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OEL - Otto Energy

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Looks like many punters xpecting that BHP will pull some strings and get drilling done mid-year. Nice to see SP at 10.5c and pushing 11c at times.

Holding OEL at 8.9c ave
 
Have decided to exit OEL.

While Galoc looks good, for me I prefer to see big target drills as a more secure way of getting the SP to move and keep moving northward.

Given the uncertainty of getting a rig for drilling (and we can all speculate on this, as many punters surely are, but the reality is that we have no news or strong hint from BHP that drilling is ), I'll lock in a profit to insure against a possible SP drop if drill is delayed. If the news is good, I can always retrun.

Bought: 8.9c
Sold: 14.2 ave

Profit: 55%+ profit
 

Mate nice timing, announcement today

Otto Energy Ltd (ASX:OEL) advises that BHP Billiton (ASX:BHP), as operator of Philippines Service Contract 55 (SC55), has requested that the Department of Energy (DOE) extend the current Exploration Sub-Phase 4 of SC55 by 18 months. If approved by the DOE, this would extend the current contractual deadline to complete drilling of the commitment well from 5th August 2012 to 5th February 2014.
 
Been buying in OEL over the past 3 weeks. With the Philippine drill due by August 2013 with BHP as the JV partner driving the project, this seems a straight-forward Buy Early Sell before Spud (BESBS) play.
Once drill rig is booked and announced, then up she goes. I've managed to accumulate between 8.3c and 8.9c and am very happy (given the market and limited opportunities for good BESBS plays) to be here. I'll be hoping for a 100% return on drill as history suggests 16-19c is not unreasonable on a big drill. The SP has been historically low so the platform to buy has been comforting.
Lets see how we go...

Cheers,
BESBS


Holding at 8.6c ave
 

Recent management changes since Alex Parks have done wonders with this stock and are systematically building a business, rather than throwing the dice and gambling like most small oil specs. Can find a safer bet, high impact prospects and steady production income, thats what sets it apart from stocks like far, pcl etc.

Cheers and please remember not too much "salt"
 
Hi Salty,

Happy to agree on the production etc but for me, I play the Buy early Sell Before Spud (or during the drill) hence the BESBS name. For me, it is all about the BHP drill in 2013 as that should get the punters in.

Still, there are many ways to make money in this game.
All the best with your investments.

Cheers,
BESBS
 
Nice to see 2013 beginning and the punters starting to get set before BHP announce a rig for Cinco SC 55. While no confirmation of this at present, plenty of punters assuming that BHP will be working overtime to get this done before the August 2013 deadline.

OEL's last report mentioned possibly 5 drills this year - at least 2 being development wells. The timing of these might impact on Cinco and a pre-spud run but happy with things to date. With SP nice at 9.9c, hopefully it won't be long and the SP will start to go up in .005c bites once it is above 0.10c.

Watching and smiling...

Holding at 8.6c ave
 
Interesting that OEL response to ASX mentioned 2 drillings for Q2 2013. One can't ever assume that this is definite, but nonetheless, such statements do give extra confidence to a pre-spud run.

Happily holding OEL at 8.6c ave
 
Good news out today. Action coming in the next couple of months.

I've accumulated a few in the 'June sales' and wait for some SP traction into spud. Hopefully the market will be stable enough to allow this. Time will tell but today's SP reaction to the news was positive.

Holding OEL @ .08c
 
Ok jump forward to oct 2013 and we have Otto pulling out of one field and a delay from a partner in drilling. Investors have not pushed the price to new highs in recent times ,11.5 was starting to look interesting. The technical details of the current drilling I will leave to the experts but for investors like me BHPs continued investment keeps me interested.
 
Otto have sold galoc and have/about to have some solid $$ in the bank. (135 mill Aus)
capital return of 0.064 c- share price hovering around 10 c
timing of this was interesting with collapse of the oil price

management will now be keenly looking at finding another "galoc" field
 
Otto Energy feeling the heat today after announcing that it will be plugging and abandoning its ST 224 #1 exploration well located in offshore Gulf of Mexico.

After drilling to a depth of 10,900 feet they have found nothing but sand and seawater. OEL down 15.69% to 4.3c at the moment as a result. Intraday low was 3.9c.
 
Otto Energy has bounced back nicely since December and has surged today after more details about the company's flagship South Marsh Island Block 71 (SM 71) oil project in the Gulf of Mexico were announced. OEL has a 50% working interest (40.625% net revenue interest) in SM 71. The operator, Byron Energy Limited (BYE), holds the remaining 50% working interest.

