CGX Energy Inc V.OYL

A couple questions.

[IceDog13]

As a long time holder of Eco Atlantic and being very familiar with the Orinduik block, I have been aware of CGX in the neighbouring block for some time. Always seemed to dysfuntional for my risk tolerance, but admittedly, had never taken an in depth look. 

Knowing the potential of Guyana though, as soon as I heard that CGX had a drill under contract, I jumped on picking up a few shares in the low 90s knowing this would take a nice run up to the drill date. 

Having now taken a much closer look at CGX, I am a bit confused and hope some of the long time holders can enlighten me. 

The Corentyne block has a mean esitmate of holding about 2 Billion barrels over 27 targets. I have not been able to find any info on the estimate for KAWA-1 though. Anyone have any ideas how big this target is? I cannot seem to find this info. I will put a much different target price on this if it is targeting 100,000,000 compared to 500,000,000. 

The big question.... who is funding this drill? If the drill is about 90kk, that would put CGX on the hook for about 60kk. With only a bit more then 10kk in cash on hand, they appear to be about 50kk short. Do they have a carry from Fronterra? Or do they have a loan secured? Again, very different target price depending how this is getting paid for.

Thanks in advance for any help.

[Goldrush97]

Average size discoveries in the Guyana basin so far is around 300 million barrels. In bordering block 58 in Suriname the discoveries there have been closer to 500 million barrels with Kwaskwani field closer to a billion barrel. Block 58 is geologically similar to cgx corentyne block. Cgx is also aiming for santonian statigraphic traps which is where the discoveries in block 58 have been.  i

[Windyhill]

Apache Corporation (APA), a 50% stakeholder in block 58. Total is operator and holds the other 50% stake. COMMENTS : Eric Vosburgh, Vice President Exploration/Global Geoscience at APA Suriname told participants on Wednesday at the Suriname Energy Oil & Gas Summit that work is ongoing on the first two appraisal wells and the partners are appraising the first four discoveries. While declining

[Windyhill]

IceDog13  CGX has a presentation on their website outlying the KAWA target. They did not speak about the volume but you can look at the Target and see for yourself. I guess when they announce the spud date we will hear the specifics.. Welcome Aboard the CGX team of investors. I don't think you will be disappointed with the new management in place. DeAlba's intension is to reward the

[JJJRRR]

On the presentation KAWA is over 10 acres!!!  If the drill does hit oil it would be a massive discovery! With all the successful drilling done in the area, The odds of a major discovery are much better than buying lottery tickets or visiting a casino! Exciting times ahead!

[zerbo]

It's bigger in size than Liza, and its the same sand layer. 

[westcanpride]

Hi IceDog, On the CGX webiste, the seismic shows some great prospects (as others have mentioned). Using basic oil in place calculations and assumptions (based on literarture and offset discoveries), its fair to suggest Kawa could have between 400-750 million barrels of oil in place within a single reservoir horizon. Using Suriname and Pluma/Haimara as a comparable, there could be up two horizons

[IceDog13]

Thank you Westcanpride. That sounds reasonable. Looks like I was not missing anything, they simply have not made public the size of the target. Based on the independant report with a mean of about 2 billion barrels recoverable spread out over 27 propects... some of those have to be fairly small. Going after a smaller target with a higher chance of success would be prudent. Surprised they have not

[westcanpride]

"Surprised they have not been more clear about the target they are drilling and what the expectations are"... One thing you will find IceDog about CGX management is that they are horrible at publicizing their opportunities. Hell, until last October, absolutely nothing existed online other than super old presentations. Many others on here could expand on this much further. Anyway