Petroneft Resources Share Discussion Threads

[dbarr0n] 01/2/2016 18:36

Steel..
Dont know if Specsavers could even help. lol

[ravin146] 01/2/2016 18:09

Kevjones sorry what/who are you refering to as i have Steel and Db filtered.There is no strict deadline, in teh RNS it is badly worded as usual. Very poor communication indeed."Workover programme to increase production is planned for January 2016"That statement alone could mean, it may start on the first week of Jan or any other week of the month. It doesnt suggest when it will be finished, nor if that implies that workover should be done by February.Another 1m trade gone through post the share price falling and suddenly rising....imo this more accumulation.I would love it if Natlata take on the opportunity to bid for thsi company as long as it at or above teh range of 4-6pImo, dyor

[nash81] 01/2/2016 17:10

who bought large amount today? natlata again?

[ravin146] 01/2/2016 13:49

Kevjones sorry what/who are you refering to as i have Steel and Db filtered.

There is no strict deadline, in teh RNS it is badly worded as usual. Very poor communication indeed.

"Workover programme to increase production is planned for January 2016"

That statement alone could mean, it may start on the first week of Jan or any other week of the month. It doesnt suggest when it will be finished, nor if that implies that workover should be done by February.

Another 1m trade gone through post the share price falling and suddenly rising....imo this more accumulation.

I would love it if Natlata take on the opportunity to bid for thsi company as long as it at or above teh range of 4-6p

Imo, dyor

[kevjones2] 01/2/2016 11:04

What's even more silly about calling the company out on fabricated timelines is that it would be better to withhold good news for as long as is legally possible given the current PoO.

[steelwatch] 01/2/2016 10:44

Db - they should have gone to Specsavers.

[dbarr0n] 01/2/2016 10:16

For those who seem to have misread the last operations update.

December 14, 2015
14 December 2015


PetroNeft Resources plc

(“PetroNeft221; or the “Group” or the “Company”;)

Operations Update


PetroNeft (AIM: PTR) an oil & gas exploration and production company operating in the Tomsk Oblast, Russian Federation, and 50% owner and operator of Licences 61 and 67 is pleased to provide an update on operations at Licence 61.


Highlights

Tungolskoye

• T-501 and T-505 horizontal wells drilled. Logs suggest both to have better quality oil pay than earlier wells. Workovers in progress to improve initial flow rates.

• T-509 vertical injector well drilled. Potential for oil production before conversion to be tested.

Arbuzovskoye

· Workover programme to increase production is planned for January 2016.

· Southern portion development progressing with well pad currently under construction.

· Significant field reserve upgrade anticipated based on new well and seismic data.

Sibkrayevskoye Reserves

· Oil in Place estimates upgraded based on new seismic data; 2P reserves expected to increase significantly.

Production

• Current gross production from Licence 61 is about 2,500 bopd.

• This represents a 40% increase in production in 2015.


Tungolskoye Development

The T-501 well at Tungolskoye was completed at a depth of approximately -2,500 metres TVD with a horizontal segment of 997 metres in the Upper Jurassic horizon of which approximately 590 metres is in effective net pay. The log data suggests that the oil pay is of better quality than that encountered in earlier wells. After the well was brought online the pressure depleted quickly and the well could not sustain continuous production. We believe this to be due to some formation damage in the horizontal section caused during the drilling process and so performed a workover on the well, flushing the horizontal segment. Following this, the well operated continuously at about 190 bopd. However, based on the log data, we expected the well to be similar to if not better than the T-503 and T-502 horizontal wells which achieved initial flow rates of close to 500 bopd. We therefore did an acid bath on the horizontal segment to further eliminate potential formation damage. The well is currently cleaning up following this second workover and will take a few weeks to reach a stabilized rate.

The T-505 well at Tungolskoye has been completed at a depth of approximately -2,508 metres TVD with a horizontal segment of 466 metres in the Upper Jurassic horizon of which approximately 265 metres is effective net pay. When the well was brought online we experienced similar flow problems to the T-501 well. The well is currently being worked over to clean the horizontal section and flush the well bore, with stabilized production anticipated in January 2016.

The T-509 vertical injection well has also been drilled. The top of the J1-1 reservoir was penetrated a depth of -2,517 m TVD. The well is interpreted to have about 8.1 m of oil + water pay in the J1-1 and J1-2 intervals. We plan to test these intervals to see if they will flow oil before making the decision to convert the well to the water injector planned to provide pressure support for the T-505 and T-501 horizontal wells.

The drilling programme at Tungolskoye is now complete.


Arbuzovskoye Development

Production from the new wells drilled at Arbuzovskoye earlier this year has declined more than expected. We believe this is due to migration of fine particles within the reservoir, partially plugging the perforations near the well bore. We have experienced this in the past at Arbuzovskoye and have had very good results by simply re-perforating wells. We are now planning a batch workover of these wells in January 2016.

