Riesiges Ölfeld in der Nordsee entdeckt
bin immer noch dabei und hoffe sehr,dass Deine Vermutungen eintreffen.Werde weiterhin investiert bleieben und freue mich auf
Deine guten Infos.
EnCore is now looking forward to the results of drilling at Cladhan, which we hope will be within the next 10 days or so...
wie gesagt, die 10 Tage sind morgen um, jetzt kann man natuerlich spekulieren: heisst spaetere Pressemitteilung laengeres Bohren und damit einen tieferen OWC, was natuerlich umso besser waere oder aber gibt es Probleme beim Bohren, was eine Verzoegerung bedeuten wuerde...ich denke, da hilft nur abwarten.
Commenting on the result, Alan Booth, EnCore’s Chief Executive Officer, said:
“This is an excellent result and supports the partnership’s geophysical model for the identification of Tay sands over the Burgman structure. The sand thickness and quality was very much at the upper end of our pre side-track expectations. The confirmation of another important discovery in the licence is a fitting end to this phase of drilling. On behalf of EnCore I would like to thank our co-venturers for their help and support and look forward to continuing to work with them as we progress further appraisal and development work on the Block. We would also like to thank ADTI, Transocean and all the offshore crew and service providers that helped deliver a safe and successful drilling programme. EnCore is now looking forward to the results of drilling at Cladhan, which we hope will be within the next 10 days or so.
"I would like to take this opportunity to make some general comments, not specific to our discoveries in the Catcher area, on the recent fiscal changes announced in the budget. The EnCore team have been directly involved in the discovery of a number of the UK's most important recent oil and gas fields, one of which now accounts for more than 10% of current UK oil production, and so we recognise the need to encourage the discovery and ultimately the production of the UK's indigenous resources.
“Whilst unexpected tax changes are never welcome, given the current state of the nation’s finances, one can at least rationalise the desire to raise revenues from fields that have already paid back their risked investments during a time of very high oil prices. However, failure to encourage the discovery of new fields as well as the development of newer, smaller and difficult fields on fair and predictable fiscal terms is in no one’s interest. Undeveloped and undiscovered oil and gas pays no taxes, creates and sustains no employment and a slowdown in UKCS activity will simply increase the UK’s reliance on imported oil and gas from less politically stable, if not as fiscally unpredictable, parts of the globe. I welcome the Government’s indication that it is prepared to discuss with the industry the enhancement and broadening of the recently introduced Field Allowances which I believe, if properly structured, could mitigate the effects of these changes and continue to incentivise those companies who wish to continue to invest in finding and developing the UK's offshore natural resources."
Und hoffentlich auch positiv ;-)
Auch NPE hat heute wieder 5% gut gemacht.
Hoffentlich bringt ein positives Ergebnis auch den erhofften Kursanstieg und nicht so wiebei Burgman und Verdadero...
Um das nochmal zu verdeutlichen, was Encore eigentlich wert ist....potentielle 1 Mia Barrel Cladhan und Catcher (16.5% bzw. 15%) andere assets Tudor Rose,Spaniards,Buffalo und Egdon gas und celtic sea.
Allerdings habe ich auch gelesen (nicht bestaetigte inoffizielle Quelle aus einem Forum), dass die Moeglichkeit bestuende, die Firma zu splitten, in "Encore und Excore", wobei Excore Caldhan und Catcher bekommen wuerde und diese dann zum Verkauf stuende und Encore die anderen assets behalten wuerde.
Dann warten wir mal gespannt auf Montag!
Mal sehen, wann und ob die Bombe platzt. Es gibt viele Geruechte uber Uebernahmen und Zahlen...aber so lange es nur Geruechte sind, sollte man sie lieber nicht in den Mund nehmen.
Vielleicht dauert es aber auch noch ein wenig laenger (Ende Juni) bis zu einem ev.T/O, denn der drilling schedule sieht noch weitere Bohrungen vor. Wenn die auch erst noch abgeteuft werden, koennte sich ein T/O wieder verschieben und der Kurs wuerde wieder gedrueckt werden und fallen. Also, man sollte mit allem rechnen...
Protected: Encore Oil It’s a question of How much? And when?
