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It's quite possible. If not then shortly thereafter. imo
Well we should be getting additional information regarding the wells that were PR'd Friday. One is already online so we should get production numbers fairly soon. And if what PIP said was correct about the fractures, the other two wells shouldn't take too long either. The weather is improving in Oklahoma and Texas so that should help.
I think both pizzabuster and mnbean are hillarious. They should start their own comedy network. They would be quite a team. lol This is a very entertaining board.
"Please be patient with us as we are working for you and are making every effort to turn Regions into a recognized and respected company in this industry," stated Jerry Griggs, CEO Regions Oil and Gas.
Lets show some patience for Jerry. He asked us to.
But ragmuff I enjoy all the rest of your posts.
Probably not a good idea imho.
http://www.occ.state.ok.us/Divisions/OG/og.htm
Click on oil and gas web appilications. You must download the oracle software for it to run properly. That only takes a few minutes. Then you can search for wells by well name or by operator name. You can also do a search of operators and get the operator number which makes it easier to find wells.
Guys as you can tell from my posts today I have been playing devils advocate to all of the rampant speculation that has been going on on this message board. We had alot of good information about the company in yesterday's PR and all anyone wants to talk about are things they didnt say in the pr lol.
They mentioned an 800 acre lease in West Texas. Four active wells in Oklahoma, and a new Water Disposal Facility in Oklahoma. And in previous PR's they mentioned several other leases in Oklahoma. That is more than alot of other small cap oil companies have.
We know alot already and when they can Im sure the company will release more.
But I enjoyed all the posts so thanks for the entertainment lol.
Maksumgravy that was a very old post from before we got confirmation from the T/A of what the share structure was.
Makesumgravy but I agree with the rest of your post. Nice post.
I have been in other oil stocks where the CEO owned wells or were active in other companies outside the company. The directors of RGNO have their names on over a hundred wells in Oklahoma alone. But that doesnt mean that they are required to donate all of those wells to Regions once they became employees of Regions. It really isnt a conflict of interest. Might some of those wells belong to Regions? Possibly. But we really wont know until Regions issues a PR explaining so.
Yes, so they are subcontracting the rigs to other oil companies as well.
"gets us closer to our goal of being the one stop shop that small independent oil and gas companies prefer to use"
That will be another source of revenues for Regions. Income from leasing their rigs to other small independent oil and gas companies.
Penny if RGNO's operating company is subcontracting the rig to other oil companies then they will get revenue from that. That will offset the price they will pay to sublease a rig from another company.
Anyway thanks for the dialogue. It was enightening for me as well. Gotta run.
Penny one other thing, the way I have read past PR's the operating company or companies that Region's own will be working with other companies besides Region's. That is an additional source of revenues for Region's.
Penny let me ask you a question. If Region's had their own operating company but that operating company didn't have rigs availabe in the area do you think Regions should wait months on end for their own operating company to come up with a rig. Or do you think they should source out the first available rig from another company?
I would not want Jerry to say, "We will not use any other rig besides are own". That would delay drilling too much. When a rig becomes available the company should jump on it regardless of whether it is one of their own or another company's rig. Who really cares if the rig doesnt belong to Regions. The operating company that Regions own, whatever that might be, might have subcontracted their rig to another company. So why wait 6 months for that rig when they can use someone else's immediately.
Yes companies do use multiple operators to contract out their drilling. It happens all of the time. There are a shortage of rigs. And the wait would be too long if you are only relying on one company. Rigs are a scarce resource at times.
So just because a company uses another operating company to drill wells that means they are siphoning off money? That is ludicrous. Alot of oil companies have other operating companies drill the wells for them. That is the common standard in the industry unless you are one of the big boys. TGA for example rarely drills their own wells. One of their partners usually does and they are a much larger company than RGNO. Do you want RGNO to buy their own refinery and gas stations also? lol They cant do everything. Have a little patience. The company has come a long way in a short amount of time.
Hopefully we will find out soon. But from what they have already disclosed they already have alot more going for them than many of the other small cap oil stocks that are mentioned on these and other boards.
