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Buy out what? The Co. has nothing of value to be acquired.
Check out claim #349 for $220,000 and #350 for $39,300,000 by one Lynn Blystone.
Then there are claims #39 and #348 for $250,000 and $16,000,000
by Behrooz Sarafraz!
Per Docket #420, it looks like the sale has now been approved for $17 million plus a max. additional $2,000,000 to "cure" PV Ranch ills.
After paying the accrued lawyer fees/court costs of 5-10 million(?);
Gamble, Opus and the $9 million in unsecured debtor claimants
are finished squabbling over what's left, there for sure won't be anything left for the common shareholders.
TIV's early association with unsavory promoters is laid out in
a 2005 Arsenio Research Report:
http://www.asensio.com/Reports/ReportView.aspx?ReportId=677&CompanyId=146&CompanyName=Tri-Valley+Corporation&IsArchived=true
A quote from the report--
"Tri-Valley's gas sure smells fishy.
According to Tri-Valley Corporation's (AMEX: TIV $9.55) press releases and website, it is "in its 43rd year of business as a successful operating company and for 32 years has been" a public company.
TIV has a nearly unblemished record of annual losses and a lifetime accumulated earnings deficit. TIV "went public" in 1981 by merging with a shell with $14,000 in total assets. The combined total assets of the merged companies were $305,896. At the time of the merger the combined companies had already issued 2.9 million of their shares at an average selling price of $0.38 per share. TIV's stock sales now total 22.6 million shares sold at an average price of $0.98. Perhaps stock promotion is the operation that TIV is referring to as "successful." However, all of its past stock schemes pale in comparison to the operation started at the end of 2002.
On December 12, 2002, TIV announced that it had retained Global Business Partners Holdings, Inc. to "schedule meetings with prospective European investors." Richard H. Langley Jr. is Global Business Partners president, treasurer, and secretary. Mr. Langley certainly appears to have augmented TIV's long history of stock promotion schemes.
An October 11, 1996 Bloomberg Business News article headlined "45 Stock Promoters Stung in FBI Fraud Crackdown" mentions Mr. Langley as one of the stock promoters charged as a result of a three year FBI investigation. The article states that the investigation uncovered stock promoters who "bribed brokers to get them to tout certain shares."
In 2000 Mr. Langley pled guilty to conspiracy to commit wire fraud. Mr. Langley agreed to a Cease-and-Desist Order from the SEC that expressly barred him "from participating in penny stock offerings." Mr. Langley did not admit or deny the SEC findings. Apparently the order may not have prevented the continuation of Mr. Langley in securities dealings in Europe. Mr. Langley was hired to promote TIV in Europe where the stock is listed on the Berlin and Frankfurt stock exchanges..."
Harold Noyes, the then President of Select Resources and member of TIV's Board of Directors, also gets an interesting honorable mention in the report
And don't forget the infamous Cohen Report from 12 years ago
when TIV was at $7 --
"We believe Tri-Valley’s strategy to re-exploit and further develop with, modern methods, its lightly drilled
properties provides investors with a special opportunity. Also, its inventory of large target wildcat exploration
prospects enables the Company to pursue “Company Maker” projects as well and evaluate numerous attractive
options. The Company’s asset base places it in the enviable position of having high impact prospects adjoining
prolific oil fields. Tri-Valley’s strategy to leverage modern technology to rework prospects which are not close
to known production, and located in setting having no conventional prospects enables the Company to evaluate
several attractive options. We believe management has the ability to oversee these assets and increase longterm revenues. Going forward, revenues and profits are expected to be enhanced on a site-by-site basis. The
reward is the conversion of a market risk asset to a credit risk asset, and the commensurate increase in value of
the assets involved. We believe Tri-Valley’s production plans are exciting in an opportunity-oriented industry.
At a price of $7.15 per share, with a $30.03 long term valuation target, we recommend purchase of Tri-Valley’s
common stock for long term, moderate risk adverse investors."
