EGO - Empire Oil & Gas

[Datsun Disguise]

Re: EGO - Empire Oil

More significant volume today and a strong close at 1.4c - we must be getting very close to an announcement of a spud date now. The latest quarterly said;

Empire is negotiating with drilling contractor Weatherford Drilling International and their Drilling Rig 826 to settle acceptable costs and day rates to drill the Gingin West-1 well in September/October 2009 with the option to drill a second well from the same Gingin West-1 location that will test both structures being Gingin West Block B and then Gingin West Block A.

An these comments regarding the level of confidence...

The potential for a development at Gingin West of up to 91.7 BCF of recoverable gas and 1.1 million barrels of associated condensate is considered an attractive and largely de-risked drilling programme over the Gingin West structures that have been delineated by both 2D Seismic and the recent recording of the Gingin West 3D Seismic Survey. The reservoir objectives at Gingin West are those that have been gas productive in the Gingin-1, Gingin-2 and Bootine-1 gas discovery wells.

No drilling program is risk free, but this is a pretty confident statement, they'd want to be right!

 

[tinkus]

Re: EGO - Empire Oil

nice anno looks like some action in Oct 09 as a swap from one to another has been made, looks like a lot will be on for the next few months - time to get in

 

[Datsun Disguise]

Re: EGO - Empire Oil

Gingin has been brought forward to end of 2009 - great news as no doubt the stock price will build towards spud. Given the much lower risk than previous targets I reckon we should see some decent movement in the lead up. Seems that it was originally moved out to 2010 as they didn't have all of the permits approved - strange I don't recall that being disclosed...... But all approvals have been received so they are jumping back in - speaks volumes for their thoughts on Gingin,

Here's hoping it's a company maker...

 

[nunthewiser]

Re: EGO - Empire Oil

lol nice 708 notice ................. issued at .007 .oppies attached .......

i hold a cupl at 1.......but merely as a penny dreadful punt on a previous vol spike

same as LKO .just a slush fund in my view , but hey slush funds can make a buck also

 

[Datsun Disguise]

Re: EGO - Empire Oil

They aren't hanging around! Good news we should have a result in December for Gingin - this is what EGO needs - you can't make a living being an explorer, need to get something out of the ground to make some money. The below quote is already known to the market, but in my view is being ignored. Wonder what will make people take notice? Maybe gas flowing?

Should be a good $ to be made running up to spud, good luck to holders (and non-holders for crying out loud get on board!!)

The potential for a gas development at Gingin West of up to 91.7 BCF of recoverable gas and 1.1 million barrels of
associated condensate is considered an attractive and largely de-risked drilling programme over the Gingin West
structures that have been delineated by both 2D Seismic and the recent recording of the Gingin West 3D Seismic
Survey. The reservoir objectives at Gingin West are those that have been gas productive in the Gingin-1, Gingin-
2 and Bootine-1 gas discovery wells that have all flowed naturally at economic rates. Gingin West is located
approximately 2 to 3 kilometres from both the Dampier to Bunbury and the Dongara to Pinjarra natural gas
pipelines.

 

[Albi]

Re: EGO - Empire Oil

Hi,
I have been holding it a little and hope it will gain soon. I didnot sell it on .013. Trying to buy more but quiet uncertain about results but very optimistic about it's future.

 

[Datsun Disguise]

Re: EGO - Empire Oil

With Spud of the gingin prospect just around the corner I'm quite surprised about the lack of action on EGO. This is the best prospect that they've drilled for years now, previous drilling programs have seen the price lift from around1.5c (which was the old floor) up to low 3's. We seem well and truly stuck at 1c at the moment. I was looking for a pre- spud price of about 1.6 - 1.8c (which I thought was a conservative estimate) but now I'm wondering if we'll see any movement at all.

Perhaps ego needs to get some runs on the board before they attract any investors to the brand....

 

[Datsun Disguise]

Re: EGO - Empire Oil

I know that no-one cares but I have to try to keep my average posting above 0.3/day so I can compete in the monthly stock tipping. While I would never post just for the sake of it I have noticed somethng regarding price / volume for ego today that gives me enough of an excuse to post something.

As at 1.42PM:
Volume just under 70million
Bidding 1.2c
Offering 1.3c
Last 1.2c
High of 1.3c

Been bouncing between 1 & 1.1c for what seems like an eternity.

Are we finally waking up that we are about to stick the needle into a big bubble of gas??

 

[Datsun Disguise]

Re: EGO - Empire Oil

I expected a pull back today but it turns out there was enough buyers willing to soak up the sellers at 1.3c to prevent that. Good result, better results should come when the short term money has been taken off the table.

 

[MOSSuMS]

Re: EGO - Empire Oil

They aren't hanging around! Good news we should have a result in December for Gingin - this is what EGO needs - you can't make a living being an explorer, need to get something out of the ground to make some money. The below quote is already known to the market, but in my view is being ignored. Wonder what will make people take notice? Maybe gas flowing?

Should be a good $ to be made running up to spud, good luck to holders (and non-holders for crying out loud get on board!!)

What's the history of those other 'naturally flowing economic wells'? Who operated them for how long, and are they now dry? I like the EGO concept for Gingin West, but need to find much more info before taking a stake...

 

[Datsun Disguise]

Re: EGO - Empire Oil

Someone to talk to! How exciting!

If you look back through announcements and even do a bit of googling you should be able to satisfy your misgivings.

The deetailed 3D seismic showed that Bootine-1 had been drilled very close to the spill point of the reservoir, EGO are targeting the crestal posiotion, so no it ain't empty.

Here's some research for you to start with.