Penny there are many wells that have listings under the same address. That does not necessarily mean they all belong to Regions. And there are many wells under the names of the management of Regions that come in with a different address. But that does not necessarily mean they all belong to Regions. Management at Regions all had separate things going for them before they joined Regions. Including privately held companies or LLC's. And several of these private companies worked out of the same office as the one Regions is in today. But those are and were seperate, privately held companies. How many if any of those wells were rolled into Regions we dont know.
Both of those companies will be announcing production shortly. I am looking forward to the day when we can compare RGNO's production to those two. I am really looking forward to that. We will have the last laugh.
Just because the Sec/Treasurer's name is on the listing it does not necessarily mean it belongs to Regions. Those could be private wells belonging to a private company.
Once we have actual production numbers then it will be easier to compare.
Of the 4 active wells that were mentioned only the WD #1 which came in at 273 mcf/day was PR'd. We should be getting an update on production at the Gua #1 shortly. The Gua #2, and Iwo #2 might have already been producing before they went public. The weather appears to be clearing so the fracture of the Gua #2 should begin shortly imo.
He could of also PR'd the additional acreage added to the West Texas wildcat play. They now have 780 acres on that play alone. The additional 80 acres added ten additional drilling sites. I wonder how many drill sites are on the other 700 acres.
The Commercial Water Disposal facility was one of the bullet points mentioned as a project in a January PR so it is good to see that they are following through on their expansion plans.
All in all a nice start. It will be interesting to see what else they have.
Penny the wells that Regions mentioned today with the possibility of 5 mmcf/day are strictly natural gas wells.
The 6:1 ratio is just used if you want to calculate what that volume of natural gas would equal to if it were converted to oil.
So every 6 mcf/day of natural gas is equivalent to 1 barrel of oil per day for calculation purposes. Companies sometimes state their overall production in terms of barrels of oil equivalent per day rather than breaking it down and saying we have this much natural gas and this much oil. It just makes the quarterly reports easier to read.
So using the 6:1 natural gas to oil ratio:
6 mcf/day in natural gas = 1 (boepd) barrel of oil equivalent per day
So calculating what the oil equivalent of a 5 mmcf/day well is:
1 mcf/day = 1000 cubic feet of natural gas per day
1 mmcf/day = 1,0000,000 cubic feet of natural gas per day so
1 mmcf/day = 1000 mcf/day
5 mmcf/day = 5000 mcf/day
So using the 6:1 conversion ratio of natural gas to oil:
5000 mcf/day divided by 6 = 833 barrels of oil equialent per day.
So if a well is a natural gas well that is flowing at 5 mmcf/day then that would be equivalent to an oil well that is flowing at 833 bopd (barrels of oil per day.) Or about 23,000 barrels of oil per month.
Thanks
Regions Oil and Gas Provides Progress Updates on Multiple Oil/Gas Wells
Friday May 11, 6:00 am ET
DALLAS--(BUSINESS WIRE)--Regions Oil & Gas, Inc. (Pink Sheets: RGNO - News) announced today several updates to ongoing projects.
Regions has finished completing the Gua #1. This well is currently on line and initial production numbers will follow in future updates.
The Gua #2 is currently in line for an advanced formation fracture technique to be completed as soon as the weather allows. Depending on how the technology works, the WD #1 will utilize the same technique. Regions anticipates that the production levels of these two wells could reach the production levels of a near by well that blew out of control for 15 days before being shut in (approximately 5 MMCF per day).
The issues that have kept the Iwo lease from production have been dealt with and Regions is currently awaiting final approval to resume production. Once approval has been granted the Iwo #2 will be perforated up hole to exploit a zone that had a strong show of oil during drilling.
The west Texas play is still in progress and is awaiting final approval from the land and mineral owners to proceed with the test well.
Lease documents have been finalized and signed by all parties adding an additional 80 acres to their current 700 acres, located in an area with proven production. This location has favorable spacing requirements providing up to 10 additional drill sights.
