Petroneft Resources

RATM · 04-09-2012 11:50am #1

Has anyone got any thoughts or outlooks on Petroneft ? They are drilling out in Siberia and intend to drill about 10 wells in total. One is producing steady at about 2400bpd. I read the other day that a big company in the area bought out a smaller one, valuing their reserves at 2.35 a barrel but Petronefts valuation is sitting on 88c a barrel so a few analysts reckon they're vastly undervalued and the upside should be coming soon so long as the other 9 wells come on stream.
CEO is an Irishman Dennis Francis, can't seem to find too much about his working history online.

So just wondering if anyone here is on them or have looked at them ? I'm a beginner at this game but looking at a play soon. The news coming from them seems to be quite positive of late so just looking to get others thoughts on them.

lowquencher · 05-09-2012 8:17am

Some good stuff about Petroneft on this blog:

http://pdosullivan.wordpress.com/tag/petroneft/

also

http://www.lse.co.uk/SharePrice.asp?shareprice=PTR

the meduim term target seems to be in the 30p range in the UK. The only problem is the quality and reliability of information being fed back. Also, it looks like there are no institutional investors holding pneft at the moment - there's obviously a good reason behind that.

A good punt in my opinion!

zagamuffin · 07-09-2012 11:54am

lowquencher wrote: »

Some good stuff about Petroneft on this blog:

http://pdosullivan.wordpress.com/tag/petroneft/

also

http://www.lse.co.uk/SharePrice.asp?shareprice=PTR

the meduim term target seems to be in the 30p range in the UK. The only problem is the quality and reliability of information being fed back. Also, it looks like there are no institutional investors holding pneft at the moment - there's obviously a good reason behind that.

A good punt in my opinion!

Have a couple ðŸ˜‰ of these with punt money , al looks good ESP with recent buyout next door, good drill plan but just need to commericise current wells, water injecting etc to upgrade flows...could be a nice earner in the future....

Shanek320 · 18-09-2012 10:25am

Hi folks,

I won't be able to make the AGM tomorrow due to work commitments.

If any of you make it I would really appreciate a quick update on how the meeting goes and any nuggets that may come up.

Thanks a mill, (in hope!)

Shanek320

zagamuffin · 19-09-2012 7:11am

Rns

PetroNeft Resources plc
("PetroNeft" or the "Company")

Operations Update

PetroNeft Resources plc (AIM: PTR) owner and operator of Licences 61 and 67, Tomsk Oblast, Russian Federation, is pleased to provide an update on its operations.

Highlights:

·      Arbuzovskoye well 101 successfully drilled and completion underway
·      Initial results positive with similar reservoir properties to prior discovery well
·      Arbuzovskoye well 102 drilling ahead
·      Group production remains stable at 2,000 bopd

Licence 61 - Arbuzovskoye Pilot Development Programme
Arbuzovskoye well 101, the first of ten planned new production wells on the Arbuzovskoye oil field, has been successfully drilled. Well completion is now underway utilising a workover rig and we expect to bring the well into production around the end of this month. The production drilling rig has been moved and has started drilling well 102.

Well 101 penetrated the J1-1 reservoir essentially as prognosed at -2,463.2 metres tvd. Core and log data indicate that the reservoir is substantially identical to the good quality reservoir in the Arbuzovskaya No. 1 discovery well. The reservoir is made up of coarse grained sandstone at the top and grades to fine grained sandstone to siltstone at the base - these types of sandstones are excellent reservoirs as demonstrated by the Arbuzovskaya No. 1 where production is currently steady at approximately 300 bopd. The gross reservoir thickness is about 8 metres with about 4.2 metres of net pay.

Arbuzovskoye contains 2P reserves in excess of 13 million barrels of oil according to independent reserve auditors Ryder Scott and is the Company's second production development.

Licence 61 - Production
Total oil production, comprising both the Lineynoye and Arbuzovskoye oil fields, remains stable at about 2,000 bopd prior to the addition of production from the Arbuzovskoye No. 101 well.

