Challenger Energy Group PLC (CEG)

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Challenger Energy Group PLC (CEG)
« on: May 21, 2021, 03:45:29 PM »
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Fri, 21st May 2021 07:00
RNS Number : 3497Z
Challenger Energy Group PLC
21 May 2021
 

21 May 2021

Bahamas Petroleum Company PLC

("Bahamas Petroleum" or the "Company")

 

Change of Name to Challenger Energy Group PLC

 

Bahamas Petroleum, the Caribbean and Atlantic margin focused oil and gas company, with production, appraisal, development and onshore and offshore exploration assets across the region, is pleased to announce that, further to the passing of all resolutions at the Company's Extraordinary General Meeting on 17 May 2021, the Company's change of name has been effected by the Isle of Man Registrar of Companies. As such, the Company's shares on AIM, as of 08:00 a.m. today, will be under its new name Challenger Energy Group PLC ("Challenger Energy") and its new ticker of "CEG".

 

The Company's ISIN (IM00B3NTV894) and SEDOL (B3NTV89) remain unchanged. Shareholders should note that their shareholdings will be unaffected by the change of name. Existing share certificates should be retained by Shareholders holding ordinary shares in certificated form as they will remain valid for all purposes and no new share certificates will be issued.

 

The Company's website address will be updated later today to https://www.cegplc.com. Until then, the Company's website remains at https://www.bpcplc.com/ which includes the information required by AIM Rule 26.

 

Eytan Uliel, Challenger Energy CEO Designate, said:

 

"With the spud of the highly anticipated Saffron-2 appraisal well now just days away, we are pleased that in addition to the successful completion of our fundraising as announced on 20 May 2021, shareholders at the EGM supported all of our broader corporate reset objectives, including the change of name of the company to Challenger Energy, which has now taken effect. As Challenger Energy, our immediate strategic priority is to drive production and cashflow growth, through intelligent management and deployment of our resources. Our change of name, and the broader corporate reset currently underway, is in support of this strategic priority, which we see as the lynchpin for shareholder value growth both in the near-term and in the years ahead. All of us at Challenger Energy look forward to beginning the next chapter."

 

 

 

 

For further information, please contact:

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Re: Challenger Energy Group PLC (CEG)
« Reply #1 on: June 04, 2021, 11:44:49 AM »
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RNS Number : 7804A
Challenger Energy Group PLC
04 June 2021
 

4 June 2021

Challenger Energy Group PLC

("Challenger Energy" or the "Company")

 

Saffron-2 Drilling Update

 

Challenger Energy (AIM: CEG), the Caribbean and Atlantic margin focused oil and gas company, with production, appraisal, development and exploration assets across the region, is pleased to provide an update on progress at the Saffron-2 appraisal well, currently being drilled at the Saffron project in the South-West Peninsula of Trinidad.

As previously advised, the objectives of the Saffron-2 well are twofold: to achieve profitable immediate production and cashflow, and to enable the Company to define an appropriate development plan for the Saffron field as a whole.

The primary targets of interest for the Saffron-2 well are the Lower Cruse and lower Middle Cruse sands and from which, based on the outcomes of the Saffron-1 well, the Company's has a P50 expectation of Saffron-1 production rates in the range of 200 - 300 bopd.

Highlights

· Drilling of the top section of Saffron-2, though the Upper Cruse and upper parts of the Middle Cruse, has now been completed to a depth of 1,593ft, on time and on budget, with formations encountered in line with pre-drill expectations

· Logging has been completed for the top section of the Saffron-2 well; logs are as prognosed and are consistent with comparable logs from Saffron-1

· Casing is being run and cemented deeper than the equivalent casing point for Saffron-1, providing a better foundation for drilling the deeper, primary targets

· The next stage of the Saffron-2 well will evaluate the deeper Middle Cruse, and the final stage of the well will evaluate the Lower Cruse

 

Eytan Uliel, Chief Executive Officer, commented:

 

"Last week, on assuming the role of CEO of Challenger Energy, I indicated that I would seek to actively engage with our shareholders, including providing regular updates, and, given the centrality of Saffron-2 to our immediate forward strategy, I know that many shareholders are acutely interested in the progress of this well.

 

"I am thus pleased to advise that Saffron-2 is proceeding as planned, with the first section of the well successfully completed and logged, on time and on budget. Thus far, everything is as we would have hoped it would be, both geologically and operationally. This creates a good foundation for the next two stages of the well, which will evaluate the primary targets of interest. A further update on progress will be provided in due course."

