Sdx Energy Share Discussion Threads

[shakeypremis] 11/10/2017 11:22

The margin for selling the gas is massive too. It's worth way more than the same well in another country, say Egypt for example.

[nnaim] 11/10/2017 11:21

Twice the expectation based on circle development well 2015 which discovered 9m pay and tested 8 mmcf/d?

Morocco’s onshore Sebou permit has yielded pay for Circle Oil. The company’s KSR-A exploration well was drilled to 1,890 ft TMD, during which the primary Main Hoot target interval was perforated from 1,818-1,827 m. A test of this section produced 8 MMcf/d on a 3/8-in. choke. The well will be immediately tied to a Circle pipeline that connects Sebou with the city of Kenitra, which lies up the coast from Rabat. Next for Circle......

[thegreatgeraldo] 11/10/2017 11:13

Yet you say malcy is "probably right". He may well be, especially if he's had the nod from PW.... otherwise he's gussing & KSR-14 could just as easily be 1.5 times or 3 times the pre-drill expectation. Whatever, it looks a good well.

[cashandcard] 11/10/2017 11:06

tgg,


No idea.


Cash

[thegreatgeraldo] 11/10/2017 11:03

Average expectation for the dev wells was 1.5bcf (11bcf from 7 wells). I've not seen expectations for individual wells.

Point about Malcy is whether he's had an email from PW or is he guessing?

[cashandcard] 11/10/2017 10:57

tgg,

Well, the company quote only a few bcf for each of these gas targets, they are small traps no doubt. So Malcy is probably right. But I have to say, 20m of net conventional natgas pay, over 4 intervals sounds to me like it could be significantly more than 2bcf. The question is, how many intervals were they expecting originally?


Cash

[soulsauce] 11/10/2017 10:44

Let's hope the good news eventually feeds through to the share price

[thegreatgeraldo] 11/10/2017 10:44

Malcy calling it as c.2bcf. Is he inside or guessing?

[x54v] 11/10/2017 10:41

"SDX Energy

Further good news this morning from SDX who has reported a gas discovery on well KSR -14 on the Sebou permit in Morocco. The 20 metres of net conventional natural gas pay in the Guebbas and Hoot formations were found over four intervals. These results have exceeded pre-drill estimates and the company is working on evaluating recoverable volume estimates.

This result bodes very well for rest of the programme as the company has 6 more development locations followed by 2 exploration wells. With such a good start to the season, two discoveries in six days, things are looking up, indeed this well was drilled faster and cheaper than any before and found twice expectations. SDX is on a roll and investors can expect some early Christmas gifts if things carry on like this."

[hkr09] 11/10/2017 10:40

true - loved em though

[plentymorefish] 11/10/2017 10:38

Those look like the words of Malcy rather than your own Hkr09?

[hkr09] 11/10/2017 10:35

SDX is on a roll and investors can expect some early Christmas gifts if things carry on like this.

[the drewster] 11/10/2017 10:29

There are different kinds of gaps;- Common or area gaps, Breakaway gaps, Continuation gaps. etc

They have their own definitions and characteristics. [See link below for more info]

Each has its own cause, for example, news, or a dividend payment.

Statistically, each have quite different average closure times, with some types not closing at all.

Look for example at the daily chart of stocks like KWS or FEVR and you can see a historical trail of open gaps. These are most often what are known as Breakaway gaps.

Breakaway gap ups occur with good news, for example 'significantly ahead' or a new contract, etc

The gap in the SDX chart is a Breakaway gap. Breakaway gaps can be seen as a prerequisite for identifying the kind of go-go stocks some like/want to trade.

Rather than closing, in my experience Breakaway gaps make excellent support zones. Think about what caused the gap to open in the first place.

[thelung] 11/10/2017 09:50

The gap up in JOG was closing the previous gap down! Malcy commented on it in his IG piece last week, so some do give credence to it

[shakeypremis] 11/10/2017 09:41

They don't ALWAYS get filled that's the thing. They get filled around 90% of the time.

[soulsauce] 11/10/2017 09:40

Great news.

I am sorry shakey I don't hold to this gap filling malarkey. Are you seriously suggesting the gap up in JOG to over 300p is going to fill back below 100p?

If gaps were always filled shares would never get anywhere.

[shakeypremis] 11/10/2017 08:57

Bloody gap-ups. We'll probably have to wait for them (yes the other one has still not been filled) to be filled before we can get anywhere. There's another gap on the chart between the 5th and the 6th of September that hasn't been filled. Hopefully we don't have to fill that one too! That would mean falling to about 44.5p.

[cashandcard] 11/10/2017 08:41

Another great update! Those 20m of gas intervals sound much better than the wafer-thin development zone I was expecting.

Rabul 2 update not long from now aswell. Momentum building here.


Cash

[gloucester rugby] 11/10/2017 08:22

Really interesting to see what the flow rate is. Surely got to be better than 1mmscf?!

[hiddendepths] 11/10/2017 08:22

Making headway is always difficult in the wake of a Placing. Still, the flow of good news is doing the job of clearing the overhang relatively quickly. I suspect that most of the looser holders from the Placing will be out by the time they get to a 25% uplift from the placing price.

In other words, I think the shares will become more responsive to positive news over the next month or two.

[someuwin] 11/10/2017 08:00

News here gets better and better.

[brasso3] 11/10/2017 07:52

It was a development well so the discovery comment would indicate a new productive zone.

[griffin81] 11/10/2017 07:46

Interesting point hiddendepths, however SDX is targeting a 100% increase in reserves, which you can't achieve without discovering more gas...

[hiddendepths] 11/10/2017 07:38

Good news for sure - but can a development well make a discovery?

[griffin81] 11/10/2017 07:31

Excellent news, and 65ft of net pay over four layers has the potential of being rather significant, especially at the margins SDX achieves. This gas will be on sale in November, also impressive!Originally SDX was targeting 0.8 to 1.0 BCF from this well. 65ft of net pay has the potential to far exceed this, which is a great result. It's no wonder Paul was hinting so positively about this well in the PI interview last week when he announced the oil discovery in Egypt. Let's hope the next 8 drills are as positive as this one.