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Now your catching on. This is why I have never joined the "dump" Ntephe group, SEO would just replace him with another CEO who will do whatever he wishes.
badog, two things to think about this previous drilling in the JDZ:
1 they are continuing to study their findings and have ask for a second extension
2 they still have the same NSIA estimates on the website - if they knew they were wrong they would have to remove them.
They are either still unsure of what they found or are sure the inital estimates do not greatly misstate their position. When they posted the estimates they were disclamed upon as being a estimate. If they know they are wrong they are putting out false information - not a good thing to do and stay out of lawsuites.
JMHO, I think that things are being done in ERHC because the powers that be have decided that ERHC is going to be a long term company. Before I had a sence that the company was waiting for the buyout and close out. Now they are acting like there is a tomorrow & theyare unpacking their bags to stay awile.
JMHO, china still has lots of US money, they want/need lots of oil to keep things in China operating. They have had mixed sucess in acquiring oil in Africa & can use SEO's political clout. They have found out just how effectively they can control the flow of information from Peter & the board.
No insider information, but it makes sence.
JMHO, China
which year?
Mid, your description of what normally happens when acrage is relinquished matches what I have seen also. I am especially interested in this because of the wording being used, they have said 1/2 interest in the whole acreage, not 1/2 of the acreage of the block. This is more of an unknown because the Chad rules are a little different, keeping 30% of the oil found instead of a 5 of the total block.
I have thought giving up 25% of the JDZ blocks was one of the stumbeling blocks to phase two because they just don't know what to relinquish and what to keep.
Hopefully, they will publish the PSC in a short fortnight or two and answer our questions
longtimer, CPC has 100% of the block and has/had to give up 50%, SHT (chad) keeps 30% of all oil but does not participate in development costa. So the way I have interpited it CPC had 100% ownership which gets to keep 70% of the oil, they then pay 12.5% royalty and income tax of 50%.
JMHO, I may be missing something, but this apears to be the structure on the PSC. The 50% relinquishment is also open to interpitation, I did not think they were giving up 50% of their 100%, but thought it would be 50% of the acreage.
Krom, these details are not from our PSC. Our deal may be simular or completely different, we don't know until the company publishes our PSC details
one well does not a proven field make!
Pete says we can swing the downpayment, not that anything was acquired cheaply, if there is developable oil we may be paying out a large portion of what we get to buy the income stream, a good reason for Peter not to brag about the purchase. We still have the situation where both China's want to acquire oil. Maybe there is enough to interest someone in fronting funds to ensure they get the right to buy the oil as the field is developed. Again, we are only given enough information to speculate about what is happening.
as long as SNP does not fully disclose drilling results, IMO
The company has said the AIM filing is not done because of our "long and complicated history" they have not said that the NSIA report is done or not done. Dan has said it was being done to release & would be when completed. NSIA has had more than enough time to study the information gathered and "do their thing"
JMHO, SNP does not want it released at this time and has told ERHC not to release. If NSIA can come to a report, why would SNP need more time to study the data? Still JMHO, but the extension and the NSIA report would send out conflicting information to both the JDA, the other owners, and our stockholders
badog, no it would not, only the company making a press release of what they got would. You can't make any assumption with this company - especially that they would or would not do what they should or are required to.
badog, you would not need to hire NSIA to update the resource report to check on SNP, just a competent geologist at much, much less money. All the owners have access to the raw data from the drilling
yet they broke diplomatic relations with chad when they recognized china
We (ERHC) might be used by China to not have to deal directly with Tiwan, while still being able to do business with them. A way to save face.
longtimer, I interpited it differently. CIOC has 100% ownership of the block, Chad kept a 30% royalty ownership of any oil. If CIOC had to relinquish 50% of the blocks acreage, they might have given up 50% of everything but kept operatorship. That way they still control who gets to buy the oil, ERHC gets to pay for 50% of the continued development & gets 50% of the money from production. CIOC gets to strech their development/production funds - Tiwan has no oil or very little and has to import all they use, like mainland china they need oil.
They might be interested in the EEZ or being the operator in our other two Chad blocks & willing to pay with 1/2 a producing well, JMHO
Maybe the Tiwanese need sombody who can sell their oil in Chad, the only refinery is owned by CNOOC, just a guess
Maybe they, the Tiwanese need some more acreage to explore, like the EEZ, and they like SNP are not concerned with owning all the well as long as they control the sale of the oil, to their island, not the mainland, JMHO
The main question is did we buy 1/2 of a producing well and for how much and whose money did we use?
Would the Tiwaneese sell us 1/2, in some manor to get a farm in to the EEZ?
Krom, remember the big chinese loan to Brazil last summer. It's payments are made with money from selling oil to chinese - which is what they want, the oil - maybe this is ERHC's payoff for keeping their collective mouth shut about the JDZ
Badog, if they would fully disclose what they found and where we would have the answers to a lot of these questions We might have a whole new set of questions but, we would a least have some of the answers. Alot more than we have now.
