Upland Resources Share Discussion Threads

[trulyscrumptious] 19/12/2018 12:01

michaelwright. There will always be those who jump ship at the whiff of a rig or worse still, spud. But they are not really investors because the prize here is game-changing if oil is discovered. All about risk/reward and this company is not a one-trick pony so it is not a gamble for those who believe in the other prospects as well and who are prepared to stay in the game. Butterfly investors should not really get involved with these sorts of investments.
A friend emailed the CEO and he believes the CoS to be 'attractive', in the region of 36%. He says, 'we believe this is a reasonable assessment of the level of risk'.
It's always best to get these things from the horse's mouth rather than from a stable boy who doesn't even work at the stables!

[soulsauce] 19/12/2018 11:55

Agree michaelwhight so would I.

[michaelwhight] 19/12/2018 11:38

Well I would like to see us get to 4p pre spud which doesn't seem unreasonable. So seems indicative of about 5% cos at the moment.

[gunsofmarscapone] 19/12/2018 11:27

Soul, you really hit the nail on the head with a post you wrote here. Why should a speculator fear criticism for publishing a sceptical or negative item? Indicative of potentially damaging (to the wallet) conformity.

Michael, its the COS is getting higher. If it was medium to low risk the junior E and P’s would proclaim it. 30% has been quoted but I dont believe it. To give yourself a margin of safety to capital work on 15-20%. Just from a conservative risk management pov.

[soulsauce] 19/12/2018 11:25

michaelwhight no fault of our own but I think we have missed the oil bull cycle for the time being due to the softening of the oil price and it also being wrap up time for Xmas.
Hopefully we will increase from here but doubt we will see what we hoped, that being 7 to 8p at spud.

[michaelwhight] 19/12/2018 11:23

Seems an odd moment to be selling. Boil also suffering today.

[trulyscrumptious] 19/12/2018 11:20

From last May but is even more pertinent now!

'Wick could be a true game-changer for a firm of our size’: Upland Resources CEO Staley talks next stages in company’s global development (UPL)

Although Wick is at the higher-risk end of Upland’s portfolio, it has already been de-risked somewhat by 3D-seismic and the presence of several nearby discoveries.

Upland, Corallian and partners will drill a well at Wick in Q3 this year in 35m-deep water using a jack-up rig for a total estimated cost of around £4.2m. Upland’s share of the costs – which at 53pc come in at c.£2.2m – are fully-funded, and Staley believes a positive outcome could be genuinely game-changing:

‘Wick will be drilled in very shallow water, which is cheaper than drilling an offshore well in deep water and also avoids many of the onshore planning delays common to onshore UK wells. When you combine these low costs with the fact we could have a 40pc share of a very large resource, Wick could be a true game-changer for a firm of our size.’

[michaelwhight] 19/12/2018 11:14

UPL haven't given a COS but it's been suggested at about 40%. They're certainly keeping the price back here considering the previous rise we had on expectations.

[trulyscrumptious] 19/12/2018 10:59

What is the Cos, I can't find it in the presentation?

[ride daice] 19/12/2018 10:58

I like it when a private company is operator. I think it says something when they're risking their own dosh.

[trulyscrumptious] 19/12/2018 10:52

Wick Rig Mobilisation



Upland Resources Limited (LSE: UPL) is pleased to announce that the Ensco 72 jack-up rig has now been mobilised from Hartlepool to drill the Wick exploration well in UKCS Block 11/24b under UK Seaward Production Licence P2235.

The Company will next make an announcement regarding the Wick well when the well has spudded.

Background to Upland's interest in the Wick prospect

In November 2017, the Company's wholly-owned subsidiary, Upland Resources (UK Onshore) Limited ("Upland UK"), entered into a conditional agreement with Corallian Energy to farm in to a 40% interest in Licence P2235, containing the Wick prospect. The farm in agreement between Corallian Energy and Upland UK was then completed on 24th May 2018.

