Skip to main content

UJO RBD EDR EOG HUR BPC CERP PRD UOG I3E RMP COPL

Union Jack Oil (UJO) and Reabold Resources (RBD) announced a positive update on operations and progress in respect of the planned near term drilling of the West Newton B-1 well, its subsequent testing and the completion of the extended well test at the A-2 well.  Initial drilling operations at B-1 are expected to commence in the next few weeks and the combined testing programme at both the B-1 and A-2 wells will follow the B-1 drilling.  Union Jack (along with Egdon Resources (EDR) and Europa Oil & Gas (EOG)) issued other news regarding Wressle and Reabold issued a further announcement regarding Romania, but from a share price perspective, it’s the forthcoming events at West Newton that matter.

Hurricane Energy (HUR) delivered further bad news.  Their technical committee has concluded there is a reasonable probability that the oil water contact in the Lancaster field is shallower than the range of oil water contacts envisaged in the 2017 Competent Person's Report.  Consequently, Hurricane believes there is a risk of a material downgrade to estimated reserves attributable to the Lancaster Early Production System, and that there will also be a material downgrade to estimated contingent resources across the West of Shetland portfolio.  I did warn readers.

Bahamas Petroleum Company (BPC) and Columbus Energy Resources (CERP) announced the completion of their merger.  The big event coming up is the drilling of their Bahamas licence, subject of course to finance.  Let’s see if they can do it without convertible loan notes.  The merger also is of interest to Predator Oil & Gas (PRD), who are hoping to get hold of their Trinidad assets on the cheap.

United Oil & Gas (UOG) announced it has been assigned Tullow's 80% equity in the Walton Morant licence for a nominal fee, leaving United as operator and 100% equity holder.  The initial exploration period has been extended for 18 months by the Government of Jamaica and a work programme is underway.  The hope is to find a farm-out partner prior to 31 January 2022, when the final drill-or-drop decision is required, something which to date has eluded both United and Tullow.

Red Emperor Resources (RMP) announced its AIM Rule 15 cash shell status.  For those unsure what that means, it is required to make an acquisition which constitutes a reverse takeover within six months from 21 July 2020.  Alternatively, it can seek to become an investing company, which requires among other things the raising of at least £6 million.  If neither of those happens, the company's shares will be suspended from trading.  If a re-admission transaction has not been completed within a further six month period, admission to trading on AIM of the company's shares will be cancelled.  It might sound boring and technical, but it’s important to know this stuff to avoid ending up with suspended or delisted shares that are effectively worthless, which often can happen to the unwary who are ramped in prior to the suspension.  Fortunately, Red Emperor is in a good position, with cash at bank of approximately A$4.6m at the end of June and its next announcement is awaited with interest.

I3 Energy (I3E) announced a proposed £30 million fundraise to finance its acquisition of Canadian production.  The offer is at 5p per share, but the millions upon millions of repriced warrants issued to note holders and management and now exercisable at 0.01p per share remain in place.  It’s a massive avoid in my opinion.

Canadian Overseas Petroleum (COPL) announced that ShoreCan and Essar Mauritius have signed definitive agreements resolving their dispute.  This is an important announcement for Canadian Overseas since they end up with an effective 5% carried interest on all costs relating to the drilling of the first well on OPL 226.  They also have the option to increase their interest to 15% by paying their additional pro-rata share of the costs, which is exercisable within 90 days from the completion of the first well.  It’s now down to valuation. 

If you find this blog helpful, try my fact based trading course, which really will open your eyes.  It vastly expands on some of the principles I outline here and provides information that most will never have heard before.

I cover everything you won't read elsewhere, particularly subjects which others either don't understand, or even know about, or even if they do, are unwilling to talk about openly.  I set out exactly how it all works in detail.  Exactly how the insiders make their profits.  And how you can profit too.  Lots of money can be made if you know how it all actually works, and what goes on behind the scenes may be completely different to what you think.

I’ve been involved in the markets for a long time.  I bought my first shares in the 1970s and I’ve worked in the financial sector since the early 1980s.  My particular knowledge is of the stock markets and I’ve been actively involved in these, both in the UK and the US for over 40 years from both sides of the fence.  I’ve also had significant involvement in the oil and gas industry along the way, from drilling wells to negotiating farm-outs to majors.  