Interesting reading --BK Court Docket #277 related Documents. Gamble invited to take the "hot seat". http://dm.epiq11.com/TVA/Docket#Debtors=4773&RelatedDocketId=&ds=true&maxPerPage=25&page=1
A snippet from #277 Main Document--
"Tri-Valley charged Opus $11.3 million in finder's fees, most of which
were paid to Behrooz Sarafraz, who was not a registered broker-dealer
and pled guilty in 2000 to a felony conviction for making a false
statement to the government during the course of an investigation.
Tri-Valley and the OSC agreed to credit Opus $6.3 million, plus remit to Opus the first $5 million of recoveries from those finders.
•
Tri-Valley overcharged Opus $13.2 million for certain turnkey drilling
services provided by Tri-Valley to Opus. Tri-Valley and the OSC
agreed that Tri-Valley would credit Opus $10.4 million.
•
Tri-Valley wrongfully charged Opus for certain Lease Acquisition
Costs, for which Tri-Valley was liable under the Partnership
Agreement. Tri-Valley agreed to credit Opus $7.5 million on account of the wrongful charges.
•
Tri-Valley's former CEO (Lyn Blystone) wrongfully permitted Mr.
Sarafraz, the main "finder" and an Opus partner, to withdraw over $1 million from Opus as a loan in violation of the Opus Partnership Agreement, which loan was never repaid. Because Tri-Valley was responsible for that transaction, Tri-Valley agreed with the OSC to credit Opus $1 million.
•
In addition, Tri-Valley wrongfully charged Opus for $2.6 million in legal fees for the defense of title to certain leases (the "ScholleLivingston Lease Dispute").
Altogether, Tri-Valley conceded to the OSC of having wrongfully charged Opus in excess of $30 million plus accrued interest. (See May Newsletter). During this period of time, Gamble served on the Board of Tri-Valley and either knew of, or should have known of, each of Tri-Valley's breaches."
What is really incredible, is that Tower Hill International,
who has been acquiring land adjacent to their invaluable core
proven vein occurrence gold holdings, should pass up the
opportunity to pick up the world beater Short Creek property
for a mere 200 grand (with Richardson thrown in to sweeten the deal).
Per the hype on TVI's website, the numbskulls at THI lost out
on the acquisition of a 50 sq. mile pluton of porphyritic
rock bearing all manner of gold, silver, palladium, copper
and molybdenum, not mention the vast rare earth deposits
(touted by experts the likes of "Surfer BJ" and others).
Who needs Mountain Pass rare earths when you could have Shorty
Creek?
Adding to the enormity of THI's blunder not to buy Shorty Creek
is that, as everyone knows, "On average, porphyry mineral systems
are three to ten times greater in value than most intrusive related gold deposits [THI]." Thus sayeth the Bly.
Right next door and they failed to take the opportunity,
the dummkoepfer.
When the Majors pulled out of the Edison field in the 50's, it
was bought up by independent operators. The largest of these
(as of 2008) was Vaquero Energy with 352 wells. Second largest
was Naftex Operating Co. LLC, owned by Hormoz Ameri, with 163
wells. The address for Naftex Operating is 14333 Breckinridge Rd.,
near the intersection of Breckinridge and Commanche --just
across the road from Claflin.
The lawyers will be the only ones coming out ahead on this deal.
For the month of Sept. alone, the law firm handling the routine
matters for the BK Court are billing in excess of $290,000
@ $440 per hour. This more than burns up the $200,000
received for the sale of Shorty Creek and Richardson. And they
still gotta pay for Oct. and Nov.
Slogging through the BK Court documents it appears that Select's
world beater gold properties were sold to Bluestone Resources, Inc
for $200,000.
Edison/Claflin went to Naftex Development LLC for a whopping
$3,010,000 plus assumption of liabilities. Back up bidder was
Hathaway LLC.
Naftex adderess was listed as 1900 Ave. of the Stars, Suite 2450,
Los Angeles, 90067
Info can be found here: http://dm.epiq11.com/TVA/Project#
As predicted.
And this has what to do with TVLY?
October oil production down 34% overall
Claflin -52% PV -33%.
"I don't know where that came from...."
These are the summarized results of the Asarco-
Fairbanks 1989-1990 (Pre TIV) drilling program
at Shorty Creek, found on page 17 of the "Avalon
Report": http://www.tri-valleycorp.com/docs/NI-43-101_Opt.pdf
Interesting comparison betweeen the Avalon Report
and the Tower Hill Reports. Chalk and Cheese.
