Harbour Energy Share Discussion Threads

[frightened city] 12/7/2017 13:33

This was delivered by Andrew Lodge who the board "let go" and one of the NEDs who left (Banford, I think).

[dr biotech] 12/7/2017 13:18

In fairness TD did say at the AGM that Zama could be transformational. It was a reason that I added this week. Thanks again to the person who posted about the AGM here - my extra investment was partially based on your AGM report. Its how BBs should work.

[colebrooke] 12/7/2017 13:01

Shorts closing early ahead of refinance completion

[mount teide] 12/7/2017 12:38

300k @48.3p & 360k @48.4p went through in the last hour - some 'fortuitous' large buys from late yesterday getting slipped into today's high volume?

[rizler] 12/7/2017 12:27

Feels like it wants to go up but staying steady!When we expecting the flow rates?

[moneybags] 12/7/2017 12:20

Ya Wee Beut

Regards , MoneyCoveredInOilBags

[zico01] 12/7/2017 12:00

Bought heavily after that very impressive RNS. That is going to be one hell of flow rate. Buy and hold very tight.>>>>>>>>>>>>>>>>>>>>>>>>>>>>> above £1 after flow easy.

[adg] 12/7/2017 11:48

although on the conservative side that is a sensible absolute minimum valuation for base value.
Equally in better markets/sentiment a very optimistic estimate could be 1.2b oip x 35% recovery x $7 to $8 / bl due to location, quality, scale, depth etc.....

[stemis] 12/7/2017 11:40

1 bn barrel oip x 25% recovery x 25% interest x $2/bl = $125m or about 20p a share.

[hpcg] 12/7/2017 11:32

FAQ from the operator

Appraisal next year, rigs cheap.

[asif1230] 12/7/2017 11:14

wonder what would the price be if this happened in the boom time...

[mreasygoing] 12/7/2017 11:03

This is PMO, I'll wait for the dip later before adding.

[steve73] 12/7/2017 10:53

Today is shaping up to be our largest volume trading day in the last 2 years... even exceeding the day we got relisted in Feb '16.

[sawadee3] 12/7/2017 10:42

Much further to go yet with Brent rising nicely too :-)

Happy days chaps :-)

[gersemi] 12/7/2017 10:37

Talos and Premier in ‘significant’ Mexico oil discovery

International consortium says discovery is world’s fifth biggest in past five years

An international consortium has struck oil in Mexico in what it says is the fifth-biggest discovery anywhere in the world in the last five years, following a landmark reform that prised open the country’s energy sector after eight decades of state control.

Talos Energy of the US, Mexico’s Sierra Oil & Gas and Premier Oil of the UK announced the “historic and significant” find in the shallow waters of the Gulf of Mexico almost two years to the day after picking up the only two blocks awarded in the country’s historic first oil tender in July 2015.

Sierra owns 40 per cent of the block, Talos has 35 per cent and Premier 25 per cent. Shares in Premier, which described the find as “an extremely important event”, jumped more than 25 per cent to 58 pence when the shares started trading in London on Wednesday morning.

“What really makes this unique is that this is truly an exploration project,” Tim Duncan, president and chief executive of Talos, the block’s operator, told the Financial Times. It was what the industry terms a “wild cat” drill — in an area that had never before been explored. The nearest well drilled was 20km away and had come up dry.

Italy’s Eni announced a “meaningful” shallow-water discovery in March but in an area previously explored by Mexico’s state oil company Pemex.

The Zama well, some 60km off the coast of the southeastern state of Tabasco, contains an estimated 1.4bn to 2bn barrels of light oil in place, potentially extending into a neighbouring block.

“It’s huge,” said Iván Sandra, Sierra’s chief executive. “It was twice what we expected.”

Pablo Medina, oil analyst at Wood Mackenzie, said the discovery was one of the “20 largest shallow-water fields discovered globally in the past 20 years”.

