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sotcky1- Petrozene should come out
of Calgary, Canada when we all ready. Patience is the cure for time.
BuckeyeMike: I went to college in Texas 2007 and learned of Petrozene there. Now I am one of financial managers for family's international investments. Sorry to read about your football team.
KMX: You Eurolander? Good Morning!
Some of us in the U.A.E. are
ready to buy it for more than tests.
Buckeye, FSNR investors can relax:
Word is out about Petrozene:
http://www.burjdubai.com/
Much disruption here today,
looks like the focus change from Freestone to Free-for-all. Maybe there will be a week of calm discussing of this company now. I hope so, unless new names appear.
I hear that Petrozene can change the essential qualities of sour crude oil and make the cracking of it more profitable. So let me see. It help get oil out of the ground. It keep tank farms clear of sludge. It keep ships free from need to clean and down time. And after delivery it is good for refinery on oil that is not light sweet crude. Not all reserves are sweet and light. Will it make gasoline better too? Joke.
Our lab testing is confirming all this. What happens is clear. What is not understood is exactly how Petrozene does what it does (from wells to refinery}. The laboratories are not happy to recommend something that is not explained with their education. Perhaps it is time to buy some of these machines before the legal representatives make them difficult to export.
Salam!
Petrozene is sold to us in 55 gallon
barrels or drums-whatever you call them over there- is all I can say.
contractor10940- I am informed and believe
is cost about $1,000 per barrel or exactly $18 per gallon.
Salaam!
No offense intended,
and looks like Freestone is finally going to make a move in a very short time period. I too hear geometric growth is in the works.
But I do not understand where the capital will come from for the size of investments they are looking to acquire. We test their product too. So far, so good. Stranger things have happened. Happy to have some shares from last year, just in case there is a White Knight.
Salaam!
Thanks, doog, that is an excellent structure,
I'm going to follow this one closely.
It didn't end at Gotha?
When is the rally?
Soon?
Hello folks,
Is the O/S still: 79,402,458?
illuminati2002? Let there be
light.
Well said, Waverider110
not bad reasoning for an American.
Peak Oil is here & so is FSNR's rise:
November will crush the FSNR doubters.
But much bigger events are afoot:
http://europe.theoildrum.com/node/3226
Peak oil: BP, Conoco CEOs say it's here - also IEA's Fatih Birol really freaks out
Topic: Policy/Politics
Tags: bp, Conoco, iea
After the CEO of Total (the French oil major) last week, two more CEOs of an oil major came out this Thursday to give stark warnings that mean that peak oil is happening right now. In addition, the chief economist of the International Energy Agency (the IEA), one of the main cheerleaders of the "there's more than enough oil" camp until now, is giving an extraordinarily pessimistic interview in the Financial Times, following the recent publication of their latest World Energy Outlook.
Let me take you through all their affirmations.
Big Oil CEOs Point To Constraints On Supply Growth
HOUSTON -(Dow Jones)- Pointing to a variety of political and technological constraints on energy investment, chief executives at two oil giants Thursday highlighted systemic limitations on the growth of the supply of oil, implying that there will be high oil prices for at least the medium term.
The fact that two CEOs spoke separately, but at the same conference, on this topic, is, in itself, significant. We've already had various "worried" messages coming from executives or senior analysts of the oil world with bearish messages, but they could be reported in isolation, and safely ignored the next day. This time, very similar messages came from 2 sources, making it harder to ignore (and, of course, the proximity of the symbolic $100 barrel makes it all the more newsworthy).
But let's get to the gist of it:
ConocoPhillips (COP) Chief Executive James Mulva had earlier told a New York financial conference that he doubted that world oil producers would be able to meet forecast long-term energy demand growth. The International Energy Agency, the energy watchdog for western economies, has projected 2030 world oil demand of 116 million barrels a day. But Mulva said he doesn't believe oil supply will ever exceed 100 million barrels a day. He didn't offer a price forecast.
"Demand will be going up, but it will be constrained by supply," Mulva said. " I don't think we are going to see the supply going over 100 million barrels a day and the reason is: Where is all that going to come from?"
"Where is the oil going to come from?" This is the CEO of the third biggest oil major in the USA, admitting that we no longer know where we can get access to oil. And he's repeating exactly what Christophe de Margerie, the boss of energy giant Total said a few days before: that IEA's projections, that everybody uses, are completely absurd (and, as you'll see in second, the chief economist of the very same IEA is, very schizophrenically, essentially saying the same thing...)
Given that demand is set to be way above 100mb/d within a few years (it's at around 86-88mb/d right now), we have a problem - if the supply's not there, we'll need demand destruction, ie people and economies that wanted oil and will be doing without instead. Will that happen in a controlled way, or be imposed on us/them? The question is still not asked enough by and to politicians...
But moving on to CEO n°2, that of BP, the British oil giant:
[BP plc (BP) Chief Executive Tony] Hayward said "about half" the world's oil has been recovered, but he implied that significant improvement is possible on a broader scale. "The biggest source of new oil will come from increasing recovery," he said.
Although BP has increased the oil price it uses to test whether energy investments are economical, Hayward rejected the idea that oil prices have shifted permanently into a higher trading range - along with the notion that the world has hit peak oil production.
Despite "rejecting the notion" of a peak in production, he is nevertheless the first senior oil executive, to my knowledge, to say that "half the oil" being gone - something which is usually considered to happen at pretty much the same time as peak production (although the two are not necessarily simultaneous). Even with enhanced recovery techniques, no country has been able to increase its maximum production once the peak had been reached - starting with the US and the North Sea region, where oil companies have had all the liberty to use all the most sophisticated techniques.
So yes, it is a pretty huge deal that the BP CEO says that half the oil is gone.