Wow! TIV only lost only $.5 million of the
$ 1.6 million they invested in Admiral.
They bought it in June '05 for 3 million
--$1 million in cash and $2 million to be paid
off in 10 years.
So paying off the $1.1 million still owing,
they are left with $1.4 million in compensation
for their $2.1 million acquisition cost to date.
For the $1.4 million they receive from the sale, it only cost them $2.1 million.
Such a deal!
Watcher,
sorry, still no PV SAGD. It's still waiting to
commence....
From the most recent TIV PR dated Nov.3, 2010:
"During the fourth quarter, we are working to optimize our equipment and facility requirements at our Pleasant Valley project to ensure that we have the infrastructure in place to accommodate the additional production we anticipate from the deployment of Steam Assisted Gravity Drainage (SAGD) technology. We expect these facility improvements to be in place, and a new well drilled to enable the operation of the SAGD pilot by the end of the first quarter of 2011.”
".. how many wells are actually producing? They several pumping (3? 4?), and ONE new SAG? Other than that?? The SAG well ought to produce "better than expected" profits...."
What new SAGD well? After two years of planning to prepare to commence the drilling a first SAGD well, they still haven't drilled one!
And being out of money, are not likely to.
All the PV production is from cyclic steamed
single bore horizontal wells.
The world-beater potential production from a TIV PV SAGD well has yet to be experienced.
And they are thinking about commencing in the
next few months of drilling their first SAGD
injection well at PV. This has been in the works for over the past 2 1/2 years now. Strange that
TIV has been touting SAGD right from the get go
at PV and drilled 7 horizontal wells none of
which incorporated SAGD technology. It is
also ironic that years ago Geo Petroleum was going drill a SAGD well on the same lease TIV now operates but went broke in the process.
"... an how they list two years of PR's:"
Actually less than 2 full years of PR's, thus
conveniently removing from view all those 2008
embarrassing and incriminating PV production PR
prevarications.
It's interesting that the original world beater prediction of
thousands of barrels per day production from Oxnard was predicated
on the use SAGD production methods.
From the PR dated 1-4-08:
"Tri-Valley has acquired a fleet of steam generators in anticipation of an expanding, ongoing injection program to treat the Vaca formation in multiple wells to build production, revenues, reportable reserves and share value. The Company believes it can ultimately achieve several thousand barrels per day from its field development program on the Vaca zone alone, using steam-assisted gravity drainage (SAGD) methods where one wellbore is used to inject the steam for heat and pressure into the formation to drain the treated hot oil into a collector bore. SAGD has achieved much higher production and recovery rates in the Athabasca heavy oil fields and Tri-Valley now expects to handily exceed historic production and recovery rates in the Oxnard field with this approach."
But to date, none of the horizontal wells drilled to date are SAGD. They are conventional single bore horizontal wells
cyclic steamed and produced. The parallel "companion" bores required for continuous steaming and continuous production
have yet to be drilled (More $).
From PR dated 10-28-08:
"Tri-Valley Corporation (NYSE AMEX-TIV) is preparing to drill three more horizontal wells at its Pleasant Valley leases near Oxnard, California. All will be drilled into the same shallow Vaca Tar Sand formation where the Company already has seven productive wells on cyclic steam production.
"As we put more heat into the reservoir, we are seeing handsome production increases after each steaming and are confident that these properties will deliver several thousand barrels of oil per day as we continue to drill out the leases and then convert to continuous steaming through injector wells", said F. Lynn Blystone, chief executive officer."
Without SAGD it would not seem likely to see the thousands
of barrels per day production anticipated.
"Where did you get your numbers/"
The same place Jonsie got his --the DOG FTP site:
<a href="ftp://ftp.consrv.ca.gov/pub/oil/monthly_production_reports/2008/09-2008.pdf" target="_blank"ftp://ftp.consrv.ca.gov/pub/oil/monthly_production_reports/2008/09-2008.pdf</a
" Now the big question remains...since the DOG is not reporting (thru Sept 2008) anywhere close to such big production numbers as announced by CEO, could the DOG be keeping a portion (have to be a majority of it) of the production from those wells at PV confidential?"