Dennis Francis, Chief Executive Officer of PetroNeft Resources plc, commented:
"We are delighted to have confirmed excellent continuity of the J1-1 reservoir from Arbuzovskaya No. 1 to well 101, the first new production well location. We look forward to bringing this well into production and to providing shareholders with regular updates on additional Arbuzovskoye wells over the coming months as we increase our production profile and cashflows."

zagamuffin · 19-09-2012 7:48am

Rns in

PetroNeft Resources plc
("PetroNeft" or the "Company")

Operations Update

PetroNeft Resources plc (AIM: PTR) owner and operator of Licences 61 and 67, Tomsk Oblast, Russian Federation, is pleased to provide an update on its operations.

Highlights:

·      Arbuzovskoye well 101 successfully drilled and completion underway
·      Initial results positive with similar reservoir properties to prior discovery well
·      Arbuzovskoye well 102 drilling ahead
·      Group production remains stable at 2,000 bopd

Licence 61 - Arbuzovskoye Pilot Development Programme
Arbuzovskoye well 101, the first of ten planned new production wells on the Arbuzovskoye oil field, has been successfully drilled. Well completion is now underway utilising a workover rig and we expect to bring the well into production around the end of this month. The production drilling rig has been moved and has started drilling well 102.

Well 101 penetrated the J1-1 reservoir essentially as prognosed at -2,463.2 metres tvd. Core and log data indicate that the reservoir is substantially identical to the good quality reservoir in the Arbuzovskaya No. 1 discovery well. The reservoir is made up of coarse grained sandstone at the top and grades to fine grained sandstone to siltstone at the base - these types of sandstones are excellent reservoirs as demonstrated by the Arbuzovskaya No. 1 where production is currently steady at approximately 300 bopd. The gross reservoir thickness is about 8 metres with about 4.2 metres of net pay.

Arbuzovskoye contains 2P reserves in excess of 13 million barrels of oil according to independent reserve auditors Ryder Scott and is the Company's second production development.

Licence 61 - Production
Total oil production, comprising both the Lineynoye and Arbuzovskoye oil fields, remains stable at about 2,000 bopd prior to the addition of production from the Arbuzovskoye No. 101 well.

Dennis Francis, Chief Executive Officer of PetroNeft Resources plc, commented:
"We are delighted to have confirmed excellent continuity of the J1-1 reservoir from Arbuzovskaya No. 1 to well 101, the first new production well location. We look forward to bringing this well into production and to providing shareholders with regular updates on additional Arbuzovskoye wells over the coming months as we increase our production profile and cashflows."

zagamuffin · 19-09-2012 8:44am

Up 9% , nice

Grecco · 24-09-2012 1:14pm

http://www.investegate.co.uk/Article.aspx?id=201209241252359815M

310boepd from the second of the ten wells.

(350 from the first

)

zagamuffin · 24-09-2012 1:51pm

Grecco wrote: »

http://www.investegate.co.uk/Article.aspx?id=201209241252359815M

310boepd from the first of the ten wells.

It all adds up $$$$$$$$$$$$

Hughfitz · 06-11-2012 6:18pm

Any news on petronrt

zagamuffin · 13-11-2012 11:19pm

Next well drilling afaik

Grecco · 08-02-2013 5:10pm

SP taken a hammering today. RNS out Market expected production to be at 3200 not 2600Bopd.
I picked up 300k @ 4.63p. Seems like a good entry point as its below the placing price

westgolf · 12-02-2013 10:32pm

Grecco wrote: »

SP taken a hammering today. RNS out Market expected production to be at 3200 not 2600Bopd.
I picked up 300k @ 4.63p. Seems like a good entry point as its below the placing price

300,000 Shares is a fair sized punt all right !!

Westy

Grecco · 14-02-2013 8:32am

westgolf wrote: »

300,000 Shares is a fair sized punt all right !!