But, in a way, this is almost small beer compared to the various bombs dropped by IEA chief economist Fatih Birol in his interview with the FT. The interview is very long, but well worth reading in its entirety. I'm providing a few quotes below, but for those of you that arre finding this diary long already, here's the quick summary:
we are beyond peak oil in the non-OPEC world;
OPEC officially has lots of reserves - but we don't really know;
even if they make all the investment plans announced are made and are on time, we'll still have a gap of 12.5mb/d (more than 10% of overall demand) by 2015; we now officially need to beg OPEC to invest more;
oh, and by the way, that's the smaller of the two energy-related problems we have: climate change is a lot worse.
:: ::
Here are a few quotes:
FATIH BIROL: There are two major messages I was getting from the book. The first one is exactly what you say. The energy security risks are so strong, and probably increasing, for an upward event in the markets, and the second is on the climate change, on the CO2 emissions, the levels are reaching a certain level that we are [getting to] an irreversible trend for our planet.
(...)
my message is that, if we don’t do anything very quickly, and in a bold manner, the wheels may fall off.
(...)
FB: On the energy security, oil prices part, the numbers, one doesn’t need to be a big energy expert or anything: it’s just mathematics. I can tell you that we, in the next seven to eight years, need to bring about 37.5 million barrels per day of oil into the markets, for two reasons. One, the increase in the demand, about one third of it, and two thirds, there is a decline in the existing fields [and there is a need] to compensate for the decline. (...) [what] we expect [to be put in production] is 25 million barrels per day, and this is in the case of no slippages, no delays in the projects, and everything goes on time, which is very rare. So, there is a gap of 13.5 [sic] million barrels per day. (...) Within the next seven years.
What needs to be underlined here is that we already know, to a large extent, what oil fields will be put in production over the next 5-7 years. It takes several years to put a field online, and thus most of that medium term future capacity is already in the planning stage or in the construction phase, and is known to the industry and to institutions like the IEA which can have access to confidential company or national data.
And they are telling us we have this HUGE gap - just to give you an idea, it's almost equal to US imports... unless OPEC suddenly decides to invest more.
There are three major demand centres now, China, India and the Middle East.
(...)
So, demand will grow, and I think, if the governments of OECD, China and India, leave everything to the markets, in terms of slowing down the demand, they will make a historical mistake. In addition to the price related adjustments on demand, we need regulatory measures, such as efficiency improvements in the markets.
He notes the various reasons that push demand up, starting with demand growth in countries that are in an economic boom and thus not very sensitive to price - or willing tpo pay higher prices, and compounded by the fact that energy is subsidized in many countries, including India and China, but also the Middle East - as has been noted before, oil producing countries are those where demand is growing fastest, on the hell of oil income prosperity and subsidized gasoline, a phenomenon that cuts into export availability.
and that unavoidable message: market solutions will not work. We need collective, government-driven action. (In other words, we need Democrats in the USA - no surprise there).
we think that, in the Opec countries, there are enough reserves. We are not sure if there is a political will to make something out of those reserves, but there are enough reserves as officially reported. However, as you rightly say, we are getting more pessimistic about non-Opec production.
Ah... the little matter that nobody knows what the real reserves of OPEC countries are - they were pushed artificially in the 80s in the quotas wars: export quotas being proportional to reserves, all countries 'unveiled' new reserves... Kuwait has recently admitted that its reserves were only half their previous claims, and there is wide suspicion that it's the same for others. But the IEA has been using official OPEC numbers for years without ever rising the issue so, again, that small proviso in Birol's words is noticeable...
we think there are some geological problems in the non-Opec areas. This is not an investment issue, not a political issue, but it is more geology, because of a huge decline in the non-Opec countries.
Again, peak oil with another name.
Fatih Birol has more words about the low impact of Canadian tar sands, about Iran's production decline (compounded by the current tensions, which are not conducive to investment...), and flags the low efficiency of China and India's energy use, and the fact that unless they change behavior right now (simple things like using higher energy standards for fridges and other appliances, and modern technology for their power plants), they will be stuck for decades with inefficient - and carbon spewing - energy gobblers.
All in all, these declarations and this interview underpin the gravity of our energy crisis. One would think that $100 oil would be a wake up call, but alas, we still seem to be in full demagogic, declarative mode. Will we have to wait for actual shortages and lines to do something?
No poll, the answer is Yes.
db7- "Sky's the limit" & your wish
may be starting to come true now that Ramadan is over. Perhaps our friends in the Middle East will buy this stock just before they close a contract for Petrozene- and the news gets out to the market. The "Way of the Desert" is like that, I'm told. But who knows?
Seems the market has forgotten this information (see the last paragraph):
Petrozene Field Report
Friday June 1, 8:30 am ET
FAIRFIELD, TX--(MARKET WIRE)--Jun 1, 2007 -- Freestone Resources Inc. (Other OTC:FSNR.PK - News) would like to divulge and discuss several applications of Petrozene and the resulting economic impact seen at these sites. As stated before, Freestone has been hard at work promoting and using Petrozene, our patented paraffin/asphaltene solvent, in several wells and oil tanks across Texas, and has tested several batches of paraffins, asphaltenes, and emulsions from all over the world. Through a cooperative working relationship with our producer, Near Bore Resources, we have been able to refine and polish our techniques in the oil field and produce a very decisive treatment.
To begin our discussion, we will first look at one well treatment in Freestone County, Texas and another well treatment in Shackleford County, Texas. The first well treatment was performed by Freestone resources technical representatives on a 9,500-foot Cotton Valley well in northern Freestone County. The well was producing an average of 100 Mcf of gas with 9 barrels of oil and 7 barrels of water per day. The well was treated with a 20 gallon Petrozene bolus down the production tubing followed by a crude oil flush and then the well was shut-in for 72 hours. Upon opening the well back to production, the well has since produced an average of 125 Mcf of gas with 24 barrels of oil and 9 barrels of water per day. This equates to a 25% increase in gas production and a 266% increase in oil production with only a 28% increase in water production. This increase in production has since yielded the producer an average of $1,075.00 per day, which calculates to over $392,375.00 per year.
