I have no doubt the flows will be exceptional.
The shares having consolidated over the last 6 months will start to rise again towards the 20p and much higher during 2024. |
i dont think theyll be any run up in price for the flow test results thats just not happening in oil and gas stocks these days.conversley they seem to drop abit before results these days.
the days of run ups and easy money are long gone.
youre either in for results or youre not which i never am so personally leaving these plays alone. far too risky for me one bad result and this will be trading around 2-4p.plenty of time to get in for more meat on the bone if results are good.atb |
 12 Jan 2024
Predator Oil & Gas, the Jersey based Oil and Gas Company with near-term operations focussed on Morocco and Trinidad, has provided an operations update and details of its 2024 forward work programme.
Highlights
Phase 1 Guercif rigless well testing scheduled to commence before 25 January with Phase 2 using Sandjet scheduled for February/March
Site visit to Cory Moruga scheduled for 22 - 26 January to begin planning for well workovers
Cory Moruga Independent Technical Report gives P50 and P90 Contingent and Prospective gross recoverable resources of 14.31 and 21.41 million barrels respectively
H1 2024 well workovers forecast to generate gross net operating profit of US$ 3.1 million in 12 months from H2 2024 to H1 2025
Cory Moruga Field Development Plan for P90 Contingent and Prospective gross recoverable resources of 9.13 million barrels gives gross US$202.12 million undiscounted net operating profit (NPV@10% US$85.14 million with IRR 240.9%)
Well planning for discretionary high impact Jurassic well commenced for April/May drilling
Fully funded for all 2024 firm commitments
Potential for gas monetisation and Cory Moruga production revenues to fund discretionary drilling
Low corporate and operating overhead maintained despite increase in activity
Paul Griffiths, Executive Chairman of Predator, commented:
'I am pleased to confirm that 2024 is set to be the busiest year for activity since the Company was incorporated.
The addition of a substantial, near virgin, field appraisal and development asset onshore Trinidad provides the Company with the potential to generate strongly positive cashflows in 2024 to contribute organically towards further development of its assets.
The milestones to be met for potential monetisation of gas in Morocco, subject to the results of the Phase 1 rigless testing, are now clearly defined from a regulatory, technical, marketing and operational perspective. The objective over the last six months since the completion of the 2023 drilling programme has always been focussed on ensuring that all the elements for monetising gas are put in place to support an application for an Exploitation Concession.
Management's appetite for efficiently drilling within pre-drill budgets moderate risk but high impact wells that potentially generate a multiple uplift on drilling costs remains strong and aligned with current market sentiment. For this reason we are also focussed on accelerating the drilling of the Jurassic target in Morocco and a high impact appraisal well in Cory Moruga at a later date. The Company is in a position of strength where it can dictate the timing of exercising high impact discretionary drilling opportunities either through eventual Cory Moruga production revenues or through an accelerated process triggered by potential early partial monetisation of gas assets, which are subject to a successful rigless testing programme.
The Company is however also able to fund its firm 2024 commitments whilst maintaining some discretionary cash on the balance sheet without considering potential production revenues from Cory Moruga in 2024.
Funding the CNG development can be achieved using discretionary cash on the balance sheet combined with a leasing arrangement for CNG trailers and equipment. For this reason it has been important to develop the scale of potential CNG gas sales in Guercif, in a success case, to provide greater leverage to negotiate leasing agreements with greater materiality for potential service providers.
The CNG development schedule will be updated after the Phase 1 rigless testing results.
The Company has maintained strict oversight over its operating and commercial overheads and despite the exponential increase in activity we will continue to practice restraint when it comes to controlling costs.' |
Excellent write up in the Armchair trader:
Can Predator Oil & Gas shares get back to 20p?
By Stuart Fieldhouse
10th October 2023
Investors in UK-listed Predator Oil & Gas [LON:PRD] will be wondering whether this energy play is going to make it back to 20p. Stock rallied back in June, ramping up from around 5p to trade at over 20p in July, but the shares have since sunk back to trade in the 10-12p range.
Much of the excitement in the early summer was generated by Predator Oil & Gas’ exploration in Morocco. The company issued an update on its North Africa operations last week, saying that it has opened exploratory discussions with a group focussed on the downstream energy business to potentially sell its share of gas produced at the Guercif well head in Morocco. This is subject to an approved CNG development plan.
The company operates the Guercif petroleum agreement in Morocco, which is prospective for tertiary gas less than 10km from the important Maghreb gas pipeline.
Rigless testing programme
In order to accelerate the timing of negotiations for the sale of its share of gas, Predator has also decided to amend its rigless testing programme. The company’s MOU-3 well will now be the first well to be tested, it said in a statement last week. This will establish the potential to maximise gas flow rates for the purpose of setting commercial parameters for the sale of Predator’s share of potential gas produced to the present and future CNG industrial market.
Predator Oil & Gas says it has been waiting for over three weeks for an in-country wireline logging unit. A perforating depth control log is required to depth correlate the perforating points with a similar log run before the casing was set during well completion.
Predator said it is confident that the testing programme will deliver the results necessary to progress commercial negotiations for the offtake of its share of future potential CNG gas from the well head.
Investors are hoping that the test results will boost the stock considerably. Things have not been helped by the widening pre-tax loss for the company with administrative expenses increasing fourfold.
Predator says it is also investigating other ‘high impact’ drilling opportunities in Morocco.
Predator’s portfolio consists of upstream exploration, appraisal and development, and near-term producing assets onshore Morocco, offshore Ireland and onshore Trinidad. Since its formation, Predator has built a diversified portfolio of oil and gas interests with the key focus being the pursuit of enhanced oil recovery opportunities using carbon dioxide injection in Trinidad and exploration and appraisal gas assets offshore Ireland and onshore Morocco.