The recent move upwards in the Encore oil sp is atypical of whisper, rumour, good old-fashioned buying, in the belief that they are a solid investment. We’ve seen this sp bounce around many times. I recall writing on them when they were in the 40p’s. They are always going to spike after periods of genteel decline no news means that stocks like this drift downwards until the market get the scent of an event. And what greater event than the rumoured TAKEOVER of Encore by Premier as mentioned here some time ago.(see Takeover tipping point article)
Now lets just forget takeover and put it to one side. The reasons to invest here are overwhelming Catcher,catcherNorth,Cladhan,BurgmanVaradero, two new licences in the UKCS 26th Seaward Licensing Round, Completely debt-free,Tudor rose,Merroe,Spainards etc. The point I am making is that Encore Oil are built on a firm foundation and they will always spike up on good or “perceived” good news. It’s a win, win situation for genuine investors the secret here is to hold your stock.
Back to the news. I did write about Premier being the front-runner here vis-a-vis Encore’s assets/takeover and now it would seem that some in the market are agreeing. It’s quite ridiculous really. You’ve got the company Ceo Booth actually telling the AGM that they are in the market for takeover and that EO probably wouldn’t be around for the next AGM. It should be no surprise to Investors when they finally announce a takeover, with Premier who are as stated previously on the Blog the Lead mover for the company! Of course no one knows how long it will take but make no mistake Encore have been talking to suitors other than Premier. The whispers circulating at the moment are that Booth wants 300p per share Premier see EO at 180p news from the city is that Premier may go to 210/15p but Encore will have to move downwards particularly since the new North sea tax has rather taken some of the shine away. It is known that the Board at Encore are considering a lowering of Booth’s 300p figure and that has come straight from a very reliable source. They are going to be swallowed up it’s just a matter of how much and when!
An edited version of this post will be released one hour after posting.
Viva!
Daniel
Bin ja mal gespannt, was heute passiert...hoffentlich kein selling on good news, wie bei Burgman ;-)
DJ EnCore Oil PLC Successful Cladhan Appraisal
TIDMEO.
RNS Number : 7204E
EnCore Oil PLC
12 April 2011
Press Release
For immediate release: 12 April 2011
EnCore Oil plc ('EnCore' or 'the Company')
Successful Cladhan Appraisal
EnCore Oil plc (LSE: EO.) is pleased to provide an update on the Cladhan appraisal well 210/30a-4 located in UK North Sea Block 210/30a.
The appraisal well was drilled as a deviated well to a Total Measured Depth of 12,252 feet and encountered oil bearing Upper Jurassic sandstones in two separate reservoir intervals. No Oil Water Contact was observed. The Upper reservoir sequence had a gross True Vertical Thickness (TVT) of 18 feet and a net sand of 13 feet TVT. The sand has an average porosity of 16 per cent. and hydrocarbon saturation of 82 per cent. Pressures suggest that this reservoir is in a separate pressure regime from the Lower reservoir. In the Lower reservoir sequence, the main reservoir in previous Cladhan wells, the well encountered a gross TVT of 256 feet and a net sand of 21 feet TVT. The sand has an average porosity of 16 per cent. and hydrocarbon saturation of 75 per cent. Initial pressure data indicates that the lower sand is in pressure communication with, and is part of the original Cladhan discovery. The well has proven an Oil Down To of 10,447 feet True Vertical Depth Sub Sea (TVDSS), giving a minimum hydrocarbon column of over 1,200 feet. Upon completion of operations at well 210/30a-4, the Transocean Prospect semi-submersible rig will commence the first planned side-track, 210/30a-4z to evaluate the Upper Jurassic sandstones significantly down dip from the 210/30a-4 well in an attempt to define oil water contacts for both the upper and lower reservoir units, as well as investigating the potential for thickening of the upper unit. It is expected that this side-track will take approximately 20 - 25 days subject to weather or operational delays. Commenting on the latest well result, Graham Dore, EnCore's Exploration Director said: "This is an important result for Cladhan. The well has confirmed both the presence of a large oil column in the main Cladhan reservoir as well as a new hydrocarbon bearing reservoir sequence, and has yet to find an Oil Water Contact. The next side-track to the east will evaluate the fan structure some 1,000 feet deeper, and has the potential to encounter improved net to gross as well as establishing Oil Water Contacts for both reservoir sequences. This will be followed by a side-track to the south which is designed to confirm the presence of oil in the Central channel".
The equity in the Cladhan joint venture partnership is as follows: EnCore Oil plc (16.6 per cent.), Sterling Resources Ltd (39.9 per cent., Operator), Wintershall (UK North Sea) Limited (33.5 per cent.) and Dyas (10 per cent.).