Stephane Foucaud, an analyst at GMP FirstEnergy, said the size of discovery was well ahead of estimates and there were several “very encouraging” signs, including that it is light oil and the reservoir is of good quality. Light oil is considered preferable to denser heavy oil as it is easier to process. However, Mr Foucaud added: “There is no question that one needs to be cautious until the well has been tested.”

The announcement came as Mexico prepares to auction 24 onshore blocks on Wednesday. Ten out of 15 shallow-water blocks on offer were awarded a month ago and eight out of 10 blocks in the deep waters of the Gulf, considered the crown jewel of Mexican oil prospects, were awarded last December.

Mexico has already attracted nearly $50bn of investment in the key sector since the first auction. The new players, which include ExxonMobil, Total, Chevron, Shell and China’s Cnooc, bring much needed cash and specialist expertise to a sector where Pemex has moved back into the black after a painful austerity programme, but where production this year is expected to hit its lowest in four decades.

Mr Duncan said the well would now be appraised in 2018 and investment numbers crunched in 2019, with production potentially beginning three to five years after that.

Zama is twice as big as Trion, a deepwater field in the north of the Gulf that BHP Billiton partnered with Pemex to develop, in the first joint venture in the Mexican company’s 79-year history.

Investment in Trion is estimated at more than $11bn, and Zama is expected to cost “a fraction” of that because it is in easier-to-access shallow waters. “It’s a win-win to have something this big,” said Mr Duncan. Once the block enters production, the government will take a 68.99 per cent share of the profit from each barrel produced.

For Talos, whose US discoveries tend to be smaller because the US side of the Gulf is so mature and comprehensively explored, “having something [Zama] that has decades in front of us is nice diversity for us”, Mr Duncan added.

The arrival of new companies into Mexico’s oil sector “creates a sense of urgency which is greatly needed”, he said. “[A big discovery] raises the profile [of Mexico] for everyone. If we have success, other operators will feel they can have success.”



thanks to the FT, appreciated

[my retirement fund] 12/7/2017 10:26

Well if your that confident hpcg then I may as well have some too!

[cashandcard] 12/7/2017 10:20

"A contiguous gross oil bearing interval of over 335 metres (1,100 feet), with up to 200 metres (650 feet) of net oil bearing reservoir in Upper Miocene sandstones with no water contact"


No water contact and another 2,900ft to go!



Cash

[hpcg] 12/7/2017 10:04

Bought fairly heavily today. It adds an enormous amount to NAV, closer to $10 dollars in the ground than to $1. This is the type of discovery that gets sanctioned at 20 dollar oil; 166m of water is about the same as Brent. They are practically drilling a producer right now. They could easily start extracting from the top of the liquid column even if it is nowhere near the crest. Very little chance of compromising the reservoir. This is a very valuable property.

[cashandcard] 12/7/2017 09:56

Another 3000ft until total depth. There could well be more in this well alone. An enormous find.


Cash

[csmwssk12hu] 12/7/2017 09:53

I'm in the will sell the stake to pay off debt, this could clear debt alone and have some to spare if they get right price, let's face it it's not easy finding oil in fields this big anymore imho dyor

[someuwin] 12/7/2017 09:38

Added here today. Excellent news.

[cashandcard] 12/7/2017 09:28

Outstanding discovery. Given its a stones throw from the supergiant Canterell complex (circa 35bln bbls OIP) I suspect this field will only grow and satellites within the block will be hot property. This is the first well in an underdrilled basin, known to host monster oil resources and reserves. I will be buying back when I'm in a position to do so.


Cash

[shaf200] 12/7/2017 09:24

Added... averaging at 78p now... hopefully the momentum continues...

[steve73] 12/7/2017 09:03

25% of 1.4-2 Bbbl oip... deep Miocene sands should recover 25-35% minimum...

So, we could have 87 - 175 M bbl... Even after Mexico's entitlement of 68.99% of profits after costs, this could be worth multiples of the current mcap.

[patience a virtue] 12/7/2017 09:02

Marvin is an idiot and Dean has a bipolar.