Sdx Energy Share Discussion Threads

[bountyhunter] 21/9/2018 09:40

I would guess that BP doesn't want to be left with any of the Suez assets and it would be messy to split the sale. But we won't know for sure until finalised and RNS'd unless leaked of course!

[shakeypremis] 21/9/2018 09:22

Who can say tournesol, but that's what the media speculation sounds like to me.

[tournesol] 21/9/2018 09:17

Is it certain that SDX is negotiating for the entire package? or might it just be a subset of the assets?

[tournesol] 21/9/2018 09:17

Is it certain that SDX is negotiating for the entire package? or might it just be a subset of the assets?

[captain james t kirk] 21/9/2018 09:12

The point of the exercise was to allow people to divide 345 million by 25 million.

[ifthecapfits] 21/9/2018 09:07

its a 50/50 JV so 35k bopd

[bountyhunter] 21/9/2018 09:00

but it won't be 70k as that is the production for the entire joint venture not just BP's part

[captain james t kirk] 21/9/2018 08:43

70,000 per day is around 25 million pa.
It's going to keep PW busy for a few years yet.

[bountyhunter] 21/9/2018 08:25

dim2602

"Total reserves from GUPCO fields reach 345 million barrels of crude and 771 billion cf/d"

[bountyhunter] 21/9/2018 08:22

“We have successfully managed to maintain oil production flat in the Gulf of Suez and our goal is to grow and sustain production levels for the years ahead,” BP’s website says.

[bountyhunter] 21/9/2018 08:21

a bit more on GUPCO

[dlm2602] 21/9/2018 08:18

The question for me is not just the barrels of oil being produced each day which is transformational but the reserves. I hope that PW is confident that new improved extraction techniques, ability and willingness to search for smaller untapped reservoirs etc will boost the ultimate reserves to a level that the market likes. Does anyone know what the likely reserves associated with GUPCO are?

[bountyhunter] 21/9/2018 08:17

Yes it all hangs on how the deal is sructured and financed - I would hope it would be along the same lines as the SQZ/BP deal in which case it may not be too much to expect a significant leap in the share price on relisting as was the case with SQZ

[plentymorefish] 21/9/2018 08:10

Darola - I know what you're saying and tend to agree. My only concern, will it be a good deal for existing shareholders? what's the phrase, "turnover is vanity, profit is sanity but cash is reality".

[shakeypremis] 21/9/2018 08:02

If this deal goes through then current operations in Egypt and Morocco and the doubling of production to circa 8,000 boe/d (net) won't really be all that significant anymore lol. Of course next year's programmes in Egypt and the Morocco wells that haven't currently been tested properly may well prove significant even against the Gulf of Suez assets.

[darola] 21/9/2018 08:00

SDX don’t NEED this deal, and BP have publically stated they want to offload these assets, so the power is with the buyer. There is NO WAY this will be a bad deal.

[brasso3] 21/9/2018 07:52

Cannot see PW signing a bad deal here.

I am sure this will transform SDX into one of the big O & G companies on AIM.

[bountyhunter] 21/9/2018 07:38

71k last year for the whole joint venture



The Gulf of Suez Petroleum Company’s (GUPCO) produced an average of 71,000 barrels per day (b/d) of crude oil and condensates in fiscal year (FY) 2017/18 from its field in the Gulf of Suez, Egypt Oil & Gas reports.

Sabry Abu el Wafa, head of GUPCO, said that the company added over 10 million barrels of crude oil in 2017/18, which represents 41% of annual output. The reserves increased due to drilling two new development wells and two exploratory wells.

Abu el Wafa revealed the information during a general assembly chaired by petroleum minister Tarek El Molla to review GUPCO’s performance during the last financial year.

He also said that the company was planning to drill new wells, opportunities which may boost crude production by 5,000 b/d.

GUPCO is executing a number of rehabilitation and renewal projects for the crude oil production infrastructure in the Gulf of Suez. The projects will be finalized consecutively in 2019 in order to increase production rates.

[robbiekeane] 21/9/2018 07:34

Don't forget that it's a JV (GUPCO) so 50% or thereabouts for BP.

[bountyhunter] 21/9/2018 07:33

but isn't it the joint venture producing 70k rather than BP's share

[the drewster] 21/9/2018 07:07

The enlarged company will surely tighten governance and even consider a premium listing attracting a whole new set of potential investors

[tournesol] 21/9/2018 00:56

The key to the Circle deal was the money owed to Circle by the Egyptian Government. The Govt wanted to pay in local currency which was not really viable for Circle, so they were having to wait an indefinite period for the FX alternative to become available. With their different financial situation SDX could accept payments in local currency so were able to accelerate the settlement of the government payables. That made the Circle business worth more to SDX than it was to the sellers.

A similar situation might pertain wrt the BP transaction. I await details with interest.