Westy

@4.6p that gives Petroneft a market cap of ~£30million
With the reserves,production and small debt they have I don`t look at it as a punt more like a gift

Grecco · 25-02-2013 10:17pm

Grecco wrote: »

@4.6p that gives Petroneft a market cap of ~£30million
With the reserves,production and small debt they have I don`t look at it as a punt more like a gift

Could turn out to be an expensive gift if they don't get the finger out and up production figures for the next RNS.
I hope this doesnt wipe out any gains I made already this year :mad:

westgolf · 01-07-2013 10:40pm

Evening all,

Any one got any thoughts as to the present outlook for petroneft.Seems very settled / stuck at 4c. Where do you see this one going ? I know one or two on here have it in play but is it a wait and see or a simple punt ?

Westgolf

Gman1987 · 13-08-2013 9:02pm

Article below on page 34 and 36 indicates why this share is trading so bad:
http://www.thephoenix.ie/phoenix/subscriber/library/volume-31/issue-14/page-28-30.pdf

Anyone still buying this stock? If there was a potential buyout would it push share price up from the low it is at? It seams seriously undervalued at present.

Gman1987 · 11-09-2013 8:53pm

Anyone make the AGM today?

Grecco · 16-09-2013 10:26am

The SP is starting to rise back up again. Seems that a new refinance is about to be done and the Bod are promising to get to 3500 within months and 5000Bopd within 24 months. Positive results from water injection and it now looks like this could be heavily undervalued

Gman1987 · 16-09-2013 11:58pm

Share price is gone up a well alright. its a pity there is no hard evidence of progress though, there still at 2500 barrels a day. they are doing a lot of promising for a long time now

Dubh Geannain · 29-10-2013 1:12pm

Up 13% so far today.

Most notably, there were two identical purchases of £500k (or 24 million shares) around the £ 4.40 mark

Grecco · 29-10-2013 2:26pm

60million shares traded today, looks like an institution is taking a stake in the company. Good news if they are. Looks like this one has turned the tide

westgolf · 29-10-2013 9:08pm

Petroneft is also listed on the Irish market but the lift in price never hit that listing though ? Still its a bit of good news for those two or three on here who have it in play

westgolf

Dubh Geannain · 29-10-2013 10:36pm

westgolf wrote: »

Petroneft is also listed on the Irish market but the lift in price never hit that listing though ?

Looks to me like it did:
http://finance.yahoo.com/q?s=P8ET.IR%2C+&ql=1

A simple case of low liquidity would mean it wouldn't react near as quickly as the more liquid market.

Dubh Geannain · 30-10-2013 12:51pm

Doesn't look like there was much resistance at 5.00. Tested 3 or 4 times but breached it.

Another high volume day. Will it get to 6.00 before it retraces?

Dubh Geannain · 30-10-2013 6:13pm

Dubh Geannain wrote: »

Doesn't look like there was much resistance at 5.00. Tested 3 or 4 times but breached it.

Another high volume day. Will it get to 6.00 before it retraces?

Nope :pac:

westgolf · 30-10-2013 10:34pm

Dubh Geannain wrote: »

Looks to me like it did:
http://finance.yahoo.com/q?s=P8ET.IR%2C+&ql=1

A simple case of low liquidity would mean it wouldn't react near as quickly as the more liquid market.

Thanks for the graph, I should have phrased the comment better perhaps. I agree that there is a low level of liquidity in the Irish listing but there is enough interest (on here anyway) that one would think that a rise in the main listing would be followed to some degree by one in the Irish listing ?

Westy

Dubh Geannain · 31-10-2013 12:00am

westgolf wrote: »

Thanks for the graph, I should have phrased the comment better perhaps. I agree that there is a low level of liquidity in the Irish listing but there is enough interest (on here anyway) that one would think that a rise in the main listing would be followed to some degree by one in the Irish listing ?

Westy

Personally, I bought my shares on the London exchange despite having to pay commission on currency conversion, purely because there's more liquidity in that market. I'm sure others have done the same.