Graham Dore B.Sc. (Hons.) in Geology and M.Sc. in Petroleum Geology and EnCore's Exploration Director, who has over 25 years' experience in the oil exploration and production industry, has reviewed and approved the technical information contained in this announcement.
For further information, please contact:
EnCore Oil plc www.encoreoil.co.uk
Alan Booth, Chief Executive Officer +44 (0)20 7224 4546
Eugene Whyms, Chief Financial Officer
Yvonne Fraser, Investor Relations Manager +44 (0)7957 241 408
Westhouse Securities Limited
Tim Feather +44 (0) 20 7601 6100
Matthew Johnson
Notes to Editors:
Cladhan is located 225 miles north east of Aberdeen.
Wenn Premier oder Wintershall zuschlagen wollten, muessen sie wohl bis Juni abwarten.
Mal sehen, was passiert....hoffentlich verpufft die gute Nachricht nicht wieder!
http://www.prnewswire.com/news-releases/...ues-to-grow-119673969.html
im Prinzip auch erfolgreich und gut....was allerdings ein bissl drueckt sind die 16ft of net pay. Das sind gerade mal 5m.
SO Leute, nun mal ein bissl Diskussion und Eure Meinung...ich komme mir schon ganz bloed vor ;-)
Purpi 41
Deine News sind immer höchst Interessant.Frage: Wie groß schätzt Du das neue Vorkommen ein?
Über wieviel Barrel Öl dürfte Encore Oil derzeit anteilig verffügen und welchen Wert
steckt dahinter?
Ich bin Deiner Meinung,daß erst ab Juni sich hier etwas tun wird.
Grüße
Meitü
@meitue
Encore hat 16,6% Anteile....bei einer Marktkapitalisierung von 356 Mio Pfund ist die Bewertung ein Witz. Deswegen steht IMHO eine Uebernahme nichts entgegen. Die sind ja fast geschenkt....dadurch dass der OWC noch nicht gefunden wurde, kann man die Volumen noch nicht genau berechnen. Dazu kommt natuerlich auch noch der hohe Oelpreis, der in den naechsten Jahren bestimmt nicht stark nachgeben wird. Nachfrage wird steigen bei weniger Produktion. Ich bin auf jeden Fall ueberzeugt von dieser Aktie und auch wenn ich den Kursverlauf (MINUS 3%) nicht verstehe, bleibe ich investiert und kaufe nochmal nach, gibt es einen weiteren Ruecksetzer. Vergleicht man z.B. RRL mit einer Marktkap von 286Mio mit ENcore, ist diese Aktier way too unterbewertet, meiner Meinung.
Forward-Looking Statements
All statements included in this press release that address activities, events or developments that Sterling expects, believes or anticipates will or may occur in the future are forward-looking statements. In addition, statements relating to reserves or resources are deemed to be forward-looking statements as they involve the implied assessment, based on certain estimates and assumptions that the reserves and resources described can be profitably produced in the future.
These forward-looking statements involve numerous assumptions made by Sterling based on its experience, perception of historical trends, current conditions, expected future developments and other factors it believes are appropriate in the circumstances. In addition, these statements involve substantial known and unknown risks and uncertainties that contribute to the possibility that the predictions, forecasts, projections and other-forward looking statements will prove inaccurate, certain of which are beyond Sterling's control, including: the impact of general economic conditions in the areas in which Sterling operates, civil unrest, industry conditions, changes in laws and regulations including the adoption of new environmental laws and regulations and changes in how they are interpreted and enforced, increased competition, the lack of availability of qualified personnel or management, fluctuations in commodity prices, foreign exchange or interest rates, stock market volatility and obtaining required approvals of regulatory authorities. In addition there are risks and uncertainties associated with oil and gas operations. Readers should also carefully consider the matters discussed under the heading "Risk Factors" in the Company's Annual Information Form.
Undue reliance should not be placed on these forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. Sterling's actual results, performance or achievements could differ materially from those expressed in, or implied by, these forward-looking statements. These statements speak only as of the date of the press release. Sterling does not intend and does not assume any obligation to update these forward-looking statements except as required by law.
Financial outlook information contained in this press release about prospective results of operations, financial position or cash flows is based on assumptions about future events, including economic conditions and proposed courses of action, based on management's assessment of the relevant information currently available. Readers are cautioned that such financial outlook information contained in this press release should not be used for purpose other than for which it is disclosed herein.
