NZ Oil & Gas (NZO)

[ziggy415]

I believe some time ago I heard the buy back premium is 7x cost of drilling the well would be good to have clarification around it
7x $us35 million is lot if only 10 million barrels...i guess ppp are gambling big but rewards will be good....market doen,t look to keen on it tho

[the machine]

7x $us35 million is lot if only 10 million barrels...i guess ppp are gambling big but rewards will be good....market doen,t look to keen on it tho
if 7 times is correct then it is maybe 7 times the extra cost ppp incurred to take holding from 15% to 50%
thus 7 times 35% of $us35m = 7 x $us12,250,000 = $us85m = a lot of moolah
then it may only be paid out of production from oi, so that's years away
but until read the exact details it is an estimate only.
m

still have to find commercial oil through

[ziggy415]

with matuka being dry oi prospects look better so here.s hopeing (hopeing sounds like throwing a dart)and balance will feed me somemore manure so lets say more positive

[notie]

with matuka being dry oi prospects look better so here.s hopeing (hopeing sounds like throwing a dart)and balance will feed me somemore manure so lets say more positive

Prime yourselves for another dusters lads as chances are Oi will be another dry hole
Meanwhile those fat cats on the nzo board keep pulling a healthy bonus for doing sweet FA with your money

[777]

Prime yourselves for another dusters lads as chances are Oi will be another dry hole
Meanwhile those fat cats on the nzo board keep pulling a healthy bonus for doing sweet FA with your money

A balance clone.

[dsurf]

Prime yourselves for another dusters lads as chances are Oi will be another dry hole
Meanwhile those fat cats on the nzo board keep pulling a healthy bonus for doing sweet FA with your money

You sound confident - You should short NZO

[digger]

You sound confident - You should short NZO

That is just not fair to ask Balance and Balance's clone to put their money where there mouth is. Well for a start they could be wrong.

[dsurf]

Pretty sure you can't short NZO on the NZX as they STILL haven't put up a futures market and brokers won't cover it. Fairly confident you can't do it on the ASX either:

http://www.shortman.com.au/stock?q=Nzo

Looks like talk is all there will be!

bollix - all the cfd providors (IG markets, FP markets etc) let you short asx listed stocks, including NZO

[Bella52]

Pretty sure you can't short NZO on the NZX as they STILL haven't put up a futures market and brokers won't cover it. Fairly confident you can't do it on the ASX either:

http://www.shortman.com.au/stock?q=Nzo

Looks like talk is all there will be!


Looks like someone has shorted NZO on 26 Nov, but seems to be a one off trade

[fabs]

One piece of the jigsaw puzzle is missing to complete the deflation landscape across the West: a slide in oil prices. This is becoming more likely each month.

Turmoil across the Middle East and parts of Africa has choked supply over the past two years, keeping Brent crude near $110 a barrel despite a broader commodity slump. Cotton and corn prices have halved, as has the UBS index of industrial metals. Such anomalies rarely last.

"We estimate that crude oil is now the mostly richly priced commodity in the world," says Deutsche Bank in a fresh report.

Michael Lewis, the bank's commodity strategist, said markets face an "new oil supply glut" as three forces combine. US shale will add 1m barrels a day (b/d) to global supply for the third year running; Libya will crank up shipments after a near collapse in 2013; and Iran will come out of hibernation. "This will push OPEC spare capacity to levels last seen in the depths of the financial crisis in 2009," he said.

America is on track to overtake Saudi Arabia as the top global producer of oil by 2016. It will account for more than half of non-OPEC world supply this year. The US Energy Department says US oil imports will drop to 5.5m b/d by next year, half the level a decade ago. This turns the world's 89m b/d market upside-down.

[Balance]

China will soon have stockpiled (oilpiled) enough of the black stuff to withdraw from the market.

Russia-China $400 billion gas deal will impact upon gas prices (downwards) in North America, making gas even cheaper.

All irrelevant to NZOG however as the only possible driver of NZOG sp upwards now is an oil or gas find.

Karma says NZOG will find nothing.

Meanwhile, Zeta has to keep buying to hold the sp up while others bail out.

Switch from NZOG to Zeta if you want to buy NZOG at 55 cents now.

[fabs]

That of course is cold comfort for S/H but management quite happy to la-di-da along, emptying the honey pot.

[ziggy415]

That of course is cold comfort for S/H but management quite happy to la-di-da along, emptying the honey pot.
my god i hate it when your right...the only saving grace is shale oil is quit expensive with drillers spending $1.58 for every dollar they get back and some of the large drillers are nearly broke

[ziggy415]

and shale flows drop off pretty quickly after fracking

[digger]

One piece of the jigsaw puzzle is missing to complete the deflation landscape across the West: a slide in oil prices. This is becoming more likely each month.

Turmoil across the Middle East and parts of Africa has choked supply over the past two years, keeping Brent crude near $110 a barrel despite a broader commodity slump. Cotton and corn prices have halved, as has the UBS index of industrial metals. Such anomalies rarely last.

"We estimate that crude oil is now the mostly richly priced commodity in the world," says Deutsche Bank in a fresh report.

Michael Lewis, the bank's commodity strategist, said markets face an "new oil supply glut" as three forces combine. US shale will add 1m barrels a day (b/d) to global supply for the third year running; Libya will crank up shipments after a near collapse in 2013; and Iran will come out of hibernation. "This will push OPEC spare capacity to levels last seen in the depths of the financial crisis in 2009," he said.

America is on track to overtake Saudi Arabia as the top global producer of oil by 2016. It will account for more than half of non-OPEC world supply this year. The US Energy Department says US oil imports will drop to 5.5m b/d by next year, half the level a decade ago. This turns the world's 89m b/d market upside-down.

The simple answer to this is that the unofficial collective delusion to call oil a commodity just does not make it so even if some of the most powerful men in the world try to make oil out to be so.

A commodity has to be renewable in the very short term like yearly. So cotton ,corn and wheat are commodities ,but it take 3 or 4 hundred million years to replace the oil we are using. So calling oil a commodity is a self generated trap that you should simply not fall into.
Michael Lewis is a commodity expert and as such he should stick with real commodities and leave oil out of his picture. Corn beans and cabbages for him.

[digger]

cant argue with facts

This refers to posts number 14247.
Here Ziggy415 says about Balance posts that you can not argue with facts. It would all make more since if "facts' was misspelled and the "c" was replaced with "r"

[ziggy415]

This refers to posts number 14247.
Here Ziggy415 says about Balance posts that you can not argue with facts. It would all make more since if "facts' was misspelled and the "c" was replaced with "r"
that thread refered to balance,s analogy to zeta being better value than nzo but looking at the big picture i .....i........i........(god this is hard) I kind of agree with them, so for me I think oi might be be my final decision point (or maybe Kisaran announcement)....( or maybe kaheru drill next year) :t_up:.....but in all seriousness when china does finish stockpiling.. and they do have a way to go...things may get a bit top heavy but Ukraine may cause ripples and so will Boko Haram in Nigeria so I might not be sure what the hell im gonna do.....:scared:...enjoy your days off while I keep the wheels of industry churning away...work calls...

[Balance]

The simple answer to this is that the unofficial collective delusion to call oil a commodity just does not make it so even if some of the most powerful men in the world try to make oil out to be so.

A commodity has to be renewable in the very short term like yearly. So cotton ,corn and wheat are commodities ,but it take 3 or 4 hundred million years to replace the oil we are using. So calling oil a commodity is a self generated trap that you should simply not fall into.
Michael Lewis is a commodity expert and as such he should stick with real commodities and leave oil out of his picture. Corn beans and cabbages for him.

Feel Digger's fear?

:D

[ziggy415]

Digger:

Commodity - A raw material or primary agricultural product that can be bought and sold, such as copper or coffee: commodities such as copper and coffee

Source - Oxford Dictionary

Just like the gold bugs keep harping on about, it's not different or "special". Tis just something we use to further ourselves. Nothing more, nothing less.
there is a difference between coffee and oil....oil is controlled by large nations who have financial incentives to keep the price up.....lets invade Kuwait that will stir things up for us noggers...(soon to be ex nogger)

[ziggy415]

That's not my point though Z. Manipulated/controlled or not, it's still a commodity in the literal sense of the word, yes?
for sure...if its bought and sold its a commodity bound by the laws of supply and demand

[digger]

That's not my point though Z. Manipulated/controlled or not, it's still a commodity in the literal sense of the word, yes?

Well I can not accept oil is a commodity even if I have seen it listed as such for about 60 years. Stuff the Oxford Dictionary. It is a finite resource that we are using up about 30 to 100 million years faster than it is being recreated. We have only got away with our collective delusion as we live in a very short time frame and our actions have not caught up with us yet. But believe what you like,in the short time frame short time actions tend to win.

[ziggy415]

This refers to posts number 14247.
Here Ziggy415 says about Balance posts that you can not argue with facts. It would all make more since if "facts' was misspelled and the "c" was replaced with "r"
are you saying balance,s methane is a commodity albeit in plentifull supply

[arjay]

are you saying balance,s methane is a commodity albeit in plentifull supply

Would be great if true. Alas, the market for hydrogen sulphide is rather grim.

[ziggy415]

as of today oi is at 510 meters brt of a total drill depth of 3881 meters...estimated cost of $us 27 million for well ...ppp announcement but for some reason i cant copy and paste

[fish]

Chances of success by ppp estimation is 22.5%
By nzo-16%-they are not so sure of reservoir quality kapuni sandstones.
Should be a quick drill and will cost only 5 million for nzo-should be deductible from royalty profits of tui as part of that field.
Good weather foercast for at least a week-light easterlies

[ziggy415]

been a wee surge in turnover last few days,,,,is this because of oi or is something else in the wind,,,Kisaran maybe....with ppp shareprice getting a hammering of late one would assume oi is not the reason for the higher turnover of nzo shares...and with no sign of balance it must be good news aye Digger

[fabs]

Hard to see any reasons why, as average S/P seems to have for some time already factored any possible currant drill program up-sides in.
Just a hick-up maybe? General firming S/Market?

[Joshuatree]

Hey fish you spelt forecast wrong:)

[digger]

Hard to see any reasons why, as average S/P seems to have for some time already factored any possible currant drill program up-sides in.
Just a hick-up maybe? General firming S/Market?

Rubbish fabs. Balance is buying. He just picked up 100,000 at 80 cents. Cheap as,can not believe his luck.Tomorrow he will be in the market for more.

[Balance]

Rubbish fabs. Balance is buying. He just picked up 100,000 at 80 cents. Cheap as,can not believe his luck.Tomorrow he will be in the market for more.

Haha - only Zeta holding up the sp. Nobody else is interested.

Poor Digger - still confused about commodities.

[ziggy415]

Hard to see any reasons why, as average S/P seems to have for some time already factored any possible currant drill program up-sides in.
Just a hick-up maybe? General firming S/Market?

come on fabs...Balance has seen the light and bought in..maybe pateke is a bigger bucket than we thought

[fabs]

OH almost forgotten, Pig-swarming season on again.

[ziggy415]

OH almost forgotten, Pig-swarming season on again.
are we reffering to pigs will fly or the snout in the trough variety....either way still some buying interest even in oz market so not sure if dollar drop is reason or other announcement is forthcoming but i know you will be congratulating us noggers for hanging in there:t_up:

[notie]

sounds like more trouble with the Kan Tan out on Oi....

[digger]

sounds like more trouble with the Kan Tan out on Oi....

The scrap heap for that driller. Needs taking out of its misery.

[fabs]

The scrap heap for that driller. Needs taking out of its misery.


Hey you guys, don't give management sleepless nights by suggesting that they are expected to work for the best interests of nzo.
Investing in and attracting major holdings in nzo of dud cos. like ppp & zeta plus drilling outfits with dilapidated equipment does not cut it.

BTW ZIGGY:
Flying pigs=== { wishful thinking & pipe dreams } Pigs on the trough=== { UNMITIGATED GREED } Not quite the same.
In nzo managements case probably a bit of the former and lots of the latter

[neopoleII]

is there a problem with Oi?
cant find any info, sp for NZO has gone down.
can someone provide news?

cheers

[Onthemoney]

Next update Monday. I am locked and loaded with PPP on this. Grabbed another 100,000 today....

[Onthemoney]

Next update Monday. I am locked and loaded with PPP on this. Grabbed another 100,000 today....

[notie]

Next update Monday. I am locked and loaded with PPP on this. Grabbed another 100,000 today....

The news is the rig is trying to move the surface pipe after it got jammed.

[Sideshow Bob]

What info do you have Notie, and how do you get it?

[ziggy415]

if oi has 11 million barrells as estimated, the difference between nzo,s 18% and restoring to 27% is 900,000 barells x $us100 per barell =90 million dollars. If the buy back is 7 times cost to ppp from origional 15% to 50%.........13 million for 50% minus 3 million for origional 15% equals roughly $us 10 million that equals $70 million for the koha ....maths not my strong suit...nor is spelling but makes one wonder if nzo may stay at 17.5%

[brucey09]

Snrs,
Nzo yet more wells bad drilling. I am thinking rigs problem?

[fish]

sounds like more trouble with the Kan Tan out on Oi....

where are you getting this info from notie ?
I like the fact you posted it-it stopped me buying more ppp-but it doesnt seem fair that nzo took until this morning-and i am not sure if ppp have posted even-to release it

[fabs]

[QUOTE=moosie_900;485568]Mushrooms et al etc etc

Well comforting to know when it comes to incompetence nzo management not alone.
But will not use the K---- Word
Like the 50% cost increase on the overall project!
Maybe the Rigger is not quite as incompetent probably done his research on contracting for cash-rich companies.
Give us a bit of comfort Digger, your the only other Expert on these matters apart from our sacred leaders .
Cheers

[ziggy415]

[QUOTE=moosie_900;485568]Mushrooms et al etc etc

Well comforting to know when it comes to incompetence nzo management not alone.
But will not use the K---- Word
Like the 50% cost increase on the overall project!
Maybe the Rigger is not quite as incompetent probably done his research on contracting for cash-rich companies.
Give us a bit of comfort Digger, your the only other Expert on these matters apart from our sacred leaders .
Cheers
could set my watch when your post would arrive...(did think Balance would beat you tho) but what surprised me was the bit about "our" sacred leaders...are you really a closet noggers

[fabs]

YEAH RIGHT,
although yes was, many many years ago.
Otter Gold & nzo served me well to salvage a reasonable nest-egg but all down hill since with a fortunately smaller holding in nzo

[notie]

where are you getting this info from notie ?
I like the fact you posted it-it stopped me buying more ppp-but it doesnt seem fair that nzo took until this morning-and i am not sure if ppp have posted even-to release it

Seems you owe me then.....a good bottle of 18 yr old scotch thanks

[arjay]

[QUOTE=moosie_900;485568]
Maybe the Rigger is not quite as incompetent probably done his research on contracting for cash-rich companies.