The Company estimates that the Wick structure, which lies principally in the licensed area of Licence P2235, could hold in-place P50 resources of around 250 MMbbl. The Wick well targets reservoir sequences within the Wick structure.

[throwingmuses] 19/12/2018 00:15

Safe journey and good luck!

[henrymcivor1] 18/12/2018 23:50

Ensco 72 moving North now.

GLA.

[throwingmuses] 18/12/2018 15:29

But the licence is due to be signed off and the CPR results published, between spud and results at Wick, according to recent timeline on presentation.

[soulsauce] 18/12/2018 15:21

As I understand there will be no cpr until the license is officially ours. Given the vagaries on timings of all events I don't see how that can be?

[throwingmuses] 18/12/2018 15:16

Isn't the independent resources estimate from Tunisia due between spudding and results from Wick? That shouldn't be too far off now

[yogaboy] 18/12/2018 14:46

*had come in

[yogaboy] 18/12/2018 14:23

Maybe if Wick can come in sooner then Tunisia would have followed rather than dovetailed, I can't say.I'm intrigued but not worried by today's fall.

[soulsauce] 18/12/2018 14:13

Couple of points yogaboy I am not complaining about Wick being late as we have no control over it and I am having the same frustration at uog with Colter.

My point was if Wick had happened when it should Tunisia simply would not have dovetailed as stated. And as they have no control over either I do not understand how they can still expect that to be the case or ever have been the case.

Or are you saying they have something from Tunisia and waiting to put it out between spud and total depth as that is the only way that statement could ever work?

[yogaboy] 18/12/2018 13:58

soul, I take your point re Twitter photos but think you're being a bit harsh on Wick's being "several months late". All the information regarding the slow progress towards spud is in the public domain, and takes only a few clicks to find. In the event, it's now: ENSCO 72 is out of Teesside and its two accompanying vessels are next to it awaiting departure. Even Dr Staley can't control the weather.

As for Tunisia dovetailing with Wick, personally I think that continues to be the case. Look at the Near-term News Flow on page 25 of the recent presentation: this is not arranged by geographical location, so I conclude it must be arranged chronologically. That puts the Saouaf award and the Saouaf CPR announcement after the Wick spud but before the Wick results. Given the Wick drill of 25-30 days (also public domain information), I'm not working too hard to join those dots.

One of many comments made by the Board at the AGM was about the frustrating unpredictability of government timetables, at the mercy of which we find ourselves in this industry.

[tyler90] 18/12/2018 13:22

Keep calm!

[cashandcard] 18/12/2018 12:50

Soulsauce,


I take your point. However, I remember posting this several months ago;
---------------------------------------------------------------------------->>

Cashandcard
10 May '18 - 13:13 - 2242 of 6465 Edit
0 2 0
The effects of the Malaysia news on UPL prospects will take time to be clarified. This is why its so important we have the geopolitically safe areas like North Sea to fallback on. Look forward to Wick drill.


Cash

[soulsauce] 18/12/2018 12:18

Cash you are right it will come when it comes but when you tweet pictures from Malaysia and then say nothing for another 3 months and counting and say Tunisia should have dove tailed with Wick which is now several months late and the Tunisia news is nowhere in sight then it's not out of order for shareholders to wonder what is happening.

Like many here I am a massive Upl fan but I think shareholders should be appraised of the state of play.

Right I will put mi tin hat on ready for the flack.

[gunsofmarscapone] 18/12/2018 12:00

Grannyboy. Not dross, my weather/climate posts were professional observations. The remainder of my posts are just P.I type amateur speculation of the type which we all contribute.

I would welcome your pov regarding any errors in my evaluation of the seasons events in C Asia on the relevant board.

[cashandcard] 18/12/2018 11:47

It will come when its ready, just like Sarawak. As soon as you head beyond Europe and North America, you can pretty much double or triple working timelines. The only game in town right now is Wick - if it comes in then its a big win all round and it'll form the backbone of another core area for the company. Otherwise, we await news on other projects.


Cash