Badog, do a search on Obo-1 the press releases are still out there - 1 billion barels- it also states that it is not comercial as a stand alone development because of infastructure costs.
I agree, you don't throw good money after bad. If ERHE knew a new NSAI report woud show less value why commission it when your trying to get a AIM listing? Since they already had a NSAI report it would have been easy to say their agreement did not allow them to publish the new info untill the operator released it.
To those who know oil, am I correct in reading "only biogentic gas" as saying there is no proof of a working hydrocarbon kitchen?
Badog, it took Total from 2006 to 2013-2015 to develop Egina and they knew they had comercial oil - We don't know what SNP thinks they have because, except for one website comment, they arn't talking. Total first drilled egina in 2003 and didn't decide what they were doing as far as development till 2007, we have only been waiting two years so far
Another thing, people have wondered why if there is anything commercial in the JDZ that SNP would not already be developing it. Egina-1 was drilled in 2003, egina-2 was drilled in 2004, nothing was drilled in 2005, egina-3 & 4 were drilled in 2006 and egina-5 was drilled in 2007. We are now at 2011 and Total is somewhere in the process of acquiring their FPSO. CNOOC owns 45% of block 130 where Akpo, Egina, Egina South and Preowei, the forth find in OML 130 I have heard nothing about. Egina is scheduled for production in 2015, Egina south is scheduled for development next. I have seen articles with a 2013 production date for Egina & don't know if the 2015 date is because of the "Nigerian Content" problems getting the FPSO aproved or not.
This is a known discovery since 2003 and is going into production in 2013-2015 at least 10 years later.
http://www.offshore-technology.com/projects/egina-field/
http://www.ng.total.com/media/pdf/Akpo_leaflet.pdf
I found these two articles that have some of the information in them. The one I was looking for is about the problems they were having getting the Nigerian content law satisfied - this FSPO is as large as the one at AKPO with more topside units - the orignal plan was to tie Egina into the Akpo unit
Seek, that's a question I keep raising, what do we own of Chari Quest, part of the block or part of the acreage. I to think the wording on the ownership is unusual
Total has also not let the contract for the Egina FSPO yet. When they anounced they were acquiring it they stated that it had excess capacity so other area development could be tied in. There is only four prospects in OML, the forth is north of Akpo, south and west of Akpo is Egina, south-west of Egina is Egina South and south of both Eginas is the JDZ - block 1 & 2. They said they could have tied Egina into Akpo but chose to have its own to acomodate other area development - think Total isn't confident of what they'll find in block 1?
I believe that was what I was stating, Chad did not keep 30% of the block, just 30% of the production. In the JDZ the JDA has kept a %, at Akpo nigeria has 55% (if I remember rightly) Akpo was originally a OPL (oil prospecting lease) and became an OML (oil mining lease) - just stating Chad may do thing slightly different - not expert in Chad by any means
Seek, Chad seems to be a little diferent, they don't claim any ownership of the block, but do keep 30% of the production.
I don't think there is any reason we could not make a deal with the tiwaneese for them to come into out 50% of Chari Quest 3 as operator. I don't know that there would not be a way, with connections for them to have re-acquired the acerage they just released.
Other than Peter saying they were "very valuable" we have no idea what we have YET. Two of the blocks are at least close to Oil, the third isn't close to anything, per longtimer's DD, I am keeping an open mind, but it could be some of the deal was done to make it look bigger that it is.
Until we find out more about Chari Quest 3 we don't even know what we bought, what 50% do we own?
Someone who was at the last annual meeting was talking to one of the board afterward. They could not understand why he was not happy, not with what they said, but with what they didn't say. I couldn't figure out exactly what was being implied, were we supose to be happy they didn't anounce dry holes? Maybe we are supose to be happy they are still analysing what they did find, or maybe its more subtle than that, they mentioned that Blair was happy with the drilling
Tamtam, the PSC should give the rough target dates for drilling in Chad, they have signed that. They should have a certain period for finding their first target and a schedule of dates by which certain objectives have to be accomplished. I believe in the JDZ we were down to a couple of months to drill our wells when the deepwater pathfinder got to block 4 - of course there are always extensions available for good reasons
I have also questioned this, the way the news reads I can't tell what we own. I suspect we have the 50% of the acreage in Chari Quest that the Tiwanise had to relinquish, but thats not the way the anouncement reads.
I do not believe we were awarded 1/2 interest in the whole block and it's existing well. That's how the anouncement reads "The company has a 50% interest in Chari-Quest block 3." This implies to me a undivided half interest in the block.
I don't know about the rest of you but, I still am unclear about what we own at Chari Quest. What do they mean by "the company has a 50% interest" do we have a undevided 50% interest in the total block? do we have a 100% interest in 50% of the acreage? do we have a 50% interest in the 1/2 the Chinese gave up? You would think this is not that hard to make clear.
timing also fits with Siroco ETA