Cheers

Maybe - NZO seems to have more than their share of cost blowouts. Let's hope it doesn't cost half the value of the oil found to pay for the drill like Pateke was. I'm starting to wonder if Balance has something with his karma quips.

[fish]

Seems you owe me then.....a good bottle of 18 yr old scotch thanks

That would not be good for you or me.

But it does concern me that nzo/ppp are not releasing information material to the share price ASAP-and that information is somehow leaked enabling traders to profit unfairly.

[Queenstfarmer]

That would not be good for you or me.

But it does concern me that nzo/ppp are not releasing information material to the share price ASAP-and that information is somehow leaked enabling traders to profit unfairly.

Well...we can be sheep like and continue to complain or we band together and get rid of individuals like Andrew Knight, whom to me, seem to lack strength of character.
NZO...are a cash strapped company...(cash that came from shareholders) and seem to me, to be content with making sure employees will be taken care of for the next 20yrs. Stuff the shareholders aye??

[Onthemoney]

The news is the rig is trying to move the surface pipe after it got jammed.

Hi Notie - this information you have posted before the announcement disturbs me.... Not a level playing field....

[neopoleII]

yet he posted this info last thursday, and today is tuesday.......
yet no release for the company until today.

[Onthemoney]

The news is the rig is trying to move the surface pipe after it got jammed.


yet he posted this info last thursday, and today is tuesday.......
yet no release for the company until today.

My point exactly.

[Balance]

yet he posted this info last thursday, and today is tuesday.......
yet no release for the company until today.

Further proof that NZOG is either not on the ball or treats the market and shareholders as mushrooms.

Take your pick.

Act like a mushroom and you will be treated like a mushroom.

[BigBob]

Further proof that NZOG is either not on the ball or treats the market and shareholders as mushrooms.

Take your pick.

Act like a mushroom and you will be treated like a mushroom.

Mate, you better be quick and go and help those poor AWE mushrooms too. AWE didn't announce it either, and they are the operator..!

Here you, Balance: http://www.sharetrader.co.nz/showthread.php?2383-AWE-on-the-Move

[Balance]

Mate, you better be quick and go and help those poor AWE mushrooms too. AWE didn't announce it either, and they are the operator..!

Here you, Balance: http://www.sharetrader.co.nz/showthread.php?2383-AWE-on-the-Move

Seen AWE share price chart?

Nice one eh?

Seen NZOG share price chart?

[BigBob]

Seen AWE share price chart?

Nice one eh?

Seen NZOG share price chart?

Yes I have, but you miss my point...

In this case AWE shareholders were just as much in the dark as the NZO and PPP shareholders... So in your world they are mushrooms and I expect you to go on a crusade to save them from themselves and their evil management and board....

[Balance]

Yes I have, but you miss my point...

In this case AWE shareholders were just as much in the dark as the NZO and PPP shareholders... So in your world they are mushrooms and I expect you to go on a crusade to save them from themselves and their evil management and board....

Eh - did AWE have a Pike River Coal as well? And investments in Tunisia? And shareholders like Digger who believe that Pike River explosion is the fault of government agencies (like car crashes are the fault of police for not getting all the drunken drivers and faulty cars off the road?).

[Banksie]

Eh - did AWE have a Pike River Coal as well? And investments in Tunisia? And shareholders like Digger who believe that Pike River explosion is the fault of government agencies (like car crashes are the fault of police for not getting all the drunken drivers and faulty cars off the road?).

Lol bigbob, trying to use logic on balance is never going to work. He only sings one song, I am seriously beginning to suspect he is just a poorly written chatbot and this thread is really just a social experiment. (http://en.wikipedia.org/wiki/Chatterbot).

Edit: rumour has it he used to be the Computershare virtual assistant (before Penny), but was fired for huffing oil during smoko.

[BigBob]

Eh - did AWE have a Pike River Coal as well? And investments in Tunisia? And shareholders like Digger who believe that Pike River explosion is the fault of government agencies (like car crashes are the fault of police for not getting all the drunken drivers and faulty cars off the road?).

Again you miss the point and bleat on like a broken record...!

You were the one who stated that the fact that NZO did not alert the market to the fact that there was trouble at Oi before the scheduled weekly update is further proof that NZO shareholders are mushrooms...

I am simply letting you know that there are another group of shareholders (namely those of AWE) that are then also mushrooms and that judging by the fervour of your anti-mushroom crusade you would probably like to go over to their thread and save them as quickly as possible....

I am sure they would appreciate it....

[Balance]

Again you miss the point and bleat on like a broken record...!

You were the one who stated that the fact that NZO did not alert the market to the fact that there was trouble at Oi before the scheduled weekly update is further proof that NZO shareholders are mushrooms...

I am simply letting you know that there are another group of shareholders (namely those of AWE) that are then also mushrooms and that judging by the fervour of your anti-mushroom crusade you would probably like to go over to their thread and save them as quickly as possible....

I am sure they would appreciate it....

AWE shareholders are handsomely rewarded for being mushrooms - look at its share price performance.

Compare that you Nogging mushrooms.

:D

[ziggy415]

AWE shareholders are handsomely rewarded for being mushrooms - look at its share price performance.

Compare that you Nogging mushrooms.

:D
not once have you said awe was a good investment.... i think your a rear view mirror xpert who posts his predictions after things have happened and besides awe dont pay dividends either...so come on balance will nzo be closer to 50 cents or a dollar in say 12 months

[ziggy415]

China is hoarding crude at the fastest pace in at least a decade, shielding itself from supply disruptions and helping keep prices above $100 a barrel.
The country imported a record volume in April as it emulates steps taken by the U.S. in the 1970s to create a strategic petroleum reserve, government data show. Chinese President Xi Jinping is building stockpiles as his nation clashes with Vietnam (http://topics.bloomberg.com/vietnam/) over resources in the South China Sea (http://topics.bloomberg.com/south-china-sea/) and faces potential risks to oil sales from Russia (http://topics.bloomberg.com/russia/), Africa (http://topics.bloomberg.com/africa/) and the Middle East because of sanctions and violence.
The purchases are helping drive oil prices (http://topics.bloomberg.com/oil-prices/) higher, according to Barclays Plc, Citigroup Inc. and Nomura Holdings Inc. As China’s thirst for crude grows with the expansion of its emergency stockpiles and refining, the International Energy Agency (http://topics.bloomberg.com/international-energy-agency/) estimates that the Asian nation is poised to surpass the U.S. as the world’s largest oil consumer by 2030.
“This panicked stockpiling is one of the ways that geopolitical tensions can actually tighten physical oil markets,” Seth Kleinman, a London-based analyst at Citigroup, said yesterday by e-mail. “This buying spree is partly driven by the infrastructure needs of China’s ongoing refinery expansion, but also reflects the rise in geopolitical tensions.”
West Texas Intermediate crude, the U.S. benchmark, gained about 9 percent over the past year to $104.35 a barrel on the New York (http://topics.bloomberg.com/new-york/) Mercantile Exchange, while Brent, the marker for more than half the world’s oil, climbed about 5 percent to $109.52 on the London-based ICE Futures Europe exchange.
Significant RiseChina bought more than 600,000 barrels a day of surplus crude from January to April, a record for that time of the year based on data compiled by Bloomberg from Chinese statistics tracked since 2004. The surplus supplies are calculated by subtracting refinery runs from the combined total of net imports and domestic production.
The imports suggest a “significant” rise in commercial and emergency stockpiles, according to the IEA, an adviser to 29 of the most industrialized nations on energy policy (http://topics.bloomberg.com/energy-policy/).
The buying “would benefit energy security (http://topics.bloomberg.com/energy-security/) not just in China but globally and crude imports of that scale might also support oil markets and keep commercial stocks from rising further elsewhere,” the Paris-based agency said in its monthly market report released May 15.
China doesn’t announce when it fills the emergency reserve and stockpile totals are not made public.
Black Box“There’s no official record,” Shi Qi, an analyst with CEBM Group, said by phone May 23. “Actual filling progress of China’s strategic oil reserves is in a black box.”
The official website (http://www.nea.gov.cn/sycbzx.htm) of China’s Center for Oil Reserves has a two-paragraph description of the office, a branch of the National Energy Administration, though no information about the level of the reserves themselves.
Nobody answered two calls to the press office of China (http://topics.bloomberg.com/china/)’s National Development and Reform Commission, its top planning agency.
The world’s second-largest economy, which gets more than half of its crude from overseas, plans to build emergency reserves equivalent to 100 days of net imports by 2020, China Petrochemical Corp., the nation’s top refiner, said in 2009, citing the plan approved by the State Council.
That volume is equal to more than 680 million barrels based on April’s customs figures, compared with the equivalent of 349 million in 2008.
According to the U.S. Energy Information Administration, officials decided in China’s 10th Five-Year Plan, which covered 2000 to 2005, to establish a government-administered strategic oil reserve (http://www.eia.gov/countries/cab.cfm?fips=CH) to help shield the nation from potential supply disruptions.
Three PhasesThe country had 141 million barrels of strategic reserve capacity at the end of last year, China National Petroleum Corp., the nation’s top energy producer, said in an annual report released in January. China finished building four sites in 2009 that can hold about 103 million barrels under the first of three phases of the reserve plans.
Two of seven sites in the 191 million-barrel second phase were completed by the end of last year and construction has begun on two of the three sites for the third phase, according to CNPC.
“We expect prices to strengthen slightly going forward due to continued supply shortfalls and geopolitical tensions, and continued Chinese buying would help tighten the market as well,” Sijin Cheng, a commodities analyst at Barclays in Singapore (http://topics.bloomberg.com/singapore/), said in an e-mail on May 30.
Potential DisruptionsCrude production from the Middle East and North Africa has been curtailed by a battle for political control inLibya (http://topics.bloomberg.com/libya/), pipeline attacks in Iraq (http://topics.bloomberg.com/iraq/) and prolonged sanctions against Iran (http://topics.bloomberg.com/iran/). Russia’s conflict with Ukraine has also stoked fears of a disruption of supplies from the world’s largest energy exporter.
China is building reserves while it hunts for future resources. Its claims in the South China Sea have put it at odds with neighboring Vietnam and the Philippines (http://topics.bloomberg.com/philippines/), which are also exploring for oil and gas in the disputed waters.
“The escalating maritime tensions in offshore China also call for accelerated strategic oil reserves stockpiling,”Gordon Kwan (http://topics.bloomberg.com/gordon-kwan/), regional head of oil and gas research at Nomura, said in an e-mail May 23. The buying will sustain “high oil prices at least above $100 for the rest of the year,” he said.
Crude imports are also fed into new refineries, which build stockpiles before starting full operations. China’s refining capacity is forecast to rise 6.5 percent to 40.6 million tons this year, CNPC said in the January report. That’s about 13.4 million barrels a day. The country imported 6.17 million barrels a day during May, up 11 percent from the same month last year, the General Administration of Customs said June 8.
Oil EmbargoThe U.S. established its strategic petroleum reserve in 1977 after the 1973-74 Arab oil embargo. The storage, located in the Gulf Coast (http://topics.bloomberg.com/gulf-coast/) where more than half of U.S. refining capacity is located, peaked (http://www.eia.gov/dnav/pet/hist/LeafHandler.ashx?n=pet&s=mcsstus1&f=a) in 2009 at 726.6 million barrels, according to the EIA, the Energy Department’s statistical arm. Supplies were 691 million as of May 23, enough to support 37 days of consumption.
The SPR has been tapped three times for emergency releases (http://energy.gov/fe/services/petroleum-reserves/strategic-petroleum-reserve), most recently in June 2011 when a sale of 30 million barrels was announced as part of an IEA plan to ease shortages of Middle East (http://topics.bloomberg.com/middle-east/) supply.
The U.S. reserve can hold the equivalent of about 95 days of imports, while China’s can probably now cover about 21 days, according to estimates by Amrita Sen, a London-based analyst with Energy Aspects Ltd., a research company.
Purchases for China’s strategic supply will pull 200,000 to 300,000 barrels a day of crude from the global market this year, CEBM Group, an independent investment advisory firm based in Shanghai (http://topics.bloomberg.com/shanghai/), said in a March research note.
The buying may add $2 to $3 a barrel to Brent prices, according to Guo Chaohui, an oil analyst at China International Capital Corp., a Beijing-based bank.
To contact Bloomberg News staff for this story: Sarah Chen in Beijing at schen514@bloomberg.net
To contact the editors responsible for this story: Pratish Narayanan at pnarayanan9@bloomberg.netRamsey Al-Rikabi

[digger]

I have waited a few days to cool off about this pathetic OI drilling results. You be the judge if this waiting has any value. Is this Kan Tan iv really that useless or are other factors coming into play? Perhaps the staff or the human resources are at fault. The performance does make one wonder if half the operators should have been left longer on drug recovery before being allowed back on the drilling rig. But another factor did also immediately cross my mind. Maybe the Kan Tan operators are playing the cash up JV for a ride. After all who is the winner with these continued faults and breakdowns. We certainly know who is the losers are. In fact why should the drillers bother trying to be successful with their drilling when failure is so profitable.
After Pateke H-4 I breathed a sigh of relief as now the Kan Tan only had to drill vertically. I can see problems with horizontal drilling but vertical wells have been drilled for over a hundred years now so the sorts of problems you get can mostly be expected in advance. I can not find a single valued reason why a vertical well can not be drilled in this day and age that required these problems.
Another thought to explain this mess is that one or more individuals want to buy the Kan Tan cheap so are deliberately stuffing things up so they can buy it for scrap value. If so they are well on their way as the record the Kan Tan is leaving behind here will not serve them in the future.