Seite 17
Erscheinungsdatum 13/04/2011
LATEST APPRAISAL WELL DISCOVERS 1,200ft-PLUS COLUMN OF OIL IN PLACE
BY IAN FORSYTH
Expectations are rising that the Cladhan find in the northern North Sea will be one of the biggest discoveries in the basin in years.
Canada-based Sterling Resources yesterday announced another successful appraisal well at the discovery.
An oil column of more than 1,200 feet has been found.
Chief executive Mike Azancot would not be specific about how much oil Cladhan might hold, but he added: "It's early days yet, but with every well we have drilled the field continues to get larger."
The Press and Journal reported last October that the find could hold more than 300million barrels of oil.
Mr Azancot, who has an office in Banchory employing 45 people, said only four wells to date have been drilled on Cladhan - the initial discovery well at the end of 2008 and three recent appraisal wells.
He said a further two appraisal wells were expected to be drilled by this summer, and another two could follow.
As a result, there might be a clearer position regarding field reserves by the end of this year.
Mr Azancot said Cladhan was already a commercial discovery and he was very excited at its potential.
He said the field could come on stream in 2014.
A variety of development choices include a subsea tieback to another installation in the area, a floating production vessel or even a platform.
Mr Azancot said the recent £10billion North Sea tax grab by Chancellor George Osborne was not welcome, though it would not affect Sterling in the short term.
He added: "We have more than £200million of expenditure to offset against tax, so the tax change will not affect us like it will some firms.
"I doubt if the tax increase will affect our development plans for Cladhan, but it will affect the economics of the field."
Sterling is the operator of Cladhan with 39.9%. The other partners are: EnCore Oil (16.6%), Wintershall UK North Sea (33.5%) and Dyas UK (10%).
Andrew Reid, Aberdeenbased managing director of energy consultant Douglas-Westwood, said yesterday's Cladhan announcement was another piece of positive news for the UK continental shelf.
He added: "On the back of a number of recent exploration successes from a number of operators in recent months, the news that the appraisal well on the Cladhan field continues to find oil-bearing columns is encouraging.
"While there is limited information available at this point, preliminary analysis suggest a potential discovery of at least 100-200million barrels.
"As the exploration programme continues more certainty will be available, although indications are that the discovery may be larger."
Autorenangabe: IAN FORSYTH
Unglaublich, was da abgeht...da wird ein 300-400 Mio Barrell Feld entdeckt und dem SP geht das sonst wo vorbei. Der naechste appraisal well wird wahrscheinlich eine weitere Vol.vergroesserung detecten, aber es geht nach unten.
Ich denke mal, dass das daran liegt, dass ziemlich viele Kleininvestoren in dieser Aktie drin sind, die wissen, dass ein T/O wohl erst nach der appraisal Phase stattfinden wird und bis dahin ziehen sie ihr Geld raus und investieren woanders, wo sie in weniger Zeit Geldmachen koennen. Das ist die einzige Erklaerung, die ich habe...oder was meint Ihr? Encore scheint die einzige Aktie zu sein, die nach solchen Meldungen faellt...hoffentlich finden sie im naechsten app.well KEIN Oel, vielleicht gehts dann hoch ;-)
Ich kann weiterhin nur sagen...abwarten und hold/buy...fuer mich ist diese Firma unterbewertet und zwar ganz schoen....
habe kräftig zugelang(13.4.)leider etwas zu früh.Ich meine man sollte diese Schwankungen nicht überbewerten.Vielleicht sind
auch Makler am Werke die evtl. Interesse haben die Kurse unten zu halten,damit bei einer möglichen baldigen Übernahme der
Mittelkurs von ca.3 Monaten niedrig ausfällt.Hinsichtlich der neuen Steuer sehe ich diese als durchlaufender Posten der als Kosten
dagegen gerechnet wird.
Nur meine Meinung.
meitü
Aber wer weiss, was in den Kaemmerchen der grossen oilis abgeht. Vielleicht kommt ja doch noch unverhofft, der schnelle T/O und dann waere man bei der Rakete nicht dabei...
EnCore optimistic over Cladhan find Erschienen in The Herald
Seite 29
Erscheinungsdatum 14/04/2011
MARK WILLIAMSON
ENCORE Oil, a North Seafocused oil and gas firm, said it had found more oil at the Cladhan discovery east of Shetland.