The Shackelford County well is a 1,500-foot well which operates off of a pumping unit. This well had a production average of 1.5 barrels of oil per day for the last 20 years. After a technical review of the well and a diagnosis of paraffin restriction was made, a Freestone representative performed a near bore spot treatment with a blend of 25 gallons of Petrozene and 25 gallons of cude oil pumped into the producing formation and then the well was shut-in for 72 hours. Upon opening the well to production, the well has since produced an average of 4 barrels of oil per day with no increase in water production. This also equates to a 266% increase in crude oil production which yields this producer a daily average of $210.00 dollars increased gross revenue.
Several tank treatments have been performed in the last 3 months across the state of Texas, but more especially in Freestone County, where many major oil and gas companies are involved in exploration and production of natural gas. We have contacts within several of these companies and have begun a pilot program for treating their tank bottoms and emulsion problems. To date, Freestone Resources has treated approximately 25 tanks with huge success. To give an example, when a salt water tank is found to have an emulsion pad floating mid-level inside the fluid column, the disposal of a load of saltwater could mean the loss of several barrels of oil. Using 1/10 of 1% of the volume inside the tank of Petrozene added to the tank, the oil will totally separate from the water, with the oil settling at the top. This means that no oil is lost to saltwater disposal. This reclaimed oil more than covers the cost of Petrozene treatment per tank.
Petrozene is also completely effective in assuring that oil is sold at par value and not discount. In an oil tank, dispersing paraffin into oil or dropping any basic sediment or water (BS&W) to the bottom of the tank means clean oil is being sold. This is important, since all loads of oil are centrifuge tested at pick-up.
Using 1 gallon per 1000 gallons of oil in tank ensures that oil will not be sold at a discounted price.
The latest breakthrough we have discovered is Petrozene's ability to treat wells with a high content of iron sulfide. Treating a well bore with the proper ratio of Petrozene vs. feet of perforations in the well bore has shown to totally remove all iron sulfide restriction in the well bore as well as the production string, flow lines and tank batteries. Our last test cleaning out a flow line showed staggering results within 3 hours and after 24 hours had completely broken down the restriction into loose crystals which settled on the bottom of the tank which the line flowed into. It would be impossible to state the amount of money this could save operators in replacement costs of tubing, flow lines and tanks. As this was our first test with iron sulfide, we plan on treating other similar wells.
Overall, we are more than excited about the case studies and anecdotal results that we are receiving daily. There is no doubt that Petrozene works and works better than every other chemical that we have tried it against in cases of paraffin/asphaltene restriction, tank cleaning, emulsion breaking, treating iron sulfide, and in anti-corrosion treatments.
Freestone Resources Inc. has successfully treated paraffin from Saudi Arabia. There are thousands of tank bottoms with a calculated value of 1.5 billion dollars. We are currently working on a presentation to the Saudis. To say that the sky is the limit for Petrozene would be an understatement.
AND:
05/11/07 Press Release: "Our major drive at the moment is the marketing of Petrozene. We have seen absolutely amazing results with the numerous samples of paraffin and asphaltene that we have tested. Several of the samples have come from abroad, including the Middle East and South America, and all have been thoroughly analyzed and tested with Petrozene as the solvent. So far, we have seen 100% effectiveness with Petrozene and have broken some paraffins and asphaltenes that have previously never been treatable by chemical means. One of these countries has over a thousand tanks that have in excess of one billion dollars worth of crude that is solidified and unusable. We have had an independent test lab to test the paraffin solids with positive results. These tests have led to several talks with major oil and gas producers across the world and will lead into substantial contracts."
http://www.chkenergy.com/
BP?
I am out of circulation for the next month, but I hear Freestone is
NOW in the driver's seat and seat belts will be required for all passengers. Rusty, I like your car.
What you are about to hear from Mr. Lloyd will make your wait golden.
Patience is the cure for time.
Ramadan mubârak, tomorrow.
FSNR is doing everything they said
they would do. That is real news in US Pink stock market. Half way around the world we are impressed.
Think about what FSNR has said it was doing. This update is the tip of the iceberg and the market and the world does not realize it. That will change soon. We appreciate honesty and technology.
We are adding purchases all the time in ways that do not upset this fine company. The market is blind still about this one.
Very close indeed.
Now for some coffee and later breakfast.
The older generation is one step away
from admitting that we have already past Hubbert Peak in relation to world demand. Once we publicly admit that efforts and expense like the one below (the last step) are not effective enough to appease demand growth much less total demand, THEN the time will be right for down hole products and Freestone at the top of those products. Until THEN, the older generation here will relegate NR-206 to tank cleaning and VLCC maintenance due to pride and on-going confidence. Timing is everything, my friend, I agree.
Recognizing when "the time" has already begun is preeminent. Patience is the remedy for time; vision is the cure for blindness. Slowly buying FSNR and others is becoming a good investment.
DHAHRAN, July 23, 2007 -- Saudi Aramco, the world’s largest oil company, and Schlumberger, the world’s leading oilfield services provider, today announced that they have executed an agreement to jointly develop a range of new technologies for intelligent completions that will lead to electrically-activated downhole control valves, and would therefore facilitate a theoretically unlimited number of intelligent laterals per well.
“This joint development project is part of Saudi Aramco’s overall vision to develop Extreme Reservoir Contact (ERC) wells,” said Amin Nasser, vice president of Petroleum Engineering & Development at Saudi Aramco.
“ERC wells are intelligent multilateral wells that do not require individual control lines from the wellhead to each lateral or zone, and therefore theoretically allow an unlimited number of intelligent laterals,” added Nasser.
“We are delighted with this expanded collaborative technology development with Saudi Aramco,” said Ashok Belani, chief technology officer for Schlumberger.