Enhanced oil recovery uses carbon dioxide injection to bring mature oil fields back to life. Predator is using this for its onshore Trinidad project and exploring for and appraising gas discoveries around existing infrastructure offshore Ireland for maximum economic benefit with a reduced environmental footprint.
Predator’s core funding strategy is based on generating near-term oil production and cash flow from drilling infill production wells which can subsequently be used for CO2 enhanced oil recovery. This can yield a significant uplift in production rates and cash flow for a much reduced capital outlay compared to drilling new development wells. |
Looking good here |
The share price will most likely retest the highs of 20p close it achieved in July 2023 |
Like the chart too with the drift to be reversed. |
We have waited some time 🤪 |
Well done PG
You have finally listened to us and delivered a detailed and thorough update, which clearly outlines the plan for the year ahead
For investors to hear fully funded , with so much value creation to be confirmed throughout the year ,makes the investment case compelling
GLA |
Should the ITR use the letters TCF and testing with "zero geological risk" come through as expected then little old PRD will be share of 2024 and a billion valuation might well be conservative. From memory PG felt 40bcf in Morocco could be worth $100m to $150m. Some of us have Zulu..ed this for a while and happy to be overweight. Some grit does not go amiss. |
Paul Griffiths, Executive Chairman of Predator, commented:
"I am pleased to confirm that 2024 is set to be the busiest year for activity since the Company was incorporated.
The addition of a substantial, near virgin, field appraisal and development asset onshore Trinidad provides the Company with the potential to generate strongly positive cashflows in 2024 to contribute organically towards further development of its assets. |
Hi Keith a good post. Just to say the ITR is hoped for BEFORE testing so plenty for you to mull over end of this month..ish.
"An updated Independent Technical Report ("ITR"), incorporating the 2023 MOU-3 and MOU-4 well results is currently being prepared by Scorpion Geoscience Ltd. for the Guercif block and resource potential of the prospective area tested by MOU-1, MOU-2, MOU-3 and MOU-4. The Company will use it best endeavours to publish the ITR before the Phase 1 rigless testing commences." |
Bigpecs
I have |
An update at last.....And a good news one at that!!!!
Fully funded for all 2024 commitments....Nice one!
gla |
What a great update. In for 100k. Looking forward to transformational results over the next couple of months. Fully funded for 2024! |
Fill your boots it will not stay this low forever and agree what a super update, onwards and upwards GLA |
What a great update.
Fully funded for all drills and testing for 2024.
Testing - we will know what we have end of March 2024
This is jigantic in Morocco
Add Trinidad in to the mix
This Company will have a £1b market cap by the end of 2024 |
My ! getting a cpr on Morocco very soon. The last one in the prospectus was before the very successful drilling of MOU 3 and MOU 4. Good to see testing back on track. Keen to drill the Jurassic and accelerate that which implies the visit to the outcrop (Q4 2023) must have been encouraging. |
OK, it's a day later than I expected!
🦖 Morocco
* All in hand, not more I can say until we see results, but interesting to note a date for the Sandjet follow-up of the more friable reservoir horizons. Hopefully that will give some folks here some comfort.
* CPR for all MOU wells to follow testing results - that will be very interesting re maximum aggregate flow rates and of course most importantly, the overall volume.
* All testing complete by end March (assuming a real-life calendar, not in Griffith months)
* Possible exploitation licence in March.
🦖 T & T.
* The proposed FDP gives the second best IRR I have ever seen (241%) in several decades of project appraisal - the best being that for the G2EU possibility for Guercif.
* Possible acquisition of TXP stake in C-M looks interesting, I would welcome some kind of cooperation agreement with Touchstone
* Recovery factor looks conservative - short-term dependent on how successful the dewaxing is, longer term EOR using the natural gas resource of C-M.
Will follow up further after I have had time to go through everything in detail - probably over the weekend.
PS: I also like the potential bringing forward of the Jurassic drilling subject to funds, with the shallow sands appraisal wells AND the re-entry of MOU-2 to follow as cash allows - sensible prioritisation.
Those who have (understandably) complained about the reduced conventional testing programme can now see the reasoning in detail - many of the prospective horizons will be difficult to test with conventional perforation, and likely to reveal superior results with Sandjet - see, Paul does know what he is doing! |
Good to see a plan of action, and funding for at least Phase 1 and 2 Guercif still available. All systems Go! gla. |
Furthermore -- Cory Moruga Independent Technical Report gives P50 and P90 Contingent and Prospective gross recoverable resources of 14.31 and 21.41 million barrels respectively |
Before 25/1/24 Guercif testing start!GUERCIF TESTING PROGRAMME ONSHORE MOROCCOAn updated Independent Technical Report ("ITR"), incorporating the 2023 MOU-3 and MOU-4 well results is currently being prepared by Scorpion Geoscience Ltd. for the Guercif block and resource potential of the prospective area tested by MOU-1, MOU-2, MOU-3 and MOU-4. The Company will use it best endeavours to publish the ITR before the Phase 1 rigless testing commences.Phase 1Phase 1 is planned to commence before 25 January 2024 and is expected to take up to 14 days to complete.The unforeseen regulatory issue relating to Guercif Petroleum Agreement Amendment No.3 has now been successfully resolved.Intervals to be tested are as previously announced. |
At least you made a profit. That's what the job is all about.
Keep an eye on it though cause if things turn out the way I feel they are (slowly) going this could be very big this year. |
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