I3 Energy Share Discussion Threads

[muddyfox0151] 11/9/2019 09:30

Watched the interview a few times , unbelievable pilot drill decision...

[nametrade] 11/9/2019 09:29

Cashandcard,

I understand what you are saying. You can still define parameters of the field and leave some room for error....
seismic mapping is not an exact science after all.

[rnstranslator] 11/9/2019 09:22

And of course they turned down a farm in...rather than didn't get any offers like i3.

[rnstranslator] 11/9/2019 09:20

And the jury is still out in that...

[cashandcard] 11/9/2019 09:18

tsmith2
11 Sep '19 - 09:10 - 11470 of 11476 (Filtered)

[gisjob2] 11/9/2019 09:17

RNS,translator

Hurricane did on Lancaster

[cashandcard] 11/9/2019 09:17

nametrade,


Of course not, I don't think the lenders (a group of financiers) made that decision. However, these are not paupers, they will be putting up 10's of millions and will have had their own independent geological advisors/subsurface geo consultants who may have advised/insisted on a test of the wider reservoir as mapped by I3E. This is entirely plausible in my opinion.

Put another way, if they left it to I3E, they would probably have tested the same sand as Liberator discovery, as centrally aligned to that sand on their mapping. But what does that achieve for a lendor who wants to see whether the assumptions behind the application for finance are robust?


Cash

[jungmana] 11/9/2019 09:13

The board pushed to.the limit and ended with egg on their face. In a way they were too greedy and over optimistic about area of the field

[rnstranslator] 11/9/2019 09:11

The issue is quite simple.Look at page 5 of the January corporate update.Their map shows the interpreted top reservoir.Locate the 8 well..I've been on the OGA website and got the location of the recent well. It's just west of this on the Green shaded area just west of the block boundary.Overlaying the two it looks like it's in the darker black contour in the middle of the green..ie the mapped crest.If there's no sand there then there's clearly a problem with identifying the top reservoir on seismic...and these maps have to be now considered suspect.Either: They've changed the maps since January or they've drilled the well in a different location to the one they've reported to OGA (unlikely in my view).This is not a development, the mapping is flawed. Clearly linking the 8 discovery to the bigger West Liberator area is now in question...can't map the sand.They're putting a brave face on it, but if the next well misses the reservoir or is dry..,then this is toast...Never invest in a company who can't get other companies to farm in..there's a reason they won't...and it suggests that as an investor you know better than other oil companies, as do the management.Even Exxon require that major exploration initiatives are farmed out...see Guyana...it makes sure the team in question are not smoking their own dope...can anyone name a successful UK company who went 100% on a UK development?

[gisjob2] 11/9/2019 09:10

There is no way lenders chose the location of the pilot well. They may have insisted on a certain size of resource that encouraged the I3E board to push the envelope a bit, but it is they that have got it wrong.

[tsmith2] 11/9/2019 09:10

It's just silly cash doing what he does best

[nametrade] 11/9/2019 09:08

Cashandcard,
Do you really think that the lenders would over rule the company geologist on best place to drill pilot hole?
Also do you think they would ask to test the outer most boundary to the extreme...
it’s like saying we will only give you the money if it’s as big as we want it to be??

[cashandcard] 11/9/2019 09:01

the abbot,


That makes sense. However, it may have been the case the senior lenders wanted/insisted that location be tested as their subsurface consultants/experts may not have had the confidence in the modelling I3E did. If so, that seems to have been proven a wise call on their part.


Cash

[tsmith2] 11/9/2019 09:00

Still waiting to see this. Nice tight spread though

[tsmith2] 11/9/2019 08:56

Because they got too cute.. thinking they could hit edge and prove top STOIIP target. The notion lenders and a say is just silly.Anyway STOIIP here won't be reduced significantly and liberator west and serenity are huge

[5chipper] 11/9/2019 08:54

Well, good luck with it. Not topped up but have not sold any as feels like an over reaction mixed in with perhaps a touch of manipulation

[2solaris] 11/9/2019 08:53

Here's the link for anyone who has missed it. It sounds positive so I will buy a few as it seems they have just missed the target as JOG did.

[tsmith2] 11/9/2019 08:51

silly. lenders would defo not had any say.