theprior
30 Oct 2019
Operations update First signs of revenue ahead with today’s RNS. Time for a further hike in the sp I think! Luck all, TP
jaytee41
30 Oct 2019
Wednesday RNS - Gas Sales Agreement Great RNS and sales from early next year too. I guess the $5.24 per mcf is a good price ? One would also like to think that Bago must be aware that there is sufficient gas out there otherwise they wouldn’t be paying the costs of the infrastructure too. Good news.
EyesonHawk2
30 Oct 2019
Wednesday RNS - Gas Sales Agreement RNS Number : 5442R Block Energy PLC 30 October 2019 (“Block†or the “Companyâ€) Gas Sales Agreement Block Energy Plc, the exploration and production company focused on the Republic of Georgia, is pleased to announce it has entered into a gas sales agreement (“the Agreementâ€) with Bago LLC (“Bagoâ€), one of the largest private gas suppliers and purchasers in Georgia, for the offtake of gas produced at the Company’s flagship West Rustavi field (“West Rustavi†or “the Fieldâ€). Under the terms of the Agreement, which runs until 31 December 2022, Bago will purchase gas produced from the Field at a price of US$5.24 per MCF. Bago will also pay for the costs of installing the infrastructure necessary to connect the gas produced from the Field to Georgia’s gas distribution network. West Rustavi has gross, unrisked 2C contingent gas resources of 608 BCF in the Eocene and Cretaceous formations. The Agreement, which follows a Memorandum of Understanding announced on 5 October 2018, was finalised following Bago’s appraisal of gas samples from the Field. Sales are expected to commence during Q1 2020. Free and associated gas is currently being flared from well WR-16aZ under a temporary permit issued by the Georgian state. Block is pursuing a multi-well programme designed to realise West Rustavi’s oil and gas potential, including the sidetracking of a second well, WR-38Z, updip and analogous to WR-16aZ, targeting the same Upper and Middle Eocene formations. Block also plans to sidetrack three other wells, test one of the Field’s gas discoveries, and drill a new gas well during its campaign. The Company is also acquiring a 3D seismic survey to provide a critical understanding of West Rustavi’s subsurface, allowing identification of optimal locations for future drilling. Block Energy Chief Executive Officer Paul Haywood said: “We are delighted to sign this Agreement with Bago, one of Georgia’s largest domestic private gas traders with ready access to extensive infrastructure capable of handling large volumes of gas. West Rustavi is the site of multiple historic gas discoveries, which we will test in the course of our work programme. When we have made further progress with our campaign, we look forward to providing guidance for West Rustavi oil and gas production for 2020.â€
Norris107
30 Oct 2019
Operations update I hadn’t known about your Georgia trip - must have been quite an adventure! I’m rather surprised that the weather is so clement there but I have known isolated areas with their own mini climate - which is always going to be a bonus for those working at the wellhead and in this case good for you. I’ve never had anything go ‘exactly as I expected’, so am immediately jealous, however you are, as always, very generous with sharing your thoughts and knowledge (plus your understanding of lemmings.) I no longer trade and so I shouldn’t really be here but I was genuinely interested and much appreciated your reply. ( I’m sure others will too.) All the best to you and continued good fortune with BLOE - Norris
the_old_trout
29 Oct 2019
Operations update Hi Norris, Always good to hear from you. As you probably know I went out to Georgia in 2017 and asked about the winter conditions. The long and short of it is that they get a lot of snow up in the high Caucasus, but at the lower elevations where the oilfields are it’s generally just a case of a light dusting of snow now and again and the odd frost. Hailstones seem to be an issue in Kakheti region now and again, sometimes destroying crops, but overall I understand there’s very little down time at the well sites unless there is an exceptionally cold spell. The chart is playing out here exactly as I expected. Started from a grossly oversold position when the lemmings jumped, then became a little overbought last week as sentiment changed, and now some sideways movement as some who stocked up at the bottom take profits or derisk as it consolidates ahead of news. By Thursday it should be ready to go again if the company put out a positive statement to be read out at the AGM and perhaps a new presentation to go with it. I had hoped to go up to London for the AGM but I just have too many other committments at the moment, so I hope that others can report back on the various boards. All the best, Tot
the_old_trout
28 Oct 2019
Small cap round up From Master Investor this evening includes a write up on BLOE: "From the beginning of May, the shares of this company, which is focused on becoming the largest independent oil and gas producer in Georgia, have been in an increasing decline. From 17p, then to a low of 3.95p in the middle of this month – that fall was really quite steep and perhaps overdone. They are now trading at 6.50p, after peaking at 7.77p on Thursday morning of this week. The shares are obviously becoming an interesting trading counter and I believe that the company will do its utmost to come out with loads of good news items to get its shares back up to the headier peak levels again. In early June I profiled Block Energy, then at 13p, with a speculative target price of 25p. That may well look far too optimistic right now; however, I still feel that this tiddler does have investment merit in its corporate strategy. The work that it is doing on its West Rustavi field could well prove highly rewarding. So, I stick to my target price, which if achieved before the end of next year will see the shares almost quadrupling."
