Analysis of Delek Group’s September 2019 Investor Block in regards to Gulfslope, and the direction of the Tau well no. 2: (Pages, 3, 4 & 13)
Delek stated on page 3, “Delek Group is evolving into an International E&P Operator focused on achieving three major objectives”:
1) “Delivering East Med assets”
2) “Optimizing assets & Reallocating Capital”
3) “Expanding with Chevron North Sea acquisition”
Delek referenced owning 22% of Gulslope, as being something of significance on their September 2019 Investor Block, Page 4.
I found this to be note worthy that Delek is “considering further drilling in the Gulf of Mexico” as a New Investment item, not as a Portfolio Optimization item. (Page 13)
Analysis of Delek Group’s Partnership with Gulfslope Energy, in regards to Tau well no. 2:
Delek and Gulfslope seem to see the overall long-term picture, not so much if GSPE’s stock moved .0005.
Look at the oil and gas plays in the US right now. The Gulf of Mexico is an extensive play. “The Federal Gulf of Mexico was the second-largest producing region in 2018.” (Source: eia.gov, U.S. Energy Information Administration, choose: “Browse by Tag” icon, select: Production/Supply, go to April 9, 2019 article titled; “U.S. Crude Oil Production grew 17% in 2018, surpassing the previous record in 1970”, Paragraph 5, Lines 4-5)
This is reflected by Shell and BP “leading the way” in the Gulf of Mexico drilling opportunities. (Source: BSEE Data Center, Production Information category, choose: PDF report downloads, select: Ranking Operator by Oil 2019, ”Production of Operator Ranked by Volume” PDF, Page 1)
This is going to be a big deal if the Corvette and Tau Prospects are lucrative. Especially the Tau well no. 2 for Delek. It would have a considerable positive impact on all of the Partner’s financials and MMBOE Reserves and Resouces. Specifically, if there was “future on going long-term potential” at even a fraction of the Mahogany and Thunder Horse fields.
Tau well no. 2 if Commercial could offer Delek “material” MMBOE, to their already current 2019 1.7bn BOE. Tau well no. 2 is at 418 MMBOE. This would give both Delek and Gulfslope the Global recognition they were looking for and so deserve, (Source: Delek’s September 2019 Investor Block, Page 3) and (Source: Gulfslope September 2019 Investor Block, Page 8)
Opinion:
The cool thing is if any of the prospects are commercial, we as Shareholders are part of this amazing journey too. Everyone loves a Comeback, above all a Big One.
Recent $/Barrel Data as of September 26, 2019;
”Louisiana Light” at $60.24 per barrel, previous day change at -.2
Gulfslope’s NPV10, IRR, and ROI and pay back period assume flat pricing of $55 per barrel.
(Source: eia.gov. Petroleum and Other Liquids Data Page, Recent Data) and
(Source: Gulfslope’s September 2019 Investor Block, Page 8, Bottom of Page)
Smith
AI
