REMINDER http://66.102.9.132/search?q=cache:MIY15McHlYsJ:www.growthcompany.co.uk/news/459601/bramlin-hails-cameroon-prospects.thtml+LOGBABA/CAMEROON&cd=2&hl=en&ct=clnk Bramlin hails Cameroon prospects
07/08/2008 Robert Tyerman
Reduce text size Decrease text size Increase text size Increase text size Print article Print Share this article Share Email article to a friend Email Natural gas play Bramlin suggests Cameroons Logbaba project could be generating 60,000 daily cash flow in a years time.

The product of a reversal of energy hopeful Rodeo Resources into AIM shell Bramlin, the company, run by former Rodeo partner Jim Ford, has 60 per cent of the Logbaba natural gas project, near Douala, the port city and economic capital of Cameroon, one of West Africas more stable and trouble-free states. Current estimates put the companys net attributable reserves there in a range from a proven 300,000 barrels of condensates and other liquids and 7.9 billion cubic feet of gas to a proven, probable and possible total of 4.5 million barrels of liquids and nearly 124 billion cubic feet of gas.

Ford, whose fellow directors include Rodeo partners and former ex-Soviet Union-focused resource entrepreneurs Kevin Foo and Bill Kelleher, claims a net present value of 25 million for the project, based on two wells starting to produce at a daily rate of four million cubic feet of gas from late 2009. That is the same as the estimated capital cost of putting Logbaba into production and before further exploration in the surrounding territory.

Bramlin is presently negotiating with local industries, from breweries and food processors to chemical groups and steel works, over supplying gas to them at $16 (8) per million btus (British Thermal Units). He says that would be significantly cheaper than their present fuel sources, while still profitable for Bramlin.

Ford says he also hopes to convince American Electrical Services, which is building an 88-megawatt power station near Daoula, that Bramlin can eventually build up production at Logbaba to supply 25 million cubic feet a day to the power station, when it is built, at a still-profitable $6.25 per million btus. He argues that would be less than a third of currently projected costs.

Bramlin also hopes to probe wells abandoned in the 1950s by former prospector the Elf group, which had hoped for oil, not gas. Ford speculates these could conceivably hold more than a trillion cubic feet of gas.

Bramlin will at some point need more funding for Logbaba. But if results show the long-term possibilities sketched out by directors look realistic, the shares, at 12.5p down from 30p December, should outperform several sector peers.

Growth Company Investor subscribers have full access to all our AIM and small-cap share recommendations. To subscribe today with a half-price offer, and gain immediate access to all the recommendations, click here.


Reduce text size Decrease text size Increase text size Increase text size Print article Print Share this article Share Email article to a friend Email Sector: Oil & Gas Producers
Companies: Bramlin

Cameroon: Victoria Oil & Gas updates Logbaba gas and condensate project operations


06 Jan 2010
Victoria Oil & Gas, the oil and gas exploration and development company with assets in Cameroon and the FSU, has announced an update on its Logbaba gas and condensate project in Douala, Cameroon.

Well La-105 reached a total depth of 8,920 feet on 1 January 2010 and the well is currently being logged prior to its completion as a development well. Multiple gas-bearing sands were encountered at virgin pressures at depths between 6,017 feet and 8,330 feet, which can be correlated to those found and tested in the nearby well La-103. Well La-103 flowed at rates from 5 to 12 million cubic feet of gas per day from individual sands when drilled in 1956.

The data obtained whilst drilling showed in excess of 300 feet of gross pay and also indicated the presence of over-pressured shale gas in a significant interval. After logging, a 7-inch liner will be run to isolate the sands for future testing and production. Further detailed information on La-105 and drilling of the next well at Logbaba, La-106, will be announced in due course.

VOG Chairman Kevin Foo said, 'We are pleased that Well LA-105 has now reached total depth and encountered over 300 feet of gross pay. Notably, the presence of gas in the shale could add upside to previous management interpretations. We will provide further detailed information to the market once the well logs have been completed.'