No.
Per the last paragraph of page 4 of the "Monthly Oil and Gas
Production and Injection Records, Sept. 2008"
ftp://ftp.consrv.ca.gov/pub/oil/monthly_production_reports/2008/09-2008.pdf :
"Note On Confidential Production
...confidential production data is included in Pool, Area, and
Field totals of this report. It is also included in District,
County, Statewide, and *Operator totals*."
It would seem that what you sees is what you gets --PR claims
and projections notwithstanding.
Doodlebug
"So, waddya reckon has happened since.....?"
Good question --considering that if they were producing 1015
boed, as claimed as of May 8 ("and increasing") then one
would have expected to see a *minimum* production of
24,360 boed for period of May 8-31 -- not counting the production from May 1-7.
However, if you check the actual total May production shown on
May DOGGR ftp site you will find a *total* May oil production
of 13,599 (including confidential wells) and total gas production of 36,320 Mcf --equivalent to 6053 boe.
13599+6053=19,652 boed
Total recorded production for the whole month of May was
19,652 boed, yet their press release claimed a *minimum*
of 24,260 boed not even counting the first 7 days.
Probably the apparent shortfall was from limestone, not included in the DOG numbers, Ya think?
Dodlebug
Yes it does include the 11,736 bbls production from the 7
(as of Sept.) producing Oxnard wells as reported on the
DOGGR FTP Site which lists the aggregate total, including
otherwise confidential wells. See Jonsie post #4643.
Doodlebug
"Daily production sum: 1094.3 boe/d"
Not really:
Belridge, Edison and Oxnard production = the total
production of 14272 bbl/mo. or 490.9/day.
Add the gas boed of 138.9 and you get a grand total
629.8 boed --which is 31% of the projected year end goal
of 2000 boed.
Just out of curiosity, does anyone know what price undiluted
5-7 gravity tar would bring when when light sweet crude
goes for $ 50/barrel on the commodities market?
Doodlebug
Geo,
An interesting item re Edison Field Schist production:
http://www.geoscience.co.uk/geofrc/geobasenamerica.html
I doubt this is TIV's 'deepening' play, but as another operator
in the area has gone on record as having said, "[because of this]
anyone drilling in the Eastern San Joaquin Valley is foolish
not to drill to basement."
Doodlebug
Lefty,
Yes "Temblor East" aka Shields-Arms Lease in the 'Edison Groves'
area of the Edison Field. Specifically in Section 32 T 29S R 29E.
This is the only currently producing lease in Tiv's collection
of Edison properties (others @ Racetrack and Northern Edison)
and presumably where they propose to test deepen existing wells.
Current production is 13-15 gravity oil from the Olcese,
per DOG info.
Since the PR is not very specific, it is also conceivable that
they may intend to deepen an currently non producing well
in one of the other Edison leases (which may or may not have any
Opus ownership)? See the "East Temblor" holdings descrption
found on the TIV website --again not totally clear (at least
to my feeble brain).
My concern is that I didn't want to be responsible
for rewarding Lynne's open and cordial discussion with fodder
for those who are given to twisting whatever is said to their
own devious means.
Nonetheless, he did say that they, just in the last few days,
met with the technical group being looked to, to find ways of
cracking the permeability issues at Sunrise, Ekho and the Belridge Diatomite.
He also confirmed that the Veddder is the
target zone at Ekho and that they will be going back to both
Sunrise and Ekho as soon as the experts come up with a plan.
Meanwhile, contrary to Cohen, Diatomite production is not the
current first order of business at Belridge, but rather the Tulare/Etchegoin.
Comparative recovery rates were cited as a
major factor (only 10-12% for the Diatomite). He remarked
about the huge expenditure that is being made by Aera just to
maintain production levels from the Diatomite. Further, he
indicated horizontal drilling might or might not play a major
role in future Diatomite exploitation. He mentioned that
Aera is going back to vertical drilling at Cymric. I gathered that because of current
ongoing research by Aera and TIV's own group they were in no hurry to actively tackle the Diatomite.
