Knight Energy Corp. Announces 28% Increase in PV-10 From Proved Reserves
Knight Energy Corp. (”Knight”) (PINKSHEETS: KNEC) (FRANKFURT: IG1A) is pleased to announce that the present value, as of July 31, 2008, of the estimated cash flow from its estimated proved oil and gas reserves, discounted at 10% per year (”PV-10″), has increased approximately 28% from its PV-10 as of December 31, 2007.
Based on a report prepared by Pinnacle Energy Services, LLC, an independent petroleum engineering consulting firm, as of July 31, 2008, Knight’s estimated proved reserves are 1,213,000 cubic feet of natural gas and 170,000 BBLS of oil, with a PV-10 of $10,271,000, based on a price per barrel and price per mcf of $100.00 and $8.00, respectively, as of July 31, 2008. The estimated proved reserves as of December 31, 2007 were 814,620,000 cubic feet of natural gas, and 165,000 BBLS of oil, with a PV-10 of $8,011,000, based on a price per barrel and price per mcf of $89.73 and $8.49, respectively, as of December 31, 2007. The $10,271,000 is net of royalties, drilling costs, operating expenses and state taxes. These estimates include only proved reserves.
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PXP Announces $1.25 Billion Divestiture of Permian and Piceance Basin Properties
HOUSTON, Sept 25, 2008 /PRNewswire-FirstCall via COMTEX/ — Plains Exploration & Production Company (”PXP” or the “Company”) announced today it has executed a definitive purchase and sale agreement to sell its interests in oil and gas properties located in the Permian and Piceance Basins for $1.25 billion to Occidental Petroleum Corporation.
“Pursuant to our commitment to strengthen PXP’s financial profile, this transaction increases the Company’s oil weighting for both reserves and production for 2009 and protects a significant portion of our remaining production with our superior hedge put position insuring positive cash flow even in a lower commodity price environment. Additionally, this transaction reduces our corporate debt by at least $1 billion and enables us to lower our projected 2009 capital expenditures to $1.35 billion plus have a pro forma target compounded annual production growth rate in excess of 15% for 2008-2012,” commented Mr. James C. Flores, Chairman, President and Chief Executive Officer of PXP.
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Update1 - Bolivia Seeks Iran Investment as U.S. Ties Unravel
(Bloomberg) — Bolivian President Evo Morales said he’s seeking investment from Iran, Russia and Venezuela to boost natural gas output amid worsening relations with the U.S.
Bolivia, with the second-biggest gas reserves in South America, is in talks with Iran and Venezuela to build a $10 billion petrochemicals complex, and has signed a framework agreement for investment by Russia’s OAO Gazprom, Morales said in an interview today in New York.
Morales, 48, at odds with the U.S. over drug policy and his alliance with Venezuelan President Hugo Chavez, said he expects the U.S. to eliminate his country’s preferences on $648 million of trade. Morales is also seeking to replace investment from Brazil’s state-controlled oil company, which has cut off new capital in response to Morales’s demands for revised contracts and nationalizations.
“We’re betting on a huge petrochemicals investment, that will of course be integrated, including exploration and production,” Morales said during the interview at the Bolivian mission to the United Nations. U.S. “preferential trade status isn’t a gift. Just because we aren’t pro-Yankee, they scrutinize us. They can go right ahead, we are prepared.” Read more
Oil exploration partners to explore in Palawan blocks next year
VenturOil Chief Operating Officer Arman M. Martinez said the blocks are adjacent to their existing site in the northwest coast of Palawan island, about 220 kilometers from Batangas.
He said the areas had produced oil in the 1980s, but operations stopped when a barrel of oil plummeted to $15 per barrel, which made operations too expensive.
Mr. Martinez said they think there is still oil in the area. “It will be also easier for us since we will already have our facility in place, and we’ll just explore the surrounding areas,” he added.
Enovation Resources Acquires Exploration Permits Offshore Western Australia
Enovation Resources, an oil & gas exploration, development and production Company, is pleased to announce it has acquired a [10%] interest in two exploration permits; WA-379-P and WA-380-P, in the Bremer Sub-Basin, offshore Western Australia. The Company’s joint venture operating partner, Arcadia Petroleum Ltd, holds the remaining [90%] interest in the licenses.
Encouraging results from recent seismic surveying and sea bed sampling analysis covering both permit areas, has revealed working petroleum systems with high potential for large oil and gas accumulations with structure conformable DHI’s (Direct Hydrocarbon Indicators) in water depths of less than 1000m. The surveying was carried out by Geoscience Australia.
Under the terms of the exploration permits, Enovation and Arcadia have agreed to fulfill the existing permit work program obligations, comprising 2D seismic acquisition in the primary term and Controlled Source Electromagnetic (CSEM) surveying and two exploration wells in the secondary term. The use of risk reducing CSEM technology will further delineate and prove up the prospects prior to drilling.
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Onco Petroleum Announces New Board of Directors
TORONTO, CANADA — (MARKET WIRE via COMTEX) — Onco Petroleum Inc. (CNQ: ONCO) (FRANKFURT: 3HX) - The board of directors of Onco Petroleum Inc. (”Onco” or the “Company”), consisting of Mr. Robert Vanier, Ms. Terri Ramage, Ms. Berthe Lambert, and Mr. Richard-Marc Lacasse are pleased to announce the appointment of a new Board of Directors made up of the following individuals: Peter Bilodeau, Robert Claeys, Robert Burgener, Frederick Dixon and Brad French. In conjunction with the appointment of the new board, Mr. Vanier, Ms. Ramage, Ms. Lambert and Mr. Lacasse, have all tendered their resignations.
Mr. Bilodeau has presented to the board a restructuring plan that contemplates, among other things, a revision to Onco’s capital structure and that will address Onco’s finances and past financial transactions. The retiring board feels that, once this plan is approved and implemented, it will prove to be in the best interests of Onco’s shareholders and the ongoing viability of the Company. Read more
Nine oil companies invest in Colombia oil exploration
Colombia has signed contracts with nine oil companies worth 500 billion dollars to explore for oil near the border with Venezuela, the National Oil and Gas Agency has announced.
The companies include oil giants Shell and Exxon Mobil, Australian mining and primary resources company BHP Billiton, and the Korean National Oil Company, as well as companies from Canada and Peru.
“These companies have three years to estimate the potential of the area and choose more specific places to carry out exploration,” said ANH director Armando Zamora.
The search is being carried out in eight blocs totally 127,000 square kilometers (49,000 square miles) located in the eastern Colombia departments of Meta, Arauca, Casanare, Vichada, Guania and Guaviare. Read more