AED - AED Oil

[rooster6]

U'r lucky not getting in at the wrong time. I got in too early and there's still more than 10% loss at the moment. The last few weeks I just spent my time watching it drop lower and lower.

Can't believe it.. Sold on Friday for a couple grand loss and then the US goes bananas on Friday night and now a good announcement..

 

[imajica]

why would u sell so close to production? the market was always going to bounce back - not too late to buy back in

 

[EZZA]

when's aed going into production? you guys reckon, aed is well undervalued?

just thinking about dumping awe for aed. been watching aed for a while.

currently holding awe and nxs for my oil and gas stocks.

 

[imajica]

aed will be producing 30,000 barrels a day of tapis crude from next month

they will be getting another rig mid 2008 and ramp up production to 60,000 barrels a day

this is huge

 

[gfresh]

As oil grows scarcer and scarcer, and the middle east uses it more and more as a political weapon against much of the western world, as they dicate who has access to this dwindling supply, and at what price, this will shoot to the moon. I think having companies like this making good money off our very own shore is going to be very valuable indeed in the next 2-5+ years. We will move away from oil eventually (10 years+), but before/when the shock comes it will be good to be sitting on something like this. The US can boom or bust, and we can as well, but long term, oil is still the lubrication that keeps economies ticking over.

Speaking of which, maybe it's time for me to buy back in

 

[sfx]

Good point GFresh - which reminds me - for all those interested, watch a movie/documentary called "A Crude Awakening: The Oil Crash". A negative spin put on the whole oil scenario, but without the dramatics of say a Michael Moore et al. Very factual.....

Fingers crossed with Puffin !

 

[bigdog]

AED lines up second Puffin FPSO
Tuesday, 21 August 2007
http://www.petroleumnews.net/storyview.asp?storyid=103684&sectionsource=s0

TIMOR Sea petroleum developer AED Oil has entered into an agreement with Modec Inc for the provision of a floating processing, storage and offtake vessel, the Modec Venture 1, which will be the second FPSO working AED's Puffin fields.

The MODEC Venture 1 FPSO at Elang/Kakatua

"This key agreement, together with planned drilling and development, will enable production from the Puffin South West region in the first half of 2008," AED said.

"The simulated initial production rate for the Puffin SW region is in excess of 25,000 barrels of oil per day.

"In the meantime, the Front Puffin FPSO, which will receive the production from the Puffin NE region, is undergoing final preparation and is due to arrive at Puffin field in September."

The operating conditions at the Elang-Kakatua field are not dissimilar to Puffin SW, and the Modec FPSO, which previously operated for Santos at Elang-Kakatua in Indonesia, was identified as being suitable for the development of the Puffin SW, AED said.

"The facilities at the Elang-Kakatua field, including mooring, flowlines, umbilicals and risers, will be redeployed and installed by Modec at the Puffin SW field as part of the FPSO agreement," AED said.

The MV1 has a production capacity of about 32,000bpd and storage capacity of 750,000 barrels.

The Elang-Kakatua field is being decommissioned. The MV1 has been operating at Elang-Kakatua for nine years and, before that, at the Skua field for five years.

The agreement is for a fixed term of three years, with two one-year option periods at AED's choice. The vessel will have minor modifications and maintenance before starting work for AED.

Last month, AED announced a 40 million barrel contingent resource for the Puffin SW region, which was first drilled and flow-tested at high rates in 1972 by Arco's Puffin-2 well.

In 2006, AED drilled Puffin-9, confirming the quality and continuity of Puffin SW, and proving the extent of the accumulation.

AED plans to start drilling a bilateral appraisal-development well (Puffin-10) in October 2007.

Based on reservoir simulation supported by the well testing data from Puffin-2, Puffin-10 is simulated to flow at an initial rate of 25,000 to 32,000bpd.

Modec, which owns and operates 17 FPSOs, will supply the MV1, complete the installation program and operate the FPSO during production at Puffin SW.

After drilling the Puffin-10 bilateral well, the installation works will begin.

The MV1 is expected to be on station at Puffin-10 toward the end of the first quarter of 2008, with production starting shortly thereafter.

 

[imajica]

just hit $7.60 up almost 6% in the first few minutes of trade

with the platform almost at the site - AED will surge over the next few weeks

 

[dj_420]

AED oil starting to look the goods, FPSO has arrived, final outfitting then it will be first oil flows. once the oil is flowing i believe there will be a big re-rating on this one, as a producer we could see AED move up into a different position concerning leverage from brokers and the like.

looking forward to first oil!

http://www.theaustralian.news.com.au/story...163-643,00.html


AED ship comes in off WA coast

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Nigel Wilson, Energy writer | September 04, 2007

PRODUCTION hopeful AED Oil has given market sceptics cause to re-think after the arrival of its new floating production, storage and offtake vessel off the west Australian coast.