The size of the southern portion of the Arbuzovskoye field has increased significantly based on the new well and seismic data acquired earlier this year. Internal calculations indicate that the current 2P reserves of 6.54 million bbls for Arbuzovskoye are likely to increase by more than 50% to over 10 million bbls with the yearend reserves audit. We are now planning the development of the southern portion of the field which will include a new pad with 4 km pipeline and utility line tie in to Pad 1. We are planning up to three horizontal wells and one vertical well for the development. The well pad is currently under construction.

Given the thicker pays and good quality reservoir rock that we have seen at Arbuzovskoye we are targeting superior results at the south Arbuzovskoye pad in 2016.

Sibkrayevskoye Status

LLC “Sibneftegeofizika” have completed their seismic and well data processing and interpretation studies at the Sibkrayevskoye oil field and have prepared the “Resource Passport” for the field. This comprehensive document will serve as the basis for the Russian State (GKZ) Reserve Registration as well as the Company’s 2P reserves. Their estimation for C3 Resources Original Oil-in-Place (OOIP) is 361.84 million bbls.

The next step in field development will be to convert the C3 Resources into C1+C2 Reserves and have them approved and registered by GKZ. The Company’s 2P reserves will also be recalculated at the end of the year. The current gross 2P reserves at Sibkrayevskoye are 53 million bbls and, even allowing for the different methodologies used in the calculation of reserves, suggests a very positive upgrade to the reserve level at Sibkrayevskoye.

Production

Current gross production at Licence 61 is about 2,500 bopd. While an over 40% production uplift in 2015 to date, it is below our expectations because of the delays in bringing the Tungolskoye T-501 and T-505 wells into production and the greater than expected declines from the Arbuzovskoye wells drilled earlier this year. We are implementing workover programmes designed to address these issues and expect to see production begin to improve shortly.

Dennis Francis, Chief Executive Officer of PetroNeft Resources plc, commented:

“We are generally pleased with our ability to drill horizontal wells at Tungolskoye which will be a key element of optimising recovery of existing reserves and successful execution of new developments in Licence 61. While the initial results of the last two horizontal wells have been disappointing, we believe the results can be improved at minimal costs with the planned workovers and acid treatment of the reservoir.


We are now preparing for the development of South Arbuzovskoye next year with construction of Pad 2 from where we expect better flow rates from the horizontal wells and good economics, even at the current low oil prices. Production has increased by over 40% in 2015 and we will continue to focus on production growth.”

[seangwhite] 31/1/2016 18:53

Well January has just gone and there is no update from PTR. They gave the end of Jan as a date for various remedial work completion in the December RNS.Steel may bleat about my remarks but a more professionally acting BOD would not be subject to such unfortunately regular complaints.Let's hope when the updates come they are positive and may move the share price up from its current lowly level.The POO could be fairly volatile in the coming months but later in the year we could finally see some return to normality for Oil stocks.VGLTA

[ravin146] 31/1/2016 17:20

Hopefully workover results next week. Would be nice to get well flowing at full blast.If the workovers fail it will be a disaster!

[surfer2] 31/1/2016 11:09

14p would be nice if a big reserves upgrade occured

[neilcrom] 30/1/2016 20:21

I will support If Natlata want to take us over, provided any share price above 8p.

[steelwatch] 29/1/2016 16:58

Clean sweep in the JKX boardroom must be of concern here now. I see EM retained by the incoming lot too.

[steelwatch] 29/1/2016 15:29

extremely volatile:

[rockin robin] 29/1/2016 15:27

Please don't start to introduce - rational thought - here. It's all a mystery - ok?

[granto2] 29/1/2016 14:44

Oil is at $34.50, that's closer to $30 than $40, but love the optimism.

[neilcrom] 29/1/2016 14:30

PTR was around 4.5p when oil price was around $40 last year .
now oil price is moving closer to $40 .

[jasper2712] 29/1/2016 13:28

Yeh, and someones finger slipped on the zero button!

[dbarr0n] 29/1/2016 11:56

cliff ...
That article is about a year old.

[granto2] 29/1/2016 11:56

22,000 bopd…..i wonder.

[cliff walker] 29/1/2016 11:17

In Russia, the development activities are going on in full pace. 2D Seismic data of 1000 LKM has been acquired and being interpreted. Drilling and production activities are currently undergoing. OIL is taking a very active role in the development activities and supporting the operator of the license, M/s Petroneft Resources by providing expert opinions in selected areas. The current average daily production from the project is around 2,000 BOPD. This is expected to reach above 22,000 BOPD by 2020. From OIL website...

[neilcrom] 28/1/2016 15:29

oil price increasing. I just average down a bit

[steelwatch] 28/1/2016 01:30

I see someone is twisting things again. What delay?



"...we are nearing the end of January and waiting to hear from PTR. Whenever there is a delay in news from the Company the result in usually not good."

No date has been given for an update, so how can it be delayed???

[seangwhite] 27/1/2016 19:25

Well Rav we are nearing the end of January and waiting to hear from PTR. Whenever there is a delay in news from the Company the result in usually not good. Let's hope this time they can achieve some improvement in production .The POO may stay low for most of 16 and it would make sense for the BOD to give some guidance on how they are planning to cope.Db is no doubt trading these and making a few Bob!VHLTA