The listed independent told investors that a well to appraise Cladhan confirmed the existence of a hydrocarbon column that extended for over 1200ft.
EnCore previously said the original discovery well and an appraisal well drilled in August had confirmed a total hydrocarbon column in excess of 273 feet.
The latest appraisal well found an area of reservoir which seemed to be distinct from the original find.
The results will encourage hopes that Cladhan, 225 miles north-east of Aberdeen, is a major find. It has been suggested Cladhan may contain 300 million barrels oil in place.
Graham Doré, EnCore's exploration director, noted that the drilling had not yet found an oil/water contact which would mark the boundary of the find.
The partners in the licence expect to complete appraisal work in June.
This could prompt a bidder to move for EnCore, which made a bumper find with the Catcher well in the Central North Sea.
Analysts at Royal Bank of Canada told clients: "Although we view EnCore as the most credible takeover target within our North Sea peer group, we believe a bid for the company is unlikely to occur before conclusion of the Cladhan appraisal campaign and possibly more drilling in the Catcher area during H2/11."
Shares in EnCore closed down 4%, or 4.5p, at 116.75p. They traded at 17p before the Catcher find was made in June last year.
EnCore Oil owns 16.6% of the Cladhan licence. Sterling Resources has 39.9% and operates the licence, Wintershall has 33.5%, Dyas has 10%.
Autorenangabe: MARK WILLIAMSON
TIDMEO.
RNS Number : 0147F
EnCore Oil PLC
15 April 2011
For immediate release: 15 April 2011
EnCore Oil plc ('EnCore' or 'the Company')
Directorate Changes
EnCore Oil plc (LSE:EO.) announces the following changes to its Board of Directors.
Non-Executive Director, L. Keith Hughes has tendered his resignation with immediate effect. Keith has recently become a senior partner at a law firm which has a general policy prohibiting partners holding non-executive directorships with for-profit companies. Keith has been on the EnCore Board since October 2009.
A new Non-Executive Director, Vivien Gibney (formerly Gaymer) has been appointed to the Board with immediate effect. Qualified as a barrister, Vivien has over 26 years' experience within the oil and gas industry. Vivien's previous roles include nine years at Mobil as Legal Counsel, and prior to her retirement, more than 17 years at Enterprise Oil plc where she undertook various roles including Head of Legal, Head of Human Resources and Company Secretary for the Group.
Christine Wheeler OBE, EnCore's Chairman, commented:
"On behalf of the EnCore Board, I would like to thank Keith for his invaluable service as a Non-Executive Director of Encore over the last 18 months and as a trusted adviser in the five years before that. I wish him well in his new role and anticipate that he will advise us again in the future.
"I am delighted to welcome Vivien to the EnCore Board. A number of us on the Board have worked with her before and we are looking forward to doing so again as we continue to follow our strategy of delivering value for shareholders."
Further information on Vivien Gibney
Vivien Murray Gibney (formerly Gaymer,
Full name nee Gall)
Age 65
Current Directorships Opera North
& Partnerships The University of Northampton
Oundle Music Trust
Beneficial shareholding 219,000 ordinary shares of 5 pence
in EnCore each
Mrs. Gibney confirms there is no further information to be disclosed in accordance with Rule 17 and Schedule Two paragraph (g) of the AIM Rules for Companies.
For further information, please contact:
EnCore Oil plc www.encoreoil.co.uk
Alan Booth, Chief Executive Officer +44 (0)20 7224 4546
Eugene Whyms, Chief Financial Officer
Yvonne Fraser, Investor Relations Manager +44 (0)7957 241408
Westhouse Securities Limited
Tim Feather +44 (0) 20 7601 6100
Matthew Johnson
Notes to Editors:
TIDMEO.
RNS Number : 0599F
EnCore Oil PLC
18 April 2011
Press Release
For immediate release: 18 April 2011
EnCore Oil plc ("EnCore" or "the Company")
Flotation of New Exploration Company
Highlights
-- Subsidiary company which will be assigned EnCore's exploration assets ("Exploration Assets") to be separately quoted on AIM
-- New company to be known as XEO Exploration plc
-- Proposed institutional placing and admission to AIM, followed by an offer to qualifying EnCore shareholders to provide the opportunity for direct participation in the XEO fundraising
-- Proposed EnCore Board changes upon successful flotation of XEO
Exploration Assets flotation and proposed fundraising
EnCore (LSE: EO.) announces that the Company is planning for a subsidiary company, which will be assigned the Exploration Assets, to be floated on AIM. The new company will be known as XEO Exploration plc ("XEO"). Subject to regulatory approvals and a successful institutional placing, XEO is expected to be admitted to AIM around the end of May 2011.
