Sirius Petroleum Share Discussion Threads

[htrocka2] 26/2/2017 10:37

Good post Sher10ck... I'd just like to add that AFREN built their business model on $100 a barrel....with expansion, over commitment, extra debt and then the oil price tanked...they went down the pan. Whereas SRSP have built their 'model' on $50 a barrel yet the price is expected to remain at $55+ a barrel for the foreseeable future....all looking good. As we're into MARCH this week...and with two months of H1 behind us and about 17 weeks of H1 left....fingers crossed.

[carrbradshaw] 26/2/2017 10:26

Bumhammer - I've been hearing about very good weeks since 2011 - still waiting on one.

[sherl0ck] 26/2/2017 09:55

Allow me to share something that I think/hope has relevance here. For the past couple of months my day job has been supporting a tech start-up company that seeks to change & disrupt the entire edtech/digital learning world. In much the same way that Amazon has been key in changing how we shop, this company's ambition is to change the way that great education can be delivered using innovative means around the world, particularly in developing/emerging regions. Innovation is key.

The hugely wealthy founder ($billions rather than millions!) has an amazing vision and is now beginning to execute the plan whilst in stealth mode (currently no website, no PR etc) as competitive sensitivity is so great.

What's interesting is that whilst this is currently a very tiny company with just a handful of staff, they genuinely believe that in the race to realise this ambition, they'll steal a march on even a huge, very well known international company with vast resources & numbers of staff.

The reason is that the large company is struggling to adapt to the new world order. Changing long established business models and adjusting all that legacy baggage can be incredibly difficult and time consuming, especially when you're late in realising this. Agile, lean & innovative often wins the race.

The O&G world has changed in recent years, probably forever. No one can assume that energy prices will return to anything even close to the highs - in fact most of the IOCs and analysts assume they won't. This makes it very difficult for anyone whose business models were created / projects initiated / debts secured etc against a backdrop of $100+ oil.

So I look at Sirius and think we have a pretty unique opportunity to devise a business that's exactly right for 2017 and for years to come. A company that's very profitable at current energy prices; that aligns demand & supply on a local and possibly wider basis; that's willing to take risks and innovate; and which fully recognises the growing geopolitical demand for a lower carbon future.

In short, it would be a big mistake for us to ignore these opportunities, build a model that hopes we'll one day see higher energy prices and just become like most other E&Ps operating in Nigeria.

The very good news is that the RNSs over the past year definitely seem to indicate that we're taking a different, more innovative and collaborative approach. And whilst we're also still largely operating in stealth mode (and I suspect for very good reason), it's created a unique buying opportunity for each of us. As soon as the plan is fully unveiled, things will never be quite the same again.

[dr rosso] 26/2/2017 09:40

Petropedia explains Tubing Hanger

Tubing operations make use of downhole equipment such as a Tubing Hanger and tubing end locator. These tools help in the well completion and well workover operations. A Tubing Hanger is majorly used to isolate the annulus and tubing, which is accomplished hydraulically. The Tubing hanger is installed in the wellhead on the tubing head and both of them form an important sealing assembly isolating the annulus, tubing and the production casing. It is run through the blowout preventer system and the hanger can be used for any kind of well tubing completion. Through this hanger, other equipment such as small tubing lines can also be run down from the top to the bottom.


RNS

"The net proceeds of the Subscriptions will be used to pay the initial deposits on key equipment and long lead items including wellheads, 'christmas tree' pipe and valve assemblies, and tubing hangers"


Note the plurals. Wellheads, hangers. ??

[drrichard] 26/2/2017 08:21

Good Morning Mr B. Let's hope so. Gotta break out soon as time is moving on😊

[bumhammer] 26/2/2017 07:55

Word is this is going to be a very good week.

[deadly nightshade] 25/2/2017 22:39

Will sirius run it to the wire (6th march)like they usually do and keep us all in expence to the last minute. Its going to be interesting to see how this plays out next week. Are we just looking at ororo or will more be revealed, will sirius just be content at this moment in time to just get ororo sorted and get some cash rolling in that will open up new prospects further down the line. Just be nice to see this back over 1p again and see where we go from there.

[sherl0ck] 25/2/2017 22:21

Feels like the time is fast approaching that we actually start to see some significant revelations and learn more about our future direction. Very important news last week on Calvet and drill-related fundraising and then strong volume on Friday helped soak up the seller's shares. Rumours of Bobo doing some more PR this next week..... if true, it could be coordinated to tie in with other stuff. New shares in play on Monday and Ororo CPR expiry date getting very close. It seems to me like we're working to a well constructed plan, one which would probably need to align with partners' interests too. Very exciting.

[drrichard] 25/2/2017 16:56

Deltaman, thevMFDevCo COSL cooperative agreement seems very recent, almost too coincidental perhaps?

[drrichard] 25/2/2017 15:57

MFDevCo :
... The marginal field projects that we are focusing on are particularly well suited to this type of commercial arrangement, as there is no exploration risk, and CDPL, in this case, are therefore able to defer receipt of certain elements of their revenues with confidence.
No exploration risk? Nice.

[b4agc] 25/2/2017 12:39

In reply to ED, post 61239Idiotio

[htrocka2] 25/2/2017 11:45

Sher10ck.... I'll go for that. They've obviously got fingers in other pies and appreciate that they'll be at a price.


rod99... I found this interesting...that COSL have '9 seismic vessels'. The point being that the Original Chevron drill may have been 'pulled' because of unwanted gas pressure as surrounding fields are drilled to a lower TD, the Schlumberger Initial Assessment of Ororo was taken by re-interpreting Chevron data. The Gaffney CPR that was commissioned to look into 'deeper' sands never materialised and the Rockflow 'subsurface analysis' is also a 'paper' exercise based on mapping and experience (quote). The point being, will COSL use one of their 9 seismic vessels to confirm the geology thereby take on board some of the responsibility or be told by the 'paper' boys where to drill?...let's face it, why have seismic vessels if your not going to use them? (and charge for them). COSL may insist on them being part of the 'package'.