“Our long history of collaboration has evolved into aggressive joint technology development. The sharing of knowledge and expertise of both companies will result in technology with considerable potential for the oil industry,” added Belani.
Saudi Aramco pioneered intelligent Maximum Reservoir Contact (MRC) wells, which attain more than five km of contact with the reservoir through intelligent side laterals of the main wellbore that can be partially or fully opened and closed from the surface. Saudi Aramco’s most recently developed field, Haradh Increment III, completed in early 2006 with a production capacity of 300,000 bbls/day, relies on 32 such intelligent MRC wells.
“Smart MRC wells can only have a limited number of laterals (four to five), however, because each downhole control valve requires a mechanical control line to the wellhead,” explained Muhammad Saggaf, Manager of Saudi Aramco’s EXPEC Advanced Research Center (EXPEC ARC)
“ERC wells would relax this requirement by replacing the mechanical lines with electric activation. We envision ERC wells of fifty to a hundred intelligent laterals that would efficiently drain the reservoir and ultimately maximize economic recovery,” Saggaf added.
“This project is an illustration of Saudi Aramco’s aggressive pursuit of R&D initiatives that include collaborative technology development of next-generation tools and completions,” Saggaf said.
The development project will be executed by a technical team comprised of researchers from Saudi Aramco’s EXPEC ARC and Schlumberger research and technology centers that include the Schlumberger Dhahran Research Center.
Permanent installation of intelligent completion systems depends on the reliability of the downhole actuation system. The new technology will employ inductive coupling at the connections between the laterals and the main wellbore to ensure long-term operational integrity.
Schlumberger is the world's leading oilfield services company supplying technology, information solutions and integrated project management that optimize reservoir performance for customers working in the oil and gas industry. The company employs more than 70,000 people of over 140 nationalities working in approximately 80 countries.
Parkers_Dog- I believe you.
and time is getting righter.
BINGO! It has been fun discussing here & farewell!
And Track, I am on board with yours of 20 June 2007. I must leave the USA soon, but you have the right ideas. As we say, "Patience is the remedy for Time." I be watching on the WWW.
Petrozene Navy?
Just a WAG, mind you:
http://www.vela.ae/#
Thank you very much, Parkers_Dog,
that is what we needed to know.
Orders can be placed on the Petrozene website?
An interesting link or two:
http://en.wikipedia.org/wiki/Vela_International_Marine
http://www.petrozene.com/uses.php
Of course, the oil in question goes from the ground to the storage tanks to the VLCC's. All three places where Petrozene could be used: well bore, storage tanks and ships. Such a dynamic product!
If there were a big contract for Petrozene at some unspecified time months or years down the road, I wonder how much Petrozene could be produced in a day, a month or a year? Please address that production capacity question, Mr. Lane, hypothetically speaking.
Oh, and how much would it cost to built a "carbonator" and much more importantly how fast could one be built, hypothetically. You never know how many new "carbonators" might be needed in this academic discussion of unlikely scenarios.
02/27/07: The Board of Directors expects the Central Louisiana transaction to close in the second quarter of the calendar year.
http://biz.yahoo.com/pz/070227/114480.html
04/11/07: Biogenerics is actively continuing its finalization of the Winfield Oil Field transaction. Mr. Lancaster stated, ``This transaction is proceeding nicely within the time frame as indicated by the Company's previous press release.'
http://biz.yahoo.com/pz/070411/117124.html
Double cross, as you call it, is end game. It is the moment, in this week of truth.
Agree? We must have the benefit of the bargain now.
05/02/07: All previously announced business opportunities are continuing and the Company will update the market as these opportunities are concluded.
End game....doomsday...heaven or hell.
God is great.
A Bounce, what did he tell Y'all?
He is one of the few telling the truth around here!
Posted by: Waverider110
In reply to: None
Date:6/24/2007 7:11:54 PM
Post #of 43382
The SloSto indicator* says you turn up tomorrow,
at lease it is technically likely.
* at various frequencies. 10.3 are kissing. 30.10 has the 10 just below 50 and the 30 is on the floor.
ST bounce at least.
This may be educational for all
Freestone investors:
From the link in my post yesterday under the tab "Our Business" there be drop down sections such as "Tech and Innovations", "Shipping" and "Environment & Safety":
1. "Technology & Innovations"
Sophisticated oil exploration, production and utilization require oil companies worldwide to develop and employ the latest technologies. Saudi Aramco is a leader in utilizing and developing technologies that efficiently and effectively, yet safely, maximize the extraction and use of oil and gas. The company relies on its state-of-the-art electronic network and its extensive human network to keep it among the leaders in the oil and gas industries.
2. "Shipping"
Vela tanker
Saudi Aramco sails one of the world's largest fleets of crude carriers and operates terminals which service more than 10 tankers per day.
Vela International Marine Limited
Vela International Marine Limited, a wholly owned subsidiary, was established in 1984 with four ships. It has grown to include 21 very large crude carriers (VLCCs) and seven product vessels.
Vela, which transports crude oil to North America, Europe and Asia, has a history of commitment to accident-free voyages and quality maintenance. It has received ISO accreditation for its safe ship operations and environmental practices. In 2004, Vela completed compliance with the International Ship and Port Facility Security Code for its fleet of VLCCs.
Terminals
Saudi Aramco Terminals handle more than 9,000 tankers per year. These terminals are located at Ras Tanura and Ju'aymah on the Arabian Gulf coast and Jiddah, Rabigh, Jaizan, Yanbu' and Duba on the Red Sea coast.
All tanker movements within Saudi Aramco terminals are conducted under the direction of highly trained harbor pilots with the assistance of powerful tugboats to safeguard company facilities and the environment.