Source: Victoria Oil & Gas

Logbaba, Cameroon


As an oil man with more than 30 years' experience in the industry, working on E&P projects across the globe, I believe that the achievement of the Victoria team in Cameroon in spudding the first well, La-105, within nine months of acquiring the licence is nothing short of exceptional. For more than 50 years, the Logbaba gas and condensate project has remained dormant, but starting in January 2009 following the acquisition of Bramlin, Victoria has succeeded in: developing an integrated appraisal/development/production programme; constructing a drilling site and obtaining certificate of compliance from the Ministry of Environment; mobilising a new land rig; sourcing and importing a full suite of equipment and services; and breaking ground on schedule.


As reported earlier in November, we have successfully drilled down to the bottom of the 12 inch hole section to a depth of approximately 6,200 feet (measured depth), and we have intersected around 90 feet of gross sandstone pay. These sands, of Campanian age, were encountered at around 6,030 feet (measured depth) and appear to have good porosity and permeability and are at pressures of 4,000 psi. This excellent result conforms to the prognosis for Well La-105, prepared using the original data from Well La-103.


When La-103 was drilled by Elf in the late 1950s, these same sands were encountered and flowed on an open-hole drill stem test at a rate of approximately 4.5 million cubic feet of gas per day. Although these test results were appraised by RPS Energy in their reserve report of 2008, they were not included in the calculation of proven reserves and a good test on these sands could see them added to our 1P numbers for the field.


Most of the gas encountered by Well La-103 was seen at depths of around 8,000 feet at pressures of around 8,000 psi and temperatures of up to 320 degrees Fahrenheit. Under test, these gas-bearing horizons flowed at approximately 30 million cubic feet of gas per day per well or the equivalent of 5,400 barrels of oil.


Once La-105 is completed, work will immediately begin on the next well. The rig will be skidded about ten metres to the side of the current hole and another 10,000 foot deviated well (Well La-106) will be drilled to twin La-101. La-101 was originally a blow-out when drilled by Elf, who were looking for oil and so not prepared for the prolific gas zones that they encountered. The blow-out ran for 38 days before being brought under control and is estimated to have produced almost a billion cubic feet of gas in that time.


Activities on the gas processing plant, production facilities and pipeline of the Logbaba integrated development programme continue on-schedule. The detailed engineering will incorporate the data from the new wells and we are targeting first deliveries in mid-2010. The engineering of the downstream is unlikely to be complex in itself, assuming that the gas composition is similar to that which was seen by Elf, but bringing such a project on-stream in a country with such little available infrastructure is the real challenge. However, it is worth keeping the nature of the project in perspective and the intricacies of constructing a pipeline are more than offset by the availability of a fully developed market within a ten kilometre radius of our first well.


Having reviewed the data available on the original wells, recent analogues and the our LWD/MWD new well data, it is my view that the 2P reserves ascribed to the field by RPS Energy of 106 billion cubic feet does not reflect the full potential of the Logbaba block. The 2P reserves were assigned to tested sands, using only the gas-down-to volumes in the respective wells. On the other hand, no gas-water contacts were identified on the well logs in any of the sands in the Logbaba Formation or below it. Furthermore, the currently declared 2P reserves are based on the area that covers the old drilled wells which only represent some 10% of the total Logbaba block area. Yet the Turbidite sands encountered by Elf in the Logbaba wells, and confirmed in La-105, are similar to those seen in the large offshore fields stretching into the Gulf of Guinea from the mainland.


We have looked past the current drilling programme and towards the further development of the field as a whole. All drilling to date has centred on a limited area on a small anticline within the southern section of the block and in November, we commenced a new passive seismic spectroscopy study with GeoDynamics Research. This survey will take about 50 measurements over the entire licence and give us our first new data on the subsurface and allow us to begin selection of the next drilling locations.

last piece of the jigsaw falling into place http://www.entrepreneurnewsonline.com/2009/07/cameroon-hyundai-engineering-sign-162-million-power-deal.html July 26, 2009
Cameroon, Hyundai Engineering sign $162 million power deal
By Tansa Musa

South Korea's Hyundai Engineering & Construction (000720.KS: Quote) will invest 75 billion CFA francs ($162.3 million) in building a 232 MW gas-fired power plant in Cameroon, state radio in the central African country said on Friday, July 24, 2009. The plant, which will be installed at Logbaba by September 2010, aims to increase power supply to southern Cameroon, particularly the economic capital of Douala, which is battling chronic power shortages. "We plan to send the power produced from this plant to the southern internconnected network (RIS)," said Celestin Ndonga, general manager of Cameroon's Electricity Development Corporation (EDC).