Merelyme · 10-11-2013 1:00am

Petroneft are awaiting a re-finance and/or a farm-out. I strongly expect one or the other or both to be announced this coming week. The share price will increase dramatically with such an announcement.

There is also the possibility of a complete take-over. Whatever happens, Petroneft is a superb buy. Davy's Stockbrokers predicted in the last 7 days that this share will outperform.

gordongekko · 11-11-2013 12:32am

Merelyme wrote: »

Petroneft are awaiting a re-finance and/or a farm-out. I strongly expect one or the other or both to be announced this coming week. The share price will increase dramatically with such an announcement.

There is also the possibility of a complete take-over. Whatever happens, Petroneft is a superb buy. Davy's Stockbrokers predicted in the last 7 days that this share will outperform.

how do you know for sure that its a superb buy?

Merelyme · 12-11-2013 7:37pm

gordongekko wrote: »

how do you know for sure that its a superb buy?

As we're talking about the stock market I presume it's a given that every stock is a risk. One can win or lose - it's the same as any other form of gambling.

I've been studying Petroneft for about 8 months now. I've looked back over their charts going back 5 years, compared them to similar companies, read all the share discussion sites daily. Most importantly (of course) I've carefully read their RNS's, AGM reports, half-yearly reports and full year reports. They have form (bad form) when it comes to reliability in terms of following up on their 'guarantees' within the time-frame they predict but they usually come through in the end.

On September 30th this year they said they had made very good advances in their re-financing and/or farm-out. They said they'd let us know in 'a few weeks' time. This refinancing and/or farm-out will reduce their monthly payment to MacQuarrie Bank thus enabling them to begin drilling at sites where they already have licences. They are already producing over 2,600 barrels of oil per day and have a large stock of oil (I think worth over 20m sterling).

Their share price was 75p (95c?) not so long. I got them at 4c a few weeks ago. Today, 12/11/13, they closed at 5.6c. I could sell but the refinance and/or farm-out is due to be announced any day. Also, there is a possibility a major corporation will buy them out. People with more knowledge than me suggest the share selling price if that happens could be as high as 20c. I doubt that but I think it'd be more than 5.6c.

That's why (notwithstanding the usual caveat that one could lose a fortune on Petroneft like any other share) I think they would be a superb buy.

Grecco · 12-11-2013 9:35pm

This is proving a tough share to call. I tried to get in as low as I thought it would go @ 3.8p only to see it go down as low as 2.7p at one stage.
I think calling an exit point is going to be just as difficult, a refinance will change this share completely but have they really got the issues with the Oil in th ground sorted ?
Its a share that could be worth 10 times the current value if they can prove that they can pump the Oil, until then its going to be a bumpy ride

Merelyme · 12-11-2013 10:04pm

Grecco wrote: »

This is proving a tough share to call. I tried to get in as low as I thought it would go @ 3.8p only to see it go down as low as 2.7p at one stage.
I think calling an exit point is going to be just as difficult, a refinance will change this share completely but have they really got the issues with the Oil in th ground sorted ?
Its a share that could be worth 10 times the current value if they can prove that they can pump the Oil, until then its going to be a bumpy ride

This was a comment (official) from the Chairman on 30/09/13:

"The first half of 2013 was a busy period for the Company. Some production issues were resolved leading to more stable production in recent months," said chairman David Golder in a statement.

"Since the Annual General Meeting on 11 September we have continued to make good progress on re-financing the Company and I hope to be able to update shareholders in detail on this point in the coming weeks," he added. Ends.

They have increased bopd from the previous half-year from 2,500 to 2,600+. Marginal increase at best but everything seems to be hanging on the refinance/farm-out. I doubt he would mislead the markets with comments like the above - comments he had already made at the AGM on 11/09/13 (without mentioning the 'coming weeks' bit). Then again I may be being naive.

Cute Hoor · 12-11-2013 11:10pm

Merelyme wrote: »

This was a comment (official) from the Chairman on 30/09/13:

"The first half of 2013 was a busy period for the Company. Some production issues were resolved leading to more stable production in recent months," said chairman David Golder in a statement.