Total production to date on SM 71 is 83,000 barrels of oil and 55.5mm cubic feet of natural gas. SM 71 F Platform daily volumes are now averaging 4,650 barrels of oil per day and 3,200 thousand cubic gas per day. Otto's net sales revenue at the current rate of production is approximately USD$125,000 per day based on WTI of US$68 per barrel. These production rates would generate a monthly operating cash flow of approximately US$3.7 million.

A great result for OEL. The share price is currently up 16.35% to 6.4c so far today.

 
Otto Energy continues to make solid gains, closing today at its high of 7.8c. It is now looking very bullish and I suspect it will go higher in the short term.

Director Ian Boserio purchased a further 445,000 shares on market between 2 and 7 May bringing his total holdings to 2,073,571 shares.

 
Gap up for Otto Energy today as a result of good news at the Lightning prospect in Matagorda County Texas. The exploration well, Green#1, has reached final total depth of 15,216 feet and petrophysical evaluation has confirmed the well to be a commercial discovery with a minimum 180 feet of net pay, well exceeding pre-drill expectations.

The news has sent OEL north on high volume of more than 65,000,000 shares and it is currently trading at 6.3c, up 50% on Friday's close. Looking for it to fill the gap and get and consolidate above 7c.

 
CVN IS under hold- ASX link https://www.asx.com.au/asxpdf/20190515/pdf/4453b4x5gb520b.pdf - what kind of bullet story would be published on Friday 17 May 19??

Capital raise was done in March and in two months time, oil cannot be discovered.
https://www.asx.com.au/asxpdf/20190329/pdf/443wcftkpkyy08.pdf
Green canyon story was published on 29 March 2019
https://www.offshoreenergytoday.com/otto-energy-farms-into-talos-gulf-of-mexico-license/
The story also advised the market
"As for Bulleit, it is an amplitude-supported Pliocene prospect with similar seismic attributes to the analogous sand section in Talos’s Green Canyon 18 field, which has produced approximately 39 mmboe to date.

The prospect sits in approximately 1,200 feet of water and is 16 kilometers from the GC 18A platform.

The DTR-10 oil sand, which is the primary target of the Bulleit well, was first discovered in 1984. A sidetrack of the first well also found oil pay in both DTR-10 and deeper MP sands. Production rates expected from the MP sand when tied into a production platform are expected to deliver between 8-15,000 boepd.

No discoveries were developed in the lease, and there is no infrastructure available.

Talos’ GC 18A platform has spare capacity within tie-back distance of GC 21, and a subsea development is planned to tie the Bulleit well into the platform.

Bulleit prospective resources (P50) are 14.5 mmboe. According to Talos, the prospect’s gross prospective resources are expected to be between 10 to 30 mmboe on an unrisked basis.
 
If someone wants to post a conviction on a constant down-trending share on an optimistic note then Kalkine deserves a pat on the back for this posting : (DYOR as it could have been recommended over a bottle of scoth )

"At the end of the quarter, the company had a closing cash balance of A$6.0 million. During the quarter, the company raised capital amounting to A$31 million through a placement and underwritten 1 for 5 rights issue.

Outlook: The company expects to generate substantial cash flows from the sale of steady production from its 50% owned SM 71 oil field in the Gulf of Mexico.

Stock Recommendation: The stock of the company generated returns of -3.92% and -12.50% over a period of 1 month and 3 months, respectively. The Lightning field development taken up by the company represents a major milestone in fulfilling its goal of becoming a successful oil and gas producer in the Gulf of Mexico. The company is making continuous progress towards its strategic production goal of 5,000 boepd by the end of 2020. However, we are yet to see how production from the Lightning field or exploration at Thunder Gulch #1 well will unfold into future earnings. Hence, we put our wait and watch stance on the stock at the current market price of $0.047, down 4.082% on 17 July 2019." (what is this meant for a paid subscriber- wait and watch for what? Further fall ??
 
after reading the remarkable performance, I sold out AGL holding this morning.
Technically sound but need work than rorting my money there. Will wait for return unless it was a too quick decision. Good thing however (sorry for holders) that price went down since I sold out.
 
3 year's drought on this thread
BTW, interesting adverts appear on top of this thread -
DNH OEL but intrigued to see its performance . Running at loss but no debt. Macquarie has given them some assurance in case needed.
could OEL ready for a capital raise and jacking up the stock ? Dunno but interesting investor conference happened yesterday hints of a CR



 
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