ARQ - Arc Energy

[Agentm]

habban 1 had a 750 meter oil column.. thats extremely close to block 7..

masila and nabrajah have huge columns too.. their reserves are staggering.. if they are parched and dry then bring it on i say...

obviously this geologist isnt that respected that they ask him about the region otherwise the fields currently discovered would never have been drilled on his advice..

if you put forward a geologist that is in the region and is well respected and sourced by all that go there then sure,, i would listen.. but i would say he is already proven incorrect and they plays in yemen are large and very hotly contested..

canning is very hard to size up,, the hype there is hard to believe,, many have come and gone,, and those left are obviously unreliable and switch out of contracts as quick as they can ie REY!!!

lets see how it goes there,, and dont underestimate yemen on hearsay,, if there is a geological reason for yemen to be dry then present the facts,, and dont discount past success as fancy,, there is plenty to be explored there..

i will sell after they are taken over in the coming year or so... lets hope they get on with it and make the company attractive and actually perform and find some new fields away from sugarloaf..

 

[Stan 101]

I would also like to point out I have not made no references to the Canning basin.

Well you have now..

 

[Agentm]

i see arq now are making an extra 33.8 mill on a real handy flow rate from the new hovea well..


nice!!!!!!!!!

 

[Dukey]

Yes indeedy Agent 86.

ARQ and ADI - my deadly combination for this month (and next). >>>> Watch `em go boys n gals.
(plus KZL just for the Halibut)

ARQ was a great buy a few days back at $1.30 or so - wish I`d had the cash to buy more then!! Damnnnnnnn.

 

[cicak_kupang]

Hi Dukey, Yep, i agree, these 2 sure have potential. I also have exposure to them both, and feel that it is only a matter of time. Hope so any way....

 

[cicak_kupang]

For any ARQ share holders out there, it may be worth your time to take a look at whats been writen in ADI, ARQ's subsid' company. Looks and sounds good.Just trying to get a feel on peoples opinion as to how ARQ's share price may run if ADI has a good find? Any comments guys/ gals?

 

[fflintoff]

Oilbarrel 2 November 2006

http://www.oilbarrel.com/home.html


02.11.2006
Empyrean Energy Looks To Sugarloaf Prospect For Sweet Smell Of Success



"Empyrean Energy Looks To Sugarloaf Prospect For Sweet Smell Of Success
London AIM-listed Empyrean Energy is drilling ahead with the Sugarloaf-1 exploration well in Texas, where it hopes to bring a smile to investors' faces ahead of the Christmas break. Empyrean is earning a 6 per cent equity share in the Sugarloaf Hosston prospect in the onshore Gulf Coast Basin, with initial drilling scheduled for completion later this month, slightly behind original timings.

Empyrean farmed into the acreage earlier this year and partners Aussie duo Aurora Oil & Gas and Adelphi Energy, alongside operator Texas Crude Energy Inc. The proposed total depth of the well, which crosses a number of potentially interesting formations, is around 21,000 feet.

There is clear potential, especially in such a built-up, gas-hungry neighbourhood. Sugarloaf is an 80 km four-way closure that could hold several trillion cubic feet of gas, making it one of the largest undrilled structures onshore US. The P50 resource number on the prospect is 0.97 tcf and it carries a P10 estimate of 2.3 tcf.

But only time will tell how good Sugarloaf will taste. In the meantime, Empyrean can take heart from earlier drilling at its other US play, the Eagle Oil prospect in the San Joaquin Basin in California. A proven oil and gas zone - the area has produced some 12 billion barrels of oil and 11 tcf of gas through the years - the project offers strong potential for near-term production and cash flow.

Empyrean signed up for a 38.5 per cent slice of Eagle Oil just months after its market listing last year, and now partners another reputable Aussie in the shape of Victoria Petroleum NL. But getting the oil out of the ground is the key challenge. A workover rig is testing encouraging oil shows from previous drilling at the Eagle North-1 well, though the project has faced delays due to supply and equipment bottlenecks.