"Since the Annual General Meeting on 11 September we have continued to make good progress on re-financing the Company and I hope to be able to update shareholders in detail on this point in the coming weeks," he added. Ends.

Senior execs at companies have a way of making comments, but this must surely be the ultimate non-comment of all time.

"The first half of 2013 was a busy period for the Company" - what does this mean, it could have something to do with producing oil or that everybody in the company played No Limit Texas Hold Em night and day for 6 months

"Some production issues were resolved" - Oh yea? was this .000001% of the 'production issues', 50%, or 99%, how many issues, how many resolved, how big are the remaining issues

"leading to more stable production" - produced 1 BOPD per day every day, or 1 million BOPD per day every day??

"we have continued to make good progress on re-financing the Company" - does this mean that re-financing is 1 week away or 10 years away

"hope" - springs eternal.

I have no knowledge of or interest in Petroneft, I just found that statement by the Chairman amusing. Best of luck to everybody invested in it

Gman1987 · 12-11-2013 11:23pm

Grecco wrote: »

This is proving a tough share to call. I tried to get in as low as I thought it would go @ 3.8p only to see it go down as low as 2.7p at one stage.
I think calling an exit point is going to be just as difficult, a refinance will change this share completely but have they really got the issues with the Oil in th ground sorted ?
Its a share that could be worth 10 times the current value if they can prove that they can pump the Oil, until then its going to be a bumpy ride

I agree Greeco, its a good share to be in if you got in low due to their asset values. But like you said above the company itself is not doing anything to help the share price. Production has remained almost unchanged and progress on refinancing/farm out is very slow. They are also very poor at keeping they share holders updated on news within the company

Merelyme · 12-11-2013 11:24pm

Cute Hoor wrote: »

Senior execs at companies have a way of making comments, but this must surely be the ultimate non-comment of all time.

"The first half of 2013 was a busy period for the Company" - what does this mean, it could have something to do with producing oil or that everybody in the company played No Limit Texas Hold Em night and day for 6 months

"Some production issues were resolved" - Oh yea? was this .000001% of the 'production issues', 50%, or 99%, how many issues, how many resolved, how big are the remaining issues

"leading to more stable production" - produced 1 BOPD per day every day, or 1 million BOPD per day every day??

"we have continued to make good progress on re-financing the Company" - does this mean that re-financing is 1 week away or 10 years away

"hope" - springs eternal.

I have no knowledge of or interest in Petroneft, I just found that statement by the Chairman amusing. Best of luck to everybody invested in it

His comments were a follow-up to their AGM which is detailed on their website. It makes more sense if read in that sense. The reason I posted his later comments was because of a reference I made to them in an earlier post. I was replying to Grecco's question about their production problems last year and earlier this year.

Merelyme · 12-11-2013 11:25pm

Ger1987 wrote: »

I agree Greeco, its a good share to be in if you got in low due to their asset values. But like you said above the company itself is not doing anything to help the share price. Production has remained almost unchanged and progress on refinancing/farm out is very slow. They are also very poor at keeping they share holders updated on news within the company

That's my biggest problem with them.

Cute Hoor · 12-11-2013 11:32pm

Merelyme wrote: »

Davy's Stockbrokers predicted in the last 7 days that this share will outperform.

Beware stockbrokers making predictions.

You can see some of Davy's previous predictions for Petroneft here, they've always been pretty bullish!!!

http://www.brokerforecasts.com/companies/PTR

Cute Hoor · 12-11-2013 11:35pm

Merelyme wrote: »

His comments were a follow-up to their AGM which is detailed on their website. It makes more sense if read in that sense. The reason I posted his later comments was because of a reference I made to them in an earlier post. I was replying to Grecco's question about their production problems last year and earlier this year.