I would like to call on NZO and the JV partners to put a limit on how far they will allow this low balling with the Kan Tan to continue. If the Drillers can not or will not successfully drill this straight forward well then leave it as the mess it is before giving any more money to these drillers.
Another thought---are they from Nigeria

Balance will certainly be right if NZO ever undertakes drilling with this lot again.

[brucey09]

Snr. Digger
As I am saying NZzzzzzzzzzO paying much too much for sleepy staff and poor decisions - yes?
As you say "clapped out rig"

[Balance]

Snr. Digger
As I am saying NZzzzzzzzzzO paying much too much for sleepy staff and poor decisions - yes?
As you say "clapped out rig"

Karma - NZOG will continue to blow its shareholders' funds down the proverbial.

[brucey09]

Snr Balance
Not Karma - no thinking quality - experts??


Karma - NZOG will continue to blow its shareholders' funds down the proverbial.

[Mr Tommy]

Before drilling started:
Gross drilling costs are estimated at USD27 million (New Zealand Oil and Gas share USD5 million).
Drilling starts and after ONE week...
The drilling programme is now planned to take up to 48 days at a cost of around USD40 million ($7.5 million to New Zealand Oil & Gas).

What sort of BS is this? How can the cost have gone up 50% only one week into a 6 week drilling ?

[Mr Tommy]

Oh it just gets better, they've slipped an extra 4.5m USD onto the bill. PPP must be squirming.

Pan Pacific Petroleum (“PPP”) has been advised by AWE, the Operator of permit PMP38158 that after undertaking a further review of the estimated well costs for Oi-1 and Oi-2 the revised total is now estimated at US$44.5m

[BIRMANBOY]

I'm knowingly and relatively intelligently depositing 7.8% gross dividends. Term deposit is 4.2 % ...By my reckoning that would make NZO SH pretty happy but tunnel vision is rampant everywhere of course...holders and non..just providing an answer to your query since you apparently lack peripheral vision.
After all the issues highlighted on here, why would anyone (knowingly and intelligently) hold NZO?

[fabs]

Karma - NZOG will continue to blow its shareholders' funds down the proverbial.

Hey Bal,
can you give us just a glimpse what sort of KARMA is in store for the likes of, Hitler, Stalin, 2 x Bushes, Blair, Cameron and Obama.
Would 10 million horrible reincarnations be a start?
Just like to get an opinion from an Expert, as i am a total Mushroom on that subject.
Have a nice one!
Regards Dividend payments,answer lies in what is ultimately happening how much will your share holding be worth at the point the dividends stop, is the loss greater on the then value than what you got in dividend pay-outs, or are you ending up having been chasing you tail?

[ziggy415]

I wonder if the Kan tan iv is cheaper than most other rigs...why else would they use it but according to ppp the drill cost are written against Tui so thats some comfort but if the buy back from ppp is 7 times the drill cost at best case it wont be worth increasing from 18% to 27%

[Banksie]

I dunno, I think NZO may have been pretty shrewd on this deal. They are spending $7.5m on a potential 2m barrels return, that they reckon has a 16% chance of success.

[brucey09]

Snrs.
NZzzzzzzzzzzzzO has PPP incest - 28%. Yes ?

[ziggy415]

Snrs.
NZzzzzzzzzzzzzO has PPP incest - 28%. Yes ?
bwucey.....incest is when you have sex with your daughter.....nzo seems to be screwing with their shareholders but thats not incest either.......nzo owns 15% of ppp...if thats your question:t_up:

[ziggy415]

Snrs.
NZzzzzzzzzzzzzO has PPP incest - 28%. Yes ?
bwucey.....incest is when you have sex with your daughter.....nzo seems to be screwing with their shareholders but thats not incest either.......nzo owns 15% of ppp...if thats your question:t_up:

[Queenstfarmer]

Currently 4cents up thus far and fast approaching 1mil shares traded. The buy and sell side volumes in no way related to today's volumes. I'm happy to sit back and watch this circus. A delayed negative announcement on Tuesday. ..a big drop...now recovering. Leaves one wondering, does it not???

[ziggy415]

Currently 4cents up thus far and fast approaching 1mil shares traded. The buy and sell side volumes in no way related to today's volumes. I'm happy to sit back and watch this circus. A delayed negative announcement on Tuesday. ..a big drop...now recovering. Leaves one wondering, does it not???
maybe kisaran in indonesia announcement or maybe iraq.....either way shareholders will be the first to know...lol

[Casino]

I wonder if the Kan tan iv is cheaper than most other rigs...why else would they use it but according to ppp the drill cost are written against Tui so thats some comfort but if the buy back from ppp is 7 times the drill cost at best case it wont be worth increasing from 18% to 27%

I was wondering the same. If 25 extra days bring the cost up by 13m, day rates must be close to what you pay for ultra-deep sea drilling.

[arjay]

Currently 4cents up thus far and fast approaching 1mil shares traded. The buy and sell side volumes in no way related to today's volumes. I'm happy to sit back and watch this circus. A delayed negative announcement on Tuesday. ..a big drop...now recovering. Leaves one wondering, does it not???

Perhaps just an over-reaction to the Tuesday announcement. The extra cost involved represents the value of around 20,000 barrels only, so if there is 2 million barrels down there for NZO the extra cost will be so low it will be within the margin of error.

[lambton]

Perhaps just an over-reaction to the Tuesday announcement. The extra cost involved represents the value of around 20,000 barrels only, so if there is 2 million barrels down there for NZO the extra cost will be so low it will be within the margin of error.

Agreed. Been in and out of this share a number of times (currently in) and who would know, too many players??? Buy low sell when you are ahead seems to work for me.

[fabs]

Russia Is Doing It – Russia Is Actually Abandoning The Dollar

By June 12, 2014
Michael Synder — The Economic Collapse June 11, 2014

Just wondering how many Mill.$ NZO is still holding in US currencies?
The co. has a well paid Financial Expert on board, would be interesting to learn what contingency plans are in place and what is the amount at present?

[Queenstfarmer]

A small bone to pick!!
I was rather annoyed on learning earlier this year, that the 3 cent divided, NZO declared in March had no imputation credit attached to it. The three previous payments had all had imputation credits attached. For those with reasonably sized holdings, this has significant impact on their income overall.
I feel NZO is being extremely tight to say the least...a bundle of cash sitting in the bank and screwing shareholders of another 33% of potential income.
Come on NZO...all we can see in the bank is the same figure you accumulated from the 150 million capital raising, back in 2008.
Perhaps Zeta can have more punch in getting them to give some of this back, otherwise it will disappear on retirement packages, consultancy fees and xmas parties!!!

Ps...thought id leave "Dry holes also" to Balance.

[winner69]

A small bone to pick!!
I was rather annoyed on learning earlier this year, that the 3 cent divided, NZO declared in March had no imputation credit attached to it. The three previous payments had all had imputation credits attached. For those with reasonably sized holdings, this has significant impact on their income overall.
I feel NZO is being extremely tight to say the least...a bundle of cash sitting in the bank and screwing shareholders of another 33% of potential income.
Come on NZO...all we can see in the bank is the same figure you accumulated from the 150 million capital raising, back in 2008.
Perhaps Zeta can have more punch in getting them to give some of this back, otherwise it will disappear on retirement packages, consultancy fees and xmas parties!!!

Ps...thought id leave "Dry holes also" to Balance.

Problem appears to be that they dont have enough imputation credits to attach to that dividend. Still could have been partly imputed by looks of it.

Send them an email to ask why no imputation credits this .....might be a reasonable explanation

[fish]

Problem appears to be that they dont have enough imputation credits to attach to that dividend. Still could have been partly imputed by looks of it.

Send them an email to ask why no imputation credits this .....might be a reasonable explanation


Leaving so much money in the bank in us dollars earning no interest is frankly stupid.
Since the money raised hasnt been needed some could be returned.
A capital return would not need to be taxed and makes good sense.
It is clear high oil prices are here to stay and with kupe and a greater share of tui income future funding could come from income streaming .

[fabs]

WELL, WELL!!!
some immediate strong PR from Staunch S/Hs required here, to stop the growing number of M/Rs waking up.

[neopoleII]

go nzo go nzo go nzo
really!......
My 10 gallon hat is still......... on layby after many years of being a shareholder.
Anyone got news or a timeline update from the twin Indonesia drills? time just seems to slip by with not much news.

[Queenstfarmer]

Actually neopolell...that was going to be today's bone to pick. 18 months on from the drill start in Indonesia. ..shareholders are none the wiser??

[arjay]

Actually neopolell...that was going to be today's bone to pick. 18 months on from the drill start in Indonesia. ..shareholders are none the wiser??


Indonesia.... Indonesia...... say, isn't that somewhere near Tunisia?

[ziggy415]

Actually neopolell...that was going to be today's bone to pick. 18 months on from the drill start in Indonesia. ..shareholders are none the wiser??
to be fair they did say it was a 12 month process to get a plan of development past the indo government.....from what i understand, the indo government reimbursse the drill cost but take a bigger chunk of the profits and give a lease on the land in this case till 2025...( i think)....from memory the process was started in September or october so still we wait and wait

[Queenstfarmer]

Don't tell me there's going to be an Oi3??

[zigzag]

Don't tell me there's going to be an Oi3??

Also known as - oi oi oi !!!

[Queenstfarmer]

Ya ya...and I've got a ziggy and a zigzag above and below me.
Awe on a slide also towards the end of their trading day.
I guess all us honest people will find out the news on Tuesday?

[neopoleII]

really?.......... 3 holes?
if so....... the "roof" of the resivour must be fractured or leaking like a sieve..... any point continuing?
or is this just stirring?

[lambton]

really?.......... 3 holes?
if so....... the "roof" of the resivour must be fractured or leaking like a sieve..... any point continuing?
or is this just stirring?

last notice to NZX was 17/6 - a 3rd well because of the above is news to me as it is obviously to the NZX. So shouldn't our market dogs being having a look at a possibility that a number of $718k trades were potential insider transactions?

[fish]

[QUOTE=neopoleII;487651]really?.......... 3 holes?
if so....... the "roof" of the resivour must be fractured or leaking like a sieve..... any point continuing?

Nobody knows.Dont lose any sleep-i bought today and the small drop at the end doesnt bother me.
This time they are drilling a big reinforced hole-might take a bit longer but they will get through.
Iraq is unlikely to be exporting the massive expansion in supplies as planned.
I would imagine american oilers will be leaving-could be forever-who knows
Increased summer demand so price of oil is rising-brent now $115.
$nz rising today so i think overseas institutions might have sold nz stocks to take a profit

Pateke extension plus purchase of mitsui share tui looks as if the timing was lucky .
Hopefully we will be getting some imputation credits with the next dividend

[arjay]

Are NZO holders a bit jealous that another, tiny company has easily found oil in the South Island (onshore I might add) and is now looking to expand its drilling program?

http://www.energyglobal.com/news/exploration/articles/Mosman_Oil_and_Gas_to_extend_New_Zealand_explorati on_programme.aspx#.U6Sah0GxWKA

Good luck to them - NZO made lots of 'discoveries' in the same area years ago (as did other companies). Lots of little bits of oil have been found around the Kotuku/Brunner area but is the geology really up to forming a decent reservoir? Who knows, maybe these guys will be lucky....

[zigzag]

Are NZO holders a bit jealous that another, tiny company has easily found oil in the South Island (onshore I might add) and is now looking to expand its drilling program?

http://www.energyglobal.com/news/exploration/articles/Mosman_Oil_and_Gas_to_extend_New_Zealand_explorati on_programme.aspx#.U6Sah0GxWKA

Just how much oil have they found?

[lambton]

Good on them. We need more discoveries. No not jealous.

[ziggy415]

any truth in the rumour nzo buying 30% of mossman

[ziggy415]

JAKARTA, June 23 (Reuters) - Indonesia's energy and mining ministry on Monday awarded its second shale gas exploration block to a consortium of foreign oil firms that included New Zealand Oil & Gas Ltd.
The New Zealand company, along with Canada's Bukit Energy and Pacific Oil & Gas Ltd in Hong Kong, won the tender to explore the Kisaran block in North Sumatra, said Saleh Abdurrahman, the ministry's spokesman.
The consortium agreed to commit more than $11.5 million, which will go to conducting a geology and geophysics study, a seismic survey and to dig at least one exploration well.
Monday's announcement comes more than a year after Indonesia's state-owned Pertamina won the country's first shale gas block, also located in North Sumatra.
Indonesia hopes shale gas output can help compensate for declining energy production from mature oil and gas fields.
The former OPEC member has been struggling for years to attract enough investment to halt declining domestic output, which has dropped to about half of its 1995 peak of 1.6 million barrels per day. (Reporting by Wilda Asmarini, editing by David Evans)

[Snow Leopard]

JAKARTA, June 23 (Reuters) - Indonesia's energy and mining ministry on Monday awarded its second shale gas exploration block to a consortium of foreign oil firms that included New Zealand Oil & Gas Ltd...

But no announcement to the market from NZO yesterday or today :scared:

Do you think they know yet? :D

Best Wishes
Paper Tiger

[Snow Leopard]

After the parliamentary elections in early April we are two weeks away from the presidential elections on 9 July.

The flags and banners are out, the supporters motorcycle convoys are cruising the roads and the candidate debates are on TV.

My political expert informs me that both candidates could possibly announce something popular, such as further limiting foreign interests in Indonesian resources.

