NZ Oil & Gas (NZO)

[digger]

Duncan - I wasn't implying that, I'm dumb not stupid...

I was implying that the three accumulations from which the initial four production wells have been developed for the Tui Oil Fields (notice the plural) - Pateke, Amokura and Tui may actually be one larger field and therefore may, hopefully, one day be represented on the schematic as one big green blob.
Ditto for prospects such as Momoho, Denby, Leith which sit outside of the Kupe CFA

OK i pretty much agree with that.As Amokura and Pateke have the same oil water level they are the same field. That was the inational assesment but it got changed with no reason given to explain away the same water level. Momoho is to be drilled partly to see how connected the others are.

[digger]

For tomorrows sharetrader discussion I would like to ask DS 1/what are the plans for the OD exercise monies.
2/ Do we have any way of constantly measuring the water oil level at TUI. If this water oil level has not changed much or as much as expected it must give us some better understanding of TUI size. Note i am not talking about the water cut from recoverable liquides but the water level in place.
3/ I consider the thought of NZO talking of overseas acquistions very premature. It is a bit like a baby taking it first steps and then trying to run a 4 min mile. We have after many years just come into good money,surely it is better to become a top knowledgable oil company here in NZ where we clearly have the repretation of knowing what we are doing. I find overseas acquistions very reckless at this stage.
4/ I have never clearly understood where we stand with KUPE finance arrangements,as they were renotiated.From that time did we agree to only a inflation price increase as opposed to a world market increase.Will this agreement affect a successful Momoho development.Is there any link up here.
5/Inside the rules of NZX requirements is there anything that NZO can do to lesson the dilution effect of the NZOOD exercising.As an example could NZO buy options and turn them into head as treasury stock?

[tricha]

Im of the belief that these people don't even realise they can buy oilers.

Most of the population would not have a clue.

To the issue, NZO cheap or what? I bought my 1st lot in time to get the dividend and the interium report,
Discovering our Energy Future.

I only recently took the time to read this excellent report and the graph on page 4 makes for a very compelling story.

I hate to say this, but the title should have read,

Our Energy Future is Secured

10 years of production averaging above a million barrels a year equivalent, at $160 NZ a barrel.( as of now )
Then there is drilling upside and Pike River for a little icing.

So I secured a bit more of my future and bought another 10k of them. It should look a cheap investment in a years time.

[the machine]

Part of today's announcement by NZOG . . . "A recent general release by another JV participant contained information on Momoho and as a consequence of this NZOG believes its internal assessments should be provided to shareholders."

OK, who was the other jv partner who made this statement? Not Origin, Genesis are an SOE (aren't they?) and I can't find any announcement from them. Mitsui are the only other, and they have only a small share - haven't bothered to check them.

And just what did this mysterious announcement say? It must have been something that needed some clarification. I'm curious.

Momoho start late May is about what was expected, wasn't it? A bit strange that the sp dipped a little despite POO rising at the end of last week.

origin detailed 100 bcf as momoho potential in a recent presentation to mcquarie - per asx announcements

m

M

[NOCASH]

GOOD old, nz oil and gas. I'm Back, and still have a large amount of holdings in nzo.

[COLIN]

origin detailed 100 bcf as momoho potential in a recent presentation to mcquarie - per asx announcements

m

M

So, NZO's internal assessment, at 200 bcf, is double that of Origin's? We seem to believe these days that NZO's forward projections tend towards the conservative side; on that basis, is Origin ultra-cautious?

Its all assuming hydrocarbons are found, of course, and I'm still a little bit unsure as to precisely what that "P50 (as likely as not)" means - I am assuming its just another way of saying "there's a 50/50 chance". But can someone enlighten me, please.

[The BOWMAN]

3/ I consider the thought of NZO talking of overseas acquistions very premature. It is a bit like a baby taking it first steps and then trying to run a 4 min mile. We have after many years just come into good money,surely it is better to become a top knowledgable oil company here in NZ where we clearly have the repretation of knowing what we are doing. I find overseas acquistions very reckless at this stage.