Work continues on acquiring the remainder of the lease necessary to build a commercial water disposal facility in Muskogee County, Oklahoma. This project has potential to provide additional revenue beyond what was originally estimated, as there has been over 25 new permits to drill issued in the last 180 days. Each of these projects will have a need to dispose of any produced water during drilling and during future operations.
"I want to apologize for the lack of updates in recent months. We have been diligently searching for innovative and cost effective solutions to problems that have come up along the way, bringing wells on line, and at the same time evaluating new prospects for future growth. As time goes on and revenue comes in, I hope the share holders will be pleasantly surprised by the amount of work that has been accomplished in this short amount of time and the benefits it could bring to Regions Oil and Gas and its share holders. Please be patient with us as we are working for you and are making every effort to turn Regions into a recognized and respected company in this industry," stated Jerry Griggs, CEO Regions Oil and Gas.
About Regions Oil & Gas, Inc.: Regions Oil & Gas Corporation ("Regions" or the "Company") was formed to initiate, manage, acquire, supervise and operate oil and gas ventures and to otherwise engage in the oil and gas industry and exploration business. The Company solicits and acquires from accredited and institutional investors, the capital necessary to lease, develop, and complete oil and gas wells. Their philosophy and strategy is "Bringing New Life to Old Forgotten Fields." The fields in question were generally produced in the early 1900s with the mind set and technology created during the industry's infancy. As a result, these wells have large amounts of oil still in reserves.
Disclaimer:
Certain information included in this communication contains statements that are forward looking, such as statements relating to the future anticipated direction of the Oil and Gas Industry, plans for expansion, various business development activities, planned capital expenditures, future funding resources, anticipated sales growth and potential contracts. These forward looking statements are subject to a number of known and unknown risks and uncertainties that could cause actual operations or results to differ materially from those anticipated.
Contact:
Regions Oil & Gas, Inc.
Jerry Griggs, 1-877-9REGION
www.regionsoil.com
--------------------------------------------------------------------------------
Source: Regions Oil & Gas, Inc.
Yes but that is overall. I meant for the year.
Does anyone know here what the expected overall production is for ALRY for the year? For example, I believe WRNW stated they anticipate having 3000 barrels of oil a month by the end of the year. Has ALRY said anything like this. TIA
Makesumgravy these are huge wells they are drilling. To give you a comparison.
HMGP projects having 3000 barrels of oil equivalent per month by this summer for all of their wells
WRNW projects having 3000 barrels of oil equivalent per month by the end of this year for all of their wells.
RGNO's one well would come in at approximately 23,000 barrels of oil equivalent per month.
There is no comparison. This was actually a great PR.
Or another way to break it down is to figure out the barrel of oil equivalents.
6 mcf/day = 1 boepd (barrels of oil equivalent per day)
1 mmcf/day = 1000 mcf/day
5 mmcf/day = 5000 mcf/day
5000 mcf/day divided by 6 = 833 barrels of oil per day
So a 5 mmcf/day natural gas well is equal to 833 barrels of oil per day or 24,990 barrels of oil per month.
Well here are a few pointers:
1 mcf/day = 1000 cubic feet of gas per day
1 mmcf/day = 1,000,000 cubic feet of gas per day
Natural gas is selling at $6 per 1 mcf at the wellhead.
So $6 x 1 mcf/day = $6 in revenues per day.
So $6 x 1 mmcf/day = $6000 in revenues per day
Regions well might come in at 5 mmcf/day
So $6 x 5 mmcf/day = $30,000 in revenues per day
$30,000 in revenues per day x 365 days = $10,950,000 per well in revenues per year
So one well at 5 mmcf/day = $10,950,000 in revenues per year.
Once the actual production numbers for each well are released they will. You will see a whole new crowd in here. Jerry just basically issued an interim report here to try to hint at what they have. He was probably trying to do people here a favor. Unfortunately none of you know anything about the natural gas and oil business so you arent even aware of how good this really is.
This stock is much better than HMGP, ALRY, etc.
The production numbers will not compare.
HMGP for example hopes to have 3000 Barrels of oil per month by summer. That is 100 barrels of oil per day.
