Green Dragon Gas Limited (GDG.L)

hey! moin !!

Gas aus China mit diesem Neuling gerade auf all-time -low !! Es wird schon gefördert und zukünftige Margen sind traumhaft,weas haltet ihr davon ...????

MFG
Chali  

Green Dragon Gas hits key milestone as it finalises agreement with CNOOC
08:55 20 Sep 2017
“This material milestone concludes eight years of discussions and commences a committed close cooperation between the parties to unlock the lucrative monetisation of the GSS and GSN Blocks"
oil and gas operations
CUCBM is to invest US$100mln in the GSN project by March 2019

Green Dragon Gas Ltd (LON:GDG) told investors that state-backed China National Offshore Oil Corporation (CNOOC) is accelerating its plans for the group’s joint assets.

The company said that it has now finalised a memorandum of understanding with CNOOC subsidiary, China United Coalbed Methane Corporation (CUCBM), over five production sharing agreements and two supplementary agreements – all of which cover the Shizhuang South (GSS) and Shizhuang North (GSN) projects.
WATCH: Green Dragon to proceed with 'robust' gas sales after finalising CNOOC agreement

Green Dragon highlighted that the new agreements, which follow eight years of admin, resolve any uncertainty related to the historic drilling on the GSS and GSN Blocks.

As a result, GDG’s stake in the GSS block reverts to 70% in all 1,139 carried wells and at the same time, the company retains its interest and operatorship in 200 non-carried wells.

Independent audit of the production sharing contracts, for programmes between 2007 and 2014, results in some US$941mln of cost recovery booked to the joint account.

CUCBM is to invest US$100mln in the GSN project by March 2019. GDG’s costs will be fully carried in the programme, and in return CUCBM will earn an additional 10% stake in the asset. Subsequently, GSN will be a 50-50 joint venture.
READ: Green Dragon Gas set to bolster output as it gets State approval for US$53mln development of GCZ block

“We are very pleased with the amicable conclusion of these supplementary agreements,” said Randeep Grewal, Green Dragon chairman.

“This material milestone concludes eight years of discussions and commences a committed close cooperation between the parties to unlock the lucrative monetisation of the GSS and GSN Blocks.

“The joint cooperation will now fully focus on gas sales and achieving returns from the combined investment made by CUCBM and GDG.

“It will be the first time in eight years that the parties can focus on gas sales in the field rather than the administration of the PSC’s.

“We are pleased to have a similar close cooperation with CUCBM as we do with CNPC on the GCZ Block.”
READ: Green Dragon Gas expects expedited project development after regulatory decision

Grewal also highlighted that the company now expects to focus on concluding the development plan for the GSS Zaoyuan project area before the end of the year, enabling commercial gas sales from Areas 3 and 4, and a subsequent development for Area 5 following next year.

”GDG continues to conclude material objectives for the year,” Grewal added.

“With these agreements finalised, the balance sheet ambiguity has been eliminated, as we prioritise monetisation across our vast acreage.

“We are committed to keeping the market informed and will provide an update on progress in the near term.”  
 

Green Dragon Gas set to bolster output as it gets State approval for US$53mln development of GCZ block
07:33 15 Sep 2017
Green Dragon has a 47% stake in the block, while partner China National Petroleum Corporation (CNPC) has 53%.
Green Dragon Gas worker
The firm can now begin the overall development plan (ODP) on the acreage.

China-focused producer Green Dragon Gas Ltd (LON:GDG) is poised to add 6.36Bcf (billion cubic feet) to its output per year after it received approval for its Greka Chengzhuang Block (GCZ).

Green Dragon has a 47% stake in the block, while its partner China National Petroleum Corporation (CNPC)  has 53%. The block has already been producing stable cash flow since 2015.

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The green light from the state means the firm can begin what's called the overall development plan (ODP) on the acreage.
READ: Green Dragon Gas – Capital Network: NDRC Approval will Shorten lead up to Commercialisation

So far, 114 wells have been sunk on the block and the plan now is to drill a further 147 by the end of 2018  targeting two coal bed methane seams.

The cost of development will be around US$53.80mln over 2017 and 2018 and partner CNPC will invest US$28.51mln, while Green Dragon will stump up US$25.28mln.

According to a reserve report at the end of last year, the block has original gas in place of 275 Bcf (billion cubic feet), with 51 Bcf in net 3P (proved plus probable plus possible) reserves.

The future net present value  (NPV) of these 3P reserves was put at US$376mln.
READ: Green Dragon Gas' Randeep Grewal on their 'very exciting' asset development plans

"We are pleased with the efficient approval procedure being implemented by the government under its new polices to stimulate new CBM developments," said Randeep S. Grewal, founder and chairman of Green Dragon Gas.

"I look forward to updating the market as to its progress as we seek to increase production from this Block into 2018."

Green Dragon also noted today that the China National Development and Reform Commission (NDRC) has approved the Overall Development Plan (ODP) on the Greka Shizhuang South Zaoyuan portion of the Main Block (GSS).

This means drilled will be a further 42 vertical wells and 47 LiFaBriC wells by 2020.