If I understood correctly, at least one of the 4 exploratory
Belridge wells is being completed for Etchegoin production. The overall
inpression I got was that they are steadily progressing
per a flexible plan, albeit not as fast as some might like.
Doodlebug
Lefty,
I don't know any more than what's shown on the map.
Lefty, I just returned from Bakersfield (I live in the mtns.
about 35 mi. to the East) and I was able to stop in at the TRI
Valley Office and Inquire about the 500 acres.
After explaining the purpose of my visit, Lynn came out and
talked to me. I asked where the 500 acre parcel was in
relation to the to the Opus 700 acres. I had map 456 with me
and he indicated that TIV 500 acres adjoin the NW corner of the
700 -- which would put it in section 25 (and possibly part
of 26) on map 406. Since I did not have map 406 with me, I can't be more precise.
We chatted about 15-20 minutes about mutual acquaintances
and associates in the business, Aera, Sunrise, Ekho, Tulare/ Etchegoin production, vertical versus horizontal drilling and
new technology TIV is looking at. Not wanting to overstay my
drop-in visit, I didn't get into the rig question.
I don't want to be more specific because of concern that
the imbecile faction on the other list will twist what I
say out of all proportion. However if you want to PM me
(can you do that from this list?) I can fill you in
a bit more on info relevant to some of the topics recently
discussed here.
Doodlebug
If one can rely on the information contained in the Cohen Report,(page 26) it is clear that "Temblor West" consists of
700 acres(Opus) and 500 acres (TIV) in S. Belridge. "Temblor East" consists of 160 acres in Edison. The question then becomes
where is the TIV 500 acre in relation to the known location
of the Opus 700 acres (map 456)?
Also per the Cohen report, TIV's plans for exploiting the
Diatamite zone is for horizontal drilling a la Aera. And
to prepare for this it makes sense that they must first
drill vertical test wells to determine the areal extent,
thickness and dip of the pay zones, since on the West flank they
are much thinner than on the main structure 400'+/- vs
1000'-2000').
I haven't looked into the Edison operations ,so have no opinion.
I do notice that the number wells pumping there at any given
time seems to be directly proportional to the current price of oil.
Re the rigs, it would appear that the production rigs are
busy doing more contract work (geothermal) than drilling the the TIV/Opus holdings. Fund raising?
Lefty, pardon the late reply. Work and finishing taxes have been
the order of the day. Regarding diatomite fracs, suggest you
take a close look at the Aera AAPG presentation PDF. Their
approach/frequency is detailed there.
For an outline of the developmental history diatomite fracing
and methods used see:
http://www.westcoastpttc.org/presentations/00-01/012501/02-Underwood.pdf
Regarding, the location of the 500 acres held outright by TIV
as mentioned in the Cohen Report, How's about I mosey into there
offices with maps in hand ( I have a 24"x36" plotter) and
simply ask them? I will be in Bakersfield this week for a
"Costco run" anyway. I know it's more fun to speculate, but...
Doodlebug
Lefty, per the Aera AAPG presentation, the Belridge Diatomite
pool is 3/4 mi. wide and 12 mi. long consisting of 4800 acres,
of which 4100 are operated by aera --85% of the whole enchilada.
Aera furthermore controls large land holdings on the east and west flanks. TVI holdings are located 1/2 to 1 mile SW of the
edge of the delineated main structure/pool (Diatomite, that is).
Aera holds property immediately to the North and West of TIV.
So to say the TIV is higher than Aera on the structure is ludicrous. It might be argued that they are higher on the West flank than Aeras holdings West of TIV, but that would be the extent of it.
You can examine all this by pulling up the relevant DOGG
District-4 well location maps:
http://www.consrv.ca.gov/DOG/maps/d4_index_map1.htm
TIV's Carneros lease and adjacent/surrounding other holdings
(700 acres) are found on Map 456. Adjacent Aera holdings to the
North are found on 455. Aera to the West, Map 453. The main
So. Belridge field to the East is on Map 459.
Aera doesn't steam the Diatomite, flooding only. Steaming
is usually used to recover heavy oil and tar sands (Kern River
Field, a prime example). I have read somewhere that injection
of high pressure steam is one means of fraccing, however.
I don't know the method Aera uses.