EnCore is in the process of transferring the Exploration Assets listed below into XEO, subject to receiving the necessary partner and regulatory approvals. The exact percentage shareholding of EnCore in XEO will depend upon the final amount of funds raised by XEO.
In addition to their indirect interest in XEO through EnCore's remaining holding, the Company plans to offer qualifying EnCore shareholders the opportunity to subscribe for shares in XEO directly at the institutional placing price. The offer to EnCore shareholders will be made around the time of XEO's admission to AIM and close shortly following admission.
EnCore assets to be transferred to XEO
--------------------------------------------------
Licence Block Prospect XEO Equity* Operator Partners
-------- --------------- ------------ ------------ --------- ------------
P.1769 14/29e, 20/4c, Hoylake 50% XEO* Endeavour
20/5f
-------- --------------- ------------ ------------ --------- ------------
P.1463 14/30a Tudor Rose, 40% XEO* Nautical,
Buffalo Endeavour,
EnQuest
-------- --------------- ------------ ------------ --------- ------------
P.1655 15/21g Spaniards 40% XEO* Nautical,
Serica
-------- --------------- ------------ ------------ --------- ------------
P.1475 113/29c & Merrow 50% Nautical XEO*
113/30
-------- --------------- ------------ ------------ --------- ------------
*subject to partner and regulatory approval
XEO will also have the option to acquire the following interests currently held by EnCore and Echo Exploration Ltd.
XEO will have the option to acquire the following licence
from EnCore
--------------------------------------------------
Licence Block XEO Equity* Proposed Operator Partners
--------- ------------- ------------ ----------------------- ---------
28/5, 28/10a
P.1812 & 29/1d 100% XEO*
--------- ------------- ------------ ----------------------- ---------
XEO will have the option to acquire the following licence
interests from Echo Exploration Ltd
--------------------------------------------------
Licence Block XEO Equity* Proposed Administrator Partners
--------- ------------- ------------ ----------------------- ---------
P.1866 13/28b 50% Echo XEO*
--------- ------------- ------------ ----------------------- ---------
P.1870 15/21d 50% Echo XEO*
--------- ------------- ------------ ----------------------- ---------
P.1
was bedeuted dies für die zukünftige Kursentwicklung? Wird Encore ganz in die neue Firma aufgehen?Wie bewertest Du
allgemein diese Entwicklung?
meitü
"1 - EnCore's future focus is now to be directed towards its two main assets, Catcher and Cladhan, which are in the latter stages of appraisal and will soon be moving into the development stage of their lifecycles.
2 - A very significant proportion of the value of the Company is in Catcher and Cladhan. Therefore, the Board did not wish to dilute shareholders' exposure to these assets by an EnCore fundraising for a high-impact exploration programme covering the Exploration Assets with the attendant risks.
3 - Moving forward, EnCore's existing and any future capital/debt can be targeted directly at the development assets.
4 - Existing EnCore shareholders will remain exposed to any success from the Exploration Assets through EnCore's shareholding in XEO. However shareholders who wish to have increased exposure to a risked exploration programme will also be offered the opportunity to participate in the offer at the institutional placing price.
So what can be the only conclusion from the above ? In my opinion EO. is now derisked, simple as that, no conspiracy theories or accountants needed !
XEO will be the high risk venture arm, if it does well then shareholders of EO. benefit, but the impact of failure or funding rounds will be severely diluted as EO. will not be funding it. Effectively they are just transferring the new licences to XEO.
A win win for EO. holders, those with a higher appetite for high risk exploration can subscribe to the placing on XEO, those who want a share transformed into an XEL type scenario stay with EO.
"we are all shareholders and we all get paid out when the company is eventually sold"
Alan Booth and the future for EnCore Oil Plc
Wednesday, Apr 20 2011 by Ben Hobson 0 comments 390 reads
15
Alan Booth, CEO, EnCore Oil plc
Ask Alan Booth what it takes to make a successful North Sea oil and gas exploration company and he’ll tell you about drilling wells and making your own luck. For the chief executive of EnCore Oil (LON:EO.), having done it all before means he and his team have nothing to prove but a great deal to gain just by sticking to a tried and tested strategy. Discovery, development, moving on. Add to that some of the brightest geological, finance and strategic minds devoted almost entirely to cashing in on North Sea fields overlooked by larger players in the past, and the strategy starts to look potent.