FPSO Front Puffin, operated by the British-owned group Aibel which has Norwegian headquarters, is being loaded with supplies and undergoing final engineering work and certification off the burgeoning exploration supply base at Truscott, a former World War II air base in the far north of Western Australia.

David Dix, chairman of AED Oil, believes initial oil will flow from its 100 per cent owned Puffin field in Australian waters in the Timor Sea about 700km west of Darwin by about the middle of September.

The field is about 80km south of the Challis and Jabiru oil fields and about 25km from the Skua field.

Puffin production will ramp up gradually to a design capacity of 30,000 barrels a day.

The leased Front Puffin is a converted oil tanker, which that has just been refitted in the Keppel yards in Singapore with a gas processing suite on its topside. It has a storage capacity of about 650,000 barrels, and aims to supply shuttle tankers to refineries in the Asian region.

It attaches to a swivelling buoy attached to a riser at Puffin through a "moon pool" in the bottom of the vessel's hull rather than more usual bow turret used in Australian FPSOs. The moon pool is a patented system involving a big steel cylinder with a central opening.

Both systems are designed to allow the vessel to disconnect from the field on the approach of bad weather.

AED Oil was listed in May 2005 and is operator of the Puffin field in Northern Territory permit AC/L6.

"The arrival of the Front Puffin represents a major achievement for the company," Mr Dix said. "It's involved a major effort by everyone associated with AED Oil and it's a tribute to them that we have got this far in such a short time."

AED Oil, though one of the best-performing stocks on the exchange in the past year, has attracted some scepticism because it has no track record as an oil or gas producer.

Puffin was found by ARCO in 1972 and has had a number of owners, before finally being bought by AED Oil for $3.5 million in vendor shares.

AED Oil believes that with Puffin and the Talbot field about 65km to the west, which it hopes to bring into production next year, it will recover more than 100 million barrels of oil.

Mr D!cks says marketing of initial production from Puffin has been sold to the French giant Total, which is increasingly active off northwest Australia in the Timor Sea and the Browse Basin.

The first cargo of the light sweet crude - rated at 44 API gravity, similar to the Asian benchmark Tapis - has been pre-sold by Total to Caltex and will be shipped to its refineries at Kurnell in Sydney and Lytton in Brisbane.

AED Oil anticipates that about 10 million barrels of oil will be produced in the first 12 months of the field's production life.

Currently the Puffin Oil can be sold for more than $100 a barrel.

Initial production from the Puffin field will be from the Puffin-7 subsea well in the north-east area of the field, with a second well, Puffin-8, being brought on later in the year.

AED Oil estimates proven and probable reserves from this area alone will be about 40 million barrels of oil.

Nigel Wilson visited FPSO Front Puffin as a guest of AED Oil

 

[bigdog]

ASX ann today; AED is on their way forward.

04/09/2007 Company and Project Update
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00756061

ASX Announcement
4 September 2007
General update

Oil Marketing
AED (AED or the Company) is please to announce that the Company’s crude oil marketer, TOTAL Trading Asia Pte Ltd (TOTAL) has sold the first cargo of Puffin crude oil (being a parcel of 300,000 barrels). The crude oil shipment has been sold to an east coast Australian refinery, priced at a premium to APPI Tapis. Under the AED marketing agreement with TOTAL the sale will be on an FOB (Free on Board) basis. Offtake is scheduled for the second half of October.

FPSO Arrival in Australia
The FPSO ‘Front Puffin’ has arrived in Australian waters. Installation works are well advanced at the Puffin Field. Weather conditions have been favorable over the last few weeks, with good conditions also predicted for the forecast period. First oil production is scheduled for late September 2007.

ASX All Australian Index Inclusion
The Company is pleased to announce that it has recently been included in the S&P/ASX All Australian 200 (effective from 28 August 2007).

 

[laurie]

AED could be in the S&P/ASX All Australian 100 early next year a P/E ratio of between 3-5 should bring smiles to investors

cheers laurie

 

[jimski]

I'm amazed by some of the doubting posters on AED that I read in this thread. I don't want to be accused of pumping but just look at all the facts on AED.... The company has barely put a foot wrong and is delivering on promises on time and to the letter. This is entirely my personal opinion but I see this going $15+ A buy at 8 bucks is still a deal. Dix is a very very clever guy and he is not playing games and wasting his valuable career fooling around with something that aint gonna work. Excepting massive crash in oil prices this is a winner.

