eye_user
20 Jul 2015
Bottom hit Looks like we have some fishing for sellers at 3.75pCould be a great time to top up (again)
doginafog
16 Jul 2015
FY.I Global oil majors have $150B ... ... of firepower than can be used for M&A and have the ability to defer another $325B in capex on marginal projects; with so much cash available for potential deals and up to 15M bbl/day of production potentially available for purchase, Goldman Sachs analyst Ruth Brooker sees a pickup in M&A activity in the oil and gas space coming soon. The firm thinks shale production has the potential to double by 2025, and Brooker argues majors likely will take the current opportunity to increase their exposure to U.S. shale at historically low prices. Goldman sees seven companies as most likely to draw buyout attention from the majors: EOG, PXD, CLR, COG, NBL, APC, RRC. KR dif P.S While I Welcome the numbers hoping they are correct I would think that not ALL will go towards shale plays. And some money will be spend in the FI. It does look like shale O@G is going to stay.[link]
labongus
16 Jul 2015
Re: AGM report by Flying Mule in a world of falling oil prices,oversupply and the prospect of Iranian oil coming to the market, maybe F.I.G should re-assess its corporate tax/royalty rates if they are to attract big oil. the Saudis have shown the way to be flexible in a competitive world
The Flying Mule
15 Jul 2015
Re: AGM report by Flying Mule Hi Fadilz,I have been meaning to post a few notes on the BOR AGM but time is pressing at the moment. That said I’ve managed to collate a few snippets over the last few weeks so here are some thoughts!The original posting was actually on LSE and in all honesty I hadn’t wanted it to be put up as it was (I was planning on providing a summary as usual) so I am a little surprised it turned up to but there we are! I wasn’t able to attend the AGM myself this year but another investor did and was able to give me comprehensive insight.For some reason, the May technical update has disappeared from the website (thought there is little difference between the technical update and the AGM presentation). For those that didn’t manage to save a copy, here is a link to a download for it: [link] Otherwise, here is the AGM presentation: [link] Unsurprisingly, fewer people attended than in years gone by, driven by the lack of interest in the company, as it seems to stagnate with a perpetual drift in the share price, albeit with greater volatility lately.From what I can see, there was nothing particularly of note to come out of the AGM that we didn’t already know. At the end of 2014 they had $16 million in the bank and have annual expenses of around $3 million so there’s no immediate pressing need around the solvency of the company (perhaps that’s not such a good thing with encouraging the BOD to get a deal done…
.Licences:• They have entered Phase 2 of their Production Licence, on 1st November 2012, which lasts for a period of five years. This can be extended by various work commitments, such as 3D seismic surveys or drilling wells in excess of the work programme commitment.• There was a little confusion from investors about how much credit could be earned for work and indeed HO seemed a little unsure himself (though I’m sure he knows perfectly well but he chose to say “as I understand it…”. I’ll help him out… - During Phase 2 a one year licence extension may be applied to the licence if >1,000sq.km of 3D seismic is completed.- A two-year extension may be applied for every exploration well drilled in excess of the minimum work programme.- Note it must be an exploration well and not a development or appraisal well.- Note also that BOR still have a one well programme commitment outstanding.- There is no credit for 2D seismic.- There is no credit for historical 3D seismic as it was completed more than three years prior to entering Phase 2.[link] • So (as I understand it ) BOR have completed >1,000sq.km of 3D seismic and have therefore earned themselves a one year extension to the licence, which takes them to 1st November 2018.That said, it’s a fairly moot point as one would hope that licence expiry doesn’t even enter into the equation for BOR as they need to be drilling!Farm out:• The process is ‘on-going’. No great surprises there and I wouldn’t get particularly excited that they’re suddenly going to announce a farm in partner. For what it’s worth, I think there are likely to be players that are watching on the sidelines but they’re quite keen to see the outcome of Humpback. • BOR have come close on two occasions we found out at last year’s AGM but no mention this time. The fall in the oil price, coupled with the associated belt tightening of exploration budgets, has clearly not aided negotiations. • That said there is some benefit to potentially come from the fall in oil price as rig rates are down 30-50% depending on whom you talk to. Services, however, have not dropped as much – around 20% according to HO.• Back of an envelope numbers then reduce the initial $110 million well cost to between c.$71 million to $83 million depending on whether drilling costs
fadilz
14 Jul 2015
AGM report by Flying Mule I won't re-post it here in case he for some reason does not want it posted - but ohisay has posted a link on ADVFN - well worth a read. ongoing work to de-risk, and not too late. commentary may help resident geos to refine their understanding.BOR: 14 Jul'15 - 09:19 - 19748 of 19754
xenonblast
28 Jun 2015
Rise A new week ahead after the AGM. A nice rise on Friday, lets see what happens this coming week, might be a good buying opportunity if the markets suffer because of the Greek issue.