Fair enough Merelyme, I hadn't looked at the website obviously but that statement from the Chair was a serious non-statement (in it's own right)

Merelyme · 12-11-2013 11:54pm

Cute Hoor wrote: »

Fair enough Merelyme, I hadn't looked at the website obviously but that statement from the Chair was a serious non-statement (in it's own right)

Yeh. Even as a back-up to the AGM comments it's fairly unconvincing. The thing about Petroneft is that the worst case scenario is that they're taken over by a bigger company. As I believe the share price deal would be over 5.6c (today's closing price) and that at such a low price one would only lose a small amount even if the share price deal in a takeover was slightly lower, I'm convinced this is a superb buy. I'm excluding a refinance and excluding a farm-out in this worst case scenario and one or both of these options whilst not quite guaranteed are extremely likely. In that case the sp goes up maybe as high as 10c. I got them at 4c so I may just be an eternal optimist! Caveat emptor.

Grecco · 13-11-2013 12:22am

I`ll take the chairmans comments with a large pinch of salt. it really boils down to the Oil production. A lot of ifs here...
If they can keep production stable then the Sp will recover slowly
If they get a refinance then again the Sp will recover even more quickly
If they can pump more Oil, say 5000bopd+ then the Sp will rocket north
If production falls back then it could mean no refinance and the end of the road will be nigh

Merelyme · 13-11-2013 12:29am

I think the refinance has to come before the increased oil production. They have the sites but not the money!

Dubh Geannain · 13-11-2013 11:15am

"The coming weeks". A lovely statement not limited by such a trivial thing as time. Every week in the future is a coming week.

If he had said "before X", it would have been more definitive. Such as before the end of the year or end of November etc.

gordongekko · 13-11-2013 11:29am

Dubh Geannain wrote: »

"The coming weeks". A lovely statement not limited by such a trivial thing as time. Every week in the future is a coming week.

If he had said "before X", it would have been more definitive. Such as before the end of the year or end of November etc.

how could he say that. These deals can often fall down at the last minute over trivial details.

Dubh Geannain · 13-11-2013 11:39am

gordongekko wrote: »

how could he say that. These deals can often fall down at the last minute over trivial details.

He wasn't saying that a deal would be done in the coming weeks. He said he'd update shareholders.

I don't expect to have a definitive date on the deal being done for obvious reasons such as what you've just stated. It is a negotiation after all.

Merelyme · 15-11-2013 8:56pm

Another week goes by without some sort of announcement regarding refinancing/farm-out. Oh well, there's always next week.

Dubh Geannain · 27-11-2013 12:35pm

Anyone watching today?

27-Nov-1310:48:04 4.74 2921,758,889 Buy* 1.032MO

27-Nov-1310:46:54 4.74 2910,241,111 Buy* 485.73kO

27-Nov-1310:45:04 4.74 2932,000,000 Buy* 1.518MO

Grawns · 27-11-2013 2:47pm

Dubh Geannain wrote: »

Anyone watching today?

Me

What do you make of it?

Dubh Geannain · 27-11-2013 3:33pm

Grawns wrote: »

Me What do you make of it?

There's no news that I can see. So someone (Takeover candidate, Director, II?) has taken it upon themselves to take up a large holding in the company.

645m shares in issue.
21,758,889, 10,241,111 & 32,000,000 bought this morning.

That's 10% of the company.

There have been similar large trades that have driven the last 2 major rises from the £2 range. For lesser amounts value wise because of the lower share price at the time.

This is my pie in the sky guess. Someone has been accumulating a not so small holding over the last couple of months.

Grawns · 27-11-2013 4:01pm

Interesting! No news at all in the pipeline so takeover is a good guess.

Merelyme · 27-11-2013 5:50pm

Been watching carefully, Dubh. I read on one of the share chat sites that a trader I respect thinks it has been the habit of Petroneft to usually make announcements on the last Thursday of any given month. I won't hold my breath yet but there's definitely something going on.

I hope your 'buy' went through eventually! I bought on the ISEQ at 4c so it's looking good.

Petroneft Resources

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