the_old_trout
22 Oct 2019
RNS Monday - Operations Update Yep, the cash is flowing back in here now as positive sentiment returns. The closing share price crossed the 20 day moving average yesterday and today it crossed the 50 day MA. Next target is the 200 day MA at 7.61. It could well do that by the AGM if, as one would expect, they release some more positive news ahead of the AGM on the 30th. I am tempted to go up for it unless anyone who lives a little nearer is able to do so and report back. Tot
Dubai_tDodger
22 Oct 2019
RNS Monday - Operations Update Another nice rise today, even if it was a bit slow “out of the blocks†to start with DD
jaytee41
21 Oct 2019
Boom! Got a good pride there Eyes.
fynne
21 Oct 2019
RNS Monday - Operations Update Good to see they’re being very careful to avoid the water contact … seems they have high expectations WR-38Z is worth the effort to get this right.
EyesonHawk2
21 Oct 2019
Boom! Well ToT managed to dip my toe in last week at 4.6p so todays RNS’s and possibly further news in the upcoming AGM all bode well! eyeson…gla
the_old_trout
21 Oct 2019
Boom! Well that’s a good start today jaytee, with the new well now significantly derisked and the share price reacting accordingly. The grant of those options also suggests to me that that we might have a further update on 16az in the not too distant future. Regardless of that I fully expect the options to be in the money once 38z has reported. The investor sentiment cycle has now turned to the upside as predicted, but we are still in the very early stages of the cycle, probably still in wave 1 of a new five wave pattern. Atb, Tot
EyesonHawk2
21 Oct 2019
RNS Monday - Grant of Options RNS Number : 4428Q Block Energy PLC 21 October 2019 21 October 2019 Block Energy Plc (“Block†or the “Companyâ€) Grant of Options Block Energy Plc, the exploration and production company focused on the Republic of Georgia, has today granted a total of 6,325,000 options to acquire ordinary shares in the capital of the Company to new and existing employees. The options have an exercise price of 11p per share, an expiry date 10 years from the date of grant, and vest by one-third on each of the first, second and third anniversaries of the date of grant. Block has also decided to grant 2,200,000 options to acquire ordinary shares in the capital of the Company with the same terms as those above to other new employees, but conditional on the successful completion of probation periods. Details of those options granted to directors/PDMRs are provided in the table below. This announcement contains inside information which is disclosed in accordance with the Market Abuse Regulation which came into effect on 3 July 2016.
