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InterOil from the boards March 18

March 18th, 2010 · 6 Comments

More stuff…

  1. All that gas
  2. And the refinery
  3. Why it doesn’t refine from OilSearch field
  4. PPS holds up well after drilling delay news
  5. History perspective
  6. Part II
  7. Part III
  8. IRR (internal rate of return) calculator for LNG projects
  9. Horizontal drilling into the fractures
  10. Part II
  11. Indian energy firms ordered to buy overseas assets
  12. Another blog article
  13. Why no deal yet?

Tags: IOC · The best from the boards

6 responses so far ↓

  • 1 Darcy Patten // Mar 19, 2010 at 1:24 am

    I must admit that my focus on IOC has wavered somewhat the past 2 months. Waiting for these deals is a somewhat akin to watching paint dry.

    Assuming that everything comes together brilliantly as I expect, I find myself wondering about the last half of this year and beyond. For that reason I think I will attend the AGM this year and meet the people that are managing my money and see I can extract a glimpse into IOC’s future.

  • 2 Bruce // Mar 19, 2010 at 2:27 pm

    I understand the institutions buying on dips, but I am suprised at how quick the pps bounced back. I view the drilling problem as a delay in understanding the condensates (not all about oil) and therfore a delay in the deal with Mitsui. The longer the delays, the need to start thinking about short term cash on hand and potential incentive for Mitsui to drag out the deal

    .

  • 3 WA // Mar 19, 2010 at 3:02 pm

    From my understanding the Mitsui deal has nothing to do with the horizontal drilling on a potentional oil leg. GLJ has already evaluated the condestate ratio, and there is enough natural gas proven to supply a 2 train stripping facility. I still believe the deal will happen any day. I also believe that the redrilling the 90 degree angle would be not such bad problem but more of hopes that the extra cash spent to rework the angle means a greater result we can expect. Keep believing and be patient, yes it could happen faster but we have to trust whats in the ground..

  • 4 kencooksam // Mar 20, 2010 at 5:18 pm

    They have clearly stated to me that this horizontal has no bearing on Mitsui.Margins at refiners are robust. All around the world. See IOC’s 4th quarter results to see.That cash flow from the refinery is sufficient to support the current drilling program.No cash problem…This horizontal is to find OIL.Make no mistake there.The type of rig bought with 16000 foot total reach is to drill down 7-8000 feet then drill horizontal 4000 feet to find oil. All this NG came from oil. The oil is there.The market over reacts to the word oil. IOC will not call the hunt oil. If they find commercial oil it will be announced as such if not then it will be called condensate understanding. See the name of the company INTEROIL its NOT named named INTERGAS.Phil wants oil and is obsessed about it.He will find it.The new rig will be placed in Elk/Antelope to find it.Will it work the horizontal here at Antelope 2. I don’t know.Mitsui wants an equity interest in IOC,or a buy in.Those details are delaying the Mitsui deal announcement.When soon.Morgan now to Mid April last friday,yesterday.The company gives no time direction.Overwhelming interest in IOC parts.IOC wants to sell what it has the buyers want a future interest in finds.That needs to be worked out.It will be resolved.Two investment bankers there to help Phil.Deals for LNG during the second quarter .

  • 5 Greg // Mar 20, 2010 at 6:55 pm

    Thanks Ken. I guess this means I need to roll out of April calls and into May or June. Story great and fully intact but I do not like the habitual delays – not for my own impatience but that it provides more fuel and fodder for the shorts. IOC needs to get a deal done to permanently put the shorts in the trash.

  • 6 kencooksam // Mar 20, 2010 at 9:28 pm

    Get a spike go to Sept. Insurance is good with IOC. I own Sept 55’s..