Victoria Oil & Gas Share Discussion Threads

[ridicule] 13/4/2017 08:01

The gas sales have also been reduced to 60% as VOGs share other than the latest drill costs where their partner is paying via gas revenue. Malcy is now free to give his detailed view, probably today.

[lowflow] 13/4/2017 07:58

fatnacker,

The drilling rig they are using, is powered with their own gas. Ask the company and they will tell you.

[gersemi] 13/4/2017 07:56

I don't understand why people are so enamoured by this company.

When a company quotes 'net cash' on its balance sheet that suggests to me it's unofficially ring-fenced it's gross cash for the purposes of creditor reassurance. In effect the true cash figure available for OPEX & CAPEX is a figure less than £1m. That's crazy for a company of this size

And gas sales have actually fallen..

Stay well clear until the next placing

[fatnacker] 13/4/2017 07:56

huh?

"The increase in gas production is only related to the usage of gas they are using in the drilling operation. Which is will soon go away."

[lowflow] 13/4/2017 07:50

After reading the update again, I see what other posters seem to have acknowledged, gas sales is hardly increasing. Gas sales for the period were 1153 mmscf compared to 1131 mmscf for Q1 2016. Which is basically no increase.

I find it a bit misleading by the company to put it in the first line under highlights that production is increasing with 10.7%, giving the impression that demand/sales is also increasing which isnt really the case. The increase in gas production is only related to the usage of gas they are using in the drilling operation. Which is will soon go away.

[sleveen] 13/4/2017 07:50

Interesting that VOG compare Q1 17 (dry season) with Q4 16 wet season) rather than Q1 16 (dry season) given the substantial seasonality of gas consumption

Net revenue for the quarter was $8.1 million (Q4 2016: $4.6million).

VOG Q1 16 revenue was $12.8m, thus VOG have reduced revenue by about a third.


No news of contract renewals from ENEO or current thermal users signed 5-6 years ago.

Not a mention of a third power station.

BTW 125m is GROSS sands I note they don't mention NET pay sands.

[deanroberthunt] 13/4/2017 07:45

Knew we'd get an update soon as Tem said there wouldn't be one till June....0/460

Keep up the good work Tem.

[temmujin] 13/4/2017 07:41

ASCENT first gas..happy days there

[fatnacker] 13/4/2017 07:35

Lowflow 108 isn't an appraisal well, both 108 and 107 are designed as production wells

[fatnacker] 13/4/2017 07:33

108 125 mts of gas bearing Sands compared to 105s 85 mtrs, that's a huge increase, there's a pill to swallow with the drill incident but far outweighed by progress, sales etc, plus eneo contract about to be renewed, come on

[baticle] 13/4/2017 07:32

They've used their initiative and going to use the gas from the flow tests for production and the plants getting it's capacity increased to 30mscfd rather than the 25 they had announced previously

[deanroberthunt] 13/4/2017 07:32

not really tem, they always said Q2 for "drilling completion"...so that's anytime from April thru end of June, then there's final casing, then testing...and connection to infrastructure....we knew about the delay in Feb, so all in all it's reasonably on track to known timescales.....nice big pay zone, so proven reserves should be increased....on with side track....revenues up, and expect further customers in due course...~$40m pa net to VOG, sales...

[lowflow] 13/4/2017 07:32

Todays RNS is a bit of a mixed bag:

- Q1 gas sale increasing with 10.7%, which is ok but the growth rate has been slowing down since 2016.
- Finding of gas bearing section in La-108 is good, but its an appraisal well, so I guess its supposed to find gas.
- Issues with the drilling of La-108 and the need to side-track it seems to have been solved but its increasing the drilling cost.
- Total drilling cost now $56m up $8m from the last update. The expected drilling cost was $40m initially so the cost overrun is now fairly significant.
- There is no real update on what La-107 has discovered?
- The completion of the drilling has now been delayed until Q3.
- Eneo contract has not yet been extended even thou it expires in 9 days. The company expects that it will be extended, but its seems like there is some difficult negotiation going on when it hasn't been completed yet.

The update is a bit of mixed bag, the stock might be under some pressure after the strong run it has had.

[pjj71] 13/4/2017 07:28

Excellent news.. 100p here we come.. shame for those who missed out,,,,,

[fatnacker] 13/4/2017 07:25

Yep, setback with 108 but huge gas pay encountered, record production and good relations with blvn continue, cost increase again but manageable (not entirely unexpected) more customers conected and consuming, huge progress, ps 108 sidetrack almost at td

[temmujin] 13/4/2017 07:22

delay is abit worrying..quarter 3 now for well completion... £56m cost up too

[blakieboy7] 13/4/2017 07:22

Quite happy with today's RNS!

[pauliewonder] 13/4/2017 07:21

Yes interesting update. Some very good info and company looks in good shape. Interesting to read more about the slight delay but in the longer this should have little. Eating on outcome and the cost attached for what they should recover is nominal. Should hopefully be a good day

[simon_64] 13/4/2017 07:18

Excellent news everyone knew about the delays so that's already been factored into the current share price

[baticle] 13/4/2017 07:15

I'm just going through it all but so far everything looks very good and going to plan, I think the delays to the drilling were anticipated but it's looking like their going to have a superb quality well with high production rates when done, so it's all good

[fatnacker] 12/4/2017 17:12

good solid buying today, RNS 0700 temmujin?

[utterbliss] 12/4/2017 16:55

When they announce then I expect the share price to go well over 100p

[utterbliss] 12/4/2017 16:53

This is VOG so expect delays.

They will get there so just be patient.