Best Wishes
Paper Tiger

[ziggy415]

But no announcement to the market from NZO yesterday or today :scared:

Do you think they know yet? :D

Best Wishes
Paper Tiger
ha ha...you should be a comedien:t_up:....but you may also be correct

[Queenstfarmer]

One starts to get the feeling that management are more than happy to keep the sp well south of a buck for as long as possible. ..makes the poultry 6 cent divided look that much better. Whilst there's big bucks sitting in the bank for a longer period of time ...they feel secure in knowing their wages are taken care of. Perhaps a zero bank balance would create more insensitive to come out with regular positive announcements. ...eg, the latest in Indonesia and perhaps the long overdue announcement in the oil discovery over there???

[ziggy415]

(Whilst there's big bucks sitting in the bank for a longer period of time) ...slowly disappearing i might add.....No announcement on quantities in Pateke so one must assume cost to drill and extraction are close to equal....oi costing more than estimated...throw in zero return from Matuku and even true noggers must be wondering......few more on the buy side last couple of days maybe announcement coming....hope its not new permit in indonesia cos we already know that:t_down:

[digger]

The most positive of all is the absence of Balance. The negatives at this low price must be getting hard to find.
The cost benefit drilling being done by the Kan Tan IV are indeed not that positive. Think around about September we were to hear something about where we stand with Indonesia and as that is tied up with the Indonesia authorities there is little point going on about it.
Likewise the final first estimate from Pateke usually always takes some months so that is still in the pipeline.

[Balance]

The most positive of all is the absence of Balance. The negatives at this low price must be getting hard to find.
The cost benefit drilling being done by the Kan Tan IV are indeed not that positive. Think around about September we were to hear something about where we stand with Indonesia and as that is tied up with the Indonesia authorities there is little point going on about it.
Likewise the final first estimate from Pateke usually always takes some months so that is still in the pipeline.

You missing me, Digger?

I am touched.




:D

[ziggy415]

[QUOTE=Balance;488838]You missing me, Digger?

I am touched.

Is that it.....Ye gods Balance whats happened ;)


:D suppose you sit down on a saturday night and watch "my kitchen rulz" lol

[Balance]

[QUOTE=Balance;488838]You missing me, Digger?

I am touched.

Is that it.....Ye gods Balance whats happened ;)


:D suppose you sit down on a saturday night and watch "my kitchen rulz" lol

Digger has dug himself into every conceivable hole a digger could ever dig.

Why squeeze the lemon further?

[arjay]

One starts to get the feeling that management are more than happy to keep the sp well south of a buck for as long as possible. ..makes the poultry 6 cent divided look that much better. Whilst there's big bucks sitting in the bank for a longer period of time ...they feel secure in knowing their wages are taken care of. Perhaps a zero bank balance would create more insensitive to come out with regular positive announcements. ...eg, the latest in Indonesia and perhaps the long overdue announcement in the oil discovery over there???

eh what? are NZO investing in Inghams now?

[biker]

eh what? are NZO investing in Inghams now?

Yes, and very insensitive poultry it is too

[digger]

[QUOTE=ziggy415;488854]

Digger has dug himself into every conceivable hole a digger could ever dig.

Why squeeze the lemon further?

You got the colour right Balance but the yellow thing I am hanging onto with both hands is not a lemon but a large gold nugget. But you know that anyways so why squeeze the issue further.
Cheers.

[Balance]

[QUOTE=Balance;488875]

You got the colour right Balance but the yellow thing I am hanging onto with both hands is not a lemon but a large gold nugget. But you know that anyways so why squeeze the issue further.
Cheers.

Digger, me thinkth you need to give what's in your hands a smell - something else can be yellow color too!

Remember you thought Pike River was going to be a gold mine for Noggers?


:D

[Queenstfarmer]

eh what? are NZO investing in Inghams now?
Yes arjay...chicken feed. Although it took many years for NZO to start paying dividends...they started off with 10cents in that first year and since getting shareholders to cough up 150 million...shareholder wealth and returns have been sliced considerably.
So yes a poultry 6 cent divided..

[arjay]

Yes arjay...chicken feed. Although it took many years for NZO to start paying dividends...they started off with 10cents in that first year and since getting shareholders to cough up 150 million...shareholder wealth and returns have been sliced considerably.
So yes a poultry 6 cent divided..

Reminds me of 'The King' who always accused NZO of chasing after three-legged chickens.

[Queenstfarmer]

Remember Chris Roberts Arjay?? Shame he's not around these days to put his 2 cents in, in response to negative feedback. I'm sure NZO have a watchdog checking in on business from time to time. That's my motivation! !

[arjay]

Remember Chris Roberts Arjay?? Shame he's not around these days to put his 2 cents in, in response to negative feedback. I'm sure NZO have a watchdog checking in on business from time to time. That's my motivation! !

NZO have had a string of public relations officers, but Chris Roberts was the only one who interacted with shareholders. He is definitely missed.

[Onthemoney]

NZO have had a string of public relations officers, but Chris Roberts was the only one who interacted with shareholders. He is definitely missed.

BWR was not too bad either one of the first to start commenting on NOG threads.

[arjay]

Indeed - BWR was the best and it wasn't even his job to talk to us peasants. Fortunately, we now have Balance filling in for them.

[digger]

Indeed - BWR was the best and it wasn't even his job to talk to us peasants. Fortunately, we now have Balance filling in for them.

Unfortunately Balance has shown he can not tell the difference between a solid rock of gold ,a lemon and a hand full of sh-t being blinded by the yellowness.

He certainly is a early indicator that something is not 100% with NZO. One whiff of trouble and Balance is beside himself with joy and postings. Mushrooms,etc that sort of informative stuff.
However I feel that NZO holders would not leave home without him. LOL to you Balance

[hilskin]

Agreement reached on Kupe overriding royalty8:53am, 1 Jul 2014 | GENERALAgreement has been reached between New Zealand Oil & Gas and Genesis Energy over the payment of overriding royalties from the Kupe oil and gas field.
The agreement will increase New Zealand Oil & Gas net profit after tax for the 2013-14 financial year by $5 million. The impact in the 2013-14 financial year will reflect payments relating to that financial year as well as for prior years. New Zealand Oil & Gas expects its future revenue from Kupe will increase by $1-2 million each year.
The overriding royalty has been under negotiation for several years. Negotiations are continuing with another Kupe partner, Origin Energy.
The royalty arrangements originate from a series of transactions in the 1980s, when National Petroleum acquired an 89 per cent interest in what was then a prospecting licence in Kupe. As part of the acquisition, National Petroleum agreed to pay overriding royalties to the parties it acquired its interest from.
Complex corporate reorganisations and transfers since have affected those arrangements. The effect is that an overriding royalty is payable to New Zealand Oil & Gas for petroleum produced from the Kupe licence area. The calculation of the value payable has been the subject of negotiation, which has been disclosed in financial accounts for recent years as a contingent asset.
"New Zealand Oil & Gas is pleased to conclude negotiations with Genesis Energy on mutually satisfactory terms," New Zealand Oil & Gas chief executive Andrew Knight says.

[the machine]

excellent plus for nzo

M

[the machine]

excellent plus for nzo

M

[Banksie]

Which is already written off on Oi-2...

Jesus wept...

Was just about to say....Kupe giveth, and Oi taketh away.

Edit: I am starting to believe balance's karma BS.

[notie]

Was just about to say....Kupe giveth, and Oi taketh away.

Edit: I am starting to believe balance's karma BS.

Just wait until NZOG drill Kaheru, then you'll see money going out the door

[Xerof]

excellent plus for nzo

M

not really, the backlog is in the accounts as a contingent asset:scared:

[nextbigthing]

Was just about to say....Kupe giveth, and Oi taketh away.

Edit: I am starting to believe balance's karma BS.

Please don't encourage him.

[Bella52]

no it's not, they put it as a note disclosure not as an asset in balance sheet. good to see them continuing to sort out the legacy mess.

[Xerof]

quite right Bella, it was a note, sorry my bad. 5m impact in 13/14, and 1 to 2m thereafter

[ziggy415]

Genesis has 31%....origin has 50% of kupe,can noggers expect some more royalties of the same value from origin

[Queenstfarmer]

Will certainly be interesting to see if NZOG can drag the same out of Origin and going on percentages..7.5 -8 million upfront and 2-3 million in revenue thereafter?

[neopoleII]

costs now up to us$50million...... it seems that the best money spinner in town is supplying services
to oil explorers.... ie drilling, and extraction and supplying goods and services.

reminds me of the old gold rush days.........
many folks flocked to the gold fields and bought supplies, tools and services from the "general store"
most folks went out and prospected and failed...... some found enough to equal a daily wage.....
and a very few found a lode.
those that found a lode sold it to the general store........
the general store owner got rich, most of the prospectors didnt.
so...... besides a fancy office and computers and "selected" staff and management.....
what does NZO really have?
Maybe NZO should buy a shareholding, with its $100 odd million, in a drill rig provider.....
it seems to be a very good income earner, with zero risk.

[digger]

costs now up to us$50million...... it seems that the best money spinner in town is supplying services
to oil explorers.... ie drilling, and extraction and supplying goods and services.

reminds me of the old gold rush days.........
many folks flocked to the gold fields and bought supplies, tools and services from the "general store"
most folks went out and prospected and failed...... some found enough to equal a daily wage.....
and a very few found a lode.
those that found a lode sold it to the general store........
the general store owner got rich, most of the prospectors didnt.
so...... besides a fancy office and computers and "selected" staff and management.....
what does NZO really have?
Maybe NZO should buy a shareholding, with its $100 odd million, in a drill rig provider.....
it seems to be a very good income earner, with zero risk.

Neopole11, I have been saying this for so long I say you are stealing the idea from me. Actually at last AGM spent some time discussing that point with two directors.
Drillers are in clover. Where else can you get so much reward for failure. In fact with the way the JVers are treating the TAN KAN 1v failure is success,at least for the drillers anyways.

[digger]

Balance is that you driving the price up with your stake taking. Yes I do miss you. Almost wish the price would fall back as your hourly blast at NZO is getting tooooo thin these days.
Cheers anyways.

[ziggy415]

reminds me of the old gold rush days.........
many folks flocked to the gold fields and bought supplies, tools and services from the "general store".....Will have to take your word on that Nepole11....dont think i was born...what was it like without electricity?...:D....I see PPP gave bit more info on last oi post.....f10 sandstone to be reached in 4 to 5 days.......does seem a bit soon tho

[swissboy]

AWE state it will take approx. 40 days to get to F10 sands more likely

[rbel038]

Oi-2 full of water, perhaps we can pump it out and bottle it ? haha

8 July 2014
Oi-2 reaches total depth
The Oi-2 well in Petroleum Mining Permit 38158, offshore Taranaki, New Zealand, reached a
total depth of 3,908 metres at 8.45 last night, the operator has advised.

The well intersected the primary target Kapuni F10 sands and underlying secondary targets.
No significant oil shows were encountered and real time well data indicated that the reservoir
is water bearing.

Operations began last night to retrieve the bottom hole assembly. At 6.00AM the bottom hole
assembly was at 3,450 metres and continuing to be pulled out of the hole. The next
operation will be to plug and abandon the well.

New Zealand Oil & Gas participated in the Oi well at reduced equity, and before drilling
assessed the geological chance of success at 17 per cent.

Oi is about 37 kilometres off the coast of Taranaki, New Zealand, in about 120 metres of
water.

The joint venture partners in the Oi exploration well are:
AWE Limited: 31.25% (Operator).
Pan Pacific Petroleum: 50%
New Zealand Oil & Gas (through subsidiary): 18.75%.

The Joint Venture partners in PMP 38158 are:
AWE Limited (Operator) 57.5%
New Zealand Oil & Gas (via subsidiaries) 27.5%
Pan Pacific Petroleum (via subsidiaries) 15%

[Balance]

Until NZOG acts honorably over the deaths of the 29 Pike River Coal miners, karma will ensure this company cannot prosper.

[Beagle]

Until NZOG acts honorably over the deaths of the 29 Pike River Coal miners, karma will ensure this company cannot prosper.

I was a shareholder in NZO at the time and I really think from a commercial perspective the company acted very reasonably towards PRC, propping it up and keeping it going when it was clearly insolvent and had no hope.
S#it happens, risks are taken and people need to move on.
NOG or should that be DOG ? simply cannot win with the current costs of drilling and has been poorly managed for years in my opinion so I was out ages ago but couldn't resist adding my 2 cents :).
Might as well invest in the drillers themselves. Heads you win, tails you win.

[Balance]

I was a shareholder in NZO at the time and I really think from a commercial perspective the company acted very reasonably towards PRC, propping it up and keeping it going when it was clearly insolvent and had no hope.
S#it happens, risks are taken and people need to move on.


NZOG kept PRC going to recover as much as they could - not because NZOG was acting honorably or in PRC's interests.

NZOG was the one which kept pumping money and provided support to PRC even while PRC grossly mismanaged everything which could be mismanaged - mine development, safety etc.

Without NZOG's sponsorship and support, PRC would not have been able to continue with its gross mismanagement - which ultimately led to the explosion.

[fabs]

Did karma forget to suck the oil out of Pateke-4H before they got the production liner in?

Just a re-distribution of share holders wealth to a very smart Drill operator, no great
loss to management, still well taken care off.
NZO hemorrhaging more equity in ppp as well.

[Beagle]

NZOG kept PRC going to recover as much as they could - not because NZOG was acting honorably or in PRC's interests.

NZOG was the one which kept pumping money and provided support to PRC even while PRC grossly mismanaged everything which could be mismanaged - mine development, safety etc.

Without NZOG's sponsorship and support, PRC would not have been able to continue with its gross mismanagement - which ultimately led to the explosion.

Both companies were grossly mismanaged in my opinion mate. The final advance, I forget was it about $10m to PRC ? was made when it was abundantly clear to any impartial external observer that PRC were insolvent, (I'm talking about after the explosion). Gross commercial recklessness, vague hope of recovering money from the receiver or some care for PRC workers families or mixed motives, who could seriously put their hand up and be the judge ?
Its time to move on though, don't you think ?

