ADI - Adelphi Energy

Agentm said:

ADi will never mislead anyone

potentially they are going to make you a billionaire and me a millionaire!!

Click to expand...

So what does the SP need to get to b4 u become a millionaire M? Just kidding...

hey inore.. i keep hoping for those outcomes, not just for me but where all holders make a absolute killing..

i knwo your a AZZ holder, and they have great potential and you have backed a great company there, but if your on the adi share, then your in for a great journey too!

Should be a strong day tommorrow with the general feeling of confidence in NT any with SL still lurking in the winds looks good buying oppurtunity

Agentm said:

once the wirelines are poroperly analysed they then put a production testing plan in place, and perforate and frac the zones of interest..

i would say the chances of the actual rig ever seeing itself on a azz or adi site anytime in the future would be nil..

a workover rig will be called in once they have an idea on what they need to frac.. assuming the principle of 90% of wells being fraced regardless in texas, i assume this one is going to follow the others..

the fact it kicked so hard they couldnt drill any further and they got 10 - 50 feet of play in the lower primary alone, makes for some exciting times ahead, there are still hundreds of feet (300) to TD and you would have to guess that there must be more of this stuff down there.

my tip is that a second well must be drilled on the play in anycase..

there is another seperate play on the lease also that azz wants to drill, so NT looks like a nice potential commercial play with lots more to offer on the lease..

Click to expand...

Hey Agentm,

Does ADI have a commercial agreement with AZZ to participate in any further wells on this lease?

Just announced... ADI have entered into an agreement with four other Aussie oil & gas companies (ARQ, AWT, BKP & BPT) to collectively acquire hydrocarbon projects together with an initial focus on Africa. The aim is to pool their resources to allow all five companies to participate in large scale projects they wouldn't otherwise be able to get into on their own. Good news for the longterm of ADI.

Going over this again I think this is a really good move for ADI. Allowing them to participate in large deals, reduce overall risk (a key factor for a small explorer) and pool complementary resources such as financials & HR. This opens up Africa also which would otherwise be off limits to the small companies given the commitment and requirements of an exploration strategy in that region. Also, this is not a joint venture so none of the companies are bound to participate in any particular project if they don't want to or are unable to.

Above all this tells you that the mgmnt of all five companies are focused on growing their individual companies and increasing shareholder wealth. Market seems to approve this morning also... nice open.

tomcat

thats a good question, from reports i have seen i believe it is:

In addition, there is another prospect within ADI’s existing leases with similarities to New Taiton that will likely be targeted at a later date​

simon tomkins broker report 8 dec 2006

i am assuming they had, and they have told brokers they have, if you have any info saying the contrary i would be interested..



oh VIVA the ALLIANCE!!!!

Yep, They definately have :

http://www.adelphienergy.com.au/files/quarterly/ASX Release Quarterly Report 30 September 2006.pdf

Quote Pg 3 Adelphi Quarterly Report 30 Sept 2006 New Taiton

'Since the last quarter the joint venture was also successful in securing further leases in the area which has provided us with extensive lease coverage in relation to the relevant depths for New Taiton as well as the additional follow-up prospect mapped earlier this year'

Lets get this one producing and then move onto the next

Africa is vary difficult - onshore there are not many pipelines. Companies trying to develop Uganda might need to prove up 1/2 billion barrels minimum.

Hence the strategy for Aussie juniors might be to get a rig in there, drill some holes and locate resources to generate interest. Not too many holes mind you - dont want to sterilise an area. Then flog to Big Boys for a tidy profit.

hey snorkler..

i wanna ask you how uganda came into the picture, is it something you have heard?

just curious, i couldnt see any reference to uganda in the release nor in any other press releases..

cheers

March 28, 2007

HERE'S a good message for the domestic oil and gas industry: When looking for the goods in West Africa, it is better to hunt in a pack.
So says Beach Petroleum, Baraka Petroleum, ARC Energy and Adelphi Energy who have formed an alliance - which also includes the unlisted energy consulting and engineering firm Advanced Well Technologies - to take on the better equipped majors in the rush to lock up land both on and offshore in West Africa.