DYOR etc etc
Just my opinion

 

[dj_420]

I'm amazed by some of the doubting posters on AED that I read in this thread. I don't want to be accused of pumping but just look at all the facts on AED.... The company has barely put a foot wrong and is delivering on promises on time and to the letter. This is entirely my personal opinion but I see this going $15+ A buy at 8 bucks is still a deal. Dix is a very very clever guy and he is not playing games and wasting his valuable career fooling around with something that aint gonna work. Excepting massive crash in oil prices this is a winner.

DYOR etc etc
Just my opinion

i have never doubted this stock!

this is the only oiler i hold, AED with a second FPSO could be pumping 60 000 barrels per day!

analysts expecting a PE of around 3-5 next year, this one is a sleeper that will wake up when first oil begins. as i have said before a lot of institutions are waiting to enter this one WHEN first oil begins.

that will officially mark the explorer to producer transition, at that point i would expect some quite heavy buying. this is the point where risk would dramatically reduce, once they get the second field online also we will see the risk become diversified as they will have two projects pumping oil.

and from yesterdays action i would suggest some of that buying has begun, two crossed trades totalling 3 million shares worth $22.2 million, good luck longs.

 

[Sean K]

This is entirely my personal opinion but I see this going $15+ A buy at 8 bucks is still a deal.

Jimski, you can not place price targets without analysis even if it is 'just your opinion'.

Please read the ASF policy on posting price targets, and on ramping.

Thanks, kennas

 

[bigdog]

Top 200 or Top 300!!!

ASX ann today by Standard & Poor’s :
AED 8:27 AM SandP Announces September SP/ASX Index Rebalance
http://www.asx.com.au/asx/statistics/showAnnouncementPDF.do?idsID=00756682

S&P/ASX 300 ADDITIONS
AED AED OIL LIMITED

AED reported yesterday
04/09/2007 Company and Project Update
http://www.asx.com.au/asx/statistics...idsID=00756061
ASX All Australian Index Inclusion
The Company is pleased to announce that it has recently been included in the S&P/ASX All Australian 200 (effective from 28 August 2007).

 

[laurie]

and from yesterdays action i would suggest some of that buying has begun, two crossed trades totalling 3 million shares worth $22.2 million, good luck longs.

That was Dix & Co selling to exercise their options good indication of where this is going.

cheers laurie

 

[jimski]

Kennas - sorry - did not mean to pump AED. Just got over excited and I will back up my assertions in future.

Laurie - can you expand on your thoughts please? In spite of recent apparent selling by the BOD I would have thought that Dix will hold for the most part until this goes higher and he will then sell the company to a bigger player?? Am I missing something?

 

[darrenaf]

Laurie - can you expand on your thoughts please? In spite of recent apparent selling by the BOD I would have thought that Dix will hold for the most part until this goes higher and he will then sell the company to a bigger player?? Am I missing something?

"AED Oil Limited (AED) advises that on 5 September 2007, Executive Chairman Mr David Dix
and Managing Director Dr Kenneth Tregonning together sold 3 million AED shares on market to
fund the exercise of options in the Company.
Mr Dix and Dr Tregonning have confirmed that the decision to sell this portion of their
holdings in AED was necessary to fund the exercise of options in the Company. The exercise
of these options is required pursuant to a financing agreement between the Company’s
financiers and the Company whereby Mr Dix, Dr Tregonning undertook to exercise the options.
Mr Dix said, “We remain fully committed to AED Oil, and confirm that we have no intentions
to sell any additional AED shares ahead of first oil”."

 

[laurie]

Kennas - sorry - did not mean to pump AED. Just got over excited and I will back up my assertions in future.

Laurie - can you expand on your thoughts please? In spite of recent apparent selling by the BOD I would have thought that Dix will hold for the most part until this goes higher and he will then sell the company to a bigger player?? Am I missing something?

There you go Darren done it for me....Dix may sell BUT AED will be a cash cow if you take 60,000 boo/day x US$90 x 365 = that's almost $2billion take cost out of that say $500m leaves $1.5B divided that by 120m shares approx on issue
need I say more

cheers laurie

 

[resourceboom]

Turn it up mate!!

What about PRRT, company tax, natural field decline, downtime, etc

Sure if production goes to schedule AED should still be undervalued, but think your figures are misleading!!

60,000 boo/day x US$90 x 365 = that's almost $2billion take cost out of that say $500m leaves $1.5B divided that by 120m shares approx on issue