[Balance]

Both companies were grossly mismanaged in my opinion mate. The final advance, I forget was it about $10m to PRC ? was made when it was abundantly clear to any impartial external observer that PRC were insolvent, (I'm talking about after the explosion). Gross commercial recklessness, vague hope of recovering money from the receiver or some care for PRC workers families or mixed motives, who could seriously put their hand up and be the judge ?
Its time to move on though, don't you think ?

Not until NZOG do the ethically and morally right thing. The deaths of 29 miners must not allowed to be forgotten because at this day and age, it should never have been allowed to happen.

[digger]

Bugger. Guess the only clear winners were the drillers.
so the big question now is where did the oil from TUI come from.
I am for going back to the Kakapo prospect that we dropped to drill OI, although I was very much in favour of drilling OI.
Bugger

[ziggy415]

Not until NZOG do the ethically and morally right thing. The deaths of 29 miners must not allowed to be forgotten because at this day and age, it should never have been allowed to happen.

Balance..we have the same with the cctv building in Christchurch...an engineer with dubious qualifications...others that refuse to attend inquieries...and 129 killed...seems nz inc will always be a third world country....we always say it must never happen yet somehow it carries on

[rbel038]

Second annoucement:


New unconventional interest in Indonesia

12:58pm, 8 Jul 2014 | GENERAL

The right to explore for 'unconventional' oil and gas resources in Central Sumatra, Indonesia, has been awarded to a consortium in which New Zealand Oil & Gas holds an 11.25 per cent interest.
Central Sumatra is one of the major oil producing basins in South East Asia. The MNK Kisaran production sharing contract covers a substantial sub-basin in the same area as the conventional Kisaran production sharing contract where the consortium partners last year successfully drilled for oil and gas. A plan of development for that discovery is currently being prepared, and is expected later this year.
The MNK Kisaran production sharing contract has been formally initialled today. It is one of the first PSCs for unconventional oil and gas resources issued in Indonesia. It is the first time New Zealand Oil & Gas has had exposure to prospective oil and gas resources that qualify for concessional Indonesia government terms. Without those concessions the resources could not be developed commercially.
Unconventional resources are those where substantial volumes of oil and gas are believed to be trapped in rocks, but the rate of production is severely limited by low permeability. Commercial development of some of these types of rock has been made possible by new extraction technology, particularly in North America.
The consortium will study the effective application of these technologies in onshore Sumatra over the next three years. The first firm, three-year exploration work commitment includes geological and geophysical studies in each year and drilling a vertical exploration well in year three.
The MNK Kisaran partners are:
New Zealand Oil & Gas: 11.25%
Bukit Energy 33.75%

Pacific Oil & Gas 55%

[Bella52]

Not until NZOG do the ethically and morally right thing. The deaths of 29 miners must not allowed to be forgotten because at this day and age, it should never have been allowed to happen.

balance, you've been going on about PRC for yonks, looks like the police etc aren't going to do anything about it. If you really care so much you should do something positive about it rather than just the usual blah blah here.

this well had nothing to do with Karma, it was expected to fail!!, NZO and AWE didn't really back it but might have worth the risk if PPP was going to pay for it.

[Billy Boy]

Bugger. Guess the only clear winners were the drillers.
so the big question now is where did the oil from TUI come from.
I am for going back to the Kakapo prospect that we dropped to drill OI, although I was very much in favour of drilling OI.
Bugger
Well Digger... They new there was something in OI, turned out to be water, BUGGER. Could have gone the other way.
Oh well, swallow the old Kumara, and lets go again.
BB

[Beagle]

Not until NZOG do the ethically and morally right thing. The deaths of 29 miners must not allowed to be forgotten because at this day and age, it should never have been allowed to happen.
PRC was an associated entity mate. NZO had no commercial obligation whatsoever to throw that last $10m of so at it after it was clear PRC had no hope of continuation i.e after the mine explosion. In doing so NZO enabled PRC to pay out the preferential creditors, (miners and contractors wages), which would otherwise have been unpaid. Miners know its not a risk free occupation, never has been and never will be. Many mistakes by all sorts of people were made, not the least of which from management if you can call it that of PRC itself. I actually think NZO was very reasonable with commercial support for an associated entity but I guess some people still want too attribute blame to someone, anyone, if it makes them fell better or numbs the pain a bit.

But this is a sharetrader site and NZO thread and honestly mate I reckon your comments would be better placed in a more appropriate thread / site.

[ziggy415]

Well Digger... They new there was something in OI, turned out to be water, BUGGER. Could have gone the other way.
Oh well, swallow the old Kumara, and lets go again.
BB

to be fair nzo did say that the f 10 sandstone was the same in oi as tui but the resistivity was different and they were not 100% convinced of a find.....water and oil have a different resistence

[Beagle]

Morality & Ethics are eternal values - they are valid where ever. The true measure of a company is how it behaves when there is a moral or ethical issue.
So NZO advancing another $10m after the explosion to PRC when they knew they had little chance of getting it back wasn't enough for you mate ?
Would you have NZO bankrupt itself, (exhaust all available cash resources) for the benifet of an associated commercial entity of which it was only a part shareholder and take an approach of no cost is too great even though it was already a given all the miners had perished ?
Commercial reality and moral or ethical issues need to be balanced so a fair approach can be progressed, fair to all stakeholders. I wasn't happy as a NZO shareholder seeing value being tipped down a black hole and lost thousands of dollars but accepted that NZO made what I believe was a reasonably fulsome commercial expenditure towards an associated commercial entity, (note not a subsidiary), on the basis that it was for the greater good.

[Billy Boy]

to be fair nzo did say that the f 10 sandstone was the same in oi as tui but the resistivity was different and they were not 100% convinced of a find.....water and oil have a different resistence
Yes of course..... But that which showed up on the sysmic indicated a reservoir, But what ???. If nog were sure it was 100% water they would'nt have drilled.
I think many posters here have lost sight of NOG's real purpose.
They are Oil & Gas 'EXPLORES' . they explore !!. (OK OK Balance & Pike)
At the end of the day they still have about $100K plus in the bank and pay 5 - 6c divvy on a 79c share, that's 7.59%. The fundies are a lot better that most.
Cheers BB

[Balance]

So NZO advancing another $10m after the explosion to PRC when they knew they had little chance of getting it back wasn't enough for you mate ?
Would you have NZO bankrupt itself, (exhaust all available cash resources) for the benifet of an associated commercial entity of which it was only a part shareholder and take an approach of no cost is too great even though it was already a given all the miners had perished ?
Commercial reality and moral or ethical issues need to be balanced so a fair approach can be progressed, fair to all stakeholders. I wasn't happy as a NZO shareholder seeing value being tipped down a black hole and lost thousands of dollars but accepted that NZO made what I believe was a reasonably fulsome commercial expenditure towards an associated commercial entity, (note not a subsidiary), on the basis that it was for the greater good.

Repeat - NZOG did not put money into Pike River post explosion because NZOG wanted to help the miners and others - it was to salvage part of their investment. And they did.

But NZOG was not prepared to do anything meaningful for the families of the dead minewrs.

Have a read, Roger - you may yet change your mind when you observe how complicit NZOG was in the disaster which claimed 29 lives.

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=10896096

"NZOG obviously wants to close the books on Pike River Coal as its chief executive said after Judge Farish's judgment. But its exposure to Pike River Coal's predicament is not simply a moral one.

It kept the funding tap going and kept pressure on for commercial results when the brakes, as its directors on the Pike River Coal board must have known, should have been applied."

[Beagle]

NZOG agreed that up to $10.5 million of the insurance proceeds should be directed to Pike River Coal's unsecured creditors (contractors and employees). Total payments under the plan were $9.2 million and enabled 240 unsecured creditors to be paid in full and 220 creditors to receive $10,000 plus 20c in the dollar owed.

Thanks for the link Balance. I don't agree with Fran OSullivan's point of view in its entirety but do agree that directors of PRC should be held to account for operational and safety shortcomings in the mine.
At the end of the day PRC was an associated entity, not a subsidiary so NZO's primary obligation is to its shareholders, not the unsecured creditors of an associated entity.
Notwithstanding that, as you can see from that extract they made a more than reasonable accommodation for them. The real scandal in my opinion relates to the criminal culpability of Whittall and the directors of PRC.
Its quite normal for pressure to be applied on associated entities to perform. to then try and argue NZO have a moral or ethical obligation for massive financial compensation towards affected people is an associated entitiy who knew there jobs involved genuine risk and who were effectivly paid risk money as part of their occupation, is drawing a very, very long bow in my opinion. It is what it is, nobody's going to forget what happened but its part of N.Z's history now and I understand wide ranging new safety measures have been implemented in the industry.

Fran OSullivan;'s attempt to put culpability upon NZO and thus impose a moral and ethical obligation doesn't wash with me.

[Balance]

Thanks for the link Balance. I don't agree with Fran OSullivan's point of view in its entirety but do agree that directors of PRC should be held to account for operational and safety shortcomings in the mine.
At the end of the day PRC was an associated entity, not a subsidiary so NZO's primary obligation is to its shareholders, not the unsecured creditors of an associated entity.
Notwithstanding that, as you can see from that extract they made a more than reasonable accommodation for them. The real scandal in my opinion relates to the criminal culpability of Whittall and the directors of PRC.
Its quite normal for pressure to be applied on associated entities to perform. to then try and argue NZO have a moral or ethical obligation for massive financial compensation towards affected people is an associated entitiy who knew there jobs involved genuine risk and who were effectivly paid risk money as part of their occupation, is drawing a very, very long bow in my opinion. It is what it is, nobody's going to forget what happened but its part of N.Z's history now and I understand wide ranging new safety measures have been implemented in the industry.

Fran OSullivan;'s attempt to put culpability upon NZO and thus impose a moral and ethical obligation doesn't wash with me.

Complicity - that's the operative word of the relationship between NZOG and PRC.

Without NZOG, PRC would have shut up shop and no miners would have died.

That is the long and short of it.

[robbo24]

Just so everyone knows in the future, if you believe that you are working in an unsafe environment then you should refuse to work.

If your employer dismisses you for doing so, then you are entitled to lost wages, hurt feelings compensation, lost benefits, etc, etc, etc.

Don't be complacent, take responsibility for your life.

[arjay]

Roger - please stop rubbing the lamp.

[Queenstfarmer]

Hey noggers...at least Balance can't go on about Oi 2 being a dry hole.
Need something light this morning. :)

[Beagle]

Edited...seems little point carrying on that particular debate.

[Balance]

Edited...seems little point carrying on that particular debate.

Roger, I would have hoped that we are all not guided purely by profit and legalistic interpretation of events.

There is such a thing as moral imperative - a higher calling than the ugly face of capitalism (which IMO has been shown by NZOG - the pursuit of profits at all costs).

For me, NZOG has failed the moral imperative. What was being asked of them was bugger all compared to the millions they poured down Pike River (recklessly).

They could have stood tall when they were found by the judge to be complicit in contributing to the deaths of the miners, and paid the compensation.

Instead, the directors, management and most shareholders decided they alone believe in what is right? "Total lack of remorse".

[Beagle]

Its clear that the $10.5m referenced in Fran O'sullivan's article wasn't enough for you. If NZO were motivated purely by a legalistic interpretation as you state, why did they allow unsecured creditors preference over preferential and secured creditors to the tune of this $10.5M ?

How much would be enough for you to feel NZO had done the right thing for the miners who lost their lives in this associated company ?

[Balance]

Its clear that the $10.5m referenced in Fran O'sullivan's article wasn't enough for you. If NZO were motivated purely by a legalistic interpretation as you state, why did they allow unsecured creditors preference over preferential and secured creditors to the tune of this $10.5M ?

How much would be enough for you to feel NZO had done the right thing for the miners who lost their lives in this associated company ?

NZOG did not do it out of the kindness of their heart, Roger.

This has been covered many times.

[Beagle]

Come on, answer the question, how much would be enough for you. $50m...$100m, $290m ?

[Balance]

Come on, answer the question, how much would be enough for you. $50m...$100m, $290m ?

Roger, how much did the judge asked NZOG to pay by way of compensation to the families of the dead miners?

You should know - that is the amount of blood money the directors, management and some shareholders of NZOG refused to pay.

To recap - NZOG promoted and sponsored Pike River Coal, seconded directors and management to the company, underwrote and put in ever more funds into Pike River even when Pike River went from mishap to mishap, delay to delay, cost over-run to cost over-run, warning after warning. Only when the mine exploded, killing 29 miners, did NZOG woke up to the gravity of what they had sponsored.

[Bella52]

Roger, I would have hoped that we are all not guided purely by profit and legalistic interpretation of events.

There is such a thing as moral imperative - a higher calling than the ugly face of capitalism (which IMO has been shown by NZOG - the pursuit of profits at all costs).

For me, NZOG has failed the moral imperative. What was being asked of them was bugger all compared to the millions they poured down Pike River (recklessly).

They could have stood tall when they were found by the judge to be complicit in contributing to the deaths of the miners, and paid the compensation.

Instead, the directors, management and most shareholders decided they alone believe in what is right? "Total lack of remorse".

Balance - once again a selective interpretation of the facts - The compensation order by the Judge has been fully paid, the judge identified a number of parties and without saying they were responsible said those parties could pay, it is a requirement that if a judge orders reparations that they know they can be paid. it was paid !!

[Balance]

Balance - once again a selective interpretation of the facts - The compensation order by the Judge has been fully paid, the judge identified a number of parties and without saying they were responsible said those parties could pay, it is a requirement that if a judge orders reparations that they know they can be paid. it was paid !!

Trying to rewrite history, Bella52?

http://tvnz.co.nz/national-news/nzog-shareholders-vote-against-pike-compensation-5663191

[Bella52]

Trying to rewrite history, Bella52?

http://tvnz.co.nz/national-news/nzog-shareholders-vote-against-pike-compensation-5663191

not as much as you - reparation was paid pre Christmas, from insurance not required because charges against Whittle were dropped.

[lambton]

Getting back to today I notice 5.5m shares going thru at around 80cents - dry hole and all. Someone knows something or just taking a punt?