Gingin West is the prospect located updip from Bootine-1 that flowed gas at a stabilised rate of 2.25 million cubic feet of gas per day from one sand. It is interpreted that Bootine-1 was drilled at or near the spill point of the structure. The 3D Survey is designed to define the crestal position of the structure to intersect all 5 of the Cattamarra Coal Measures sands with structural closure.

My bolding.

Gingin-1 - put on production in 1972 and 1975 produced 1.72 BCF flowing at an average of 5 million cubic feet of gas per day before the well was shut in and plugged and abandoned upon focusing on the Dongara Gasfield discovery.

- Gingin-2 drilled in 1965 and put on production test. Recent evaluation indicates progressive formation damage probably due to the use of diesel based mud system.

I like Gingin and have gone heavy on EGO for this program - disappointed with the run up so far, expected more given the quality of the prospect. but still sitting on 40% gain so far.

 

[Putty7]

Re: EGO - Empire Oil

Have followed these for a few years, bought some this morning at .013c, maybe when they spud they will see a bit more run Datsun, who knows, they are looking at some impressive targets and success would see them move from explorer to producer, the idea of drilling a daughter hole off the parent hole into the second target is cost saving and their location selection looks very good with regards to their chances of success.

 

[Putty7]

Re: EGO - Empire Oil

Empire Oil and Gas NL and the EP389 Joint Venture is pleased to announce that the commencement of drilling operations occurred at 1330 hours on 18th November 2009.

Empire Oil Company (WA) Limited, a wholly-owned subsidiary of Empire Oil & Gas N.L., the Operator of the EP389 Permit, has contracted Weatherford Drilling International and its Rig 826 to drill the gas prospective Gingin
West-1 well to 3,850 metres with the election to drill ahead to the deeper tilted fault block play to 4,000 metres to test the Lower Cattamarra Sands prospective for both oil and gas.

Gingin West-1 Block B is in a 4 way dip closed anticline located up dip from discovery well Bootine-1 drilled in 1981 by Mesa Australia Ltd, which flowed 2.25 million cubic feet of gas per day from the Cattamarra Coal Measures D Sand which is interpreted from the 3D Seismic to be on the edge of the mapped closure.

The Gingin West-1 well will evaluate all the Cattamarra Coal Measures Sandstones updip in the Gingin West Block B structure from the Bootine-1 gas discovery well. The Gingin West-1 location has a number of separate targets for gas saturated sands over an interval of some 180 metres.

The Company and the EP389 Joint Venture have the option to drill a second well, Gingin West-2, from the same wellsite to test the adjacent Gingin West Block A fault controlled anticline.

The potential for a gas development at Gingin West of up to 91.7 billion cubic feet of recoverable gas and the associated 1.1 million barrels of condensate is considered an attractive and largely derisked drilling programme over these Gingin West structures that have been delineated by both 2D and the recently recorded Gingin West 3D Seismic Survey. The Cattamarra Coal Measures reservoir objectives at Gingin West are those that have flowed gas at economic rates at the Gingin-1, Gingin-2 and the Bootine-1 wells.

Gingin West-1 is estimated to take 35 days to drill and test.

Well spud announcement today, 73 million shares gone through at time of writing, SP between .013c and .014c, large drill target, should finish roughly around the 22nd December, maybe longer or shorter depending on results and what testing if any is needed.

 

[Datsun Disguise]

Re: EGO - Empire Oil

Some good, if not unexpected news, but at least now we can watch the drilling reports as they push that needle down to the gas / condensate zones. Should see some choppy appreciation over the next 35 days. Biggest decision will be to sell before or go for broke!

Good luck to the believers - both of us putty!

 

[DAZT49]

Re: EGO - Empire Oil

Glad we have some action at last.
Lets hope for a better outcome than from the previous 1/2 doz wells.
Might be a merry xmas after all lol ho ho ho

 

[Datsun Disguise]

Re: EGO - Empire Oil

The market depth is shaping up nicely - buy volume outnumbering sell by almost 2 to 1. Not a lot of shares available below 2c.

With the drilling now well under way and a slowly appreciating sp EGO should start to attract the attention it deserves.

 

[dandyjac]

Re: EGO - Empire Oil

Lets hope Ego gets a little fire under the share price, Have been holding for almost 2 years, good to see they have been getting back ground gas from there report under hydocarbon indication. Lets hope they hit a **** load of gas

 

[Putty7]

Re: EGO - Empire Oil

The directors appear to be having fun cashing in their .008c options, thankfully they have run out of those by the looks, 40 million were issued on the 18 Nov at 008c, another 96 million to be issued on the 27th Nov at .008c, share dumps have followed the announcements so whether traders don't like the news or directors are dumping some of their existing shares who knows.

Directors options left ......

2,000,000 @ .01c
10,500,000 @ .015c
37,500,000 @ .025c
37,500,000 @ .03c

Oh and some are for the employees, how silly of me to forget that lol

A wise Nun once said they were nothing but a slush fund but slush funds can make money to, not deramping as I do hold a packet of these, just the timing of these things seems to align quite nicely, made good money off LKO and they carry on the same way.

Lets hope the SP can now carry on it's merry way again building up to a drill result now that 90 million shares have been dropped today

 

[Datsun Disguise]

Re: EGO - Empire Oil

The latest drilling update is sounding promising - appraching 2000 meters, with 1000 left to go;

13. Hydrocarbon Indications;

Background gas increasing with depth in the Yarragadee Fm.
Objectives are in the deeper Cattamarra Coal Measures.

Now hopefully the scalpers have all been and gone (and stay away) and we can see some good gaps in the proce action - up would be preferable!

 

[Putty7]

Re: EGO - Empire Oil

Like a kid waiting for christmas isn't it lol, another 7-9 days and we won't be far from the paydirt starting to hit the bit, good sign with the background gas increasing with depth, agree Datsun it should start building again now, probably more so late next week as we get closer to the target area.