Genesis Petroleum Share Discussion Threads

[barrywhit] 26/8/2008 11:38

Morning All.

Very good news, lets hope we do have a gusher..........lol

[never_say_never] 26/8/2008 11:36

I hope we have a Gusher I could do with some money back from the MM....Its seems to have been a one way street in their direction ...

[goldenshare888] 26/8/2008 10:42

If the drill bit hits the black stuff (and the odds are 50/50 imho with the comprehensive data history for this licence area )we will have a gusher on our hands!!!!!!!!!

With nine other licences and farm-ins being discussed and evaluated this is looking a very interesting exploration play.

Added more today.

[rdpounder] 26/8/2008 08:47

Yep, RNS out this morning, drilling has commenced. Initial results in around 30 days

[jimarilo] 24/8/2008 17:41

Edit: Well I read that wrong sorry ;-)

Drilling Operations Commence

Genesis announces today that the SEDCO 704 semi-submersible drilling rig has arrived on site in UKCS Block 9/5b and has commenced operations. The well will test two potential hydrocarbon accumulations with final target depth expected to be reached within 30 days.

Genesis currently has a 100% interest in the Block License and is Operator. The Company is evaluating offers to farm-in to the License and one or more of these could be finalized, subject to Government approval, before completion of drilling operations.

The Company has contracted AGR Peak Well Management to undertake the complete well services project including the provision of the drilling rig.

Speaking for Genesis, Gerry Harrison, Chief Executive, said, 'We are very pleased to be the Operator on our first well and excited about the potential hydrocarbon accumulations. Although the Genesis team has been particularly focused on the 9/5b project, the Company has also been working on a number of other prospects both in the UK and Norway that we intend to drill in the future. We have an excellent portfolio and very competent partners and expect to announce additional drilling plans during the next quarter.'

[never_say_never] 20/8/2008 08:43

Its getting closer to drilling, a good buy first thing this morning more to come I hope.

[baht] 14/8/2008 11:54

Wellcome aboard AEDS

[aneverydaystory] 14/8/2008 11:51

morning posters, I just thought i'd introduce myself. I've been reading these forums for a while now and just wanted to say I value the expertise and opinions of its members; I am still a bit green as far as investing goes so its helpful stuff in general. I've been exposed for GPC for a few years now and also IMG, EEN and BVC. I must admit though that they've been investments on instinct more than figures, but I'd like to think they have good technical potential. Anyway, if i've got something worthwhile to add to your comments I will, otherwise I will join you in looking forward to a fruitful time ahead. And that's about all I have to say about that.

[jimarilo] 14/8/2008 11:01

Agreed baht,

at some point you would expect GPC to reduce risk by farming out, which currently may prove better value than trying to issue shares in todays climate

[baht] 13/8/2008 15:51

Jimarilo The £16M will last a lot longer if GPC can claim back 78% of exploration costs for the Norwegian licences. Indeed I wonder if this is what has influenced the proposed drilling schedule. Cash burn on drilling may also be hedged by further farm out deals. Just my 2p's worth.

The long term prospects here just keep getting better. Although it will not be the end of the world, in fact far from, I hope there is something at the other end of their first hole in the ground!

[barrywhit] 13/8/2008 14:39

I must say, this does make very good reading......

Review of Operations

In February 2008, Genesis Norway was awarded interests in three Production Licences offshore Norway. The awards gave Genesis Norway 15% of Blocks 26/2 and 31/11 together with Wintershall (15%), Petoro (20%) and the Operator, StatoilHydro (50%). In the second award Genesis Norway gained 30% of Blocks 6609/8,9,10 &11, above base cretaceous, together with Lundin (30%) and Operator E.ON Ruhrgas (40%). The third award was a 20% interest in Blocks 6609/8 & 9, below base cretaceous, together with Lundin (20%), Petoro (20%) and Operator E.ON Ruhrgas (40%). The Company has not booked any reserves. However, the Company estimates with these awards the recoverable resources within the exploration portfolio are now approximately 1 billion barrels of oil equivalent ("boe"), net to Genesis, on an unrisked basis.

In April 2008 Genesis awarded a drilling contract, securing the SEDCO 704 semi-submersible drilling rig, to drill the Company's first well located in UK Block 9/5b.

During June 2008, the Company completed a site survey of the 9/5b well location and is now in a position to commence drilling once the rig has been delivered following its release from current operations. Genesis also commenced seismic survey operations on four of its Norwegian Production Licences including the three licences awarded in February.