Ndonga said the RIS currently only produced 630 MW but demand was around 1,000 MW and would rise by 20 percent by 2012.

Investors have long complained that Cameroon's economic potential is not being fulfilled due to chronic power problems.

Capacity at the Logbaba plant is expected to increase to 355 MW by 2012, Ndonga said.

The Logbaba gas deposit holds proven and probable reserves of 104 billion cubic feet of gas beneath the outskirts of Douala, Cameroon's largest city and main industrial centre.

London-based explorer Victoria Oil & Gas Plc (VOG) (VOG.L: Quote) secured rights for the deposit in late 2008 and is set to begin production in late 2009 or early 2010.

"Once it is being produced, it is expected that energy injected in the RIS will supply six regions of the country: the centre, the south, the coast, the west, the north-west and the south-west," Ndonga said.

Cameroon relies heavily on hydropower, making its electricity sector extremely vulnerable to droughts, severely hampering economic and industrial development.

Ndonga said Cameroon and Hyundai aim to accelerate the completion of the Logbaba gas power station within six months because expected harsh dry season conditions this year may aggravate power shortages and blackouts in the country.

Successful development of Cameroon's estimated 500,000 MW of hydroelectric potential could make the country a net electricity exporter in the future.

It has significant gas reserves estimated by the National Hydrocarbons Corporation (SNH) at over 500 billion cubic feet, 150 billion already proven by drilling.
($1=462.0 Cfa Franc) //Reuters

BULL POINTS:

■ Near-term gas production from Cameroon

■ Substantial power generation opportunity

■ Russian oil and gas resources

■ Financed drilling programme

BEAR POINTS:

■ Ongoing Kazakh legal wrangle

■ Poor investor sentiment

Advertising

Victoria Oil & Gas listed on Aim five years ago with the strategy of exploiting oil and gas opportunities in the former Soviet Union. However, its major prospects now lie south of the equator in a major energy development project in Cameroon, the first phase of which will see the company supply gas to a growing industrial market that is heavily reliant on imports for its fuel.

The company controls 60 per cent of the Logbaba gas and condensate field in Cameroon. This lies beneath Douala, Cameroon's largest city and major port, which hosts the country's primary industry. Logbaba was discovered in the 1950s by Elf. Four exploration wells all encountered natural gas (one flowed so strongly it caused a blowout and flowed uncontrollably), but were not pursued as Elf was searching for oil rather than gas. Logbaba then remained dormant for decades because no market for gas existed in the region. However, all that has now changed. The field is ideally placed to feed both Douala's industrial market and, more importantly, Cameroon's growing demand for electrical power more widely.

The first phase of the Logbaba project will see Victoria pipe gas directly to Douala's industrial users, which currently import liquid fuels at around double the cost at which Victoria will be able to supply gas. With fuel conversion costs in the order of $25,000 (14,700), industrial users should achieve payback in under half a year. Victoria has already signed letters of intent with potential customers representing 8 million cubic feet of gas per day (mcf/day), around half the estimated market size of 15mcf/day. This market is expected to expand as Cameroon industrialises. Thirty-year agreements will fix the gas price at a favourable $16/mcf for five years.


VICTORIA OIL & GAS (VOG)
ORD PRICE: 3.65p MARKET VALUE: 27m
TOUCH: 3.55-3.75p 12M HIGH / LOW: 13p 2.5p
DIVIDEND YIELD: nil PE RATIO: na
NET ASSET VALUE: 35* NET DEBT**: 3%



Year to 31 May Turnover ($m) Pre-tax profit ($m) Earnings per share () Dividend per share (p)
2005 nil -1.25 -2.04 nil
2006 0.17 -1.15 -1.21 nil
2007 0.37 -1.32 -1.17 nil
2008 1.73 -1.17 -0.70 nil
% change +363 - - -
NMS:50,000

BETA:1.47

*Includes intangible assets of $100m, or 35 a share

** excludes equity fundraisings post period end (see text) 1=$1.70



The first of two development wells should start drilling in September, adjacent to the Elf discoveries, and Victoria has raised around $25m this year to help finance these wells. The proximity of the field to its customers (3-15km) greatly reduces the costs of building pipelines, such that the total cost of processing and transmission infrastructure is estimated at just $12-15m. First revenue, potentially $1m per week, is targeted in mid-2010.