wiremack
26 Jun 2015
Re: Anyone at the AGM today? A little information over on the Lse board.
rpoodle
25 Jun 2015
Re: Anyone at the AGM today? Presentation below[link]
rpoodle
25 Jun 2015
Anyone at the AGM today? n/m
Yak54
16 Jun 2015
Going south Looks like we're heading under 5p again. Grexit worries troubling the market and almost 2 months until humpback comes in. Had expected more of peak pre spud tbh.
ITSNOLIFE
21 May 2015
Re: BOR presentation BOR currently worth £2m less than ARG ! They have a 5% royalty on.....nothing, and a couple of million in the bank. So I guess 360m barrels of condensate in deep water off the FI is never getting developed. That's the markets view. I sure can pick em !
Muzzletoff
15 May 2015
Re: BOR presentation Hope so Red Rock
. Any suggestions? Can only see some sort of consolidation is the way forward. Not that the BOR Directors will particularly like consolidation, but they may get painted into a corner by market conditions/reality.With a market generally averse to deep sea exploration capex spend, where do we go from here?
RedRock-8
15 May 2015
Re: BOR presentation ''FOGL and BOR agree to merge on a non cash shares exchange basis ''No way IMO! FOGL are far smarter than that
Muzzletoff
15 May 2015
BOR presentation Those who are oilies will have a better idea than me about the qualities of the reservoir seismic produced by BOR, but if correct it does seem to help confirm the fact that the Northern and Southern prospect are Hydrocarbon prolific.Sadly deep sea drilling is a tad out of fashion at the moment because of the oil price, and a shift in Capex spending by various of the parties. At the moment companies are still adjusting their policies to this new world order. It is hard to see a better rate than $70 per barrel for the foreseeable future. Raising money in the markets for exploration is also out of fashion.In the medium term this suggests consolidation is the likely way forward. Here is a medium term suggestion. FOGL and BOR agree to merge on a non cash shares exchange basis. Noble or another, takes a stake in the enlarged entity. The cash helps fund further exploration, and economies of scale help reduce some costs, along with rig rates continuing to fall.Having said all that Humpback could fail and we are back at square one. Just passing the time away until that drill starts...
Dobboy1
14 May 2015
Bor upgrade An exploration drilling campaign is currently underway in the Falklands, but, Borders & Southern is not among the companies partnered in the rig sharing contract.An exploration drilling campaign is currently underway in the Falklands, but, Borders & Southern is not among the companies partnered in the rig sharing contract.Falkland oil explorer Borders & Southern (LON:BOR) shares advanced in early deals thanks to a new assessment of the Darwin condensate discovery, based on the analysis of 3D seismic.The company revealed it has identified additional reservoir intervals and has better defined the discovery’s reservoir characteristics.As a result the explorer now estimates the combined Darwin East and Darwin discovery contains 360mln barrels of recoverable gas condensate.Borders has also defined ‘near field’ prospects, called Covington and Morgan, which it believes will be more likely to contain oil rather than gas or condensate. Another two near field prospects, Sulivan and Stokes, are deeper than Darwin and are more likely to be gas condensate.Covington and Morgan are estimated to contain 216mln and 230mln barrels of potentially recoverable oil respectively, whereas Sulivan and Stokes are estimated to have 473mln and 134mln barrels of recoverable condensate.A fifth prospect, Wickham, is believed to be more likely oil and is estimated at 119mln barrels.An exploration drilling campaign is currently underway in the Falklands, but, Borders & Southern is not among the companies partnered in the rig sharing contract.Borders & Southern said it will continue with further sub-surface technical work to refine its assessment of the Darwin area.