 

Saffron-2 Appraisal Well Update

The Saffron-2 well is currently being drilled in the South-West Peninsula of Trinidad. Challenger Energy has a 100% operating interest in the well and the broader Saffron project. The target depth of the Saffron-2 well is approximately 4,550ft, with the well design comprising three sections:

· the top section, to intersect and assess sands of the Upper Cruse and upper parts of the Middle Cruse (these being zones previously intersected and logged in the Saffron-1 well, and which since completion of the Saffron-1 well have been the source of consistent oil production from that well),

· the middle section, to intersect and assess deeper Middle Cruse sands (these being zones previously intersected in the Saffron-1 well, encountering hydrocarbons, but which were not able to be logged and produced from the Saffron-1 well), and

· the lower section, to intersect and assess the Lower Cruse sands (as with the middle section, these being zones previously intersected in the Saffron-1 well, encountering hydrocarbons, but which were not able to be logged and produced from the Saffron-1 well).

The primary targets of interest are the Lower Cruse and deeper Middle Cruse sands (that is, those to be assessed by the lower and middle sections of the Saffron-2 well). The budgeted total cost for the Saffron-2 well is $3 million, and the anticipated drill time in in the range of 25-30 days. The well was spud at 7:30pm on 23 May (Trinidad time), as per schedule, and the Company is able to advise that:

· drilling of the top section of the Saffron-2 well has been safely completed to a depth of 1,593ft (at 17 1/2"), and successfully logged in accordance with schedule and budget, with casing being run and cemented in this section. Notably, the casing point for this section of the Saffron-2 well is approximate 1,120ft deeper than the equivalent casing point in the Saffron-1 well, providing a better foundation for drilling to the deeper targets, and

· the results of logs in this section (i.e., of the Upper Cruse and upper parts of the Middle Cruse) are consistent with the results of comparable logging from Saffron-1 from these zones. For reference, notwithstanding technical issues with the drilling and design of the Saffron-1 well, that well has consistently produced since completion, with all Saffron-1 production sourced from the sands of the Upper Cruse / upper Middle Cruse.

Looking Forward

· The next (middle) section of the Saffron-2 well (at 12 1/4") will be drilled to a target depth of approximately 2,800ft, and thereafter logged and cased.

· In this next section of the Saffron-2 well the Company expects to encounter hydrocarbons as identified in the Saffron-1 well in the deeper Middle Cruse, but as distinct from the Saffron-1 well also expects to be able to acquire open hole wireline logs where they were not previously able to be run.

· Thereafter, the drill plan is for the Saffron-2 well to be drilled to a final target depth of approximately 4,550ft, logged, sampled and cased as a future producer. As with the middle section of the well, in the final lower section of the Saffron-2 well the Company expects to be able to assess and produce hydrocarbons that were identified in the Saffron-1 well in the Lower Cruse but were unable to be logged and tested in that well.

The Company expects to provide a further update at completion of the next section of the Saffron-2 well.

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Re: Challenger Energy Group PLC (CEG)
« Reply #2 on: June 29, 2021, 12:36:29 PM »
Quote
Tue, 29th Jun 2021 07:00
RNS Number : 3633D
Challenger Energy Group PLC
29 June 2021
 

29 June 2021

Challenger Energy Group PLC

("Challenger Energy" or the "Company")

 

June 2021 Trading and Corporate Update

 

As previously announced, due to the impact of COVID-19 in each of its countries of operation, and in particular due to the extended current lockdown in Trinidad and Tobago, Challenger Energy (AIM: CEG), will be unable to post its annual audited accounts to shareholders for the year to 31 December 2020 by the 30 June 2021 deadline pursuant to AIM Rule 19.

Further to the guidance provided by AIM Regulation in "Inside AIM" on 27 January 2021, the Company requested and was granted an additional period of up to three months to publish its Annual Report, such that the Company will publish its Annual Report by 30 September 2021. The Company however now provides a trading and corporate update to shareholders.