TIV might have used a better handle for their S. Belridge ops
than Temblor, since there is already an abandoned field to the
South named Temblor (hopefully not an omen). And to call their
Edison operations Temblor East is really off the wall, since
Edison is some 60 miles to the South East.
It would be interesting to know which part of the 700 acre
TIV holdings shown on 456 is held by TIV outright with no Opus
interest.
Doodlebug
Re Aera production figures:
I should have been more precise in my wording. Aera produces
18.6 barrels of oil per day PER WELL. That's derived from their
stated total production of 65000 barrels per day from 3500
producing wells --all from the Diatomite sequence. As per
profitability these same wells produce a total of 40 million cf
of gas daily. It should be noted that the area involved is 4100
acres (6.4 square miles) with close well spacing. Also since
Aera's reservoir management techniques have greatly improved
over time, it would be reasonable to expect much higher production
from the more recently drilled wells, especially the horizontal
ones.
Based on these real world figures it would seem highly improbable
that TIV would get any world beater production from any vertical
Diatomite wells not yet reported on, or not yet drilled. I
seriously doubt they can beat Shell/Exxon at their own game.
The above info was derived from the presentation made to the
AAPG national convention, April 2006, which I referenced in
Post #1666. BTW, I am not anti TIV. I hope they succeed. But
until they show a little more substance than hopeful press
releases, I am not going to invest.
My apologies, for any confusion I may have caused.
For those looking for a dramatic increase in TIV production
figures from S. Belridge operations should bear in mind that
Aera Energy, just next door, and higher on the Structure
produces an average 18.75 barrels/day from its 3500 wells.
These 3500 Diatomite producers have been fraced are water flooded
by 1100 injector wells at close spacing. Many are horizontal.
And to maintain this 18.75 barrels/day they have to drill
700-800 new wells annually. So if this the best that Aera
can do with unlimited resources, know-how and experience
where does this leave TIV? Looking for a BIG increase in
production figures from a few Diatomite zone wells? Forget it.
It ain't gonna happen.
I first began following TIV after reading the front page
full color coverage of Ekho in the Bakersfield Californian
back in April, 2000. This "find" was to be the answer to all of
California's energy needs. After 7 years of on and off messing
with Ekho it as produced zip. I agree with Yadz. Making Ekho potential into a producing reality would be a more profitable
expenditure of resources than fiddling around with unproven
gold claims, limestone quarries, volcanic cinders and basalt
holdings and amall flank structure worn out oil leases.
How productive (other than PR hype) has this been?
Diatomite Production: How Aera Energy Does it
Since TIV is looking to the Diatomite for significant production
from it's South Belridge holdings (current production is essentially from 30 or so Tulare fm. stripper wells) it might
be informative to see how TIV's neighbor succeeds.
Last April they made a presentation to the National AAGP Convention
held in Houston on the subject of producing from the Diatomite
in South Belridge:
http://www.searchanddiscovery.net/documents/2006/06143allan/images/allan.pdf
Some notable items in the PDF--
Page 4. Map of South Belridge Diatomiite Pool. Tiv Carneros Lease
occupies roughly the SE 1/4 of Section 30 (T28S R21E) and the approx. NE 1/4 of NE 1/4 of Sec. 31. Aera bounds to the North and
East.
Page 8. Microphotographs of diatomite, showing why it has such
low permeability and relatively high porosity.
Page 17. Layout of Aera's current water flood configuration,
2 injector wells to 6 frac'ed producers in a 2.5 acre pattern.
Page 18-19. Details of Aera's horizontal drilling program
in thin west flank Diatomite zones. This is going on immediately
to North of TIV Carneros and extensively 1.5 miles to the SE.
The Belridge structure runs N 45 degrees West (SE-NW).
Page 24. From Report Abstract: Aera currently produces 65,000
barrels of oil daily from Diatomite zones up to 2000' thick,
covering 4000 acres inside Aera's field limits. Aera has 3500
producers and 1100 injectors actively maintaining production
from the diatomite. Some 700-800 wells are drilled annually
to maintain production.
Hopefully this will help clarify some of the issues TIV faces
in acheiving their investor's long sought after oil production
reality.
Doodlebug