See the Wiser Oil release at http://biz.yahoo.com/bw/030114/140216_1.html
They give some color to several wells that REM is the operator of. 1Q is gonna be pretty amazing for this company, especially considering that they have basically sworn off hedging.
Your comment is interesting. I noticed in the terms of the sale of his company to EPL, the preferred shareholders got a better deal than the common shareholders. I wonder which class of stock he had more of? <g>
edajootian, I found this:
(9/5/2002 - OGI: Houston) Remington Oil and Gas revealed today that it has recently made two significant discoveries in two separate US Gulf of Mexico blocks - West Cameron Block 426 and East Cameron 377. The company said it struck gas with its West Cameron Block 426 exploratory well drilled by the jackup Rowan Texas, and it tapped into both oil and gas with its East Cameron Block 377 exploratory well, drilled by the Rowan Midland semisubmersible.
Remington said the West Cameron Block 426-1, drilled in shallow water at approximately 100 ft depth, tested at 9 million cfe/d, Tests are currently ongoing on the second discovery
Remington is the operator of West Cameron 426 and East Cameron 377, with a 50% interest in the West Cameron block and 75% interest in the East Cameron block.
Looked through the PR's during that time period and couldn't find any mention of that well. Maybe you can find it, take a look at the PR's at: http://www.siliconinvestor.com/stocktalk/subject.gsp?subjectid=18555 . The company's web site does not keep old PR's.
Due to the fact that it was not mentioned in the PR's I take it that it must not be material to the company as a whole. If you believe otherwise you may want to consider shorting the stock, since no one else knows about this.
saying years ago. It goes something like this:
"He doesn't have twenty years of experience he has one year of experience twenty times over"
Lets hope it is not applicable here.
Without going into specifics REM had other options, but they chose to connect into a packed line. They can only produce a small amount into that line. Now do you understand my problem with REMs decisions? Why did they chose the limiting opiion? Will it happen again?
When they report that new wells will come on at tested rates ask them about WC426........
As is evident I was just jivin' you and I know nothing about either this aspect of the oil & gas business or the particular situation with this well.
Surprising to hear they could be waiting years to connect. These guy have been at this quite a while so one would think that they know what they're doing.
What would the alternatives be? I suppose one would be not to drill the well in first place. Do you suppose the lease was gonna expire? Let's say that was the case, so now once you've drilled the well, any idea what alternative production paths there would be other than the one REM chose?
Not so fast, edajootian.
Wait 'til they find the pipeline capacity to tie in the new wells before you get too excited.
That area of the GOM is a little tight on PL capacity...(e.g. WC426)
entropy, Great to see someone's paying attention here!
My failure to put the comment about 1Q being good in a separate paragraph caused you to misread the post. I was not intending to infer that the wells being mentioned in the WZR release would have an effect on 1Q. I believe 1Q is gonna be a blowout as a result of the wells they already have on stream and also due to the fact that they have not likely hedged any of their production. They mentioned at one of the late '02 hype shows that they do not intend to hedge other than in special situations or if their debt levels were to increase.
You sound pretty knowledgeable -- would you care to speculate whether they would have completed deepening their Tatum Dome well and would have tested it by the time they announce 4Q? If so and the well confirmed more pay down deep then this thing could really pop on the 4Q release.