The group plan a future re-entry and sidetrack from the current cased Eagle North-1 well bore in the lower Gatchell oil sand, about 14,000 feet down. This future well test will indicate the size of the Eagle Oil pool, according to Tom Kelly, Empyrean's commercial director. “We know that oil is there,” he says. “We just need to flow test.”

More than a year after its AIM listing, Empyrean has bolstered its portfolio with two promising, and fairly low-risk, US-based projects. An additional capital raising exercise earlier this year means it is well placed to continue its exploration and work towards first production. This includes ongoing site work in Germany, the firm's other core territory.

On the other side of the Atlantic, the UK firm has a stake in the Glantal Prospect, Neues Bergland permit, close to Frankfurt, which is operated by Pannonian International Limited. The joint venture, which gives Empyrean a 40 per cent working interest - and the possibility of raising this to 52 per cent - hopes to extract gas trapped in deep coal beds.

Again, the prospect is thought to contain several tcf of recoverable gas reserves, hugely attractive figures anywhere but especially so in Western Europe's industrial heartland. But there is still some way to go, with further testing planned following initial positive drilling and gas shows."

 

[Ken]

at current prices of $1.51 is ARQ worth an investment of 2000 shares...

if not why not....

if so why so....

westpac says BUY... but they also said that for funtastic...

 

[Dukey]

Well Ken for my part I'd say you couldn't go to far wrong with ARC just now.
Why so ?? - go check out the ADI thread - Sugarloaf Gas IS starting to happen big-time in Texas and ARC are ~25%(?) owners of ADI. So it stands to reason that ARC should benefit nicely.
Then again ADI should benefit more!! I'm happy - I've got both
Good luck.
DYOR!!!

 

[Agentm]

couple of handy reports today..

arc managed to get more acerage in the canning, and announced a place to drill there..

and good results from their development well..

if adi does what its meant to then the arq share starts to get the value of sugarloaf potentially also..

arq tout $1 to their share on a 800BCF find at the sugarloaf well..

are there lots of buy recommendations still on this stock??

 

[cicak_kupang]

couple of handy reports today..

arc managed to get more acerage in the canning, and announced a place to drill there..

and good results from their development well..

if adi does what its meant to then the arq share starts to get the value of sugarloaf potentially also..

arq tout $1 to their share on a 800BCF find at the sugarloaf well..

are there lots of buy recommendations still on this stock??

Hi Agent m,on etrade there are 3 brokers with a strong buy for ARQ, and one with a med buy. Its been that way for a few months. Hope they haven't forgot about ARQ like the market has seemed to forget about the link between sugarloaf and ARQ????? Where have you been Agentm, no postings lately?

 

[Aussiejeff]

Release Date: 27 November 2006
To: Australian Stock Exchange Ltd No of Pages: 2
From: Eric Streitberg
Re: Eremia 6 Development well flows 3,790 bopd on test
ARC Energy Limited advises that the Eremia 6 well, operated by ARC Energy and
located in the onshore Perth Basin Production License L1, has now been completed
and flow tested at an initial rate of 3,790 barrels of oil per day.
Since the last report, the operations at the well have been the completion of cementing
of the production casing, running of production tubing and the release of the drilling rig
to the Lyginia 1 location.
After perforation over an eight meter interval at the top of the Dongara Sandstone a
cleanup flow was undertaken and the well was then flowed over a 6 hour period
through a 1 inch (24.5 mm) choke. The average flowing tubing pressure during this
period was 190 psig (1,312 kpa) and the average oil flow rate was 3,790 bopd (602
cubic meters per day) with no water. The well will now be put on production through
the temporary flow line until installation of the permanent flow line which is expected to
take approximately three weeks.
Participants in L1 and L2 (excluding the Dongara, Mondarra and Yardarino fields) and
Eremia 6 are:
• ARC Energy Limited - 50% (Operator)
• Origin Energy Developments Pty Ltd - 50% (a wholly owned subsidiary of Origin
Energy Limited)
Managing Directors’ comments:
“This is another outstanding result for the ARC team and makes a hat trick for the three
appraisal and development wells drilled in the program. The well has been placed on
test production less than three days after being handed over to the production crew,
and will immediately add to production rates from the field. The well produced at
somewhat higher rates than expected and the attached photo of the clean-up flare
illustrates the size of the flow rate. The rig is currently drilling Lyginia 1, the first of a
series of exploration wells and we look forward to success during that program.”

