GREY:RNSFF - Post by User
Post by
Boots333on Jan 23, 2019 7:43pm
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Post# 29273361
Upper Jurassic Info
Upper Jurassic Info When I spoke to management I asked whether or not the new Government had a real understanding of the potential of the Upper Jurassic shale oil on the Amititlan block. The answer was yes, it is all spelled out in their 5 year development plan that is part of the migration package of information. He explained that the development plan sets out, among other things:
- To have production at 100,000 BOE by the end of 5 years, all from the upper most of the zones identified.
- Of this 100,000 BOE it would be about 50% oil and 50% natural gas.
- ROE has identified clearly the first 200 drilling locations and has identified up to 1,000 drilling locations from the various zones which will be more clearly identified once the commercial viability of the lower zones is determined from further lab results.
- If the lower zones are commercially productive, which they think they will be but are waiting for more lab results, then they feel they can get oil production to 90,000 B.O.D plus the gas, by the end of the 5 year plan.
- By as early as the end of 2020 or first quarter of 2021 the drilling should all be self funding.(Depending on oil prices and the cost of drilling)
- The shale, at relatively the same thickness, is under all of the Amititlan block.
- The size of the shale resource is vastly superior to that of the shallower oil reserves in the Chincontepec and the Chincontepec has been estimated to hold over 4.0 Billion barrels of oil on the Amititlan Block.
One challenge on getting the contract migrated is the new government is dealing in four major areas with respect to oil, the refineries, gasoline shortages, the offshore oil resources and the on shore resource development and ROE is pushing hard to keep the focus on Amititlan and the migration of this contract as a first priority. ROE’s CEO is in Mexico pushing hard on the migration as this will kick start the shale development and move AMLO and the government a major step towards reaching the Government targets.