Re: Meanwhile in my ISA account.....
|Don?t spend it all at once, Dron. ;-))
Meanwhile in my ISA account.....
|Sale of fractions......
Credit ........3p !!!!!
Happy weekend folks.
Meanwhile,elsewhere in Maroc
#SDX seem to be able to find it and put it straight into production. Perhaps it?s about time SOU did something similar?
Re: Bristol meeting
|Hi P44 and Cruncher,
Thank you for taking the time to post up the notes on the Bristol presentation. The broad picture seems to be much the same as it was in Edinburgh although JP does seem to have taken the opportunity to correct the horlicks he made about what information Sound were going to publish in public and what information was going to be withheld. I must admit it did bring a smile to my face to hear him suggest he was withholding certain info as he did not want our neighbours to have access to it.
The only way to do that would be to bar them from the data room and since they are among the favourites to make a bid come LE time , that does not seem likely.
As usual the time frame is stretching out a bit with 2019 now coming into view. I must admit it would not break my heart to see Sound still being around at Easter next year as I still have a wheen of Sound shares to get transferred into an ISA, although I recognise that this is not a view shared by the majority of the PI.
As usual JP is coming in for a fair bit of stick on timelines. What most of the PI fail to grasp is JP is a great proponent of Albert Einstein, in that most of his statements are relative, while most of the PI expectations are measured in absolute terms.
What is becoming clearer though is that with the G&A at $7m then any serious foray into the 2019s will come with a requirement to raise funds - not a lot as JP says - but it depends on how far into the 2019s they intend to go and also what curved balls we are presented with from the drilling campaign.
I am beginning to come to the opinion that the withholding of information and the requirement for extra cash may not be unrelated.
To examine this proposition one must first determine what information we , as investors, are entitled to get.
First of all we are entitled to get immediate access to anything that is deemed price sensitive as explained in Rule 11 of the Aim guidelines.
Secondly because we are an O&G company there was a specific note published in 2009
"NOTE FOR MINING AND OIL & GAS COMPANIES - JUN E 2 0 0 9"
that specifies what we must be told.
You can look it up here:
The document is in two parts, the first part deals with IPOs while the second part deals with the ongoing information that investors are required to receive from their companies as they progress their exploration efforts.
And, just to add fuel to the fire, there are new rules this year, some already in and some due by the middle of the year that are neatly explained in this page on Denton's website.
As ever the responsibility for monitoring and enforcing the rules lie with the Nomad so there may be some degrees of "difference" between how these rules are interpreted and enforced among the various Aim entities.
The above details what we are entitled to expect from the company but obviously there is a lot more information, expensively gathered, which the company uses to decide how to exploit it's assets. That information would be a godsend to our neighbours and a reason enough , if reason were required, to sign the NDA and pop into the data room to give it the once over.
When JP states that he wants to limit the data in the public domain due the prying eyes of our neighbours that only makes sense if it is also restricted in the data room.
What would be the point of following such a course? Superficially it would appear pointless to go to the expense of obtaining the data only to withhold it from your potential suitors.
Just look at Sounds cash position and the revised timetable. What would our information (not data) be worth to a neighbour.
Here is an example from a few years back in the North Sea.
Now would a similar type deal with that sort of value not be just about enough to see Sound over the line.
I think it just might.
So withholding the information may, just may stave of the need for a placing/rights issue which would be beneficial to the shareholders in the longer term while they get the basic information specified above to decide if their investment is sound (pun intended) or not.
Re: Bristol meeting
|Thank you for the update Pendulum - it still seems to be optimistic.
Here's a post from elsewhere - courtesy of Riddlers - about the Bristol event:
Good morning all, a very enjoyable evening in my home city in the fine company of Panther and Jobbinscl as well as meeting for the first time SoundingOff, Kempseyman, Borderer amongst others. I have summarised my notes taken as follows, all of which I am confident is accurate but please fellow attendees let me know if I have missed anything. I have several thoughts and observations which I will post separately - firstly the facts set out in sections for ease:
- The data set was viewed as very exciting, showed the structure of the basin, thickness and distribution of the Paleo and generating new leads.
- Results have optimised seismic lines, including moving some a little to look at new features seen. Also shows the deeper section of the Palaeozoic and the overall basin.
- emphasis placed on just how large this job is, how slow and time consuming it can be. c 150 people involved, 120 local recruits plus 30 experts from Western Geo, 6 vibra trucks.
- Shearwater has also been contracted in addition to Geo to process the seismic. In part to speed things up and in part.
- Limestone and the salt seal creates additional work processing/cleaning up the seismic
- 3 month process to rebuild the model, 1 month in at the moment
- Rebuilding model to test assumptions, Jason and John confident that the model would confirm current model
- Spoke afterwards and the model is being developed in 3D and will also have 4D. This includes looking at how the substructure has moved/evolved over time.
- Model being developed by a company in Devon, company Jason/John have worked well with before.
- Downhole pressure gauge still in hold on TE7, pressure incrementally continues to build. View is that 5/6/7 all connected, 8 where the TAGI is tighter might be connected but tighter.
- Should still be April but out of Sounds hands
- Uncertain if will release the whole CPR document or just the numbers. JP seemed mindful to put them out in the public domain, also mentioned #neighbours# in respect of the CPRS are more aimed at external parties rather than the retail investor. Jason/John suggested there is a lot of geological data in a CPR which they would prefer to keep in house.
- 2 CPRs for phase 1 as expected (drill target first and then remaining area), may be merged for subsequent CPRS.
