Uk Oil & Gas Share Discussion Threads

[ibug] 07/3/2016 13:35

The government is going to create a sovereign wealth fund and that might include oil which was signalled last summer after widespread fracking protests.

[moneymunch] 07/3/2016 13:32

Hopefully UK Oil & Gas Investments PLC's (UKOG) activities in the Weald
basin of south-east England have raised awareness of the potential for
significant tight oil production to help assist UK energy security.

If successful, the impact could be similar to that of shale gas. Following the drilling of UKOG's Horse Hill well in 2014, world renowned analysts Nutech estimated, in October last year, that there are 124 billion barrels of tight oil in the ground in a 1,261 sq mile area of the Weald.

Approximately 80 billion barrels are in Kimmeridge clay. The first extraction target lies within two limestones in the Kimmeridge, which Nutech calculate to contain 19.5 billion barrels of oil in the ground.

These are serious numbers from a serious business.

Ernst & Young (EY) will soon publish a study which assesses the potential
economic impact and benefits of tight oil extraction from these Kimmeridge
limestones. EY show that production could contribute between 4% and 27%
of the UK's current oil consumption with an associated total value contribution to the economy of £7 to £53 billion over the life of the project.

The Chancellor will be particularly interested to read that tax contributions
could be anything from £2-18 billion.

[football] 07/3/2016 13:30

Oil rally sends Brent crude soaring towards $40

[moneymunch] 07/3/2016 13:25

Ps funk master, no correlation between Ukog's share price and the price of oil....pmsl....today's chart has tracked the price of Brent, as Brent fell at opening and then recovered, almost a mirror image of Ukog's share price .....the most perfect storm is brewing for Ukog with the confirmation of a Major World Class High Quality Recoverable Oil Discovery.....gla longs.....one less negative the lowlife scumbag basher/shorts can use regarding commerciality as oil heads back to $40 plus...:-)))

[ibug] 07/3/2016 13:19

ukog ANNOUNCED A FEW WEEKS AGO THAT THEY WILL BE USING THE ERNST YOUNG ACCOUNTANCY FIRM to evaluate the HH-1 oil flow discoveries once Xodus have reported their geological extrapolations regarding oil volumes.



That news is all documented if you care to read the RNS news reports----TRY DOING SOME HOMEWORK INSTEAD OF PUBLISHING RUBBISH ON THREADS LIKE THIS ONE.

[moneymunch] 07/3/2016 13:17

Business

Oil price at 2016-high sends punters running scared of short bets

2 hours  ago

Brightening up: Crude oil reached as high as $39.50 a barrel 

Speculators are rapidly backing away from bets on tumbling oil prices as the cost of crude hits its highest level this year, it has emerged.

Rising demand, buoyed by strong US jobs figures as well a big drop in the number of active drilling rigs across the Pond, helped push the price of Brent crude close to $40 a barrel.

[cashmachine2] 07/3/2016 13:07

Well UKOG have DL travelling to the States to openly discuss Horsehill with big Oilers and we also know the French team from Total were on site about 10 days ago.News is about to land for the Portland Sandstone and is likely to be pushing the initial vertical tests in the region of 2000bopd. For those who understand wells and oil exploration this really is significant especially as the horizontal wells are likely to increase flow rates significantly.The recoverable OIP is potentially huge and this is when a true valuation will be pinned on UKOG... The current market cap is so low when we know the barrels are likely to be in the Billions recoverable. Exciting times - especially for the waif and strays.

[ibug] 07/3/2016 12:48

the best accounting firm in the UK will be putting their rule across UKOG and HH-1 very soon----the company is ahead of the curve regarding accountants...lol

[rootsman1] 07/3/2016 12:45

Maybe UKOG could use Google's accountant?

[ibug] 07/3/2016 12:03

Because the market is waiting for the final results which may be released at any time this week and most likely Tuesday or Wednesday.

[howie1943] 07/3/2016 11:57

Is this very good news for ukog and the country?
Why no city news in daily national newspapers?

[ibug] 07/3/2016 11:45

The controlling business entity is HHDL who will be paying UKOG etc proportions of the revenue which the member companies can offset against costs and depreciation.


In other words it could be virtually tax free for member companies.

[ibug] 07/3/2016 11:39

A TAX REDUCTION TO 20% IMO---OR THATS AT LEAST MY UNDERSTANDING----UKOG will be engaging in Cross Fence Trading being a member of a consortium.


I will study those details nearer to the production phase.

[5baggersrus] 07/3/2016 11:36

eg? how will transfer pricing or exception of help UKOG !!!

[ibug] 07/3/2016 11:29

AND UKOG WILL QUALIFY FOR EXEMPTIONS imo:

Overview
The UK’s transfer pricing legislation details how transactions between connected parties are handled and in common with many other countries is based on the internationally recognised ‘arm’s length principle’.

The UK legislation allows only for a transfer pricing adjustment to increase taxable profits or reduce a tax loss. It is not possible to decrease profits or increase a tax loss.

The UK’s transfer pricing legislation also applies to transactions between any connected UK entities.

The ‘arm’s length principle’ applies to transactions between connected parties. For tax purposes such transactions are treated by reference to the profit that would have arisen if the transactions had been carried out under comparable conditions by independent parties.

Exemptions

There’s an exemption that will apply for most small and medium sized enterprises.

Your business is a ‘small’ enterprise if it has no more than 50 staff and either an annual turnover or balance sheet total of less than €10 million.

Your business is a ‘medium sized’ enterprise if it has no more than 250 staff and either an annual turnover of less than €50 million or a balance sheet total of less than €43 million.




And UKOG will qualify for cross ring fencing trade rules to escape some taxes.:

Cross ring fence transactions
Any cross ring fence transactions within a single company are treated as if they were transactions between associates and are subject to the normal transfer pricing rules.

The normal transfer pricing rules are suspended where the trade involves the disposal or appropriation of oil, instead the Petroleum Revenue Tax (PRT) valuation rules apply for Corporation Tax purposes.

[ibug] 07/3/2016 11:20

HERE IS A FAR MORE UPTODATE EXPLANATION ABOUT gov TAX FOR THE OIL AND GAS INDUSTRY:





The fact is if the tax regime was too harsh the industry would have colapsed long ago.

This link was published in 2012 and should be considered out-of-date imo...lol

www.gov.uk/guidance/oil-and-gas-taxation

[beebong1] 07/3/2016 11:08

$207 profit per tanker for UKOG when POO hits $45 if break even point is $40/barrel. I would love to know where we get ripped off so much for extraction costs. My understanding is a fair proportion is in tax

www.gov.uk/guidance/oil-and-gas-taxation

[ibug] 07/3/2016 10:17

An oil tanker just left the site a few minutes ago----bodes well for the Zone 1 Test results imo....especially at $39 USD/ Barrel = $8073 USD per 30 ton truck....lol


And $96,876 USD per 12 trucks a day when oil flows @ 2500 Barrels/ Day as a combined zone low rate.

[funkmasterp12] 07/3/2016 10:07

So oil is up, but UKOG is down. Remind me again, what's the correlation?

[datait] 07/3/2016 10:00

We can get news at anytime remember doesnt have to be 7am so watch this space folks.