 

Trading Update

· Production and drilling operations have been maintained despite almost continuous COVID-19 related restrictions on the movement and availability of staff and contractors. Diligent compliance with all in-country mandates has been maintained, along with additional Company procedures to ensure the health and welfare of all staff

· For the 5 months (post acquisition of Columbus Energy Resources plc) to 31 December 2020 aggregate gross production from the Company's five producing assets in Trinidad was 64,088 bbls, generating gross revenues of $2.3m

· For the period Jan 2021 to May 2021, aggregate gross production from the Company's five producing assets in Trinidad was 64,319 bbls, generating gross revenues of $3.3m

· As advised by the Company on 24 June 2021, the Company expects to complete drilling and logging of the Saffron-2 well in Trinidad on or about 30 June 2021, and to thereafter commence a production test of the well in mid-July 2021 = further announcements will be made in due course

· The Company has progressed all major workstreams necessary to commence drilling an initial well at the Weg Naar Zee project in Suriname. Due to ongoing adverse COVID-19 circumstances in Suriname, the operational expectation is that commencement of drilling will be in late August / early September

· The Company has achieved STOW (Safe To Work) accreditation in its main centre of operation in Trinidad, and remains on track to produce its first comprehensive ESG strategy during 2021

 

Corporate Update

· Major elements of the Company's 'reset' program, which commenced in April 2021, have been completed, including name change, share consolidation, board and management transition, and capital raising

· As at 31 May 2021, the Company had unrestricted cash and cash equivalent holdings of $10.7 million

· Cost saving initiatives implemented across the Company have thus far given rise to an overall saving of approx. 15% against recurring Group overhead on an annualised basis; additional cost savings initiatives will continue to be implemented over the coming months with a view to achieving the stated savings target of 20% - 30%

· A number of drilling and services contractor creditor discussions remain to be finalised and for payments to be agreed and scheduled - further updates will be made in due course

· The Company is actively working on securing various additional sources of funding, in particular debt and hybrid-debt facilities, for both development of the Company's assets and working capital purposes. At the same time, the Company is evaluating various growth and transactional opportunities - further announcements will be made as appropriate

 

Eytan Uliel, Chief Executive Officer, commented:

 

"In April we laid out a plan to 'reset' this Company, focussed around the core strategic objective of growing production and cashflow. I can report that we are making solid progress against this goal. Operationally, we will shortly complete and production test the Saffron-2 well in Trinidad, we are looking toward commencing drilling in Suriname as soon as circumstances allow, and we are maintaining production from existing fields. Corporately, we are tightly managing our finances, implementing cost reduction initiatives, and looking to define the future shape of the Company - including taking tangible steps towards introducing less dilutive debt funding sources into our overall funding mix. Much remains to be done, and the next six months will be a busy time for Challenger Energy. We will keep shareholders regularly informed as to our progress."

 


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Re: Challenger Energy Group PLC (CEG)
« Reply #3 on: August 16, 2021, 09:39:07 AM »
Quote
Mon, 16th Aug 2021 07:00
RNS Number : 6736I
Challenger Energy Group PLC
16 August 2021
 

16 August 2021

Challenger Energy Group PLC

("Challenger Energy" or the "Company")

 

Bahamas Conclusion of Legal Process and Status Update

 

Challenger Energy (AIM: CEG), the Caribbean and Atlantic margin focused oil and gas company, with production, appraisal, development and exploration assets across the region, provides the following update in relation to its operations in The Bahamas.

Legal Proceedings

In December 2020, various parties in The Bahamas brought an action for judicial review against the Government of The Bahamas in an attempt to stop the drilling of Perseverance-1. The Company was ultimately added as a party to that action, and successfully defended the action such that Perseverance-1 drilling was able to proceed. Perseverance-1 was subsequently drilled with no safety or environmental incidents but, notwithstanding the completion of drilling, the applicants continued with their action. Consequently, the applicants were ordered by the Court to post security for the Company's costs. The applicants had appealed that decision, although on 8 July 2021, that appeal was withdrawn, and the applicants have now withdrawn from the action entirely. Consent Orders to this effect have been agreed between the applicants, the Company and The Government, and were endorsed by the Court on 13 August 2021, such that the matter has now ended.