The world's oil men and women are beating a relatively untrodden path to try their luck in the previously sterilised nations of West Africa which include energy-rich Nigeria and Angola in a bid to find the world's next best oil and gas deposit.

While the former Hardman Resources, easily Australia's most successful African oil exploration outfit, might provide a tonne of inspiration for them, times have changed since the mid-1990s when Hardman was able to lock up large offshore acreage.

The biggest change since Hardman's glory days is easily explained; the big international players are also on the West African hunt.

The untapped reserves provide plenty of incentives for the likes of Royal Dutch Shell to set up shop in Lagos or Luanda, so does the historically high oil price and the good quality of the oil and gas being discovered.

West Africa may not be particularly stable, but what makes it so appealing to foreign interests is that most of the oil can be found offshore and on a direct shipping route to Europe or North America.

Some industry estimates predict West African oil and gas will supply 25 per cent of the US energy market needs by 2015.

The World Economic Forum was told last year that Africa's known oil reserves stands at about 110 billion barrels, or about 9 per cent of total world known reserves.

Of that Nigeria is believed to hold 35 billion barrels and Angola about nine billion. Importantly for Africa, China remains its favourite trading partner in terms of oil.

Similarly, Africa's gas reserves are just as impressive and the continent is believed to contain 7 per cent of the world's 6300 trillion cubic feet of reserves.

Out of West Africa, Nigeria leads the way with about 180tcf.

But the domestic oil and gas industry would still be a touch nervous after Woodside failed to prove up its majority-owned Chinguetti field to market satisfaction.

One way of looking at this unique alliance is that it gives critical mass to shoulder the risk. Another way is that it will allow the group to "punch well above the sum of the individual companies' collective weight", says Baraka general manager Mark Fenton puts it.

"For smaller companies such as ours, this represents a unique opportunity to significantly increase the size of deals we can participate in, a reduction in our overall risk levels and a pooling of complementary resources," he said.

It is believed that the alliance was initially a dream coming out of Baraka's Perth headquarters. Baraka has the smallest market cap out of the four listed companies - $55 million versus the biggest which is Beach Petroleum which is valued at a touch over $1 billion.

Combined, the four listed companies have a similar market cap to that of Hardman Resources before it was taken over by mid-sized British outfit Tullow Oil last year.

However the local oil and gas industry is relatively small enough that when Baraka came knocking, the others quickly saw merit in the dream.

Beach Petroleum, easily the biggest of the four listed companies says it is primed to get into West Africa and has the operating cashflow to finance it.

"We've been looking at West Africa for the past six months," managing director Reg Nelson said.

"The right geologies are there and there have been some good discoveries. There is a lot of great experience among this alliance. It is not always that the big companies have all the expertise."

Adelphi chairman Alex Forcke was a bit more upbeat about the immediate prospects for the alliance, claiming it could have a decent West African asset to mull over by the end of the year.

"All of these companies have someone who have experience in Africa," he said.

"We couldn't do the things we want to do as individual companies by fighting the majors. No one has to commit themselves to any project, but I am confident there will be one project under the belt by the end of the year."

More evidence of the growing confidence in the commerciality of the chalks. More & more the term " commercial " is being used to describe the chalks

http://www.arcenergy.com.au/files/news/Mpex Daily 28 Mar 07.pdf

“Adelphi also brings international experience to
the alliance, currently participating in the Ilse-1
well on the New Taiton prospect in Wharton
County Texas, along with achieving what could
be a commercial gas well with its first Gulf of
Texas drill, Sugarloaf-1, where testing is
currently in progress.”