RGNO could have 830 barrels of oil per day equivalent from this one well.
There is no comparison. This will be a much better stock.
You're not impressed with 5 mmcf/day?
5 mmcf/day = 5000 mcf/day
5000 mcf/day / 6 (6:1 GAS/OIL) = 830 Barrels of Oil Per Day
830 bopd x $50 oil = $41,500 revenues per day
$41,500 x 365 days = $15 million per year from one well
This company only has a $5 million market cap.
Regions Oil and Gas Provides Progress Updates on Multiple Oil/Gas Wells
Friday May 11, 6:00 am ET
DALLAS--(BUSINESS WIRE)--Regions Oil & Gas, Inc. (Pink Sheets: RGNO - News) announced today several updates to ongoing projects.
Regions has finished completing the Gua #1. This well is currently on line and initial production numbers will follow in future updates.
The Gua #2 is currently in line for an advanced formation fracture technique to be completed as soon as the weather allows. Depending on how the technology works, the WD #1 will utilize the same technique. Regions anticipates that the production levels of these two wells could reach the production levels of a near by well that blew out of control for 15 days before being shut in (approximately 5 MMCF per day).
The issues that have kept the Iwo lease from production have been dealt with and Regions is currently awaiting final approval to resume production. Once approval has been granted the Iwo #2 will be perforated up hole to exploit a zone that had a strong show of oil during drilling.
The west Texas play is still in progress and is awaiting final approval from the land and mineral owners to proceed with the test well.
Lease documents have been finalized and signed by all parties adding an additional 80 acres to their current 700 acres, located in an area with proven production. This location has favorable spacing requirements providing up to 10 additional drill sights.
Work continues on acquiring the remainder of the lease necessary to build a commercial water disposal facility in Muskogee County, Oklahoma. This project has potential to provide additional revenue beyond what was originally estimated, as there has been over 25 new permits to drill issued in the last 180 days. Each of these projects will have a need to dispose of any produced water during drilling and during future operations.
"I want to apologize for the lack of updates in recent months. We have been diligently searching for innovative and cost effective solutions to problems that have come up along the way, bringing wells on line, and at the same time evaluating new prospects for future growth. As time goes on and revenue comes in, I hope the share holders will be pleasantly surprised by the amount of work that has been accomplished in this short amount of time and the benefits it could bring to Regions Oil and Gas and its share holders. Please be patient with us as we are working for you and are making every effort to turn Regions into a recognized and respected company in this industry," stated Jerry Griggs, CEO Regions Oil and Gas.
About Regions Oil & Gas, Inc.: Regions Oil & Gas Corporation ("Regions" or the "Company") was formed to initiate, manage, acquire, supervise and operate oil and gas ventures and to otherwise engage in the oil and gas industry and exploration business. The Company solicits and acquires from accredited and institutional investors, the capital necessary to lease, develop, and complete oil and gas wells. Their philosophy and strategy is "Bringing New Life to Old Forgotten Fields." The fields in question were generally produced in the early 1900s with the mind set and technology created during the industry's infancy. As a result, these wells have large amounts of oil still in reserves.
Disclaimer:
Certain information included in this communication contains statements that are forward looking, such as statements relating to the future anticipated direction of the Oil and Gas Industry, plans for expansion, various business development activities, planned capital expenditures, future funding resources, anticipated sales growth and potential contracts. These forward looking statements are subject to a number of known and unknown risks and uncertainties that could cause actual operations or results to differ materially from those anticipated.
Contact:
Regions Oil & Gas, Inc.
Jerry Griggs, 1-877-9REGION
www.regionsoil.com
--------------------------------------------------------------------------------
Source: Regions Oil & Gas, Inc.
Your caclulations are way too low. You are off by a decimal point.
5 mmcf/day = (5000 MCF/day)
5000 mcf/day = 830 bopd
830 bopd = 24,900 barrels of oil per month
About $9 million in revenues per year for a 5 mmcf/day well.
Not that I think it really matters. It doesnt imo.
I think it came after the bell.