Faroe Petroleum Share Discussion Threads

[rogerlin] 29/6/2016 21:04

The presentation has some unfamiliar prospects in the drilling activity schedule (page 5), Oshun and Dobby are new names to me, as well as "further attractive exploration well opportunities...like Rungne, Frisbee and Yoshi. Not sure which licences these are in.

Personally I like Faroe's drilling programme which gives me hope that one day we will hit the big one. Thought for a while that Pil might be that one, but sadly the appraisal targets disappointed. Looking forward to Dazzler though as the chances of an elephant are surely higher in the Barent's.

I have to agree though Ed that the model hasn't delivered in regard to the share price, especially for long term holders. Could they manage a small dividend? Can't see it at the moment. Sell Butch or Pil and return the cash to shareholders? Can't see that either really. Cash is king in these uncertain times.

[ed 123] 29/6/2016 18:03

Ah well, it seems my posts from earlier today were all lost by an advfn outage.

Topped up my holding in Faroe this afternoon.

Might seem a bit odd, having grumbled to management at the agm. I can see the value, though, and if the big global drop in investment in oil production feeds through into falling output (a year from now?), then Faroe should join the sector uplift. Also, the shares had fallen back on the Brexit thing but Faroe is not exposed to the UK economy and furthermore is a dollar earner. Anyway, that's the rationale. (NAI, etc.)

[rogerlin] 28/6/2016 20:07

Thanks Scaff55. The cartoon of Brasse (page 6) has developed a large yellow blob, looks very promising.

[scaff55] 28/6/2016 19:27

Presentation on there website today.

[rogerlin] 24/6/2016 20:47

Positive mention of Njord towards the end of this piece.

[rogerlin] 21/6/2016 08:26

Permit for Brasse sidetrack.

[wbodger] 17/6/2016 19:02

Separate reservoir, but perhaps of the same sands as Brage. I think Wintershall would have joined the JV if the geology suggested PL740 might extend Brage further south, so I lean to the separate prospect. Whatever charged Brage did not necessarily charge Brasse, but I'm not a geologist.

I'm away from the computer till after the EGM. I'll be interested if GS is working on replacing Njord/Hyme production.

Come on England! (Edit 3/07/16 ... Ouch)

[ed 123] 17/6/2016 15:10

My take on 'analogous' is that the solid material of the Jurassic reservoir of Brasse is of the same composition and was laid down at the same time as the rock of the Jurassic reservoir of the Brage field.

The pre-drill view of Brasse was that it was a 4-way dip enclosure. If that is eventually proven to be true, then there will not be any connectivity of gas/fluids in Brasse with those in Brage. Brasse will be a separate reservoir.

Taking an optimistic view, pre-drill seismic is always data supported guesswork and the favoured interpretation can be wrong. For example, they got the interpretation of Pil wrong and there turned out to be a much greater column of hydrocarbons present than the pre-drill estimate.

At this stage I wouldn't discount the possibility that Brasse is to Brage as Oseberg Sor is to Oseberg. (viz: the southern extension may hold the equivalent of about 15% of the reserve volume of the main field. Almost certainly a fanciful dream of mine, but Brasse would then hold about 60mmboe recoverable.)

[rogerlin] 17/6/2016 14:07

"The well encountered approximately 18 metres of gross gas-bearing and approximately 21 metres of gross oil-bearing Jurassic reservoir which is believed to be analogous to the effective reservoir at the Brage producing oil field (Faroe 14.3%), located approximately 13 kilometres to the north of Brasse."

What does "analogous" mean. Does it imply that the strata are flat and that they could be in continuity? It will be interesting to see in which direction the sidetrack is drilled.

[rogerlin] 17/6/2016 13:52

On the NPD maps the green blob of Brage is drawn going halfway down into PL185, although on what evidence I am not sure, as there don't seem to be any wells there (they are optimistic with the extent of their green blobs I think), but from there it isn't that far to Faroe's current drill. Oseberg Sor also not far away. I haven't any sense of whether the strata in this area are flat or faulted and so how far this could extend? Interestingly one of the co-venturers in Brage is VNG at 4.4%, not a material percentage for them, I wonder what their intentions are?

[wbodger] 17/6/2016 09:44

rogerlin, following up #7582:

PL185 has a long history, but afaics it has been carved out and awarded to the same jv that has the rest of Brage, PL055. The carve-out does include quite a bit which (as you say) has not been drilled, but the Brasse JV is not identical to the Brage JV, so if the (31/7-1 A ?) sidetrack goes in a northerly direction it will suggest FPM and Point are trying to connect Brasse to Brage. Or to explore that possibility.

Otherwise probably exploring Brasse as a separate prospect in the south of the licence.

[rogerlin] 17/6/2016 09:14

Links to a short video about Brage, accompanied by cheerful music. Looks like Wintershall would be delighted to have some more reserves to feed into it.

[ed 123] 16/6/2016 23:56

I've seen an estimate of the remaining gross reserves at Brage - about 40mmboe - which may change with further infill drilling.

IF the Brasse sidetrack proves commerciality, that may boost reserves by a half, or so.

Also, the gas at Brasse may be useful as an aid to oil recovery from Brage. It seems that recovery support at Brage used to be from gas but was changed to water as the available gas became insufficient. I don't have the technical knowledge to comment on the feasibility here but, as a layperson, I'd guess it has to be cheaper to get the oil out with just gas support, rather than large volumes of water which then have to be separated and cleaned.

Lots of "IF". It may yet come to nothing.

Not long to wait - That Transocean Arctic drilled the main well very quickly.