[Balance]

not as much as you - reparation was paid pre Christmas, from insurance not required because charges against Whittle were dropped.

That was a different arrangement altogether to NZOG's directors and shareholders refusing to compensate the families of the dead miners.

[fish]

Getting back to today I notice 5.5m shares going thru at around 80cents - dry hole and all. Someone knows something or just taking a punt?

nzo did reduce their share on this drill and did warn that it had different resonance making it doubt the presence of hydrocarbons.
They hopefully will be gaining more knowledge on the migratory paths of the hydrocarbons.
Also don't forget a precedent has been sent with the gas royalties from kupe-should about cover nzo cost of the oi drilling .plus significant ongoing extra income.
so good news "balances" bad news

[minimoke]

Fran OSullivan;'s attempt to put culpability upon NZO and thus impose a moral and ethical obligation doesn't wash with me.
Let try an analogy.
Say you are a doting parent with a couple of somewhat demanding children, Benjamin and James keep banging on “Daddy, we want a puppy”. You’ve got a few dollars aside and figure “why not – it will enhance our family”.

Now, you think you are a bit of a canny investor so you have a couple of choices. You can go down to Animates and get a vaccinated purebred Spoodle which is guaranteed to be a beautiful animal – but its going to cost you a grand. Alternatively you can head down to the local pound and for a very small investment pick up something that no one else wants. But it does have potential!

You take option two. The nice and clearly enthusiastic (if not a bit dim) volunteer tells you about this lovely wee puppy. It’s a mongrel cross breed of uncertain origins. The suspicion is there is a bit of Rottweiler but clearly likely to have the possibility of some Retriever. You reckon with a bit of work this cute if somewhat raggedy animal will make a fine pet.

You’re a busy person so you make a deal with Benjamin – “I’ll buy the puppy but you have to be responsible for walking it and training it”. Young Ben has played with the neighbours animals so reckons he’s up for the job and the deal is sealed.

Anyway you get the puppy home (lets call him Fido – sounds nice and innocuous) and a few weeks later your newspaper is chewed to shreds. No big deal you didn’t really need the paper and anyway its all part of the learning. A few weeks after that your favourite slippers are torn to pieces. A bit of a trend perhaps but what’s a bit of harm on the merry path to a trained animal and a happy family.

Time goes on and your lawn ends up with all these dead spots and piles of sh$t everywhere. The kids have only been nipped once or twice – but really that was quite unforeseen and no-ones fault. It seems the dog has more Pit Bull than Retriever but you keep putting your hand in your pocket and buying food and telling Ben he’s doing a good job.

A couple of years later Ben decides to get a paper round out of the local dairy so James steps up as chief care giver and trainer of what is now quite a large and hungry animal. You keep spending more on its food but your family is content with the idea that this clearly Pit Bull mongrel will, one day be a beautiful pet.

Shortly after Ben has some mates around and Fido mauls the kids leaving one dead and the others irreversibly damaged.

Seems to me you just stand back and say “its not my fault – Its Ben and James.”

But you aren’t totally heartless. You visit the injured kids in hospital and give all the kids on the ward a bag of lollies. Of course you put Fido down – not much can be done with him now. But you sell his dog bowl and kennel. After all you may as well retrieve some of the cash you have spent on the animal and your family is looking forward to the holiday exploring Sumatra.

So now you sit on your front porch, watching these maimed kids ride by on their scooters. Part of your mind thinks “those naughty children must have been teasing Fido” but another part says “move on, I’m not to blame. I must have words with Ben about responsibility one day”

THE END

[Queenstfarmer]

So where do NZO fit into your story? Certainly not the dad and/or his sons.
Perhaps NZO helped with the costs for the annual inoculation at the vets and provided worm and flea treatments every 6 weeks. Stupid!!!

[neopoleII]

so what your saying is..... the experienced miners who worked in the mine and knew the dangers and what was happening in the environment they worked in,
and grasped the $10,000 bonus per person to get the coal out on time are nothing but dogs?

Im a simple man, but I know enough to know when my life is in danger.........
oh! the gas sensors a switched off.... I want the money.
No reasonable escape route....... I want the money.
That other guy over there smoking in the mine....... oh well I want the money.
mmmmm ....... things dont seem right here....... I want the money.
My boss will fire me if I complain...... I want the money.
Im an experienced miner on a huge salary with big bonuses ...... I love the money.........
shell be right....... I want the money.
the "suits" up top know what their doing and they are paying bonuses.......
I'll just ignore the problems and get the money.

how many experienced miners were working at PRC with their god fearing union reps backing them up to get super high salaries????
and no one said squat....... because.........
oh yeah..... I want the money, and am happy with any and all shortcuts...... cause I want the money.

BOOM

so who's fault is it?
IMHO..... its ALL those folks at the mine, from the boardroom to the coal cutter.
the coal cutter has an obligation to firstly conduct his job in a safe manor, to himself and those around him.
as an experienced coal cutter he is also responsible for the safety of himself and those around him.
if the coal cutter is unsure of his safety he is obliged to make that known to management to protect himself and the mine.
the coal cutter SELLS his services to the company via an employment contract...... ie HE signs up to be an employee to the company.
if you read any employment contract..... safety issues to the employee, the employer and the company are always on the front page.
the employer pays the employee to conduct the work that he is employed for in the interests of making the employer a profit.
but before the profit....... the employee must conduct the work in a safe manor ..... ordered by NEW ZEALAND employment law.
If there is a hazard or suspected problem or issue the employee...... being on the literal coalface..... has a legal obligation to report the issue.
if nothing is done to fix the issue the employee has many avenues to address this issue......
ie the union, the employment court, the media, etc.etc.


yet just before the explosion........ $10,000 bonuses were paid.

Personally, i have no respect for the management........ yet the experienced guys on the coalface didnt put tools down either.
And while the mine is still closed, there is still no definitive answer as to what happened.

And why is the tunnel still closed after all this time?
they could of cut two tunnels in this time span.

a very sad story of how things work in kiwi land in the last 30 or so years.
money money money....... from top to bottom.

[Queenstfarmer]

During the AGM in 2009, NZO stated that their future was not with coal and were only focused on oil and gas exploration. Perhaps as major "SHAREHOLDERS" their biggest mistake was not getting out sooner and making way for another company to come in and have more punch with the Greenies and push for a number of vents to be drilled through the mountain and down into the mine shaft to avoid the build up of methane inside the mine and also other safety measures that were not allowed to take place due to the Greenies.
NZO not only put money up front to keep going...what seemed to be a rescue at the time but continued on with contributions for some time after, when it was clear it was now a recovery operation.
When the first lump some of compensation was made available, NZO stepped aside whilst the BNZ had both hands out...and this allowed smaller creditors, both secured and unsecured to get some of their money back.

THE END

[Balance]

NZOG's biggest mistake was to close one eye to all the mishaps, costs over-runs, delays, equipment malfunction etc - pretending all was fine and money would fix.

One hundred alarm bells were ringing, many of them at the same time but the directors of NZOG were not listening.

[Balance]

So where do NZO fit into your story? Certainly not the dad and/or his sons.
Perhaps NZO helped with the costs for the annual inoculation at the vets and provided worm and flea treatments every 6 weeks. Stupid!!!

Don't despair, Minimoke - all non-Noggers get the analogy.

[Beagle]

During the AGM in 2009, NZO stated that their future was not with coal and were only focused on oil and gas exploration. Perhaps as major "SHAREHOLDERS" their biggest mistake was not getting out sooner and making way for another company to come in and have more punch with the Greenies and push for a number of vents to be drilled through the mountain and down into the mine shaft to avoid the build up of methane inside the mine and also other safety measures that were not allowed to take place due to the Greenies.
NZO not only put money up front to keep going...what seemed to be a rescue at the time but continued on with contributions for some time after, when it was clear it was now a recovery operation.
When the first lump some of compensation was made available, NZO stepped aside whilst the BNZ had both hands out...and this allowed smaller creditors, both secured and unsecured to get some of their money back.

THE END

That's also how I recall it. IIRC about $10m was injected by NZO after it was clear they were talking about a recovery operation and there was no reasonable commercial prospect of the mine recommencing operations. This money was advanced to an associate company and I emphasise that there was absolutely no commercial obligation whatsoever to do so. In my view this was extremely generous of NZO and showed genuine kindness to PRC miners families in a very difficult time as it allowed work to continue to try and recover the men's bodies. We also have the $10.5m that Balance was kind enough to remind us about, even though in my opinion it undermines his own argument, where NZO as a secured creditor stood aside and allowed unsecured creditors including some employees wages and contractors to have preference.
So that's about $20.5 million that I can recall from memory of money paid on a goodwill basis by NZO when there was no commercial or legal obligation to do so, or more than $700,000 per man lost. Whilst I acknowledge that its impossible to put a monetary value on a human life but by N.Z. standards that's a fulsome effort for a company to bring to the table of an associated entity, (not a majority owned subsidiary).
People who try and argue that NZO acted immorally or unethically could do well to consider that this terrible incident was caused by a failure of many parties to exercise due care and skill and that miners and contractors were extremely well paid for their skills and recognised the job wasn't without risk. In my opinion NZO stepped up to the plate in a more than fair and reasonable manner in the circumstances.
I'm moving on. There has to be better ways to spend my time, if some are determined to continue to take an unbalanced approach that's their prerogative.
Only God can be the Ultimate judge of where blame lies and to what extent each person / each entity has culpable or criminal liability. Its time to move on...

[Beagle]

Let try an analogy.
Say you are a doting parent with a couple of somewhat demanding children, Benjamin and James keep banging on “Daddy, we want a puppy”. You’ve got a few dollars aside and figure “why not – it will enhance our family”.

Now, you think you are a bit of a canny investor so you have a couple of choices. You can go down to Animates and get a vaccinated purebred Spoodle which is guaranteed to be a beautiful animal – but its going to cost you a grand. Alternatively you can head down to the local pound and for a very small investment pick up something that no one else wants. But it does have potential!

You take option two. The nice and clearly enthusiastic (if not a bit dim) volunteer tells you about this lovely wee puppy. It’s a mongrel cross breed of uncertain origins. The suspicion is there is a bit of Rottweiler but clearly likely to have the possibility of some Retriever. You reckon with a bit of work this cute if somewhat raggedy animal will make a fine pet.

You’re a busy person so you make a deal with Benjamin – “I’ll buy the puppy but you have to be responsible for walking it and training it”. Young Ben has played with the neighbours animals so reckons he’s up for the job and the deal is sealed.

Anyway you get the puppy home (lets call him Fido – sounds nice and innocuous) and a few weeks later your newspaper is chewed to shreds. No big deal you didn’t really need the paper and anyway its all part of the learning. A few weeks after that your favourite slippers are torn to pieces. A bit of a trend perhaps but what’s a bit of harm on the merry path to a trained animal and a happy family.

Time goes on and your lawn ends up with all these dead spots and piles of sh$t everywhere. The kids have only been nipped once or twice – but really that was quite unforeseen and no-ones fault. It seems the dog has more Pit Bull than Retriever but you keep putting your hand in your pocket and buying food and telling Ben he’s doing a good job.

A couple of years later Ben decides to get a paper round out of the local dairy so James steps up as chief care giver and trainer of what is now quite a large and hungry animal. You keep spending more on its food but your family is content with the idea that this clearly Pit Bull mongrel will, one day be a beautiful pet.

Shortly after Ben has some mates around and Fido mauls the kids leaving one dead and the others irreversibly damaged.

Seems to me you just stand back and say “its not my fault – Its Ben and James.”

But you aren’t totally heartless. You visit the injured kids in hospital and give all the kids on the ward a bag of lollies. Of course you put Fido down – not much can be done with him now. But you sell his dog bowl and kennel. After all you may as well retrieve some of the cash you have spent on the animal and your family is looking forward to the holiday exploring Sumatra.

So now you sit on your front porch, watching these maimed kids ride by on their scooters. Part of your mind thinks “those naughty children must have been teasing Fido” but another part says “move on, I’m not to blame. I must have words with Ben about responsibility one day”

THE END

I will respond too that as I'm a dog lover. Firstly I have 3 dogs, all pedigree and ironically enough they did cost $1,000 each and I love dogs which is the reason I read your full novel. Essentially your argument / analogy boils down too should owners of dangerous breeds pay serious reparation to injured parties ? Perhaps the question should be, should we allow dangerous dog breeds in the first place ? Do you see my analogy ?
Was it really wise to allow the greenies to compromise the venting ability of the underground mine just so whatever snails, weta's or cockroaches or whatever the heck they were trying to protect could be protected ?
Who allowed the dangerous dog too be bred in the first place ? Perhaps that's the real nub of the issue.
Now I really am done as this is getting silly. Its become clear some people have no idea about balancing moral obligations with the companies prima facie legal obligation too its shareholders to maximise shareholder value. to those people I say, welcome to the real world.

[Balance]

I will respond too that as I'm a dog lover. Firstly I have 3 dogs, all pedigree and ironically enough they did cost $1,000 each and I love dogs which is the reason I read your full novel. Essentially your argument / analogy boils down too should owners of dangerous breeds pay serious reparation to injured parties ? Perhaps the question should be, should we allow dangerous dog breeds in the first place ? Do you see my analogy ?
Was it really wise to allow the greenies to compromise the venting ability of the underground mine just so whatever snails, weta's or cockroaches or whatever the heck they were trying to protect could be protected ?
Who allowed the dangerous dog too be bred in the first place ? Perhaps that's the real nub of the issue.
Now I really am done as this is getting silly. Its become clear some people have no idea about balancing moral obligations with the companies prima facie legal obligation too its shareholders to maximise shareholder value. to those people I say, welcome to the real world.

Welcome to the real world indeed, Roger.

NZOG allowed an unsafe mine to be developed and operated just as the parent allowed a dangerous dog to be kept - that's the analogy if you don't get it yet.

[Queenstfarmer]

Bollocks Balance!! The father was the Pike River Mine management. NZO came along with funds to invest...funds that Pike River needed to keep going. NZO knew little or nothing about coal mining....NZO acquired a large shareholding of 30% "MAJOR SHAREHOLDER"
Nothing like mini mouses analogy. ...not even close....