It's not theory in this course, rather how it all actually works in the real world, keeping it practical and realistic, so that everyone can use the information for their own advantage regardless of the level of their trading or investment.

Small cap speculative companies exist to enrich their insiders, not their investors, and everything those involved do is for their benefit, not yours.  The vast majority lose with these companies, but for the whole scheme to work, some investors have to profit, and you can be one of those too.  The link is https://www.oilnewslondon.com/course 

Contact me on Twitter @Oilman_Jim 

Click “SUBSCRIBE” to receive these blog posts by email 

The author may hold one or more investments in one or more of the companies mentioned so this post cannot be viewed as independent research.  This post does not constitute investment advice or a recommendation to buy or sell and may be incorrect or outdated.

Popular posts from this blog

HUR HRCXF SENX SEN.WP SNUYF RBD UJO PTAL TAL.V PTALF BPC BSHPF IOG PRD DELT 88E EEENF LBE AEX AEXFF TRP RTWRF PVR PVDRF LOGP RKH RCKHF ADV CVN.AX CVONF MATD PRTDF

Hurricane Energy (London HUR US OTC HRCXF ) announced an update on its proposed financial restructuring.   Subject to directions of the court, a meeting of the bondholders is to be held on 4 June 2021 to consider and, if thought fit, approve the restructuring plan.  Hurricane is warning shareholders and bondholders that in the event the restructuring plan is not approved, either by the bondholders or the court, it is likely that there would be a controlled wind-down of operations followed by an insolvent liquidation of the company. Even if approved, in return for releasing $50 million of the principal amount outstanding under the convertibles, bondholders will receive ordinary shares comprising 95% of the fully diluted pro forma equity of the company, which values the existing equity at less than 0.1p per share.   I’ve been warning about HUR all the way from the low 30s down and all that was necessary to see what was going to happen here was to read and understand the consequences

PANR PTHRF I3E ITE SENX SEN SNUYF MATD PRTDF HE1 HLOGF 88E EEENF PRD SDX SDXEF HUR HRCXF ZPHR VNHLF BOIL IOG CHAR OIGLF ADV LBE DELT AEX AEXFF TRP RTWRF PVR PVDRF LOGP PPC PPCGF BOIL EME

Pantheon Resources (AIM PANR OTC PTHRF ) announced a management resource upgrade on its Shelf Margin Deltaic sequence encountered in the the Talitha #A well.   It estimates that the SMD-B zone has the potential to contain 2.6 billion barrels of oil in place and a P50 contingent resource (recoverable) of 404 million barrels of oil.   Analysis is not yet complete on the SMD-A and SMD-C zones, although it is anticipated that the SMD-A will experience a reduction, whereas the SMD-C is broadly in line with previous analysis.   Crucially, Pantheon confirmed that discussions have commenced with a number of groups for the purpose of seeking the farmout of a working interest percentage in one or more of its Alaskan projects, the aim being to complete a farmout or funding in the fourth quarter to provide sufficient capital for future drilling and testing.   PANR 's objective for winter 2021 / 22 is for an active work programme to test all zones of the Talitha #A well and to drill at least

UKOG MATD BLOE 88E EEENF CASP IOG ORCA RECO.V RECAF PPC EOG CHAR ADV LBE DELT AEX PRD TRP PVR LOGP BOIL EME

Challenges raising funds are now becoming apparent for lower calibre companies and managements.   UK Oil & Gas (UKOG) ’s recent open offer, aiming for £4.7 million, raised only £462,554, while Petro Matad (MATD) had to announce last week that it managed to raise only £76,000 of the $2 million hoped for.   The $9.7 million previously raised by MATD through a 3.5p placing and subscription had already come at a terrible price to shareholders, with the shares apparently “pre-sold” by insiders all the way from 8.8p down.   The price now is 2.9p. The fun and games continue at Block Energy (BLOE) , where a management previously unable to distinguish water from oil (that’s the innocent explanation) is trying to stop a shareholders’ resolution to commission an independent forensic investigation into the affairs of the company.   Among other things, the shareholders are looking for failures to disclose information to the market in a timely manner and inappropriate trading of shares by dire