EnCore is among a large number of cohorts in the North Sea looking to do a similar thing but what is notable about Booth is his focus on why they are doing it - everything comes down to shareholder value. With EnCore now enjoying the momentum that can only come with stakes in two highly prospective projects, it now wants to repeat its success with a new exploration company scheduled to float before the summer. EnCore will split off its exploration portfolio into a new AIM quoted company called XEO Exploration. It will take with it assets including interests in Hoylake, Tudor Rose, Buffalo, Spaniards and Merrow licences and leave behind EnCore’s two main development priorities at Catcher and Cladhan. The move sets the scene for Booth and his team to raise funding for an all-new exploration programme and leave EnCore to channel its resources into finishing off the development of Catcher and Cladhan.
Booth, together with CFO Eugene Whyms and exploration director Graham Doré, have got form for discovering oil fields in the North Sea. Back in 2001 they were behind the discovery and development of the Buzzard field while at EnCana UK, a company that went on to be sold to Nexen Petroleum for £2.1bn. With an estimated 700 million barrels of recoverable reserves, Buzzard was the largest North Sea field discovered for 25 years.
For those new to the EnCore story, Booth and his team brought the company to AIM in March 2006 with a plan to continue looking for fields that had been overlooked by larger North Sea players. Since then, it has been involved in numerous exploration and appraisal projects around the UK Continental Shelf. In June 2009 it pocketed £42 million from the sale of its 15% stake in the large pre-development Breagh gas discovery project to RWE Dea. Nine months later it sold its stake in the developed Ceres gas field and its onshore assets to AIM compatriot Egdon Resources (LON:EDR) in return for a 30% stake in the UK and Western Europe onshore focused oil and gas exploration company.
However, it wasn’t until a series of wells last summer that momentum really began to build at EnCore – and triggered a 100p rise in its share price in just short of a year. Having previously made a light oil discovery with its first well on the Cladhan prospect in November 2008 EnCore returned to exploration and appraisal drilling in May 2010. First came Catcher, a Central North Sea prospect 15% held and operated by EnCore, with partners including Premier Oil (LON:PMO) , Wintershall, Nautical Petroleum (LON:NPE) and Agora Oil & Gas. The discovery was followed by subsequent drilling at surrounding prospects at Catcher East, Catcher North, Varadero and Burgman. So far, the company will only say that the prospects already drilled offer very significant oil-in-place volumes but with a lot more upside from the next phase of drilling. Two months after the Catcher discovery came better than expected appraisal wells at Cladhan, drilled by the licence operator Sterling Resources (TSXV: SLG). That led to an independent resource evaluation commissioned by Sterling that put total P50 oil-in-place volumes potentially in excess of 250m barrels. EnCore holds a 16.6% stake in the licence with the other partners in
Frohe Ostern allen!
Thank you for your email.
By assigning our exploration assets into XEO, it means that you, as an EnCore Oil shareholder, will be exposed to a high impact, fully funded exploration programme.
The Board considered a number of scenarios to progress the exploration assets and they believe that this is the best way forward for the rationale stated in yesterday’s press release. While as an EnCore shareholder, you own the exploration assets now, EnCore has no money to fund any work on those exploration assets as Catcher and Cladhan take priority over our current cash. Therefore, that leaves a number of options:
1. EnCore could have let the exploration assets lapse and done nothing, then the assets are gone and no value has been created for the EnCore shareholder.
2. EnCore could have diluted your shareholding by an EnCore fundraising, but that would then dilute your shareholding of Catcher & Cladhan (our discoveries which make up a very significant proportion of EnCore’s value) to fund high-impact exploration and its associated risks. Exploration is risked, whereas Catcher and Cladhan are discovered and in the process of being appraised (ie. the associated risk is less).
3. EnCore could have farmed out the exploration assets in return for being partially or fully funded on the exploration wells but that would mean EnCore retains a smaller percentage of the assets, and it also places control and timing in the hands of third parties.