EyesonHawk2
21 Oct 2019
RNS Monday - Operations Update RNS Number : 4575Q Block Energy PLC 21 October 2019 21 October 2019 Block Energy Plc (“Block†or the “Companyâ€) Operations Update: Successful Cementing of Casing at Well WR-38Z and New Technical Appointments Block Energy Plc, the exploration and production company focused on the Republic of Georgia, is pleased to announce the successful installation and cementing of casing through the build section of well WR-38Z (“the Well†or “WR-38Zâ€) at its flagship West Rustavi field (“West Rustavi†or “the Fieldâ€), a critical phase in the sidetracking operations currently in progress at the Well. The Company is also further strengthening its technical team. Casing at WR-38Z WR-38Z is being drilled horizontally into the Field’s primary oil-bearing Middle Eocene reservoir. The seven inch casing - or “liner†- was run into the bottom of the Well and cemented in place above the target formation. The design of the casing, which prevents fluid incursion from the Upper Eocene layers above the Middle Eocene, has been informed by valuable data and experience gained through operations at the appraisal well WR-16aZ (“WR-16aZâ€), the first well the Company drilled at West Rustavi. Other cost-effective and proven isolation techniques being deployed include the use of swellable packers providing secondary barriers to water entry. Block looks forward to announcing the completion of drilling operations at the Well in around two weeks. WR-38Z is the second in a fully-funded, multi-well programme Block is pursuing to realise West Rustavi’s potential. The Company plans to sidetrack three other wells, test one of the Field’s gas discoveries, and drill a new gas well. Block is currently acquiring a 3D seismic survey to provide a comprehensive understanding of West Rustavi’s subsurface, allowing the Company to identify optimal locations for future drilling. New Technical Appointments Block is also pleased to announce new appointments further strengthening the Company’s technical and operations team. Two highly experienced geoscientists, Steve Smith and Jim Lee, bring more than 70 years’ collective technical and managerial expertise gained in the course of work across the world for small, intermediate and major oil and gas companies. Georgian oil and gas industry veteran Mamuka Kharabadze will manage Block’s operations subsidiary, Block Operating Company LLC (“BOCâ€). And Kevin VanBuskirk, contributes more than 40 years’ international onshore and offshore well operations experience. Brief profiles are provided below: Mamuka Kharabadze - General Director BOC Mamuka has 20 years’ experience of the Georgian oil and gas industry. Before managing BOC he was General Director of the Norio Operating Company, Block’s Georgian partners,. Mamuka has also held logistics management positions for Canargo and the Georgian British Oil Company, and played senior roles in the acquisition of more than 600 km for 2D seismic surveys and the drilling of more than 25 wells. Steve Smith - Subsurface Lead Steve has more than 30 years’ technical and managerial experience encompassing both small independents and the majors. He is a versatile geoscientist with expertise in both geology and geophysics. Steve has worked as an exploration manager for Shell, a technical advisor to the CEO of Gulfsands Petroleum, and a new ventures manager for JX Nippon. He has a BSc in Geology from the University of London and is a Fellow of the Geological Society of London. Jim Lee - Senior Geologist Jim has more than 35 years’ experience of reservoir evaluation, risk analysis and project management, working in Canada, Russia, Australia, Yemen, Mongolia and South America. He focuses on making sound economic decisions through the integration of geology, geophysics and engineering disciplines. Jim has worked with companies ranging from successful junior start-ups and large intermediates. He holds a BSc in Geology from the University of Alberta, Canada, and is a professional geologist registered in Alberta. Kevin VanBuskirk - Well Operations Specialist Kevin has more than 40 years’ international onshore and offshore operations experience, working in Georgia, Ukraine, Canada, Alaska and the Arctic. He has held senior field roles overseeing completions and drilling operations with companies including Apache, Nexen, Talisman, Statoil, Shell, Union Oil and Dome Petroleum. Kevin has also provided management and consulting services for minerals exploration and environmental and geotech operations. Paul Haywood, Director of Block Energy, said: “The successful cementing of WR-38Z’s seven inch casing is a significant step in the sidetracking of the Well. Our drilling of well WR-16aZ provided a wealth of data about the Field’s subsurface that has allowed us to optimise the completion design of WR-38Z, knowledge we will be able to apply to all the West Rustavi wells we subsequently drill. We look forward to updating you on further progress at WR-38Z, WR-16aZ, and our work across the Field.†“We are also delighted to welcome Jim, Steve, Mamuka and Kevin to the Block team. They bring skill, versatility and deep industry experience that further strengthens our operations capability. Block Energy comprises a range of international talents dedicated to ensuring the success of our multi-well programme.†Roger McMechan, Technical Director, has reviewed the operational, reserve, resource and production information contained in this announcement. Mr McMechan has a BSc in Engineering from the University of Waterloo, Canada and is a Professional Engineer registered in Alberta. This announcement contains inside information which is disclosed in accordance with the Market Abuse Regulation which came into effect on 3 July 2016
jaytee41
18 Oct 2019
Boom! Let’s hope for some good news next week, in time for the AGM
