Sdx Energy Share Discussion Threads

[brasso3] 21/10/2017 17:39

I have struggled to understand why the share price has not reacted to the recent discoveries. I can only think of two reasons why not to invest in SDX:-

1) Investors do not like Egypt (Politics, stability, gas pricing).
2) SDX P2 reserves are quite low compared to production.

We know that SDX are targeting to double production in 2018. I expect the reserves to follow suit as SD will prove to be a massive discovery.

[stocks1280] 21/10/2017 17:25

Bought another 100,000

Oct 20/17 MEA Energy Investment Compan...Direct Ownership Public market buy Common Shares GBP 0.515 100,000 0.7% 14,005,000
Oct 17/17 MEA Energy Investment Compan...Direct Ownership Public market buy Common Shares GBP 0.525 50,000 0.4% 13,905,000
Sep 19/17 MEA Energy Investment Compan...Direct Ownership Public market buy Common Shares GBP 0.500 55,000 0.4% 13,855,000

[tombul] 20/10/2017 16:58

Griffin, Has anyone noticed whether Mr.Pinocchio's nose was getting longer or shorter during yesterday's presentation?

I would assume that the length of his nose reached its peak last night.

[lptuf93] 20/10/2017 15:02

The IBN YUNUS and two other leads looks from the technical analysis as possibly bigger gas finds than SD1X. Hopefully they will end up being decent finds.

[dsmith57] 20/10/2017 14:56

Good news is irrelevant to this most infuriating share.

[parisv] 20/10/2017 14:23

Edison research note

[thegreatgeraldo] 20/10/2017 14:15

Soul - spread over 10 years!!

[soulsauce] 20/10/2017 14:12

tgg re Rabul that's 3yrs of very nice unexpected income. Not too shabby, and may be more worth looking for in the new horizon.

Yes not producing for long but a very nice Brucie bonus.

[shakeypremis] 20/10/2017 13:45

Recent gap in the chart now closed. Let's see if this starts to go back up again now.

[parisv] 20/10/2017 13:41

well the good news is there's 250k on the bid at 50.5 so this should be the floor imho.

[griffin81] 20/10/2017 12:49

Edison provided an updated research note last night which I have now had time to review and has also been updated on their website.

The NAV has been increased to 65p, which includes the expected cash flow from Rabul-1 and 2 however does not include the recent gas discovery at KSR14 which will be updated once the programme in Morocco is further progressed.

"Valuation: Increased NAV to 65p/share
We have revised our modelling to include the incremental value from Rabul discovery wells, moving our NAV to 65p/share from 64p/share. We have not increased our expectations for Moroccan production for the moment, though expect to revisit this as more wells are drilled and results announced. The nine-well programme in Morocco could see a 50% increase in gas produced, which, due to prices and tax terms, is very high value. Investors could also see material value created by the four wells planned around the South Disouq discovery. Success could add multiples of the existing discovery reserves in time and feed an increase in production over the current expectations of 50mcfd from the SD-1x discovery."

"The inclusion of discovered Rabul volumes is partially offset by
updated exchange rates."

[griffin81] 20/10/2017 11:13

TGG, that's my understanding. Its a small but high quality structure which is low cost and quick to connect.

Urraca; you are welcome to copy over as I only post on this board, and last time I checked I was definitely a guy :)

[thegreatgeraldo] 20/10/2017 11:00

Griffin,

Thanks for the post. Re Rabul-2, I'm assuming your figures are 10mmbbls OIP & recoverables of 1.5-2mmbbls, so the suggested flow rate of 2,000/2500bopd won't last very long.

[parisv] 20/10/2017 10:36

Thanks Griffin.

New presentation here:

[griffin81] 20/10/2017 10:00

The presentation from last night has been uploaded on to the SDX website

[captain james t kirk] 20/10/2017 09:18

Griffin
Thanks very much for taking the time to compile and post the resume of last night's presentation.
More specifically, thanks also for asking the question on Rabul 1.
ATB

[cashandcard] 20/10/2017 09:02

Griffin81,


Thanks for the notes. Sounds like a lot of work to be done, but all good. They need to work hard in order to recover monies owed, SDX are not slaves.

Edit: the goalposts have now moved to end of 2018 for monies owed, going by the notes.



Cash

[soulsauce] 20/10/2017 09:01

Griffin great update, thanks.

[griffin81] 20/10/2017 08:58

Shakey. My notes read 79 million c/fd absolute flow, restricted to 26 otherwise would have burnt down buildings.Captain, the Bakr structure at Rabul 1 was wet, hence the surprise at the Rabul 2 discovery.

[sheep_herder] 20/10/2017 08:48

Thanks for the updates. All sounds very good to me.

[christy41] 20/10/2017 08:42

Griffin81,Many thanks for posting.Much appreciated.

[shakeypremis] 20/10/2017 08:33

So he said that SD-1X can flow at a max rate of 79MMscfd (~13,000 boepd)?!?!?

[9tintin] 20/10/2017 08:33

Griffin

Thanks for taking the trouble to post your comments- all sound good.

Market just needs to recognise what the prospects are for SDX. I'm sure PW will deliver.

tintin

[griffin81] 20/10/2017 08:18

Personal notes from yesterday's presentation. It's always difficult to listen and notate, so I don't guarantee accuracy and this does not constitute advice in any way. There was an updated presentation, which contained a number of updated and new slides. Paul delivered a confident presentation with clarity and focus and I spoke to him afterwards. They are focused on creating a Billion Dollar value business over the next 3 to 5 years.Aim to double corporate production in 2018.Egypt receivables, one third paid, confident balance remains on track to be fully repaid by the end of 2018.South Ramadan to be relinquished. Meseda, facility upgrades (treating capacity) now complete. Capacity doubled to 20,000 bfpd. (He mentioned the ESP's, but my notes aren't legible).Rabul 1 and 2 were commitment wells and were expected to be dry and would have been included in a standard operational update, hence no RNS. Both being discoveries "was a very nice surprise, especially Rabul 2". Rabul 2 has c.10m barrels gross and 1.5m to 2m recoverable.Margins in Egypt are strong, costs at North West Gemsa c.$8/b and costs in Meseda expected to drop to c.$9/b. South Disouq; SD-1X flowed at a restricted 25.8 MMscfd (4,300 boed), unrestricted it would have flowed at 79 MMscfd! Discussion regarding the "mean" competent person report. Owing to TSX rules SDX has to report at this stage based on these numbers. However post drill technical analysis work undertaken across entire 3D area based on markers within the dataset which helps distinguish between gas and non-gas bearing sections. This work led to raising the additional $10m to accelerate the program. Kelvin and South Disouq appear to have a continuous gas bearing section connecting them. (new slide).Kelvin and Ibn Yunus prospects have potential up to an additional 150BCF, drilling commences later this quarter. Internally, SDX believe there is a total potential from the 3D block of between 1.5 TCF and 2.2TCF and this is before additional seismic work scheduled for 2018 which could increase this further.In Morocco, 1BCF is worth between $10m and $12m to SDX. KSR14 is expected to be producing 18 days (from yesterday).Spud of KSR15 will be RNS'd. Program is on schedule. Additional seismic scheduled for 2018. Acquisitions. Focus on distressed assets in Egypt with 20 targets, 11 with active sales processes ongoing.No intention to raise further funds next year, unless the right acquisition opportunity lands which enhances value.RegardsGriffin

[parisv] 20/10/2017 07:51

7m recievables must mean include circle oil recievables as it stood at $40m at the end of q2? So that would mean sdx has around $42m cash or $40m after drilling expenses?