4. EnCore could assign the assets into XEO, XEO raises money to fund the exploration assets and EnCore retains a shareholding in XEO. That way, your shareholding of Catcher & Cladhan is not diluted to fund risked exploration, but you, as an EnCore shareholder still get some exposure to a fully funded exploration programme and its results through EnCore’s shareholding in XEO. By also making the offer open to qualifying EnCore shareholders, it means that EnCore shareholders can participate in the XEO fundraising directly at the institutional placing price should they want direct exposure to an active exploration drilling programme. Many placings are offered to institutions only, meaning private shareholders get diluted without the option of taking part.
By way of an example of how XEO will place a value on EnCore’s exploration assets, it is worth looking back to the assignment of our onshore assets to Egdon Resources. Our onshore assets accounted for little value in EnCore. We assigned them to Egdon Resources in return for shares in Egdon Resources which at the time were worth around 12p per share I think (so EnCore had 39.2m Egdon shares and Egdon shares were valued at 12p per share). The share price of Egdon today is around 20p per share and EnCore still holds those 39.2m shares. That places a set value on our onshore assets of 39.2m x 20p.
I hope that helps clarify the situation for you.
Best regards,
Yvonne
Wie ist nun Deine Antwort?Bleibst Du drin?Wie schätzt Du die weitere Entwicklung ein?Wird der Laden in Bälde verkauft?
also ich bleibe auf jeden Fall drin und warte auf den Verkauf. Nach dem Interview von Alan Booth gehe ich davon aus, dass Encore verkauft wird, da die Entwicklung einfach zu teuer waere fuer diese kleine Firma. Auf der anderen Seite wird natuerlich durch die Aktienausgabe von XEO ordentlich Geld in die Kassen gespuelt, so dass eine eigene Entwicklung der Felder vielleicht schoen moeglich waere. Es ist wirklich schwierig das einzuschaetzen. Auf der anderen Seite hat Encore ja ueberhaupt keine Erfahrung mit der Entwicklung von Feldern, so dass sie auf jeden Fall neues Personal einstellen muessen. Encore ist ja eine Explorationsfirma gewesen und keine Produktionsfirma. Von diesem Standpunkt aus gesehen, wuerde ich eher zu einem Verkauf tendieren. Aber ich werde Yvonne mal schreiben und fragen, ob sie vorhaben die Felder zu entwicklen und neue Leute einzustellen. Cash waere ja dann vorhanden.
Gruss
http://www.iii.co.uk/investment/...L&display=discussion&it=le
ENCORE OIL [Buy] 08:16
EO..L / 84.50p / £247.3m / TP: 211p
Event: Drilling result
EnCore announced an update on the Cladhan field yesterday afternoon. The news relates to a side-track that was drilled to evaluate the appraisal well previously announced on 12 April, which yielded positive results. In terms of our valuation, prospective resources at Cladhan contribute 9p of our price target and 20p overall including reserves. Therefore, stripping the entire Cladhan field from our valuation leaves 191p, whilst stripping out all prospective resources from our valuation leaves a core price of 157p.
EnCore will now drill two more side-tracks from this well location - one to test the central channel to the south of the previous well, and then a second side-track location close to the current rig location. It is expected that these side-tracks will take approximately 25 to 30 days subject to weather or operational delays.
It is important to note that the CPR confirmed 256mmbbl (P50) oil in place at the Cladhan field, and that side-tracks are drilled to gather data regarding its size and complexity. As such, further side-track drilling would have always been necessary, regardless of yesterday's result, to gain a greater understanding of oil distribution in the Cladhan field. Encouragingly, the absence of the oil water contact still indicates that the field could contain greater resources than previously estimated. However, it is difficult to fully estimate the resource potential of the field. We anticipate that the next side-track will establish the location of the oil water contact which will allow EnCore and its partners to fully appraise the resource in place on Cladhan.
Valuation metrics:
The following illustrates variations to our target price if reserves are stripped out of our valuation.
Target price excluding prospective Cladhan resources from our valuation = 211p - 9p = 202p
Target price excluding all of Cladhan = 211p - 20p = 191p
Target price excluding all prospective resources = 211p - 54p = 157p
Our core NAV is 157p, which is 88% above the current share price.
This is still a 'hard target' despite recent volatility in the oil price; we use $90/barrel in our assumptions as well as $3/bbl NPV in respect of prospective reserves at Cladhan, which was originally conservative and we will remain unchanged.
Overall, we feel yesterday's reaction to the announcement was premature; Cladhan has already been a successful play for EnCore with 89mmbls committed to reserves. Therefore, we continue with our Buy recommendation and price target of 211p, and await further news flow in respect of the field early next month.