Since the beginning of Saudi Aramco Terminals at Ras Tanura in 1939, the company has committed itself to preventing oil spills. Saudi Aramco takes extensive measures to minimize the risk of spills its ships, marine terminals and visiting tankers. Terminal facilities are maintained to the highest standards, and stringent loading procedures are followed.
3. "Environment and Safety"
Waste Management
Saudi Aramco's Industrial Waste Management Plan ensures that wastes are properly handled to protect the environment. The plan, which has received international recognition, provides for the special industrial waste management needs of each of the company's operating plants.
The company utilizes several environmentally acceptable methods for treating industrial waste. Sanitary landfills are used for the disposal of municipal solid waste, while industrial wastes are segregated and handled according to their hazard risk following approved industry practices. Rotary autoclaves sterilize medical waste before disposal.
Saudi Aramco has constructed several industrial waste treatment plants, which include separators to treat oily water, landfarms to treat oily sludge, dedicated asbestos disposal areas, and on-site oxidation of pyrophoric waste. Saudi Aramco aggressively recycles through reclamation and recovery of reclaimed materials.
Saudi Aramco has a Waste Minimization Program that reduces waste generation and lowers associated costs. Measures include installation of flare-gas compressors to recover gases, use of flue-gas oxygen analyzers to optimize fuel consumption and to minimize emissions and off-site regeneration of valuable catalysts.
Track- I am please to cooperate
and contribute as appropriate. I apologize for the confusion. I am adopting journalistic standards for all publications and checking my sources with more care. I hope that this will please all concerned. I am only a foreign resident in the Lone Star State, and have been learning your customs since attending the University.
Freestone Resources is most interesting and promising. Petrochemicals are always in high demand as are technologies used to make petroleum and transportation of petroleum more efficient and effective:
http://www.saudiaramco.com/irj/portal/anonymous
I wish your company and its investors a bright future in 2007.
As we say: The remedy of time is patience.
Good luck to all next week,
we all need a payday. Next week IS the week of truth.
Five days ago the O/S doubled from
what was believed and accepted. Five days ago, the market found out PBLS shares were suddenly worth half of what was previously discounted by the markets.
The Pinksheet filings mentioned in the PR below revealed all this on 06/15/07:
http://biz.yahoo.com/iw/070614/0266191.html?printer=1
Cutting Corners: When we lost Speedy, we lost more than oil,
we lost credibility in management that did not tell us Rome Oil was gone.
Then the O/S doubled in secret, cutting value in half without telling us if was over the promised 815M "maximum".
And the punch line will be: "But look what we bought with your shareholder loss...REVENUES!" Paternalism is alive and well in Louisiana.
I will say it one last time, Mr. Alonzo: Revenues do not impress me....PROFITS do. You know, that which is left after expenses are deducted from revenues. Buy us some profits, or Speedy will find you and pee in your water fountain at corporate headquarters.
Ovidius- the transfer agent is not gagged,
and there is no dilution. Just call the T/A and the company.
The money for new units is coming from Carroll#1 although its production is dropping some and a higher, MUCH more profitable geologic formation ($10,000,000?), is above and behind the well casing compared to the one we are producing now. We will move up soon to the new producing zone.
Our Saudi friends want Petrozene. What else do you need to know?
Just take a month off instead of a week, and you will be please with PPS when you come back. It will be nice to see you in a better mood then.
To be more specific, mtcinc0,
Petrozene has an average 260% increase on well production, although some wells are stimulated MUCH more than 260%.
Yesterdays PR said: "...Conservatively, these wells could push the production of this unit to approximately 30 barrels of oil per day, which could potentially yield $1800.00 in gross revenue per day or $657,000.00 gross revenue per year."
260% times $657,000 = $1,708,200 gross revenue per year, for two years or so.
This company has up to 50 gas wells that it will drill with up to $10,000,000 revenues for each gas well in Freestone County on its 5,000 acre leasehold.
Mitchell County in West Central Texas will yield over $1,500,000 in revenues and the company is targeting more wells in Texas that will be similar to the above.
Petrozene has been described by the company as having more profit potential than the O&G business.
And the New York Harbor remediation project could be another hefty income stream, using the "carbonator" to reduce the pollutants to safe land fill.
All this and a share structure under 50,000,000 shares will eventually make us all VERY happy shareholders on the AMEX. But this FSNR board remains a sleepy board here until the market "wakes up" to what is really happening. LOL
rusty- it could be like prom night in high school,
the circumstances are all VERY encouraging, if you know what I mean. The use of Petrozene here will make the geology almost explode with Texas "Black Gold".
Some DD on FSNR's new unit in Mitchell County:
http://biz.yahoo.com/iw/070619/0267960.html
GEOLOGIC OVERVIEW
Clearfork is the Permian basin's discovery field. It was found in 1920 on the Eastern Shelf in northwestern Mitchell County. The first well pumped 10 bopd from an openhole completion in the Upper Clearfork after shooting with nitroglycerine. Main pay in the 3,000-ft Lower Clearfork was found when this well was deepened in 1921. Three large secondary units now account for most Clearfork production.
The field is a stratigraphic trap, dipping west at 60 ft/mi. The Permian-age Upper Clearfork zone is a lenticular anhydritic fine-crystalline dolomite with occasional small vugs and rare fractures. The overall Upper Clearfork interval is around 560 ft thick, and continues to thicken toward the basin. Pay porosity ranges from 4% to 16%, with the average being 7.4 %. Permeabilities average around 0.5 md, but occasionally reach 50 md. Gypsum and silty laminations are common in the Upper Clearfork environment, indicative of a low-energy tidal flat or lagoon.
The Middle Clearfork zone has better porosity development and reasonable well-to-well correlation. Average dolomite porosity is around 8%, with average permeability of 1 md. The initial Middle Clearfork reservoir pressure was 1,100 psi, and it produces 25° API sour oil. Although an apparent oil/water contact exists around 1,000 ft, the Middle Clearfork pay produces by limited solution gas. Core interpretation suggests that the Middle Clearfork is a series of stacked shoal complexes. Breakthrough of fracture treatments and injection water along a N 75° E bearing to the adjacent 10-acre well occurs frequently, due to an East/ West preferential permeability trend.
