88 Energy Limited (formerly Tangiers Petroleum Limited) is an ASX listed exploration exploration company that has recently announced the acquisition of a new, potentially world class oil asset located in Alaska. It also has a 25% stake in the Tarfaya Offshore Block is located on the Moroccan Atlantic margin and was acquired by the company in 2009.

Alaska-project-icewine

morocco

http://88energy.com/

If you do dabble, take your profits quickly!! :o)

But even they admit it's not worth getting out of the ground at present. Be interesting to know what their breakeven price would be.

I think it is around $55 from memory Harry, but that can change of course!

It will be months before all the test results are through so the oil price could have reached the target by then. Or not! :o)

Apologies to wayne300808....just seemed sensible to continue with the existing thread. Thanks for highlighting it.

From some time in October:- "88E estimates a break-even oil price of $52/bbl for the project, which as noted above is based on preliminary data and suggests that the project would not be economic at current oil prices. However, with a longer term view and considering the scale of a potential new liquids play it is not unreasonable to assume that major oil and gas companies could look to farm-in or acquire the project, subject to success of early appraisal."

Am I right in saying that they are using a $50m loan facility? If so, that needs to be repaid at some time and also may not be enough for future drilling. However, some of the little exploration Co's which have drilled successfully, get taken over by the big boys, so that could be a plus.

I'm not sure off the top of my head what the company is borrowing Harry but exploration incentives are provided by the State of Alaska with up to 85% of exploration expenditure in 2015 cash refundable, dropping to 75% until mid 2016 and thereafter 35%. The drilling they undertook was within budget and I don't think funding will be a problem but yes, it is more probable than possible that they will be taken out by a big company, hopefully at hundreds of £ per share haha! :o)

Good luck kim.

Thanks DC! Don't need luck though thankfully, my holding is now all free so I will just let it sit there. Might be tempted to do a few extra trades at some point though! :o)

Well done.

Still pushing higher!

On Wednesday, 88 Energy Ltd (88E:LSE) closed at 2.98, 0.56 % below its 52-week high of 2.99, set on Feb 15, 2016.

It may go higher today following another rise on the ASX (9.84%).

up another 12% :-))

Very nice! Couldn't resist a little trade, sold too soon of course! Leaving my free shares alone though; at the end it will either be a new car or a Big Mac! :o)

I hope its a new car. :-))

So do I, my Austin 7 is getting a bit rusty! :o)

Nothing too flash , mind you. lol

Up 28.57% now; I'm thinking speed stripes and dangly dice as an addition to my new motor, or fries with my Big Mac!