I agree. NZO is like a little shrimp in the ocean when talking about the international oil industry. I certainly don't want to gamble in the VIP lounge when I only have couple of thousand dollars in the pocket. Return the money to shareholders if there is no good investment opportunity. There won't be any issue raising money if good opportunities coming up giving it now has some good track records. Don't throw the good money into bad like Hellaby Holding has done.

[COLIN]

For tomorrows sharetrader discussion I would like to ask DS 1/what are the plans for the OD exercise monies.
2/ Do we have any way of constantly measuring the water oil level at TUI. If this water oil level has not changed much or as much as expected it must give us some better understanding of TUI size. Note i am not talking about the water cut from recoverable liquides but the water level in place.
3/ I consider the thought of NZO talking of overseas acquistions very premature. It is a bit like a baby taking it first steps and then trying to run a 4 min mile. We have after many years just come into good money,surely it is better to become a top knowledgable oil company here in NZ where we clearly have the repretation of knowing what we are doing. I find overseas acquistions very reckless at this stage.
4/ I have never clearly understood where we stand with KUPE finance arrangements,as they were renotiated.From that time did we agree to only a inflation price increase as opposed to a world market increase.Will this agreement affect a successful Momoho development.Is there any link up here.
5/Inside the rules of NZX requirements is there anything that NZO can do to lesson the dilution effect of the NZOOD exercising.As an example could NZO buy options and turn them into head as treasury stock?

Quite a list, Digger, and should elicit some useful responses.
Someone also needs to ask whether the Coy is prepared to say anything about how they will go about disengaging from PRC. They have stated in the past that they do not see PRC as a long-term fit. Is that still their policy stance? And have they thought of an "in specie" distribution of their PRC shares to NZO shareholders? (A better proposition than selling the PRC shares for cash - when we NZO shareholders are wary of the Company having so much cash already sloshing around and we're worried they might spend it recklessly.)

[the machine]

nzo website shows approx 12.2m barrels produced fromyui to may 8 - that last .2m barrels was damm quick - like 4 days.

the "approx" is the tricky bit.

roll onto may 27 and one would expect the 13m barrelsto be produced

m

[tricha]

nzo website shows approx 12.2m barrels produced fromyui to may 8 - that last .2m barrels was damm quick - like 4 days.

the "approx" is the tricky bit.

roll onto may 27 and one would expect the 13m barrelsto be produced

m

Probably the only company worth owning in NZ Machine.
ShareChat News: Momoho well nears drilling date

New Zealand Oil & Gas Limited Intra-day3 month1 year2 year

Current Quote:
NZO $1.62 -0.01
(quotes delayed 20 minutes)
Price when article published: $1.62

By NZPA
Monday 12th May 2008


Drilling of New Zealand Oil & Gas interest, Momoho, is due to begin off Taranaki later this month.
The exploration well, which is covered by a Kupe permit, is located about 5.5km from the Kupe light oil and gas condensate platform.
Although it is unclear at this stage what kind, if any, hydrocarbons are present, NZOG expects that Momoho will contain a combination of gas and liquids (oil and LPGs), possibly 200 billion cubic feet equivalent (to gas), with a 50% chance of recovery.
That is about half of the size of Kupe's central field, which is thought to have about 400 billion cubic feet equivalent.
While the greatest volume of energy out of Kupe will be in gas, about two-thirds of Kupe's estimated value should be in oil, using current prices.
NZOG said in the event that Momoho was a commercial discovery, a development might be possible via the Kupe infrastructure.
The listed energy company, which owns 15% of Momoho and of the Kupe joint venture, said in April that Kupe was now over two-thirds complete.
The company also owns 12.5% of the Tui oil field and 31% of listed Pike River Coal, which hopes to begin production mid-year.
NZOG reported a half-year profit to December of $41.4 million up from $500,000 a year earlier.
NZOG shares are hovering just below a year high of $1.67 set last Thursday, and were flat at $1.63 in mid-afternoon trade.
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