A NEARBY CASE STUDY: BRIEF HISTORY, SOUTHWEST WESTBROOK UNIT
By 1964, 99 wells were on leases that would later be incorporated into the Southwest Westbrook Unit. The unit was formed in 1969 and operated by Union Texas. In its final form, the unit covers 3,833 acres, with calculated original oil in place of 61.6 million bbl. Union Texas immediately drilled injectors and converted producers to injectors to initiate injection. There were 26 injectors on 160-acre spacing.
Beginning in 1971, the unit's south end was infill-drilled on a 40-acre five-spot pattern. This continued until 1986, when the 40-acre five-spot pattern in the unit's north end was implemented in areas thought to be productive. In 1991, Meridian (Burlington) took over as operator and drilled, on 10-acre spacing, selected areas that its studies indicated to be the most productive. The injection pattern then became an east - west line drive, due to an east - west preferential permeability trend that was noted in several areas of the unit as it was down-spaced.
Gruy purchased the unit from Burlington in 1997 and continued to drill the 10-acre locations in what were thought to be the more productive, less risky areas. In 2004, a new team recommended a program of higher-risk drilling and recompletions, and it was initiated that same year. Cimarex bought the property from Gruy in June 2005 and continued this methodology at a much accelerated rate. Cumulative output is now 18.1 million bbl of oil.
THE SOLUTION
In 2003, a new team appointed to study the unit's upside was presented with a pre-approved program that was carried out as directed. The new team was not familiar enough with the idiosyncrasies of the Clearfork formation within this unit. Thus, it was unable to make changes to the proposed drilling or recompletion candidates, other than to experiment with various forms of stimulation to optimize well productivity. It should be noted that this program was an experiment to improve conformance by drilling the proposed injectors on five-acre spacing north-to-south, and 20-acre spacing east-to-west, to make the east - west permeability trend work to improve recovery.
One of the shortcomings of this area's Clearfork floods is that the injection-to-withdrawal rate averages 3.5 to 1. Since the Southwest Westbrook Unit's well count in 2005 was 109 producers and 66 injectors, this is an uphill battle for operators trying to improve sweep efficiency.
During the Meridian and pre-2003 Gruy tenures, stimulation of the Middle Clearfork zone included small acid breakdowns, followed by cross-linked sand fracture treatments diverted with graded rock salt, and some surged acid treatments. Before Gruy became operator, producers and injectors were sand fracture-treated. However, Gruy was concerned about the ability to control water placement in the injection wells by using hydraulic fracture treatments.
Therefore, the firm looked at other stimulation forms that might keep the water in the productive zones and minimize the chances of stimulating into the aquifer or into so-called "thief zones" associated with wells in the east - west permeability trend. These thin (2-to-4-ft), high-permeability zones in injection wells could potentially take all of the injection water and immediately water out the producer to the east or west of the injector in an incomplete injection row.
With this in mind, and the lackluster success of the surge acid jobs previously attempted, the team tried simple acid stimulations, chemically retarded acid stimulations, foamed CO2 cross-linked acid fracture stimulations, and foamed CO2/ acid fracture stimulations. Because nine of the 11 wells to be drilled in 2003 were slated to be injectors, the decision was made to produce them prior to putting them on injection.
Results were disappointing, with most wells producing at an initial flush rate of 25 bopd and quickly declining to 5 to 8 bopd. Injection rates were equally disappointing, once the wells were put on injection. Most would only take 75 to 100 bwpd initially, and then decline to 0 to 40 bwpd in the unit's northern end. However, the unit's southern end has better reservoir characteristics, and most injectors in that area are able to take 300 to 400 bwpd.
Burlington's previous work was reviewed, along with that of the offset operators. Two things became apparent. First, mud logs on previously drilled wells showed that there were more Upper Clearfork zones that could be exploited. Second, the team noticed that offset producers had developed both the Middle Clearfork and Upper Clearfork zones on leases offsetting undeveloped acreage, in the unit that had been previously written off as not having economic productive capacity. A drilling and recompletion program was put together and submitted to Gruy's management to exploit these areas.
In the interim, the team learned about BJ Service's LiteProp fracturing technique. LiteProp is a proppant used in hydraulic fracturing that has a specific gravity of 1.25 and a closure range tolerance up to 5,000 psi. When it is pumped in a near-saturated brine water with a specific gravity of 1.20, the result is a near-buoyant proppant. This buoyancy allows the proppant to be placed farther out in the induced hydraulic fracture without viscosity-enhanced fluids for proppant transport.
These non-gelled or slick brine water fluids are essentially non-damaging compared to polymer-laden fluids that have been pumped historically at Westbrook. The lack of viscosity also works favorably in controlling fracture height growth development, therefore increasing the potential to stay in zone (and out of water at Westbrook), thus creating a longer effective fracture length. It was also believed that a proppant partial monolayer could be created in this low-closure reservoir to further enhance conductivity in the induced hydraulic fractures. The effects and theory of proppant partial monolayers are well documented and were first introduced to the industry in 1959.
All factors considered, the team believed the Clearfork formation to be an excellent candidate. This, combined with having no other ideas for new or innovative stimulation treatments, led to implementation of slick water hydraulic fracture treatments using lightweight proppants.
Treatments yielded 80 to 100 bopd during flush production, and declines decreased significantly after six months so that, after a year-and-a-half on production, the rate was still 20 bopd, Fig. 1. It should be noted that most of the wells that were drilled or recompleted in 2004 are in areas not supported by injection. Unit production (Fig. 2) shows output at about 480 bopd prior to initiation of the 2004 program, and peaking at ±1,200 bopd before falling off, due to lack of activity during the marketing process and a lack of injection support. The unit was marketed, but the offers were not significant enough to merit consideration. In 2005, no drilling was scheduled, although 20 recompletions were performed, with results similar to those of 2004.
