NZ Oil & Gas (NZO)

[Casa del Energia]

Well, I just find it 'odd' that the number of trades jumps in 'batches' and it is by far the most heavily traded share today. The market isn't governed by quantum menchanical rules - so I'd love to know the reason.
Or an I just staring too hard at my crystal ball?

[winner69]

Well, I just find it 'odd' that the number of trades jumps in 'batches' and it is by far the most heavily traded share today. The market isn't governed by quantum menchanical rules - so I'd love to know the reason.
Or an I just staring too hard at my crystal ball?

and almost (all but 5) have been at 86

Balance on to it .... NZO buy at 86 today (no more than that today sorry) and many selling into it. Then again it might be somebody like fish buying at 86 (no more) and finding plenty of punters to take that price

Is that 'odd' ... not the fish scenario of course

[Casa del Energia]

and almost (all but 5) have been at 86

Balance on to it .... NZO buy at 86 today (no more than that today sorry) and many selling into it. Then again it might be somebody like fish buying at 86 (no more) and finding plenty of punters to take that price

Is that 'odd' ... not the fish scenario of course

Moderately good theory. Will have to plump for that at the mo. At least it's holding up the price - the rest of NZX & ASX is a sea of red.

[winner69]

Moderately good theory. Will have to plump for that at the mo. At least it's holding up the price - the rest of NZX & ASX is a sea of red.

.... and it looks like they won't bw buying anymore today at 86 .... wonder what will happen for the rest of the day

[fish]

.... and it looks like they won't bw buying anymore today at 86 .... wonder what will happen for the rest of the day

Its not surprising that nzo held its price today .Like it or not the price of oil is not going down with increasing demand-chinese oil imports up more than 10% last year and oil is finite so inevitable what will happen .
Energy demand is also increasing in nz so bought some more contact today as I really am overweight in nzo .

[winner69]

so there was soembody else buying yesterday at 86 ... seeing the buyback was only 100k shares

[notie]

what are NZOG doing to do?

PEP 51311 (Kaupokonui)

NZOG has signed a farm-out arrangement with Peak Oil & Gas Ltd, which is taking a 10% stake in the permit, and will pay 20% of the first well costs, capped at US$3m. NZOG is seeking at least one more joint venture partner ahead of the commitment required in January 2011, to drill a well within the following 12 months.

odds on they are going to drop the permit. they will not drill a well with 100% holding in it. Commitment is due today.....

[the machine]

what are NZOG doing to do?

PEP 51311 (Kaupokonui)

NZOG has signed a farm-out arrangement with Peak Oil & Gas Ltd, which is taking a 10% stake in the permit, and will pay 20% of the first well costs, capped at US$3m. NZOG is seeking at least one more joint venture partner ahead of the commitment required in January 2011, to drill a well within the following 12 months.

odds on they are going to drop the permit. they will not drill a well with 100% holding in it. Commitment is due today.....

rather "they will not drill a well with 80% holding in it" might be the go.

M

[J R Ewing]

Dropping permits is fairly common, not really a big deal. If they can't get enough farmin interest, then the market is simply saying that the risk/reward doesn't stack up for drilling this permit at the present time. You have to expect that permits will be picked up and subsequently dropped in the normal process of evaluating drillable prospects.

[digger]

Dropping permits is fairly common, not really a big deal. If they can't get enough farmin interest, then the market is simply saying that the risk/reward doesn't stack up for drilling this permit at the present time. You have to expect that permits will be picked up and subsequently dropped in the normal process of evaluating drillable prospects.

What you say R Ewing is fact and well understood in the drilling world,but to Notie it is an opportunity to slang off at NZO using a bit of smoke and mirrows and with a bit of invester ignorance he might well fool some into thinking it is all NZO incompetence that has caused the permit being dropped,if in fact it does get dropped.