault block not an anticline, with less propensity for fracturing. Holmwood, however, is well and truly in the Goldilocks zone

[rogerlin] 11/10/2017 08:16

Thanks for that interesting post Jusmasel. Is the Shell well then in the gap between 16/20 and 16/23 on the diagram?

[jusmasel99] 11/10/2017 04:47

Going back to Corrib .. been off production for a while after maintenance work discovered a fault.

I have done a fair bit of research into the history of this and its potential but never really gotto grips with the timing of various events which as it turns out could be quite important.

So when did Shell decide enough was enough with Ireland and Corrib? The answer may be here Shell did not enter the last but one licencing round in 2011. Although they continued to the bitter end with developing Corrib it is pretty obvious that a decision had been made to exit and next year that will finally happen when the sale of Corrib to Vermillion and partner.

However up until this point they were actively looking to expand Corrib and were looking for additional resources ending up with an exploration well Note that the Vermillion MD was particularly excited about the possibility of a discovery.

At the time a journalist reported the well P&A and dry but that is not the official line. The findings are closed and have never been made public.

The well was drilled in the original exploration licence area and with SHell's decision to leave Ireland having an impact Shell relinquished the remainder of the licence. That is the part that we picked up in the last licencing round. Very interesting that DECCAE offered the newly relinquished area as you would have thought if it had no potential after Shell's interest they would have offered different blocks.

So why did we end up with it. It was basically on a whim. Hugh saw it was on offer and put in a bid and we won. From what I hear it took them by surprise but I think they forgot that DECCAE place quite a high premium in the scoring methodology for weighting competing bids on previous work done to generate interest in offshore Ireland (we get the full 10 points for that).

They are no doubt not the only ones surprised. hxxps://www.euro-petrole.com/shell-s-completion-of-corrib-field-not-end-of-story-for-this-irish-atlantic-margin-play-n-i-12473

So in summary - I understand why Shell left - I can see when the decision was taken and how it must have influenced later decisions on further exploration work 0 and I can understand just how lucky we have been to obtain an asset that must be of considerable interest to the Corrib partners.

Corrib could be very very exciting for EOG

[currypasty] 10/10/2017 20:39

didn't sound like great news to me.. also worrying if I were a holder would be the price action last couple of days

[rogerlin] 10/10/2017 20:23

Not entirely straightforward.

[jusmasel99] 10/10/2017 09:24

Exposure to the Weald if it all comes true at BB and Brockham but Holmwood is also a conventional target in the Portland and Corralian.

Not so sure about Avalon for PVR - that is a Paleocene target which I don't think we have in our portfolio.

Corrib is for me the real prospect as you mention. That has JOG written all over it. We might be publishing an update to our prospects there soon and my guess a farm out to Faroe and Nexen is a real possibility given their interest in the area as well with of course Vermillion likely to be interested as operator of Corrib. From successful exploration well to production possible in less than three years.

Anyway - Holmwood planning next week to look forward to and our annual results.

[greatfull dead] 09/10/2017 19:13

PVR on the move. Could possibly be a drill on Avalon which would be good for EOG if it were to happen in Q2 2018 and it comes in!

Enjoy your evening all,
GD

[suetballs] 09/10/2017 16:21

Peeps getting nervous over at ukog.
A lot safer here imo.
Suet

[4sta] 09/10/2017 15:42

Nice summary Jusmasel99. Don't forget the Corrib though - could be some interest in our licenses there in the New Year.

[guesswhosback] 09/10/2017 14:10

I have just bought some more in anticipation.When do we get to know? I guess they will RNS.

[suetballs] 09/10/2017 12:37

jog holders well done - now time for eog to have some good news.
Suet

[guesswhosback] 09/10/2017 09:32

If we get approval we may hear about the timeline in the half year statement due soon?

[timw3] 09/10/2017 09:31

o/t JOG simply priced wrong. Look at the market cap and todays news. Should be well over £4 now.

[edgein] 09/10/2017 09:14

Mr Pasty,

Yeah I think that's the current situation pretty much nailed on. Remove the risks though and these should see some acceleration.

Regards,
Ed.

[currypasty] 09/10/2017 08:52

after two knockbacks on wressle, and the games for holmwood, you cant blame punters for not rushing in... just wait till something is finally passed and we should see a major change round here

[4sta] 09/10/2017 08:45

So much to look forward to I couldn't resist so bought a few more this morning (again).Can't understand why people aren't stampeding here at this price.

[jusmasel99] 09/10/2017 08:42

And another thing ... over the weekend I saw some posts on another board about replies to emails from the OGA. 3 months it took them. How can that be? Do they sit there and wait deliberately? How many emails could they be possibly receiving from the public. ANGS hasn't even heard about their acquisition from Terrain last December!

[jusmasel99] 09/10/2017 08:37

Received the LHAG newsletter regarding the meeting ... they do like upsetting people .. not a great idea with the SCC who must be really fed up with them now. The local residents are sick to death of them as well I hear and the protestors who remain. They burned down one of their caravans and then tried to blame EOG for it meanwhile posting a photo of the remains which showed a GAS fire about 6 inches from a mattress.

Anyway - we will move on - approval of the conditions will see an RNS with an expedited drill timetable I guess. I also expect to see Hugh applying for an injunction against the slow walkers which should let the police get rid of them pronto. Huge fines recently for protestors may make them think again but I won't hold my breath.

[greatfull dead] 07/10/2017 17:58

Jus,

Too true. I could do with a good EOG rumble.

ATB,
GD

[jusmasel99] 07/10/2017 16:53

Final conditions JPT - ready to rumble if all approved...

[jpodtrading] 07/10/2017 16:26

If points 7 and 8 are approved are we good to go with drilling at Holmwood?