The team once again evaluated the properties, based on the 2004 and 2005 programs, and developed a go-forward agenda to enhance both primary and secondary recovery of the Upper Clearfork and Middle Clearfork zones. The base case used for evaluation was the drilling of 50 wells in 2006 and 43 in 2007. The base case also included performing 43 recompletions in 2006 and 39 in 2007. At current commodity prices, the economics far exceed Cimarex's requirements. Even at $30/bbl held flat, the project still surpasses Cimarex's economic hurdles substantially.
Prior to kicking off aggressive exploitation, Cimarex once again tested the market. Even though a strong bid was made to purchase the property, the firm believed in the project so strongly that it declined the offer and initiated the 2006 program. Results to date have been far above expectations. Work has included six wells that have produced from 110 to 185 bopd initially, while three wells have held output above the 100-bopd level for 45 days. Planned exploitation for 2006 and 2007, which includes more treatments, should yield 6.6 million additional bbl of oil.
Some DD bearing upon our new unit in Mitchell County:
Mark Pawlewicz1 and Mitchell Henry2
1 U.S. Geological Survey, Lakewood, CO
2 U.S. Geological Survey, Denver, CO
Burial history models for boreholes in the Delaware and Midland basins, and the Central Basin Platform of the Permian Basin, west Texas and southeast New Mexico, calibrated using vitrinite reflectance (Ro), provide a means to evaluate the burial and thermal history of the most significant petroleum province in the United States.
Results indicate that the earliest petroleum generation began in Late Pennsylvanian time for the Woodford Shale in the northern Delaware basin and in Early to Late Permian time for other areas in the region. An exception is along the north margin of the Midland basin, where the Woodford Shale is just in the early stages of petroleum generation. Only four of six wells achieved temperatures high enough to generate gas; the earliest maturation conditions (1.2 %Ro) for gas generation exist in the Permian Simpson Group strata in south-central Midland basin.
The modeling indicates: (1) in the Delaware basin, the Woodford Shale, Barnett Shale, Wolfcampian strata, Bone Spring Limestone, and Delaware Mountain Group are in the oil window, and all but the Delaware Group are within the gas window; (2) for the Midland basin, Simpson Group, Woodford Shale, Barnett Shale, Wolfcampian strata, and Spraberry Formation achieved the oil window, and also the gas window except for the Spraberry; (3) for the east margin of the Central Basin Platform, the Simpson Group, Woodford Shale, Barnett Shale, and Wolfcampian strata are within the oil and gas windows, whereas the Clear Fork Group is only in the oil window; (4) on the west margin of the Central Basin Platform, all formations have passed into the gas window.
GEOLOGIC OVERVIEW
Clearfork is the Permian basin's discovery field. It was found in 1920 on the Eastern Shelf in northwestern Mitchell County. The first well pumped 10 bopd from an openhole completion in the Upper Clearfork after shooting with nitroglycerine. Main pay in the 3,000-ft Lower Clearfork was found when this well was deepened in 1921. Three large secondary units now account for most Clearfork production.
The field is a stratigraphic trap, dipping west at 60 ft/mi. The Permian-age Upper Clearfork zone is a lenticular anhydritic fine-crystalline dolomite with occasional small vugs and rare fractures. The overall Upper Clearfork interval is around 560 ft thick, and continues to thicken toward the basin. Pay porosity ranges from 4% to 16%, with the average being 7.4 %. Permeabilities average around 0.5 md, but occasionally reach 50 md. Gypsum and silty laminations are common in the Upper Clearfork environment, indicative of a low-energy tidal flat or lagoon.
The Middle Clearfork zone has better porosity development and reasonable well-to-well correlation. Average dolomite porosity is around 8%, with average permeability of 1 md. The initial Middle Clearfork reservoir pressure was 1,100 psi, and it produces 25° API sour oil. Although an apparent oil/water contact exists around 1,000 ft, the Middle Clearfork pay produces by limited solution gas. Core interpretation suggests that the Middle Clearfork is a series of stacked shoal complexes. Breakthrough of fracture treatments and injection water along a N 75° E bearing to the adjacent 10-acre well occurs frequently, due to an East/ West preferential permeability trend.
A NEARBY CASE STUDY: BRIEF HISTORY, SOUTHWEST "WESTBROOK UNIT":--(note the production numbers)
By 1964, 99 wells were on leases that would later be incorporated into the Southwest Westbrook Unit. The unit was formed in 1969 and operated by Union Texas. In its final form, the unit covers 3,833 acres, with calculated original oil in place of 61.6 million bbl. Union Texas immediately drilled injectors and converted producers to injectors to initiate injection. There were 26 injectors on 160-acre spacing.
Beginning in 1971, the unit's south end was infill-drilled on a 40-acre five-spot pattern. This continued until 1986, when the 40-acre five-spot pattern in the unit's north end was implemented in areas thought to be productive. In 1991, Meridian (Burlington) took over as operator and drilled, on 10-acre spacing, selected areas that its studies indicated to be the most productive. The injection pattern then became an east - west line drive, due to an east - west preferential permeability trend that was noted in several areas of the unit as it was down-spaced.
Gruy purchased the unit from Burlington in 1997 and continued to drill the 10-acre locations in what were thought to be the more productive, less risky areas. In 2004, a new team recommended a program of higher-risk drilling and recompletions, and it was initiated that same year. Cimarex bought the property from Gruy in June 2005 and continued this methodology at a much accelerated rate. Cumulative output is now 18.1 million bbl of oil.
