Salamander Energy Share Discussion Threads

[ohisay] 11/7/2014 13:15

Just reminding myself of RBC a week ago .So I've nibbled some this morning.

Salamander Energy (LSE: SMDR, Sector Perform, 160p Price Target)
Salamander's formal sale process remains open with the potential for the company toannounce further assets sales or a corporate deal in the coming month(s). In early June,Salamander announced the signing of a non-binding HoA with SONA to sell a 40% interest in the B8/38 (Bualuang field) and G4/50 concessions for total cash consideration of $280m as well as carrying SONA through two exploration wells on G4/50. Any deal is expected to close by the end of Q3/14.
In early July, the company spudded the high impact North Kendang-2 well (+110p/-12p per share). The well is a re-drill of North Kendang-1 which was abandoned due to a wet gas kick in April 2013. The well has an estimated drill time of 45-50 days to reach TVDSS ~2,900m.

[wilksey11] 10/7/2014 16:11

thats what i was hoping for my luck has got to change for the better soon ,all i seem to have is bad. lol

[puffintickler] 10/7/2014 16:08

...if everything is as it seems you should make a nice turn.

[wilksey11] 10/7/2014 15:48

just bought another 5000

[dukedosh] 02/7/2014 21:46

This note from RBC this morning:

Salamander Energy (SMDR.L): Spuds North Kendang-2 exploration well

Salamander Energy has announced the spudding of the North Kendang-2 (NK-2) exploration well, South East Sangatta PSC (SMDR 75%), offshore Indonesia. The well is a re-drill of the NK-1 well which encountered a high pressure wet gas kick in the targeted Upper Miocene section. The well was abandoned in April 2013 with the costs associated with the control incident and re-drill costs to kick point covered by the company's insurance policies.

NK-2 will be drilled to a TVDSS ~2,900m using a new casing and a managed pressure drilling programme. The well is expected to take 45-50 days to reach TD. We currently include an upside/risk of +110p/-12p for the well in our 190p/share NAV based on a 220mmboe (60% gas) resource estimate.

[ed 123] 02/7/2014 12:58

Yep. The offer period is at an interesting point.

If I were Salamander's Board I'd be inclined to wait for the NK2 result. We know there is gas condensate there ... and it could be big - note that the planned total depth is about 340 metres below the level of the gas kick.

Ballpark, a find of 100mmboe net to Salamander, at say $3/boe, would equate to about 63p per Salamander share.

Downside, if NK2 finds nothing of value, it will impact on sentiment/share price. In mitigation, a large part of the cost will be carried by the insurance payout.

[sporazene2] 02/7/2014 12:29

awesome thanks Ed. given the CoS previously quoted for NK-2 i would imagine that whoever wants to buy us would want to get the price agreed before this reaches TD.

[ed 123] 02/7/2014 10:02

Thanks for the link, specul82. Good to refresh on the possible size of the unrisked potential (>676mmboe).

Someone could make a lot of money, if they get Salamander for c. 160p/share. (Subject to drill results, of course.)

[ed 123] 02/7/2014 09:51

Sporazene2.

I've had a reply. NK2 is a new well. Estimated time to total depth 45-50 days.

[ed 123] 02/7/2014 08:34

Thanks, sporazene2.

Agree that the location appears to be the same. However, I note the slide states,

Re-drill insurance will pay for new well to kick point (my underlining)

If Salamander were happy with the location of NK1, then they may not want to stray far from that for the re-drill? It may be that there is to be a completely new well, located close to the NK1?

If I get a reply to my email, I'll post here.

[sporazene2] 02/7/2014 08:21

if you look at slide 32 on the agm deck, its shows 1 and 2 as the same location. whether this saves them any time is another question

[ed 123] 02/7/2014 08:08

Hmmm .... I had assumed the previous well was lost and they would make a fresh start.

Anyone else? ....

Edit: I've emailed Salamander.

[sporazene2] 02/7/2014 08:00

Ed, would they reach TD sooner, is the well location not the same as NK-1?

[ed 123] 02/7/2014 07:47

North Kendang 2 spudded.



Looking back to the first well, this one should reach total depth around the middle of September.

It was previously reported as a wet gas discovery. Pre-first drill estimate was about 160mmboe net to Salamander. Value?

Potential market, should the well be successful, Samarinda area, c. 120km away.

The SE Sangatta PSC covers a large area. This drill result could have a material effect on the value of Salamander.

[sporazene2] 30/6/2014 13:54

old mutual have been steadily accumilating over the past few weeks

[chester] 30/6/2014 08:48

Up we go..

[flyingbull] 29/6/2014 23:05

The July oil stock challenge is now on.....deadline for entry is tomorrow, midnight on Monday 30 June 2014.
Good luck!!!

[chester] 27/6/2014 16:31

I'm long a few of these based on the chart. Bought today.

[specul82] 27/6/2014 09:48

Cepsa takeover Is there any more leakage on this I see that Goldman Sachs were involved with the cepsa coastal takeover in January

[specul82] 23/6/2014 13:52

Guess the mms are having some fun Hang on this is a major roller coaster rideTake your pick next stop 121 or will we see a bounce to 139Or take over 1.59 now looking good share holders havering a tough old time advised to buy

[specul82] 23/6/2014 12:22

Any more news on cepsa bid for salamander

[specul82] 23/6/2014 12:05

Is this just a treeshake there is no news and no reason for the drop if anything I would have expected a rise in the share price

[dukedosh] 16/6/2014 13:48

Sona Petroleum expects revenue flow beginning FY2014

KUALA LUMPUR: Sona Petroleum Bhd is optimistic of posting revenue and profit beginning its financial year 2014, from the positive cash flow it would generate from its acquisition of Salamander Energy (Bualuang) Ltd, said managing director Datuk Seri Hadian Hashim.

"The signing of the sales and purchase agreement for a 66.7% stake in Salamander PLC's wholly-owned subsidiary Salamander Energy is expected no later than June 26.

"The transaction will result in Sona Petroleum owning an effective working interest of 40% in two oil and gas blocks owned by Salamander Energy in the Gulf of Thailand," he told a media briefing after Sona's annual general meeting on Monday.

The acquisition of the 66.7% of the economic rights and 49% of the voting rights in SEBG will enable Sona to benefit from joint control over strategic and financial decisions, he said.

Hadian said the two concessions, close to the Bualuang Field in the Gulf of Thailand, represent excellent opportunities for Sona.
The blocks include an active oilfield that has been producing since 2008 and rights to explore surrounding fields.

"These assets represent great value for Sona Petroleum as they will enable us to generate cashflow and also provide significant upside to our profitability going forward," he said.

"The deal with SEBG will allow Sona Petroleum to start receiving 40% of the revenue, and with about 5,000 to 6,000 barrels a day and at current oil prices, the potential income for Sona is substantial," a source related to the company said.

For FY2013, the special-purpose acquisition company which made its debut on Bursa Malaysia in July last year has not generated any revenue other than interest from fixed deposit placements.

It registered a net loss before taxation of RM5.1mil.

Hadian expressed confidence that Sona Petroleum would successfully meet the qualifying acquisition requirement within the stipulated time frame, and begin the process of generating healthy cash flow to bring returns to shareholders and other stakeholders. - Bernama