[Balance]

Bollocks Balance!! The father was the Pike River Mine management. NZO came along with funds to invest...funds that Pike River needed to keep going. NZO knew little or nothing about coal mining....NZO acquired a large shareholding of 30% "MAJOR SHAREHOLDER"
Nothing like mini mouses analogy. ...not even close....

:D

You may want to get your facts right before you make your homo habilis utterances.

NZOG did not acquire Pike River - in fact, NZOG owned Pike River before it was floated to the market.

:D

[Banksie]

A better analogy would have been the kids wanted the dog, the dad couldn't afford it, so the grandparents lent him the money.

Is it the grandparents fault the dad bought a bad dog?

[minimoke]

Perhaps the question should be, should we allow dangerous dog breeds in the first place ? Do you see my analogy ?

Ah, I knew you would get the analogy. So yes – we do need to see what we can do to ban mad dog managers. The first step would be to introduce a corporate manslaughter regime which continues to apply even after a manager has vacated his / her position (I’d create a similar regime to finance managers as well – though I also fancy reintroducing the hang / draw and quarter method for those folks!). Locking up, financially impairing or irreparably harming a CV may be one way of keeping these mad dogs out of the market. Seeing them slink offshore to a hide in a dairy hardly cuts it.

But we know banning something isn’t the whole answer. We need to look at the complete supply chain. So next would be to look at the importers of mad dogs – that’s the Directors and Owners of companies who take the risks and know the loopholes in bringing in and keeping mad dogs on too long a leash. Financial hardship (penalties) and neutering (banning Directors) might be a good step or two. But it needs to apply right up the supply chain - not just at the street dealer level.

Of course we also have to look at those who demand mad dogs in the first place – there seems to be an underbelly of society who don’t have the ethical or moral constitution to back away from creating demand for something the rest of society abhors. So we need to target the shareholders. We need to ensure there are tools available to shrink their dividend yields and devalue their investment so the risk doesn’t stack up. Perhaps we should even look as far as keeping voter records – and track down those who vote for certain directors who actively keep the supply chain healthy.

At some point we need to help people make purchase decisions so wholesome canines are preferred over mangy mutts.

[minimoke]

Is it the grandparents fault the dad bought a bad dog?
You'll be familiar with the idiom "the apple falls not far from the tree"?

[Banksie]

You'll be familiar with the idiom "the apple falls not far from the tree"?

Yeah - it was badly thought out, what about if the dad borrowed the money from the bank? Is it the banks fault?

[Balance]

A better analogy would have been the kids wanted the dog, the dad couldn't afford it, so the grandparents lent him the money.

Is it the grandparents fault the dad bought a bad dog?

Leave grandfathers out of this!

NZOG brought the dog to the market, nurtured it with unquestioning ever generous helpings of nourishment when the dog kept biting all and sundry who went near.

[digger]

:D

You may want to get your facts right before you make your homo habilis utterances.

NZOG did not acquire Pike River - in fact, NZOG owned Pike River before it was floated to the market

:D

In the many years I have posted against Balance ,I am going to say something that Balance is completely unable to say. Balance in this very rare case is correct. NZOG did in fact own PIKE and floated it on the market keeping 30% for itself. So finally Balance is correct--that is how NZOG had 30% and not by buying it as Queenstfarmer has stated.
However in this lonely case above he is correct if you follow his usual twisted logic you would get

1/----the bank responsibility for PIKE as they lent NZO money to develop the mine.
2--- The RC rendered to nil as they did not ask Balance for his Facts.

[minimoke]

Yeah - it was badly thought out, what about if the dad borrowed the money from the bank? Is it the banks fault?
Another very good questions for noggers who Balance suggest live in dark places and don't see the light of day while being fed muck. You have been around during the GFC? it was the banks loaning on dodgy securities but for some reason the world seems to forgive (and encourage) mad dog white collar money lenders.

[Beagle]

Leave grandfathers out of this!

NZOG brought the dog to the market, nurtured it with unquestioning ever generous helpings of nourishment when the dog kept biting all and sundry who went near.

No that's a poor analogy. The dog didn't appear all that well, excessive farting with too much methane :) and owners PRC didn't have enough funds for proper vet treatment nor did they know how to treat it so NZO continued to supply food as required hoping the dog's health would improve for the benifet of all the flea eggs thereon, (shareholders) that one day hoped they'd be able to suck a decent amount of blood from it.
NZO never having had such a dog before were unsure whether to put it down or not but as there were so many worker fleas already extracting pounds of flesh and rich veins of blood they decided for the good of all that they'd try and encourage the dog's health along and hope the farting could be managed. Meanwhile the Dog's operational manager, (Peter Whittal), well aware of the excessive farting pushed the dog far too hard and for his excessive demands he was rewarded as head flea in charge of bloodsucking. The dog hated that and exploded in contempt.
NZO felt very sorry for the affected worker flea's families and effectively expended $20.5M making a fulsome effort to effect reparation.
For reasons best known to themselves some flea eggs have now hatched and believe NZO are morally obliged to make further reparations, go figure.

Meanwhile back in the real world other pet owners realise there's risks in all sorts of things and get on with life.
Shall we ban planes because Boeing made on that crashed at Erebus, shall we ban cars because circa 400 New Zealanders are killed each year...these manufacturers are complicit right....of course not.
Maybe in the greenies had allowed the dog a decent sized play pen, (opencast mining) we would have had a happy healthy dog with lots of contented flea's...part of this sheets home to the Greenies excessive influence, in my opinion. But those snails that were saved from not having open cast mining are far more important than risking human life right ?

Minimoke - Good post, I agree with much of what you've said. If it was up too me I'd ban dangerous dogs completely and ensure ones with some elements of danger to them had decent sized pens, (open cast mines can be re-planted and restored).

[lambton]

In the many years I have posted against Balance ,I am going to say something that Balance is completely unable to say. Balance in this very rare case is correct. NZOG did in fact own PIKE and floated it on the market keeping 30% for itself. So finally Balance is correct--that is how NZOG had 30% and not by buying it as Queenstfarmer has stated.
However in this lonely case above he is correct if you follow his usual twisted logic you would get

1/----the bank responsibility for PIKE as they lent NZO money to develop the mine.
2--- The RC rendered to nil as they did not ask Balance for his Facts.

You might also add that if the greenies had stayed out of it this might have been an open cast mine!

[Queenstfarmer]

:D

You may want to get your facts right before you make your homo habilis utterances.

NZOG did not acquire Pike River - in fact, NZOG owned Pike River before it was floated to the market.

:D

Prior to the IPO for Pike River NZO had a 29% stake. After the IPO and several years before production began NZO had a 31% shareholding.
None of the affairs to do with running the mine were ever discussed at the NZO agm's.
Pike River Coal Ltd were a separate entity.

[minimoke]

Shall we ban planes because Boeing made on that crashed at Erebus, putting aside the minor inconvenience that aircraft go through an enormous amount of testing and subsequent quality control before being allowed to fly.


shall we ban cars because circa 400 New Zealanders are killed each year...these manufacturers are complicit right....of course not.
You might like to refer to Grimshaw v Ford Motor Company and the dreaded Pinto

[Balance]

Prior to the IPO for Pike River NZO had a 29% stake. After the IPO and several years before production began NZO had a 31% shareholding.
None of the affairs to do with running the mine were ever discussed at the NZO agm's.
Pike River Coal Ltd were a separate entity.

Poor Queenstfarmer, you still can't get the facts right.

Ok, you are allowed to try again.

:D

[Queenstfarmer]

Poor Queenstfarmer, you still can't get the facts right.

Ok, you are allowed to try again.

:D

My previous post is 100% correct Balance. A 29% stake before the IPO.

[Beagle]

putting aside the minor inconvenience that aircraft go through an enormous amount of testing and subsequent quality control before being allowed to fly.


You might like to refer to Grimshaw v Ford Motor Company and the dreaded Pinto

No question that some projects are engineered well and others not so well and then run by incompetent management. Why some want to throw the baby out with the bathwater, go figure ?

[Balance]

My previous post is 100% correct Balance. A 29% stake before the IPO.

Typical arrogant self-righteous posting - done in the dark and with a generous helping of manure beforehand?

It was actually 65% before the IPO, and 73% before the Indians were brought in September 2005.

http://m.nbr.co.nz/article/pike-river-coking-coal-mine-set-go

How can you ever hope to get things right when you cannot get your facts right, and then arrogantly stick to your falsehoods - even when given opportunities to retract?

[Beagle]

For goodness sake Balance...isn't it enough to acknowledge that PRC was an associated entity, (approx. 30% shareholding), from the point of floatation right through the mines life ?
You do realise that there's a difference between the obligation on the holding company of a wholly owned or majority owned subsidiary and that placed on a company with an investment in an associated entity right ?
The real question is, Is circa $20.5m or around $700,000 per man lost enough pound of flesh for you for an associated entity or do the 99% of shareholders in NZO who thought that was plenty have to put up with you're ongoing axe grinding which will achieve what exactly ? Just face it mate, you're on your own with this ridiculous campaign, sensible people have moved on.

[izam]

Companies office states nzo shareholding 24.77%

[Queenstfarmer]

Typical arrogant self-righteous posting - done in the dark and with a generous helping of manure beforehand?

It was actually 65% before the IPO, and 73% before the Indians were brought in September 2005.

http://m.nbr.co.nz/article/pike-river-coking-coal-mine-set-go

In 2007 prior to the IPO they had a 29% stake plus options and bonds. After the IPO, NZO became major shareholders with 31%
Bottom line here Balance...From 2008 onwards, Pike River Coal Ltd were 100% responsible for the running of the mine and all measures taken towards safety within the mine...not NZO.

[Balance]

For goodness sake Balance...isn't it enough to acknowledge that PRC was an associated entity, (approx. 30% shareholding), from the point of floatation right through the mines life ?
You do realise that there's a difference between the obligation on the holding company of a wholly owned or majority owned subsidiary and that placed on a company with an investment in an associated entity right ?
The real question is, Is circa $20.5m or around $700,000 per man lost enough pound of flesh for you for an associated entity or do the 99% of shareholders in NZO who thought that was plenty have to put up with you're ongoing axe grinding which will achieve what exactly ? Just face it mate, you're on your own with this ridiculous campaign, sensible people have moved on.

2 points :

1. Noggers like to think they are the fountain of all knowledge pertaining to NZOG and Pike River. Queenstfarmer is a glaring case in point and despite being wrong, continued to propagate the error through sheer arrogance. No apologies from me - it has to be pointed out.

2. NZOG owned Pike River (73%), brought in the Indians (still owned 65%) and then, brought it to the market. It sponsored Pike River and after the IPO, continued to provide principal funding support. That is not the action of a 29% shareholder.

You may wish to move on - please do.

The bodies of 29 dead miners are still there and they are not moving on even if you do.

[Balance]

In 2007 prior to the IPO they had a 29% stake plus options and bonds. After the IPO, NZO became major shareholders with 31%
Bottom line here Balance...From 2008 onwards, Pike River Coal Ltd were 100% responsible for the running of the mine and all measures taken towards safety within the mine...not NZO.

My advice, Queenstfarmer, is to stop digging when you are in a hole. Your posting is very telling on your lack of understanding of the market and corporate structures.

Sincerely meant.

We all learn as we go along.

[Queenstfarmer]

2 points :

1. Noggers like to think they are the fountain of all knowledge pertaining to NZOG and Pike River. Queenstfarmer is a glaring case in point and despite being wrong, continued to propagate the error through sheer arrogance. No apologies from me - it has to be pointed out.

2. NZOG owned Pike River (73%), brought in the Indians (still owned 65%) and then, brought it to the market. It sponsored Pike River and after the IPO, continued to provide principal funding support. That is not the action of a 29% shareholder.

You may with to move on - please do.

The bodies of 29 dead miners are still there and they are not moving on even if you do.

Blah blah blah balance! !
You don't seem to have much respect for yourself, by getting personal, do you? ?
There's not many on this forum that continue to tolerate you and most I believe have blocked you.
I myself won't do that as I believe we're all entitled to a voice and you must continue on as you began.
In closing...with minimokes initial analogy. ...we may as well hold the SPCA or the dog pound responsible, because in reality that's where NZO sit within all of this, when it came to the running of the mine. FUNDING is not RUNNING!! FUNDING is not OWNERSHIP! !
The BNZ also FUNDED??

[notie]

reality is NZOG is now blowing money on dry wells instead and have been in on Matuku for which they paid a premium to get in on, then the Pateke development well in which the cost blew out spectacularly (110M USD?) and which only got them slightly more oil. Now another dry hole in Oi which they didn't need to be involved in given it was a sole risk by PPP. So that investment NZOG made in PPP is looking pretty sketchy now.

But the big news and NZOG now think they can unlock of the potential of tight gas in Indonesia....good luck. based on history to date they haven't been good at picking winners....

enough alright

[digger]

My previous post is 100% correct Balance. A 29% stake before the IPO.

Queenstfarmer, you are close to 100% right but in the opposite direction.
NZOG owned about three quarters of PIKE with the Indians and a few others the rest. After the float NZOG had 29% and one Indian company upped their holding a bit.
All that is from memory so is approx. right but not necessarlly in all details.

So the guts of it is that NZOG did develop the mine with the help of money lent from the bank. After the float NZOG share dropped to 29% plus money owed to NZOG by pike. [deleted by STMOD]

[fabs]

But the big news and NZOG now think they can unlock of the potential of tight gas in Indonesia....good luck. based on history to date they haven't been good at picking winners....

enough alright[/QUOTE]

That has been the nzo LA DI DA over about the last 10 years, after every DUD they trot out another potential winner in about 3-4 years. Keeps the interest in the co. alive again & again & again. Easy money for some body, GUESS WHO

[minimoke]

So the guts of it is that NZOG did develop the mine with the help of money lent from the bank.
Did they? I recall in the early stages it was NZOG cash flowing PRCC until capital injections from Saurashtra and Gujarat. By 2007 NZOG’s debt was mainly for Tui development. I stand to be corrected though.