THE SOLUTION
In 2003, a new team appointed to study the unit's upside was presented with a pre-approved program that was carried out as directed. The new team was not familiar enough with the idiosyncrasies of the Clearfork formation within this unit. Thus, it was unable to make changes to the proposed drilling or recompletion candidates, other than to experiment with various forms of stimulation to optimize well productivity. It should be noted that this program was an experiment to improve conformance by drilling the proposed injectors on five-acre spacing north-to-south, and 20-acre spacing east-to-west, to make the east - west permeability trend work to improve recovery.
One of the shortcomings of this area's Clearfork floods is that the injection-to-withdrawal rate averages 3.5 to 1. Since the Southwest Westbrook Unit's well count in 2005 was 109 producers and 66 injectors, this is an uphill battle for operators trying to improve sweep efficiency.
During the Meridian and pre-2003 Gruy tenures, stimulation of the Middle Clearfork zone included small acid breakdowns, followed by cross-linked sand fracture treatments diverted with graded rock salt, and some surged acid treatments. Before Gruy became operator, producers and injectors were sand fracture-treated. However, Gruy was concerned about the ability to control water placement in the injection wells by using hydraulic fracture treatments.
Therefore, the firm looked at other stimulation forms that might keep the water in the productive zones and minimize the chances of stimulating into the aquifer or into so-called "thief zones" associated with wells in the east - west permeability trend. These thin (2-to-4-ft), high-permeability zones in injection wells could potentially take all of the injection water and immediately water out the producer to the east or west of the injector in an incomplete injection row.
With this in mind, and the lackluster success of the surge acid jobs previously attempted, the team tried simple acid stimulations, chemically retarded acid stimulations, foamed CO2 cross-linked acid fracture stimulations, and foamed CO2/ acid fracture stimulations. Because nine of the 11 wells to be drilled in 2003 were slated to be injectors, the decision was made to produce them prior to putting them on injection.
Results were disappointing, with most wells producing at an initial flush rate of 25 bopd and quickly declining to 5 to 8 bopd. Injection rates were equally disappointing, once the wells were put on injection. Most would only take 75 to 100 bwpd initially, and then decline to 0 to 40 bwpd in the unit's northern end. However, the unit's southern end has better reservoir characteristics, and most injectors in that area are able to take 300 to 400 bwpd.
Burlington's previous work was reviewed, along with that of the offset operators. Two things became apparent. First, mud logs on previously drilled wells showed that there were more Upper Clearfork zones that could be exploited. Second, the team noticed that offset producers had developed both the Middle Clearfork and Upper Clearfork zones on leases offsetting undeveloped acreage, in the unit that had been previously written off as not having economic productive capacity. A drilling and recompletion program was put together and submitted to Gruy's management to exploit these areas.
In the interim, the team learned about BJ Service's LiteProp fracturing technique. LiteProp is a proppant used in hydraulic fracturing that has a specific gravity of 1.25 and a closure range tolerance up to 5,000 psi. When it is pumped in a near-saturated brine water with a specific gravity of 1.20, the result is a near-buoyant proppant. This buoyancy allows the proppant to be placed farther out in the induced hydraulic fracture without viscosity-enhanced fluids for proppant transport.
These non-gelled or slick brine water fluids are essentially non-damaging compared to polymer-laden fluids that have been pumped historically at Westbrook. The lack of viscosity also works favorably in controlling fracture height growth development, therefore increasing the potential to stay in zone (and out of water at Westbrook), thus creating a longer effective fracture length. It was also believed that a proppant partial monolayer could be created in this low-closure reservoir to further enhance conductivity in the induced hydraulic fractures. The effects and theory of proppant partial monolayers are well documented and were first introduced to the industry in 1959.
All factors considered, the team believed the Clearfork formation to be an excellent candidate. This, combined with having no other ideas for new or innovative stimulation treatments, led to implementation of slick water hydraulic fracture treatments using lightweight proppants.
Treatments yielded 80 to 100 bopd during flush production, and declines decreased significantly after six months so that, after a year-and-a-half on production, the rate was still 20 bopd, Fig. 1. It should be noted that most of the wells that were drilled or recompleted in 2004 are in areas not supported by injection. Unit production (Fig. 2) shows output at about 480 bopd prior to initiation of the 2004 program, and peaking at ±1,200 bopd before falling off, due to lack of activity during the marketing process and a lack of injection support. The unit was marketed, but the offers were not significant enough to merit consideration. In 2005, no drilling was scheduled, although 20 recompletions were performed, with results similar to those of 2004.
The team once again evaluated the properties, based on the 2004 and 2005 programs, and developed a go-forward agenda to enhance both primary and secondary recovery of the Upper Clearfork and Middle Clearfork zones. The base case used for evaluation was the drilling of 50 wells in 2006 and 43 in 2007. The base case also included performing 43 recompletions in 2006 and 39 in 2007. At current commodity prices, the economics far exceed Cimarex's requirements. Even at $30/bbl held flat, the project still surpasses Cimarex's economic hurdles substantially.
Prior to kicking off aggressive exploitation, Cimarex once again tested the market. Even though a strong bid was made to purchase the property, the firm believed in the project so strongly that it declined the offer and initiated the 2006 program. Results to date have been far above expectations. Work has included six wells that have produced from 110 to 185 bopd initially, while three wells have held output above the 100-bopd level for 45 days. Planned exploitation for 2006 and 2007, which includes more treatments, should yield 6.6 million additional bbl of oil.
Aramco of Saudi Arabia wants Petrozene,
so I hear from Riyadh.
Right, all filings for 2002 & 2003,
Two more years to update and then the big one, 2006 taking us up to June 30, 2007. THAT one will be interesting next month or so.
All filing are out:
...Just as promised....
See link below:
http://www.sec.gov/cgi-bin/browse-edgar?action=getcompany&CIK=0001089319&owner=include&c....
http://www.sec.gov/edgar.shtml