Once Logbaba is in production, Victoria will drill beyond its core area, hoping to prove that the gas-bearing sands extend over a larger area than has been explored so far. However, Logbaba's biggest potential comes from servicing the huge demand for power generation. Around 90 per cent of Cameroon's electricity comes from ageing hydroelectric plants, which the government wishes to replace with a gas-fired power station in Douala. This could require 75-100mcf/day, for which Logbaba would be the natural and only supplier.

Victoria also retains interests in Eastern Europe, including the West Medvezhye licence in Siberia which lies close to Gazprom's vast Urengoy field. However, ownership of the producing Kemerkol licence in Kazakhstan remains mired in legal wrangling and this has badly affected investor sentiment.


--------------------------------------------------------------------------------

SHARE TIP SUMMARY:
BuyEven discounting all the Eastern European operations, the investment case looks attractive. In its 2008 reserves report, consultant RPS Energy estimated that the proven and probable Cameroon reserves of 13.97 million barrels of oil net to Victoria carry a net present value of around $169m (100m). Moreover, recent analysis by broker Seymour Pierce estimated that the London exploration and production sector trades on an average ratio of enterprise value (market value plus debt) to proven and probable reserves (EV/2P) of 5.23 per barrel. At its last balance sheet date, Victoria's ratio of EV/2P stood at under 1.20 per barrel. One reason for the vast discount is the fact that the Victoria story, particularly the full potential of the Logbaba project, is not currently well understood. As Logbaba's potential becomes better known, the discount could narrow considerably. Buy.

There is already a thread for VOG...been going for years...

Not his style RF, a new thread to go with a new username :-))

thehub,devlin,studio67,security1,caz80,moreforus1,oiilbrat,oilandgasman,
usaoiltoday,hub,tescoma,8trader,diggingdeep.

Yes very good "copy and paste" so far, but that is all.

Although something is going on on the volume side during the last week and mainly on Friday

VOG have their logo plastered at the bottom on every single page of the Cameroon CIEW conference website starting on 20th Jan

http://www.camenergywater.com/indexEN.html

Also our operations officer is speaking on the second day alongside Cameroons national oil company (SNH). All good PR and a chance to expedite license me thinks...

Temu


Thursday 21st January 2010
08.45 Chairman opening remarks

09.00 - 10.30 Session 5: Upstream Oil & gas Cameroon Opportunities

Update on Cameroon E&P sector (policy, exploration and production)
EOR to increase production from mature fields
Development strategy/options for Offshore Cameroon
Incentives for the exploration and production of natural gas
Delivering Social and local content responsibilities

Speakers:
Radwan Hadi, Chief Operating Officer, Victoria Oil & Gas Plc
Paul Ngii Nag, Head of Gas, SNH
Serge-Edouard Angoua, Senior Representative, SNH
Paul Poulallion, Directeur Gal,

THURSDAY UPDATE.Thursday 21st January 2010 http://www.camenergywater.com/html/threepageone.html

08.45 Chairman opening remarks

09.00 - 10.30 Session 5: Upstream Oil & gas Cameroon Opportunities

Update on Cameroon E&P sector (policy, exploration and production)
EOR to increase production from mature fields
Development strategy/options for Offshore Cameroon
Incentives for the exploration and production of natural gas
Delivering Social and local content responsibilities
Chairperson: Jean Pierre Kedi, Permanent Secretary, Ministry of Mines Industries & Technological Developments

Speakers:

Radwan Hadi, Chief Operating Officer, Victoria Oil & Gas Plc
Paul Ngii Nag, Head of Gas, SNH
Serge-Edouard Angoua, Senior Representative, SNH
Paul Poulallion, Directeur Gal, SINERGIA E DESENVOLVIMENTO LTDA