To encourage exploration activity in Norway, the Norwegian Authorities provide a tax incentive in the form of a grant to companies representing 78% of eligible exploration costs incurred within Norway. Genesis Petroleum Norway AS qualifies to receive this grant which is paid 12 months in arrears. In order to maximise the benefits from this, Genesis signed an agreement in June 2008 with Norway's largest financial services group, DnB NOR, giving the Company access to a bridge finance facility which will fund approximately 95% of the anticipated grant and therefore approximately 74% of the Company's exploration expenditure in Norway.

Also in June 2008, Petroleum Geo-Services ("PGS") converted their loan note to equity. The loan note of £575,000 was converted into 2.3 million shares and increased PGS' shareholding in Genesis to 29.5%.

Outlook

Genesis anticipates the commencement of drilling operations on UK Block 9/5b at the end of August 2008 and the results of this well are due at the end of September 2008. Drill or drop decisions will be made on several other UK Blocks around the year-end. Drilling decisions are anticipated on several Norwegian prospects during the early part of 2009.

The Company continues to review opportunities to farm-in to other acreage and also to farm-down on currently held acreage to optimise the risk profile of its exploration portfolio. In addition, Genesis is participating in three licensing rounds in 2008 - UK 25th Round, Norwegian APA 2008 Round, both with awards due during Q4 2008 and the Norwegian 20th Round of licensing, with awards due during Q1 2009.

[jimarilo] 13/8/2008 10:24

Excellent news first well spudding in September possibly

and ....Drilling decisions are anticipated on several Norwegian prospects during the early part of 2009.

However £16m only stretches so far so when is the next funding ?

Before the well results or after ?

[baht] 13/8/2008 09:56

What an encouraging set of figures and news update. Lots going on. We have all been waiting for news of a start date for drilling, but I don't recall any earlier comment about the most recent Norway awards. The potential doubling of Recoverable resource estimates will be absolutely fantastic if/when these figures are confirmed as Risked!

I expect to see further share price advancement prior to drilling results.

Highlights

Operations
* Rig secured to drill first well in August 2008 on Block 9/5b (100% Genesis)
* Awarded interests in three new licences offshore Norway
* Recoverable resource estimates almost doubled from 550 mmboe to 1080 mmboe
* Seismic acquisition commenced on four Norwegian licences

Financial
* Cash balance of £15.7 million at the end of the period
* PGS Loan Note of £575,000 converted to equity
* The Group made a loss before tax of £1.3 million during the period and a
profit after tax of £0.7 million
* Debt facility in place to bridge Norwegian tax funding

[rdpounder] 13/8/2008 08:23

Spread the word
Genesis anticipates the commencement of drilling operations on UK Block 9/5b at the end of August 2008 and the results of this well are
due at the end of September 2008.

[never_say_never] 13/8/2008 08:04

Ardluilord had it right last month... Slowly Slowly Catchy Monkey..Just Keep your eyes this way folks......LOL....All falling into place

[ardluilord] 23/7/2008 07:35

pieces and places.just being made ready

[stoploss2] 22/7/2008 20:59

So, from page 21 I make the Sedco 704 currently located around Block 16.

I guess we wait for the next issue (31st July), and see if it has moved to Block 9.

Good find Steelwatch and thanks to Haydock for moving to here.

SL2

[haydock] 22/7/2008 20:33

Borrowed from NPE, Steelwatch had a good find: some sctivity buried here.


steelwatch - 22 Jul'08 - 17:40 - 1916 of 1920

[barrywhit] 22/7/2008 17:05

cheers Swampydrill.........

[swampydrill] 22/7/2008 16:55

Sedco 704 is contracted to BP but sub letted to AGR as far as i know.

[bogg1e] 22/7/2008 16:34

I was looking at them at 34p, dribbling, but couldnt afford to lose a couple of grand if the fall had continued. Shame cos it would have been nice to be able to sell and take a few thousand shares for free. Oh well. I think it will be a while before the low thirties are hit again (if at all). A lot of large investors are keeping shares until at least the results from the first drilling attempts are out, so if it reverses it wont be far and it wont be for long. Only a few months to go before speculative buying will begin in earnest imo. Shame the drilling seems to be pushed into the winter months, shame that, not the best time to be performing such operations in the North Sea. Good luck all (and to the rig operatives, they are gonna need it!)

[barrywhit] 22/7/2008 16:25

baht, i think that proves my point........lol

[barrywhit] 22/7/2008 16:18

baht,

The share seems to rise or drop on any small trades, closely held not a lot in free float...........imo.........the retrace from 62p was on fairly small amounts of trading, no large sells......