Uk Oil & Gas Share Discussion Threads

[moneymunch] 16/3/2016 13:31

Brent at $39.7 and rising....gl :-)

[robbie1424] 16/3/2016 13:29

Moneymuch good post above

That is huge savings for uk companies

Janekane is not a happy bunny!!!

[genises] 16/3/2016 13:29

News must be due very soon.
The reduction in price will be a opportunity to top up.

[woggles] 16/3/2016 13:28

Supplementary charge for oil and gas producers to be halved from 20% to 10%

Petroleum revenue tax to be "effectively abolished"

[datait] 16/3/2016 13:23

janekane get a life eh hahahahaha

Just look at KIBO AND XTR HAHAHAHA

[janekane] 16/3/2016 13:22

Down 3.1% again
This is going places
Oops now 4.1%
Down you morons

[moneymunch] 16/3/2016 13:10

Cutting UK Oil tax from 20% to 10% ...gla :-)

[gpback] 16/3/2016 12:48

#88E
#PXOG 3P+ BUYING STARTING

… …

[datait] 16/3/2016 12:39

Thought I would buys some of 88e now that they are down 20% lovely jubbly

[nevgroom] 16/3/2016 11:49

Supercity - That was actually a very interesting article, it's a real shame you chose to post one part of which where your mathematical interpretation was fundamentally flawed. It said "AVERAGE" cost and, as Forwood has pointed out, that average will constitute a wide variance of actual costs. If HH say $40 then you nor anyone else have the factual intelligence to say or prove otherwise.

The best bit of the article was about the fall in price and how OPEC are responsible. They purely want to get rid of the companies where production costs are high (read $70+) so they can regain market share. They cannot afford to maintain prices at these levels for long because even the Middle Eastern countries will run out of money so it is guaranteed there will be a recovery in the oil price probably within 2-3 years.

Given 2-3 years is how long HH will take to get into volume production (assuming all test results go well) then the timing looks, to me, nigh-on perfect.

[forwood] 16/3/2016 11:16

supercity, average well costs in the UK, including the overwhelming majority in North Sea, are going to cover a range of prices. The chief exec here has already given his view on the price at which this development is likely to be profitable, and it's $40. Do you not think he's in a better position to know than a study which averages costs across all types of wells?

[forwood] 16/3/2016 11:05

A market cap of £47m for a company that has a 90% probability of £55bn's worth oil and potentially £200bn's worth is cheaper than chips. Just remember, the company was valued at less than £7m at one stage, before the oil was found. Was it cheap then? You were probably saying the same thing 12bn, as you have ad nauseum since.

When it's pulling oil out of the ground at 2000 bd or more and oil is $60, 70, 80 a barrel, what price then?

[c31161] 16/3/2016 11:00

So 2wells identical but one is producing double than the other you are saying the cost of producing is the same for both wells, give your head a shake

[supercity] 16/3/2016 10:57

C31161I would be tempted to believe a survey of 65,000 oil fields worldwide http://money.cnn.com/2015/11/24/news/oil-prices-production-costs/

[c31161] 16/3/2016 10:49

Super city that claim is rubbish, if a well produced 1000bopd and a well identical near by produces 2000 bopd the obviously the well producing 2000 bopd will be producing cheaper oil

[c31161] 16/3/2016 10:45

The market does lie, as warren buffet says the market does not alway get it right, read chapter 7 of the intelligent investor, called Mr Market, its Mr Buffets bible.

[12bn] 16/3/2016 10:42

A market cap of £46.9m for a 'what if','maybe',oil producer sounds very steep to me and day traders tend to jump in and out of shares. UKOG has the feel of a pump n dump share imo.

[forwood] 16/3/2016 10:38

'the market never lies' - bit naive chum!

There are countless examples of shares being hammered into the ground only to rebound with multiples of the lows they went to. Glencore is a recent one; TCG went to c 15, now 95. The market always overshoots is probably a more accurate statement, whether on the way up or down. Sure there are companies that go bust and their share price will be on a one way trajectory but that is not the case here at all.

[12bn] 16/3/2016 10:32

If you feel that way vitec then chill. What is a 'tight oil play' anyway,no-one answered that question. I asked whether they had just made the phrase up. From what I have noticed from owning other oil shares initial flow rates have little to do with actual sustainable flow rates, eos.

[forwood] 16/3/2016 10:32

SS has already stated his view that it is commercially exploitable at $40. I'd have thought lower, given its an on shore development but I'll take his word for it. With a development timescale of about a year, maybe longer, the chances are very good that oil will be much higher than that.

[supercity] 16/3/2016 10:29

It costs an average $50 a barrel to extract the oil in the UK (UKOG claim $40) it doesn't matter how a big a player you are the cost is still thereThat is before you even start - one thing I learnt many years ago from the 'working lunch' TV show, one piece of advice that has stuck and is so very true "The market never lies " ...those who work in the city and the market will always be ahead of the curve and will always know a lot more than you or me and you never see them post in these boards.

[robbie1424] 16/3/2016 10:29

Vitec- Correct, Unfortunately for some they think about the here and now and not tomorrow.

If indeed it is a big find it will out in time so it matters not where the share price goes.

Some like me just look at it as an opportunity if we believe there to be a lot of oil under HH that can be commercially extracted through market leading techniques, today,tomorrow or 3 years.
In 3 years I would say poo will be a lot higher than today.

Only those who play with borrowed money or want to make a quick flip will be anxious for this to move one way or the other.(those types always lose in the end)

[vitec] 16/3/2016 10:21

12bn you comment so much and I like a balanced argument but you admitted you didn't even know what a "tight oil play" was. Now you agree that the oil is there but you doubt whether it can be commercially exploited. Do you think the oil price will stay the same forever? It wasn't so long ago that oil was over $100 a barrel. If UKOG cannot get it out of the ground commercially then a bigger player can and will. This is only going to go one way, it is just how far and how quickly. You can be as negative as you want, find any reason as to why they will not succeed to suit your agenda but it will all be in vain.

[12bn] 16/3/2016 10:15

There is no argument about whether the oil exists,the argument is about whether it can be commercially exploited and some of us doubt that it can with the PoO so low.