Good news folks! With ARQ's 50% share = approx. 1900 BOPD which at a conservative ave. price of AU$75 per barrel = approx. AU$52million over a year into ARQ's kitty.

Might fire the shares a bit more in the short term at least.

Cheers,

AJ

 

[cicak_kupang]

Does any body know what they are expecting to find at Lyginia 1? I cant find anywhere what size of reserve may be there.

 

[Odduna]

Does any body know what they are expecting to find at Lyginia 1? I cant find anywhere what size of reserve may be there.

According to slide 17 of the November Corporate Presentation (www.arcenergy.com.au)

Lyginia: 1-2 mmbbls
Drakea: 15 mmbbls
Red Hill/Eutaxia: 10 mmbbls

Not sure if the 1-2 mmbbls is a typo on presentation, in that it could be 12 mmbbls?

 

[cicak_kupang]

Cheers Odduna, i did actually see that now come to think of it, but it was late at night, so that prob had something to do with it.
Anyway, alot of good it did, god damn dry well! They drilled it quickly though. Cant wait to see more interest and support for ARQ when the results for Sugarloaf,ADI, eventually come out. All sounds positive from what i have seen/ read.

 

[cicak_kupang]

Yemen block 35 is meant to spun late 06, lets hope that will bring the sp back up and back in favour with investors. all i can say is that its a bargan at these prices. I've been looking into the canning basin a bit more and i'm feeling rather excited about that too. Plenty of positive events ahead for ARQ i feel.

 

[speves]

ARQ Energy continues to produce consistently good drilling results, has an impressive portfolio of on and offshore Perth Basin petroleum assets including infrastructure supporting producing fields. Output continues to rise with the exploration successes tied in to the regional Parmelia Pipeline. It owns 25% of ADI which has a SP that has grown 150%+ over the past 4 months and it continues to consolidate its Canning Basin land position in preparation for drilling from April/May 2007. And it's cashed up!

I haven't yet seen a broker report in the past 3 months that doesn't have a buy recommendation, yet the SP continues to fall???

Even with Oil prices down at the moment surely this SP is significantly undervalued currently???

Thoughts anyone


I hold and am accumulating

 

[barney]

ARQ Energy continues to produce consistently good drilling results, has an impressive portfolio of on and offshore Perth Basin petroleum assets including infrastructure supporting producing fields. Output continues to rise with the exploration successes tied in to the regional Parmelia Pipeline. It owns 25% of ADI which has a SP that has grown 150%+ over the past 4 months and it continues to consolidate its Canning Basin land position in preparation for drilling from April/May 2007. And it's cashed up!

I haven't yet seen a broker report in the past 3 months that doesn't have a buy recommendation, yet the SP continues to fall???

Even with Oil prices down at the moment surely this SP is significantly undervalued currently???

Thoughts anyone

Howdy Speves, It is a similar looking scenario on PSA ..............Fundamentally strong yet the sp is dropping like a stone .......... I know very little about valuing a company, but ARQ (and PSA) both look undervalued to this layman ......... With patience I think your accumulation could be well rewarded,

(I hold neither stocks, but do hold ADI) Good luck, Barney.

 

[chops_a_must]

I haven't yet seen a broker report in the past 3 months that doesn't have a buy recommendation, yet the SP continues to fall???

Even with Oil prices down at the moment surely this SP is significantly undervalued currently???

The downtrend is the reason I haven't bought in yet, otherwise I would have.

 

[speves]

Correction (my apologies), ARQ now owns 33% of ADI.......