Perseverance-1 Key Technical Findings

On completion of the drilling of the Perseverance-1 well, the Company had indicated that a technical "debrief" would be provided for shareholders' information once the post-well analysis had been sufficiently advanced. The Company expects to be able to post this report to its website during September 2021, once appropriate prior notices to, and engagement with, the Government of The Bahamas has occurred. However, at this stage the following key highlights / learnings from the drilling of the Perseverance-1 well are noted:

· The Perseverance-1 well was drilled in the period 20 December 2020 to 5 February 2021, in the territorial waters of The Bahamas, at a location approximately 20 miles from the Bahamas-Cuba maritime border, in water approximately 518 metres deep. Perseverance-1 represented the first exploration drilling in The Bahamas since the mid-1980s, and the first test of any prospect located in deeper waters off the shallower water carbonate banks.

· Perseverance-1 reached total depth of 3,905 metres, having intersected five Albian, Upper Aptian, and Mid-Aptian horizons of interest. Post-drill analysis of the well has confirmed the geological risk elements for trap, seal and reservoir were present in the Lower Cretaceous carbonate play. Perseverance encountered high quality reservoirs in the targeted Lower Cretaceous carbonate closures, with thick sequences of evaporites providing effective seals. Depth and thicknesses of reservoir sections encountered were generally as prognosed pre-drill, and reservoir porosity was likewise generally in line with pre-drill expectations (in the range of 10% to 20%).

· The presence of hydrocarbons was encountered at various horizons, indicated by elevated gas chromatography readings detected continually during drilling, generally increasing with depth and through the deeper Aptian reservoir column in particular. Oil was identified from high oil saturation values from logs in a number of reservoir sections, thus verifying the existence of a working Lower Cretaceous petroleum system and reservoir quality sequences in the Aptian.

· Drilling execution using modern technology, revised casing plan, hybrid bits and bottom hole assembly design optimized the achieved rate of penetration. Mud plans and formulation were successful in the primary aim of averting the consistent lost circulation issues experienced in previous wells in The Bahamas.

· The Perseverance-1 well was drilled safely and without incident, with effective Covid-19 management protocols operating throughout the drilling campaign. Following completion of drilling operations, the well was plugged and secured in accordance with international and BSEE (Bureau of Safety and Environmental Enforcement) standards.

· Although hydrocarbons were present, these were not in commercial quantities, with the source quality and migration interpreted as being the primary reason for this non-commercial well outcome.

· Petrophysical analysis of the well logs have confirmed high quality reservoirs down to the base of the well with no significant deterioration in porosity with depth, indicating the potential for high deliverability reservoirs in the underlying Jurassic formations.

· In aggregate, the analysis of the data from Perseverance-1 drilling is broadly indicative of increased potential for oil in the underlying Jurassic interval (which was not penetrated by Perseverance-1). In particular, the relatively cool well temperatures place the postulated Jurassic source rock (producing in nearby Cuba and the US Gulf of Mexico) in the oil window, thus oil generative.

· Ultimately, the technical findings from Perseverance-1 thus support a forward program to include further biostratigraphic analysis, fluid inclusion analysis, and selective re-processing of 3D seismic to further educate sequence stratigraphy and seismo-facies of the deeper Jurassic horizons. This work will underpin an assessment of the merits of a further exploration well in the future, both to continue to assess Aptian horizon potential, whilst at the same time targeting the deeper Jurassic intervals.

Farm-Out Process

As previously advised, based on the abovementioned post-well technical analysis, the Company has reinvigorated a process, working with Gneiss Energy, to identify a suitable farm-in partner for the next phase of activity in The Bahamas. This process is active, with a number of parties having expressed interest and engaging with the Company. A technical data room has been established, with due diligence underway. Further updates will be provided as and when appropriate.

Licence Status

Under the terms of the Company's licences, three months prior to the conclusion of the second exploration period, the Company had the right to seek a renewal of the licences into a third, three-year exploration period. The second exploration period concluded on 30 June 2021, and accordingly, in March 2021, the Company advised the Government of The Bahamas of its intent to renew the licences. As part of any such renewal, a number of commercial matters must be discussed and agreed between the Government and the Company, including the scope of any future work program and licence obligations. Additionally, under the terms of the Company's licences, on renewal from a second to third exploration period the Company is required to relinquish 50% of the licenced area, for which the Company has submitted a detailed relinquishment proposal to The Government. At present, the Company is awaiting a response from The Government, noting that the process of renewal of the Company's licences from the first to the second exploration period, for example, ultimately took an extended period of time to complete. Thus, the current process may likewise take some time - particularly given the administrative delays occasioned by the Covid-19 pandemic, and the proximity to an election in The Bahamas. Further updates will be provided as and when appropriate.