[Beagle]

But the big news and NZOG now think they can unlock of the potential of tight gas in Indonesia....good luck. based on history to date they haven't been good at picking winners....

enough alright

That has been the nzo LA DI DA over about the last 10 years, after every DUD they trot out another potential winner in about 3-4 years. Keeps the interest in the co. alive again & again & again. Easy money for some body, GUESS WHO[/QUOTE]

The reason I won't invest is the directors have forgotten what the name of the company stands for and I've often wondered if Kupe is as good as its gets. If they'd just put in place a very small administration unit and simply collected the proceeds from Kupe rather than wasting it on some many dry holes and other "investment" ideas what would the NPV of the income stream from Kupe have been ? But we can't have that, that would be no good for the directors and management would it !!

[Monkey Poms]

Is this some sort of record?

Kan Tan managed to drill the Oi 2 well to the round figure of 2400 metres in seven days from the 1st of July from a depth 1508 metres to a depth of 3908 metres by the 8th of July. Could still be life in the old dog Kan Tan rig.

[Balance]

Or are we just used to NZOs extremely prolonged drill times? Either that or it was a massive reservoir with not much rock to drill. Only it was filled with water!

Hush, moosie - go and wash your mouth out with that reservoir water (and with soap).

How dare you insinuate to Noggers that the very experienced (according to NZOG literature) and no doubt, highly paid team at NZOG is not up to the job?

Of course they believe from their expert and experienced assessment that the water was oil - what else could it be?

Heck, Andrew Knight was paid $620,000 last year plus 3.15 million partly paid share options to lead the able team which include 6 others on $250,000 plus a year (plus benefits).

The fact that they have added nothing new to NZOG's reserves or portfolio is not their fault - they are there to squander (oops, spend) what was discovered decades ago.

Bad boy, Moosie.

I will be careful if I were you - they will be loading up their hunting rifles insearch of moose meat soon! :D

[Banksie]

Hush, moosie - go and wash your mouth out with that reservoir water (and with soap).

How dare you insinuate to Noggers that the very experienced (according to NZOG literature) and no doubt, highly paid team at NZOG is not up to the job?

Of course they believe from their expert and experienced assessment that the water was oil - what else could it be?

Heck, Andrew Knight was paid $620,000 last year plus 3.15 million partly paid share options to lead the able team which include 6 others on $250,000 plus a year (plus benefits).

The fact that they have added nothing new to NZOG's reserves or portfolio is not their fault - they are there to squander (oops, spend) what was discovered decades ago.

Bad boy, Moosie.

I will be careful if I were you - they will be loading up their hunting rifles insearch of moose meat soon! :D

Actually they didn't believe it was oil, they only gave it a 16% chance of success.
https://www.nzx.com/companies/NZO/announcements/251550

[Billy Boy]

Why the big volumes ???
BB

[Queenstfarmer]

Why the big volumes ???
BB
High NZD perhaps. A bit of profit taking from overseas??

[Billy Boy]

High NZD perhaps. A bit of profit taking from overseas??
But on the wrong side of the fence
BB

[Billy Boy]

Wonder if nog is looking at a PPP takeover ??
BB

[Queenstfarmer]

But on the wrong side of the fence
BB

If you'd purchased a pocket of NZO shares from the US a while back when the NZD was in the mid to late 70's...one would be doing quite well cashing up today. (Even better if the sp was in the 70's or lower at the time)

[Billy Boy]

Yup... I didn't see the "IN" Buying this morning. You got any idea ??

[Billy Boy]

IN funds will be FLEEING at the NZD highs, not buying!!!
VWAP is about 80c, so who's buying from these "Fleer's",
BB

[Balance]

SSH from Zeta up ahead? Wouldn't be surprised if an NZ fundie was buying too...

Only one possible buyer with vested interest in holding the sp up.

Other shareholders have seen the water - it ain't oil!

[Billy Boy]

SSH from Zeta up ahead? Wouldn't be surprised if an NZ fundie was buying too...
.
Ah... Thank you moosie. That make sense now.

[Snow Leopard]

SSH from Zeta up ahead? Wouldn't be surprised if an NZ fundie was buying too...

SSH today from Zeta (https://nzx.com/files/attachments/196822.pdf) which says they hit 17.3% two days ago (9th July 2014)

Approx 3 million traded on market yesterday plus today and needs 4.2 million to move another 1%.

Best Wishes
Paper Tiger

[fish]

Zeta may acquire majority or minority positions in its target investments. Although Zeta’s initial portfolio will consist of minority positions, Zeta will also consider opportunities which will maximise its ability to contribute as a proactive investor, with a view to actively extracting value for both its own investors and investors in the underlying investee companies. This proactive approach may include taking significant or full ownership positions in companies, bringing about management change and encouraging strategies to maximise shareholder value and return.
Sounds to me to be just what NZO needs.

[fabs]

[QUOTE=Paper Tiger;491422]SSH today from Zeta (https://nzx.com/files/attachments/196822.pdf) which says they hit 17.3% two days ago (9th July 2014)

Hum,
JOHN DUGALD FLINDERS MORRISON is that the same Nigerian national that i had a few beers with in Wellington 10 days ago i wonder?
Lets just hope it does not end up the same as with the T/O of another of T. Radfords COs
Otter Res.Ltd from $ 1.80 to 26 cents with some of the big boys carving up valuable assets the gold mines at Beaconsville and the Tanamai. from memory.

[Snow Leopard]

JOHN DUGALD FLINDERS MORRISON is that the same Nigerian national that i had a few beers with in Wellington 10 days ago i wonder.

No the former is Lloyd Morrison's brother and the latter you should not have bought the diamond mine off.

[Balance]

Wow, thanks Fish.

Hostile takeover to get the muppets kicked out here? Love it!

And pay massive redundancies for the golden parachutes and options?

Zeta has a warthog by the tail - cannot get out and must support the sp. Everyone else getting out.

[Billy Boy]

Does Zeta have any holding in PPP ???
anyone.
Tks in advance
BB

[Balance]

Does Zeta have any holding in PPP ???
anyone.
Tks in advance
BB

One dog is surely enough for anyone? :D

[Balance]

Better than constantly sucking the trough dry. Question is, why did they get in in the first place?

Thought they were getting a bargain because sp is below NAB?

[fish]

No the former is Lloyd Morrison's brother and the latter you should not have bought the diamond mine off.
Paper Tiger what is your opinion of the quality of Zeta resources investment team?
Somehow I expect their motive in buying a greater share of nzo is not to prop up the sp
which can only have a short-term effect.
With Duncan Saville in the investment team I suspect they will take a long-term approach to improve the value of nzo and all shareholders may benefit
thx

[Snow Leopard]

Paper Tiger what is your opinion of the quality of Zeta resources investment team?
Somehow I expect their motive in buying a greater share of nzo is not to prop up the sp
which can only have a short-term effect.
With Duncan Saville in the investment team I suspect they will take a long-term approach to improve the value of nzo and all shareholders may benefit
thx

I do not know enough about ICM (http://www.icm.bm/home/) to give a considered opinion except to say that they are not fools and will be buying because they believe that NZO is undervalued and yes, they will be taking a long term approach.

Whether the can (or want to) extend enough influence to improve the value of NZO remains to be seen.

Best Wishes
Paper Tiger

Disc: do not hold New Zealand Oil & Gas, Zeta Resources or Utilico Investments.

[digger]

I do not know enough about ICM (http://www.icm.bm/home/) to give a considered opinion except to say that they are not fools and will be buying because they believe that NZO is undervalued and yes, they will be taking a long term approach.

Whether the can (or want to) extend enough influence to improve the value of NZO remains to be seen.



Best Wishes
Paper Tiger

Disc: do not hold New Zealand Oil & Gas, Zeta Resources or Utilico Investments.

The idea that Zeta are fools that are buying to support the SP just because they bought in the past makes for a good laugh on this rainy day.
Now that they are getting very close to the 20% limit it had me looking up the takeover code again.
Can anyone shed light on a small problem. The takeover offer can be particle and stop at 50% if shareholders agree after a vote on the matter.Note that all shareholders would have the right to then sell 50% of their holding into the offer. What I want to know is if a 50% offer was agreed by the shareholders and was successfull would the company taking there holding to 50% then be able to asset strip the company and then run???
Anyone know?

[Slowlearna]

Zeta??????? are they in for the a good divi? bit of a say to keep the divi stream flowing? takeover on the cards? or are they just stupid and throwing good money after bad? A gamble or calculated plan. Monkey or snake, bull or bear?
Moose balanced? Tiger digging?

DYOR

invest or not, sell or add?

Well time will tell as always

[bermuda]

HI digger,
I was in Bermuda last week. I should have knocked on their door. Lol.
Trust you well.

[Joshuatree]

...very good question digger; i don't know either. As i said on another thread, and a few have privately agreed with me , Zeta will be out to enrich themselves. My memory (hazy as it is here) and feeling is not positive for small shareholders.

[fish]

...very good question digger; i don't know either. As i said on another thread, and a few have privately agreed with me , Zeta will be out to enrich themselves. My memory (hazy as it is here) and feeling is not positive for small shareholders.
Can you be more explicit as I simply can't understand how having Zeta with such experience on their investment team buying a substantial holding can be viewed as a negative

[Billy Boy]

One dog is surely enough for anyone? :D
Zeta have an interest in PPP through NOG .
PPP's NTA 15.4c , Trading at 5.6c, Market cap at $32,962,000. No Debt and an income. OK so they took a hit with OI, But they will recover.
Sorry but I cant get the Hmmmm factor outta my thoughts.
BB

[fabs]

What is a bit surprising is having bought so far, for lets say around the mid 70 cents which realistically is about the true value of the share.

NZO shares have until recent months been up 2-3% because of the drilling going on.
So do they know,guess something, or hope to end up in a position to get more shares/assets cheaper if they achieve a controlling interest?

Personally wish they have a cunning plan, to not only ENRICH THEMSELVES but also the s/h.

On second thoughts
YEAH RIGHT

[Billy Boy]

Many commentators are predicting oil supplies tapering by the end of 2015 coz fracking will have run it's course on known supplies.
Maybe that,s the cunning plan !!
BB

[Balance]

Many commentators are predicting oil supplies tapering by the end of 2015 coz fracking will have run it's course on known supplies.
Maybe that,s the cunning plan !!
BB

US oil companies are lobbying like crazy to export oil as US is now a huge net energy producer.

Price of oil will fall rather than rise anytime soon in 2015.

[Queenstfarmer]

Extraction costs from the oil rich regions in the US (Bakken & Eagle Ford) are as high as $75/barrel?

[Cuzzie]

The Nova-1 rig should be on the move from TAG's Cheal B in the Naki, over to their Waitangi Valley-1 site on the East Coast as we speak. There should be some shale oil action in the very near future from here or TAG's Ngapaeruru-1 well. I'm excited. The East Coast could and should be way bigger than Taranaki, we will see in the very near future. Exciting times ahead.

[boysy]

Balance what does net energy producer mean they still import around 10mmbls of oil a day to meet energy demand.

[digger]

Balance what does net energy producer mean they still import around 10mmbls of oil a day to meet energy demand.


The US imports about half what they did 5 years ago,but they are still importing. They are now on or about the worlds biggest producers but balance against that they are by far still the worlds biggest comsumers. It is only in gas that they have a true surplus. The US oil companies want to export not because they have a true surplus but because of the difference between the WTI and the higher Brunt. Also there is a difference between the west coast and the east for oil supply and price.

[Hawkeye]

Hay team, noticed this featured on the NZX page

https://www.youtube.com/watch?v=NsM146EsoXs#t=20

[bermuda]

Balance,
You need to do some more research on this. The USA is a net oil importer.

The Middle East is in TurmOIL. Note the last 3 letters. This thing has been bubbling for quite a few years. It is about to explode. Saudi versus Iran. It is going to get very messy. It might take a year, even 3, but it could also boil within 6 months.

Stay long on oil.

[neopoleII]

""Stay long on oil""sounds good to me........
maybe NZO if they are not keen on investing into a share of an oil rig..... they could invest into a large production well?
what i have noticed is this...... to drill an exploratory well into a potential 14mmbl field or a billion mmbl field is the same cost.
and it would seem that the prospects of taranaki are mostly used up as the potential wells get smaller and smaller.
maybe the big fields have all been found and the "kitchen" is now empty.
before doing wildcats on little fields ...... maybe investing on proven fields and restocking the portfolio would be a better move?
PPP just got hit big time and might be the end of them, NZO cant afford to spend its last cash reserve on wildcatting little fields.
maybe they should drop the "explorer" in their catch phrase and change it to investor of oil reserves...... at least for the time being.

[digger]

""Stay long on oil""sounds good to me........
maybe NZO if they are not keen on investing into a share of an oil rig..... they could invest into a large production well?
what i have noticed is this...... to drill an exploratory well into a potential 14mmbl field or a billion mmbl field is the same cost.
and it would seem that the prospects of taranaki are mostly used up as the potential wells get smaller and smaller.
maybe the big fields have all been found and the "kitchen" is now empty.
before doing wildcats on little fields ...... maybe investing on proven fields and restocking the portfolio would be a better move?
PPP just got hit big time and might be the end of them, NZO cant afford to spend its last cash reserve on wildcatting little fields.
maybe they should drop the "explorer" in their catch phrase and change it to investor of oil reserves...... at least for the time being.

Food for thought neopoleII. All good points.

[fish]

Food for thought neopoleII. All good points.

The next AGM could be very Interesting.
Will Zeta resources have some ideas on this?

[fish]

Statoil appear to have developed ways of using seismic cables to extract a greater percentage of existing oil by monitoring depletion and movement of oil ,gas and water during this process.
We know we have oil kitchens around nz but don't seem to be doing a good job of finding where the oil has migrated to.
bp are claiming a 50% success rate of new drills.
I have a feeling NZO has a lot to learn and maybe zeta resource are going to connect nzo to expertise to enable this.