MPEX

Fantastic news for ADI that a man with Robert Halls experiance is on the board. Also say's a great deal about ADI that a man of this back ground wants to be associated with ADI.
Interestingly enough, with HS now out of the picture, it seems that trying to put a potential sp on this stock in now near impossble. Im near certain that ADI's propossed reserves for NT and SL are greater than they anticipated.

fflintoff said:

More evidence of the growing confidence in the commerciality of the chalks. More & more the term " commercial " is being used to describe the chalks

http://www.arcenergy.com.au/files/news/Mpex Daily 28 Mar 07.pdf

“Adelphi also brings international experience to
the alliance, currently participating in the Ilse-1
well on the New Taiton prospect in Wharton
County Texas, along with achieving what could
be a commercial gas well with its first Gulf of
Texas drill, Sugarloaf-1, where testing is
currently in progress.”

MPEX

Click to expand...

same article:

Not a lot of news on SL lately. It took about 6-8 weeks to put a plan together for the Hosston. I would think there is enough info on the shallows (producing adjacent fields) to have a plan together by now. I would also like to hear some of the results of the 3D seismic processing over the prospect (are there potential plays after SL1, will they reforecast the reserves, etc.)

Maybe they realized that they got the hosston test plan wrong and need to bring in some heavy hitters before they plug it off. (wishful thinking I know)

the hosston sands are written off as far as the JVP's are concerned, the TCO operator would still consider it in terms of researching the results to see if anything could be salvaged from the data to perhaps get a result using stimulation techniques of some nature, but ultimately the well deeper than sligo is written off.

Once the jvp's have decided upon the frac program for the chalks, and the timing, the operator will bring in a workover rig and start it up, i expect in the near term some news will flow regarding that.

I would have liked to know what the NT well is doing, regardless of the chalks, i am keen as anything to get some knowlege on what they think of the NT play. i hear they are extremely happy with whats happened there so far. Its pretty obvious the well stopped drilling as it couldnt keep an equalibrium with the pressures, and has to abandon the last 300 feet of drilling, they are keen to get things up and running i believe and they must have some good ideas about it potentially being a commercial well, i noticed the AZZ announcement on wedesday:



my view, and hopes, on the SL shallows are that they will produce gas and condensate as couchy predicted, and if they produce gas alone i will be more than happy in any case. I am certain the many references by ARQ and ADI in presentations and to brokers that the initial predictions of reserves on the shallows are way off. I would expect the main focus by the JVP's would be forward planning the development of the play after the results of the frac program and testing comes in.

I see ARQ energy is keen on announcing the rift valley in uganda as potential target for the alliance. The new exploration manager at ADI, robert hall, would have lots of info on that area as his posting at hardiman would have been invaluable, as they are also a player in uganda.

this share is certainly giving many unexpected suprises of late, i feel there is one or two more to come in the near term..

All is very silent here lately is everyone as frustrated as me on the lack of no news on SL or NT.
Playing the waiting game has taken the SP down and maybe taken ADI off the radar so now is a good time too buy if you are a believer.
I think we will be rewarded but it is taking alot longer than anyone would have expected !

i personally think adi have no where to go anymore but lower. Speccy stocks like adi do not always go up, hence why the are speculative stocks, even in the current mkt and i think a lot of ppl will discover this with adi. I hope for their sake i am wrong, but there are many other nice plays out there with greater upside potential, that i would prefer to go with (nwe, stx, cvn to name a few). Investing now in adi would be very risky one would have to think.
just me thinking out loud
dyor

itchy said:

i personally think adi have no where to go anymore but lower. Speccy stocks like adi do not always go up, hence why the are speculative stocks, even in the current mkt and i think a lot of ppl will discover this with adi. I hope for their sake i am wrong, but there are many other nice plays out there with greater upside potential, that i would prefer to go with (nwe, stx, cvn to name a few). Investing now in adi would be very risky one would have to think.
just me thinking out loud
dyor

Click to expand...

Everyone is entitled too their own opinion ADI going down well anything is posible but if you read all the reports,dyor, and feed of others well educated analysis you should be positive on ADI with a certain ammount of control as nothing is set in concrete YET !