Petroneft Resources Share Discussion Threads

[thetoonarmy2] 07/4/2014 17:39

I think everyone in PTR should read this from Natlatla below, unless the "farmout" is of decent value and gives a boost to the share price I will also vote with Natlatla, the BOW have one chance left this is it sink or swim.
...............................

Don777 7 Apr'14 - 10:46 - 25236 of 25251 0 0




they raised 3 points I believe every shareholders should think before we vote.

[steelwatch] 07/4/2014 16:19

Looking at the two Natlata proposed execs, the CEO seems very young. How old was he when he started his 10 year career? Must be a fast learner!

The CFO looks rather old. Was briefly Co. Sec at Minco back in John Teeling's day and, as far as I can see, for a short while joint CFO at Oxus Gold whose share price went nowhere from the time of his appointment.

Won't go into the non-execs, but can't see Tom Hickey sticking around!

[connello] 07/4/2014 15:31

Oilretire,

A third outcome would be most welcome.

There is no doubt that Natlata have a made a number of significant points in respect of the management of Petroneft over the last 4 years of so. Accepting these points it is difficult to have confidence in the current board.

However Natlata have not gone on to give any assurances to shareholders on the future. No reference to the BODS accusation of getting the company on the cheap. Indeed it looks to me as if they are going to great lengths to suggest it will be a considerable time before there will be progress....that been the case the share price is likely to drift lower and we might all be happy to getting any return at all on our investment and fulfil the BODS accusation of getting the company on the cheap.

[man1] 07/4/2014 15:31

Buys or sells at the end ?

[oilretire] 07/4/2014 12:03

Wonder if there could be a third outcome? Oil India (or whoever the farm in co is) buying out PTR entirely?

[seangwhite] 07/4/2014 11:57

The letter from Natlata makes some very pertinent points.The issue of the lack of clarity in the BODs news has always been a worry.The value of shale oil is questionable at this time and 3D seismic surveys are I believe not cheap.
The drilling having so many problems is also one that wants looking at by someoen other than the existing BOD.
All in all the Natlata boys are doing a better job of communicating than our poor old crew.

If the deal is not announced by the middle of the month I think a lot of holders will vote with Natlata.

GLTA

[telegraph1] 07/4/2014 11:40

Farmout now overdue I think I will save my votes until all the evidence is in lol

[denis black gold] 07/4/2014 11:23

Natlata mention OIL INDIA as our potential suitor..... also other blogs have stated that "potential" huge Shale Oil reserves on both L 61 and 67 coupled with Russia's recent shale oil tax breaks are the real attraction that PTR has to offer the big fish...!!! share price seems to be dead in the water again today...

[rcturner2] 07/4/2014 10:20

I will support the current board if the farmout is at a decent value, if not I will support Natlata.

If the farmout is not complete before the EGM, the board need to announce the value (with the caveat that it is not yet signed) so that people can make a judgement.

[oilretire] 07/4/2014 10:12

And a decent pop at the structure of PTR.......


both of Petroneft's assets are located in Siberia, with the CEO based in Houston, the CFO
based in Ireland and Stimul-T's (holder of Licence 61) general director based in Moscow.
Questions must be asked about the ability of such a scattered team to effectively manage the
business when they are thousands of miles away from the operations.

[oilretire] 07/4/2014 10:10

And the proposed CEO's comments on the same topic


We are planning to investigate the relationship between Petroneft and the drilling contractor in order
to understand whether the contractor (the beneficiary owner of which also happens to be a Director
of Petroneft) is among the causes of Petroneft's current unsatisfactory performance.

Operationally, Petroneft must initially focus on increasing production. To achieve this we need to
concentrate on production enhancement techniques combined with low risk development drilling.
Petroneft also needs to place more emphasis on the utilisation of 3D seismic data, which is the
industry standard method of improving both well success rates and deliverability per well in
development scenarios. It will also enable Petroneft to correctly investigate the true potential of
horizontal wells, which when implemented correctly, have the capacity to increase both production
and reserves. The proposed new board members have substantial experience with all of these
practices and related technology.

[oilretire] 07/4/2014 10:09

Yes, it's obviously one sided but they make some really good technical points regarding the drilling......


there has been a significant amount of drilling activity, without any corresponding increase in
production. Questions need to be raised on the current board's technical skills and their
awareness of new technologies in drilling and oil field exploration and development. Petroneft's
current approach of drilling only vertical wells and massive fracking seems questionable and
appears to be due to a lack of 3D seismic surveys done in the area. I believe that Petroneft
needs to adopt similar successful technologies as applied by adjacent operators of 3D seismic
followed by utilisation of optimisation techniques such as horizontal drilling. The proposed new
board members have abundant hands-on experience of utilising such technologies;

 the current drilling contractor, Tomskburneftegaz, seems to be repeatedly engaged despite
repeated drilling failures, including major accidents within other clients' wells. This concern is
compounded as one of the current Petroneft directors (Vakha Sobraliev) is a beneficial owner
and general director of Tomskburneftegaz. There has been significant spend on drilling wells
which do not produce any significant oil;

[rcturner2] 07/4/2014 10:00

A well presented letter, with plenty to think about.

[oilretire] 07/4/2014 09:54

Wow, Maxim is not the new guy on the block you all thought, seems he has been through the same pain as many of you


I first purchased shares in Petroneft in 2007.....

[oilretire] 07/4/2014 09:52

Thanks for the heads up Don, 8 full pages to absorb...... kind of busy shift at the mo, but I'm sure I'll find time

[spudders] 07/4/2014 09:46

'oil India Ltd' is Natlatas guess?

[nash81] 07/4/2014 09:37

from iii:

now its clear, PTR acreage also has huge deposit of shale, both at Licence 61 and 67. In July 2013 an amendment to the Russian tax code granted shale production a 15-year exemption from mineral extraction tax.

Hence, Natlata wanted to revive up reserves for PTR by also looking at potentially huge deposit for SHALE. Shale deposit for PTR would be worth millions/billions!!!

AND, our potential farm most likely Oil India

see attached (shale - see page 4)

[spudders] 07/4/2014 08:19

Katsy, we have plenty of oil,just trouble extracting it. Keep an eye on volume ;)

[katsy] 07/4/2014 07:38

ONGC regretted buying IEC, and probably paid too much for them as well as they tried to pull out of the deal last minute. They never got the flow rates that Peter Levine was selling, doubt they would want to waste more money in the same area.

[telegraph1] 06/4/2014 10:50

Ongc videsh

[telegraph1] 05/4/2014 06:37

I still think it's ongc and it's not a western company

[seangwhite] 05/4/2014 01:09

We need a highly profiled company to farmin to get some uplift in the SPGLTA

[denis black gold] 04/4/2014 20:01

When ONGC took out imperial energy, imperial had 2p reserves of approx 800 mill barrels of oil which cost ONGC 2.5 BILLION Dollars to take out...!!! $3.00 per P2 barrel... Would it be so bad to put the entire Co up for sale and see just what happens...???