Pan Pacific Petroleum Nl (PPP)

[upside_umop]

I bought some more @ 0.27 AU on friday...then oil jumped that friday night
Just in for a shortish trade...i would expect 20-30% in coming months with PPP.

*Tui upgrade
*JV partners would have made decisions on auction blocks
*Further prospects being evaluated within tui permit (they didnt just extend FPSO for tui.....)
*Cash
*Indication of corporate activity in the reports with that cash...

I see PPP as having a lot leverage in the taranaki.
Maitland, not so promising, flow rates were kinda low werent they?..

[the machine]

I bought some more @ 0.27 AU on friday...then oil jumped that friday night
Just in for a shortish trade...i would expect 20-30% in coming months with PPP.

*Tui upgrade
*JV partners would have made decisions on auction blocks
*Further prospects being evaluated within tui permit (they didnt just extend FPSO for tui.....)
*Cash
*Indication of corporate activity in the reports with that cash...

I see PPP as having a lot leverage in the taranaki.
Maitland, not so promising, flow rates were kinda low werent they?..

Am hoping for minimum 40 - 60% increase by end of Augst.

As regards Maitland - flow rates were low due to sand, thats all.

2 more drills into Maitland expected - hopefully 3rd quarter, will be final testing before development.
ppp might need aud$30 - 50 million to fund their share of development.

M

[Corporate]

Am hoping for minimum 40 - 60% increase by end of Augst.

As regards Maitland - flow rates were low due to sand, thats all.

2 more drills into Maitland expected - hopefully 3rd quarter, will be final testing before development.
ppp might need aud$30 - 50 million to fund their share of development.

M

OK....so I am struggling to see why anyone would by PPP over NZO

The following is all in NZD

NZO MCAP $403M - $166M (31% of PRC) = $237M

Compare this $237M with PPP current market cap of $200M. For any extra $37M you get Kupe, possibly Monoho (Sp), heaps more cash, and 25% greater share in Tui crude....and who knows how much higher PRC will go.

Is my thinking misguided?

[bermuda]

I'm also like to know B's thoughts on the above.


Does PPP have any exciting projects on the go? Or is it just Tui flushing them with cash.

I dont hold any but this share has been held back severely due to a couple of factors.

1. People are selling them so that they can exercise their NZO options

2.The PR from this company is simply deplorable

Once the options are out of the way this share is going to fly and should be takeover material. At what price.? I would only be guessing. But it is certainly going to be substantially higher than it is at the moment.

If you wanted me to guess I would have to say that NZO must be looking at them very closely.

I wouldnt be selling.

[upside_umop]

I know what your saying Stephejame..
But, PPP have bigger leverage to Taranaki prospects relative to market cap.
Its not all smooth sailing for NZO. NZO has big cost pressures on KUPE, options exercise (can they generate the same return on that 'new' money as old shareholders funds....I personally dont think so), and small holdings relative to market cap in taranaki permits.

Dont worry, I hold around 50% of my money in NZO already..but I have to admit, im thinking of selling down some around MOMOHO.

disc: 100% invested - NOCASH

[upside_umop]

Am hoping for minimum 40 - 60% increase by end of Augst.

As regards Maitland - flow rates were low due to sand, thats all.

2 more drills into Maitland expected - hopefully 3rd quarter, will be final testing before development.
ppp might need aud$30 - 50 million to fund their share of development.

M

cheers machine.

they are using horizontal drills to get full flow testing or just different drill target?

[bk]

I can understand the discussion of holding PPP over NZO (better exposure to Tui), or NZO over PPP (more projects on the go, much good news to come).

My problem is finding some money for NZO option conversion.

Selling just about 5 PPP's to convert one option to NZO? That seems to me giving too much away, rating NZO good news too much above PPP leverage. So I keep my PPP's, and wait for them to recover lost ground (and more)

Selling 3 PRC's to convert 4 options to NZO? That sounds more like it. And I think that during the 3 months following conversion NZO will outperform PRC - but I don't have enough PRC to cover all the options.

Borrowing money? My wife might shoot me - I have already invested too much.

Mind you, the way the NZO share price is going the options might be soon out of the money, problem solved! Although, seeing the ACC is buying heaps of options makes one wonder

[bermuda]

I know what your saying Stephejame..
But, PPP have bigger leverage to Taranaki prospects relative to market cap.
Its not all smooth sailing for NZO. NZO has big cost pressures on KUPE, options exercise (can they generate the same return on that 'new' money as old shareholders funds....I personally dont think so), and small holdings relative to market cap in taranaki permits.

Dont worry, I hold around 50% of my money in NZO already..but I have to admit, im thinking of selling down some around MOMOHO.

disc: 100% invested - NOCASH

Hi Upside;
I am glad you are only thinking of selling before the MOMOHO drill. I know in the end you wont because you and I know that in terms of risk reward this has got to be the most oustanding drill prospect we could ever come across. I dont know about you, but I have been involved in scores of them.

[bk]

. . . . . . . . I know that in terms of risk reward this has got to be the most oustanding drill prospect we could ever come across. I dont know about you, but I have been involved in scores of them.

Hi Bermuda,

I hear everyone expects a lot from Momoho - and I would like to see that too - but on what is this based?
-Kupe production facilities larger than required suggesting they expect to find more, somewhere
-Momoho location between other wells suggestion high chance of a result between the other two results
-any other info / rumours?

[bermuda]

Hi Bermuda,

I hear everyone expects a lot from Momoho - and I would like to see that too - but on what is this based?
-Kupe production facilities larger than required suggesting they expect to find more, somewhere
-Momoho location between other wells suggestion high chance of a result between the other two results
-any other info / rumours?

Hi bk,
everything about the whole Kupe project points to success but as you know they could hit nothing.

Going to be a big month ahead for NZO