- As a reminder, Palaeozoic numbers are not included in the CPR numbers, TAGI only.
- 3rd well could be Anoual.
- Will await the final phase of seismic and pull all phases together before deciding location of the 3rd well.
- TE9 # shares some analogies with the TE5 Horst, especially on 2D seismic.
- July will be month to start drilling. Rig mobilisation was mentioned for May.
- Palaezoic # carries more risk than the TAGI with less data. Separate pressure system for TAGI and Paleo, which is what we would want.
- Good session explaining the risk % calculations for wells. Most risk is the reservoir.
- GSA is being negotiated at the moment
- This price will be the most important number the company will give us # critical in terms of value with the difference between $7 and $9 resulting in millions of difference.
- James quietly confident. Also stressed importance of Mohammad in the gas permitting, working very hard within Morocco.
- Pipe/BOT, quite confident can get the BOT away. Contracts are complicated and complex.
- Want to know results of first 2 wells before taking FID
- Still have an eye out for any distressed assets, not seeing a lot in Morocco. Mentioned some interest in off-shore/shallow waters being area of focus by others.
- Covered for the 3 well program from current balance and Schlum#s share
- Dilemma is how much to leave the company with in case of issues with the 3 well program and reserves right if want to de-risk with additional cash but this would not be much
- Reference to Sound#s current find forming a bridge to LNG and if it works out (if we have 10#s of TCFs), Sound is the answer!
- Luca has been working very hard in county and we will land some of these.
- ONHYM very supportive of doing the right thing. Not being put under pressure to drill, especially before seismics/ready # ie: want to know the size of what is there but recognise that have to get it right.
- There is no news black-out, just no news
- JP clarified that there are certain parts of the drill program which they have to notify the market about # Spud, TD and results. They may not notify about casing points and likewise with the early indicators post well, just go straight to full results once completed operations.
- There will be a webcam at TE 9.
- Spoke to Sarah afterwards and we will have a FSC soon
- Preference is to retain 2 unrelated plays in Morocco
- One drill ready location before the seismic program is carried out
- asked question about confidence now compared to previous
- JP said same as post 6/7
- Jason and John said it was all about narrowing down uncertainty (around reservoir / locations of drills etc..)
- JP said it is all about where the drill goes # possible to drill 3 wells with no hits but the 31tcf to remain possible
- As an aside, the #neighbours# were mentioned several times during the evening
|Hello all, BF posted following the Edinburgh meeting,I can add a bit from what was said last night. Very much the same story sorry to say,but things are moving forward as planned. JP spoke about progress in general,and the end game,but his fellow speakers added a bit more. He introduced the two geologists who joined SOU from BG some time ago,and they are top men. JP and the experts commented something along these lines.
The seismic is a large scale operation.
A major would take ages more to do what SOU are doing (Poss years)
They were VERY exited about the seismic.
3 wells planned ,anything could happen re the LE along the way.
First well will spud in July.
Well 2 and 3 much bigger than well 1
JP warned, nothing certain about drilling,but 3 failures would be very very unlucky,or they had things very wrong,its SIDI then,and plan C
The GSA which they are working on now,is VERY important.(pipeline size and progress being worked on daily)
CPRs will be released as and when ,SOU investors should not be worrying about CPRs,they will come soon. News which has to be released by market rules ,will be released.
LE, maybe this year,maybe next,its all down to the seismic and drilling,(we all know that anyway).
All staff were very upbeat,James from CORO spoke for 30 mins,all good there,but very early days of course..
Forecast......its going to be the same risk -reward outlook going forward, seismic good,geologists excited, if well 1 comes in good, lots will change. If the others come in good,its BOOM. (all above comments are as I saw them,dont shoot the messenger.)
Don't book the cruise yet,(not the around the world one anyway)
Maybe we can go on the outer space flight if the wells are on the button
Good luck all
Annual report posted
|Would anyone going care to enquire about timelines for the first 2D seismic CPR due out by end of March I believe, so a bit late!!
|Some real out of the box thinking going on there TP!
|I know it makes no mathematical sense, given the different number of shares in issue by each company, but added together SOU, ECHO, and, CORO come to 62p!
(And growing daily ;-)))
Re: CORO shares
Coro in my iii account also.
But still waiting for Selftrade to show..
It?s going to be an interesting year for Sound and I have very high expectations.
Surely, we will get at least one drill success to propel the sp back to 80p or so..
Re: CORO shares
|Thanks, Jim. Mine arrived in my II account this morning. Suspect today?s drop is peeps selling theirs. #CORO
sorry, to others, I guess CORO is slightly off topic now ;-))
Re: CORO shares
|Yes mine have been credited. I have an X.O Account if that helps.
Re: Italian assets gone
|Hmm, I seem to remember JP sounding similarly bullish (oops, I did it too :)) about Badile.
But, hey ho, that?s Exploration for you. Some you win, etc.
Very much a lottery at this stage, although seismic techniques and interpretation are much more advanced these days.
I?ve got money on 3 potential whoppers at the moment , SOU, CHAR and FRR. with CORO, ECHO, and ZEN waiting in the wings.
What?s not to like ?
Re: Italian assets gone
|Then again JP has said that 1 out of 3 would be sufficient, so providing the first drill is a resounding success (see what I did there :)) ) who says we will even get as far as the third, nice thought.
I just hope that they have identified what I think JP called the Goldilocks zone when he was in full hype mode, as anything other than a success of some sort will hit the SP and that would really test my resolve.