 

Eytan Uliel, Chief Executive Officer, commented:

"As I have commented previously, it is often the case in our industry that several exploration wells are required before the potential of a frontier basin is unlocked. We had hoped for 'instant gratification' with Perseverance-1, which was not the case. However, notwithstanding the non-commercial results of that well, based on what we have learned we continue to believe that the licences in The Bahamas are highly prospective. As such, we advised the Government of The Bahamas of our desire to renew the licences into a third three-year exploration period, and are working through that process, which will likely take some time. Meanwhile, we are continuing with our evaluation of the exploration potential of the licences, working to reduce technical uncertainties, and continuing in our efforts to secure a farm-in partner for the future. We will keep shareholders appraised of material developments."

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Re: Challenger Energy Group PLC (CEG)
« Reply #4 on: August 25, 2021, 11:50:25 AM »
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AIM - LOSERS



Challenger Energy Group PLC, down 22% at 1.35p, 12-month range 1.30p-37.00p. The oil and gas company says its Saffron-2 well in Trinidad has been successfully drilled and that work is underway to improve production levels at the site. Despite the drill completion, Challenger "failed to achieve sustained production" from zones due to technical and mechanical issues encountered during tests, Chief Executive Eytan Uliel explained.

Source: By Arvind Bhunjun; arvindbhunjun@alliancenews.com


Be-careful!

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Re: Challenger Energy Group PLC (CEG)
« Reply #5 on: September 09, 2021, 01:04:25 PM »
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Dear CEG

Please bombard shareholders with RNSs on the following 20 topics:

General

1. 2020 financials and a recent production & cash update

2. Funding plans

Bahamas

3. If the $7m alleged ‘legacy debt’ is close to being resolved. If not, a simple statement will suffice, such as ….’CEG believes the disputed remaining $xxx, can be resolved by year end and at a discount. Payment if any will either be by issuing shares at a premium price and/or a payment schedule which CEG believes can be adequately serviced from future cashflow.’

4. Confirmation ALL non-disputed Bahamas bills have been paid (excl point 5)

5. Status of licenses and the process to resolve amounts allegedly due to the State

6. Percy-1 autopsy and what the findings mean in simple language. Perhaps Proactive can interview expert Dr Zac Phillips or someone of his ilk.

7. Farm in update. Is a major planning to visit Gneiss’ data room?

8. Are there plans to sue those involved in the attempted injunction which forced BPC to get punitive financing and cost holders $$$ because they couldn’t de-risk part of their holdings prior to the result?

Trinidad

9. Is S2 still producing 80boed+? How’s the upper cruse doing?

10. Farm-in update for Saffron 3++

11. Are there engineering solutions for lower cruise? What do the best engineers in the region think? I’m no expert but could shale oil engineers have some innovative solutions as they deal with large chunks of debris all the time?

12. PRD CO2 JV update

13. Updated CPR based on S2 results?

14. Well automation update

15. Work-over statistics

16. Plans to eventually ‘acquire’ other wells via JVs, leveraging CEG’s know how, automation tech and STOW certification.

17. How will CEG’s STOW accreditation in other areas potentially earn $$$ or save $$$?

Suriname

18. Will the EWT be brought forward using local contractors under remote CEG supervision, with 1 fully vaccinated senior CEG engineer onsite?

Uruguay

19. General update

20. Could a % of this asset be leveraged to get a Bahamas farm-in?

Note: for topics 5 – 7, due to the election on 16/9, CEG will possibly wait until formal government handover. This takes place the day after Parliament opens on Oct 6. This is irrelevant if the current party gets re-elected.

GLA

Starchild
hxxps://www.lse.co.uk/profiles/starchild

All: I would normally email a CEG exec, but there’s nothing confidential or controversial, hence today’s open post. Have I forgotten something?

Jono44: I post opinion and commentary based on researched evidence and facts. I openly share the sources. And never knowingly mislead.

Antha: I’m a troll? How sad. I’m in my 7th decade of life and never been accused of that before. You appear to be an embittered ex-holder or shorting CEG without disclosing it. I respectfully suggest you move on with your life.

Source: Starchild Today 04:00 hxxps://www.lse.co.uk/ShareChat.asp?ShareTicker=CEG&share=Challenger-En
/quote]

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Re: Challenger Energy Group PLC (CEG)
« Reply #6 on: September 17, 2021, 01:18:03 PM »