[sherl0ck] 25/2/2017 11:10

HT - with reference to your point, consider the following:

27/6/16 "During the period, the Company's focus has been on reviewing the opportunities available to the Company, both in terms of assets in Nigeria and the optimum financing and long-term strategy for developing those assets."

I reckon this has been an absolutely huge problem to try and solve. But the more recent RNSs allude to us having finally found a route forwards. The variance between our current mcap and our potential presents a truly compelling investment opportunity if they can pull this off.

[rod99] 25/2/2017 10:50

Thanks Deltaman, interesting information there.

Alison Pegram, Managing Director of MFDevCo, commented, “Signing this agreement with CDPL is a major milestone for us as we move to complete negotiations on our initial target projects. The marginal field projects that we are focusing on are particularly well suited to this type of commercial arrangement, as there is no exploration risk, and CDPL, in this case, are therefore able to defer receipt of certain elements of their revenues with confidence. This agreement demonstrates what is possible, when working with innovative and committed partners, and we will continue to consider all opportunities to work in different ways where doing so advances projects and benefits all those involved.”
COSL Drilling Pan Pacific Limited

COSL Drilling Pan Pacific Limited is the international branch of China Oilfield Services Limited (COSL) for the Jack-up Division and operates a fleet of 8 high specification jack-ups.
COSL is the leading integrated oilfield services provider in the Asian offshore market and a majority-owned subsidiary of the CNOOC (China National Offshore Oil Corporation) Group. Its services cover each phase of offshore oil and gas exploration, development and production. Its four core business segments are geophysical services, drilling services, well services, and marine support and transportation services.
COSL as a whole possesses the largest fleet of offshore oilfield services facilities in China. To date, COSL operates and manages thirty-three jack-up rigs, twelve semi-submersible rigs and five modular rigs, 2 accommodation rigs and 6 land drilling rigs.
In addition, COSL also owns and operates the largest and most diverse fleet in offshore China, including more than 130 working vessels, 3 oil tankers, 5 chemical carriers, 9 seismic vessels, 4 surveying vessels, and a vast array of modern facilities and intrinsically developed and patented equipment for logging, drilling fluids, directional drilling, cementing and well work-over services,

[drrichard] 25/2/2017 10:48

From MFDevCo front page
At MFDevCo, we specialise in the identification, evaluation and development of marginal offshore oil and gas fields. We strongly believe that such fields represent huge potential value, with low associated risks when compared with exploration, and are able to help licence holders justify development, even at times of lower oil prices, and thus acquire value from fields that would otherwise remain uneconomic and undeveloped. In order to do this, we need to take a holistic approach to field development and consider all aspects, from subsurface to financing, and our management team and board has been assembled with this in mind.

[deltaman2] 25/2/2017 10:40

If you want to know more ring or mail

MFDevCo

[shez20] 25/2/2017 09:33

Spot on ht! B&r is just one of our more knowledgable posters who is posting under a different name! There are a few of these guys who have worked it over the years as a group starting off rumours and being in on placements earning a fortune! Company said at agm 90% of time spent on ororo so let's let the rnss and company do the talking for once and leave the speculation until we hear otherwise as that is all it is upto date! Like you posted its been 6 years since!

[htrocka2] 25/2/2017 09:24

''The oil-gas is very very big so I dont worry.'

black or red....it's all very well saying don't worry, but they first mentioned Block1 and 2 in the 2011 Financial Results......and six year later....we're still talking about them. The only purpose these blocks serve is to keep us strung along....The oil-gas is very, very big...ie, 'a third party report indicates in excess of 1bn barrels of prospective resources' (quote 2011 Results)...to which SRSP 'will engage in an appropriate CPR' (2011 quote)...'in water depth of 50-100m'(so a bit further out than Ororo)...to which SRSP will be entitled to a minimum 25% economic interest in exchange for 50% of costs. There is an 80% preferential cash payment against costs....Then they say they have a 20% entitlement to a neighbouring Block, referred to as 'The Field', approximately 30-40km offshore in 55-70m water depth....and has been in production for the past 20 years producing 10,000 barrels of oil a day with an option to take up the final 80% of 'field'. When Jack Pryde signed that statement off he as 65 years old...he's now 71...and over 180 rns' later,....the oil is still in the ground.

[black_or_red] 25/2/2017 08:30

Mister Rosso, Sir I apologise for my tardiness in reply but yes indeed there is a structured plan for to develop the bigger offshore and to operate as a link network. But as you know the funding also is linked to all, to have in place the big money is not for Ororo. For sure they will drain all Ororo from the one borehole and wellhead multi-slot template and gives Sirius much revenue money to play with elswhere, to add to the big money raise for to extend offshore with number 4. It has taken much time to have everything in place before the start flag drops. As for share price I cannot answer, it depend on how many shares, but that is something else. The oil-gas is very very big so I dont worry.

hxxp://www.dril-quip.com/resources/catalogs/17.%20Template%20Systems.pdf

[fefebofespa] 25/2/2017 02:16

Let's invest in Brazil ... PBR Petrobras KKK

[1sonic] 24/2/2017 23:21

HT so it is lol soz!

[htrocka2] 24/2/2017 23:10

cheers 1sonic....that's in the 'e' bit.

[1sonic] 24/2/2017 22:59

HT and don't forget the gas!