Company Web site : http://www.petromatadgroup.com/

Twitter : https://twitter.com/Petro_Matad/

Petro Matad is a group focused on oil exploration, as well as potential future development and production in Mongolia. The Group’s assets consist of Production Sharing Contracts (PSCs) over the following exploration blocks:

Matad Block XX, with an area of 10,340km2 in the far eastern part of Mongolia near the Chinese border

Bogd Block IV and Ongi Block V, adjacent to each other in west central Mongolia totalling approximately 50,000km2


Edison Research Note July 2018 : https://nofile.io/f/j90GYESdoet/MATD.pdf

March 2018 video presentation : HTTPS://www.youtube.com/watch?v=oL9rbvLAjn4

Interview with CEO July 2018 : HTTPS://www.youtube.com/watch?v=ra79wR0_jS0





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Interview with CEO July 2018 : HTTPS://www.youtube.com/watch?v=ra79wR0_jS0


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Earlier March 2018 Oil Capital Conference Presentation video link :

HTTPS://www.youtube.com/watch?v=oL9rbvLAjn4

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Some decent buying today. Cleared a bit of the overhang anyway.

Strong volume and price action upwards today, nice to see.

Looks fairly balanced today. Has the overhang cleared finally ?

3150 meter drill @ 120 ft day = 2 . 87 months oct oil spouts , don't like director selling. maybe , just hard up, is a better picture coming , please through a light on director sells and why. from informed one. BB

The director who sold, way back in what was it - April ? She is also the one who is retiring.

In the meantime in the very recent placing at 10p share price, the other directors purchased 250K USD of stock.

So 1 director in April sold a few, but other directors very recently purchased a whole lot more - and this is a problem ?

Director (non-exec) who sold in April sold 1 million shares.

https://www.investegate.co.uk/petro-matad-ltd--matd-/rns/director-pdmr-shareholding/201807110900032854U/

Her resultant shareholding is (or was) 12 million shares.

Her retirement was announced :

https://www.investegate.co.uk/petro-matad-ltd--matd-/rns/notice-of-agm-and-proposed-board-changes/201807240700035049V/

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In the meantime in June, the Exec Directors purchased 2 million shares at 10 pence a share :

https://www.investegate.co.uk/petro-matad-ltd--matd-/rns/results-of-placing/201806140700043776R/


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So thats where the summary is ........

Abnormally high volume today and a 16% rise.

Nothing to get excited about as the only thing that matters is the RNS when it comes and drill results......good or bad.

The next well to be drilled (straight after this one) is the big one, albeit this one is still big in itself for MATD. NPV10's of the first three wells as massive, if they strike oil.

I made up the below.

If drilling is 70 days as per the RNS then they just poked the upside yesterday (day 39 of 70).

If drilling is 50 days as per the past presentations then they just poked the main target yesterday.

Either way day 39 was a key day on either a 50 or 70 day schedule.

Some references to Blocks IV and V in the below article.

HTTPS://www.geoexpro.com/articles/2015/01/mongolia-potential-in-an-emerging-economy

Its why BG were so interested in Blocks IV and V and farmed in. Although these are Wildcat wells in Blocks IV and V with Snow Leopard and Wild Horse.........they are Basin Opening Plays.

If they strike oil, it means big big upside in the other targets and prospects in the blocks - and potential, as it says on the tin........Basin Opening.

Dont like seeing an RNS pop up after 4:30pm on a Friday........causes the old ticker to skip a beat.

Anyway, just AGM notice :

HTTPS://www.investegate.co.uk/petro-matad-ltd--matd-/rns/notice-of-agm/201808241632548730Y/
...........24 August 2018

Petro Matad Limited

Notice of AGM

Petro Matad Limited (AIM: MATD), the AIM-quoted Mongolian oil explorer, confirms that the Annual General Meeting ("AGM") of the Company will be held at 4.00 p.m. local time (9.00 a.m. BST) on 20 September 2018 at Blue Sky Tower, Topaz Conference Hall, Peace Avenue 17, Sukhbaatar District, Ulaanbaatar, Mongolia. ..................

And to put some figures on mid-case values :

2018 Mid case oil strike - 100% owned

Snow Leopard-1 90 MMBO circa 60p a share (early Sep 2018 result)
Wild Horse-1 480 MMBO circa 320p a share (Nov 2018 result)
Gazelle 13 MMBO circa 8.5p a share (Oct 2018 result)
Drill TBC - ?? MMBO circa ?,? a share (tbc...will be in Block XX) (Nov 18 result)

2019 Mid case oil strike - 100% owned

Red Deer-1 48 MMBO circa 32p a share (May?jun 2019 result)
Fox-1 200 MMBO circa 132p a share (May/Jun 2019 result)

Of course, thats not taking into account all the other prospects being derisked if they do strike oil......which adds yet more value.

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Worth a listen.

Mike Buck talking in July.


HTTP://www.petromatadgroup.com/wp-content/uploads/2018/08/SM20180710-presentation.mp3


Super Majors waiting in the wings if they strike oil :)
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Half year results out.

HTTPS://www.investegate.co.uk/petro-matad-ltd--matd-/rns/half-year-report/201809070700020584A/

All good, SL-1 ongoing.

I suspected that the Technical Permit (you need a drilling permit and a technical permit) was the problem for Block XX and they say regulatory problem caused the delay. Anyway, more time to assess seismic and then 3 wells back to back April onwards.

WH-1, the big one, on track after SL-1 completes.

For me I have intimated that delays to Block XX could be a positive thing.

As said before, if they have an oil strike at SL-1 or later at WH-1, they will be in a stronger farm out position with more cash in the bank.

They could, if they strike, say to a potential farm in partner, ok, we will appraise the discovery at SL-1 or WH-1 and therefore reduce your risk (and increase the selling price). Block XX money can be used for appraising a big oil strike at Block IV or V.

If they drill Block XX this year - no help.

If they drill Block XX after both Blocks IV and V (WH-1 and SL-1) are drilled, its much more beneficial to their negotiation position to farm out a discovery - as in use the cash to appraise and not for Block XX.

So, I am looking forward to Mike Buck's SL-1 update, as he is as well it seems.

Based on the latest info the drill schedule should be as below, however, if they strike oil at SL-1 or WH-1 this year I expect it to change again with Block XX being dropped and the focus being on appraising any oil discovery at SL-1 or WH-1. AIMHO.


DRILL 1) Snow Leopard-1 well (Block V)
Spudded 9 Jul 2018, 70 days max to complete, “results expected mid September”.

a) 90 mmbo recoverable (mid case) from two main target depths (20 mmbo + 70 mmbo) (“Snow Leopard has 2 main target sections with c.90MMbo recoverable potential [mid case])”; plus
b) There could be oil in the shallow turbidite deposits opening up an extra 200+ mmbo play even before they hit the deeper levels. (“If shallow turbidite concept is proven then a large (200+ MMbo) combination trap play opens”).
c) Additionally, there are “3 or more additional stacked pay zones identified as potential upside.”

There are also 13 or 14 prospects/leads of up to 500 - 600 mmbo recoverable within 35 km of Snow Leopard 1 on their acreage. (“Success de-risks 14 prospects/leads with resource potential of c.500MMbo”).

Initial production of any find would be via trucking routes in the area to China.

DRILL 2) Wild Horse-1 (Block IV)
Spud Sep 2018, “results late Oct, early Nov”.
Targeting 480 MMBO recoverable. (mid case)

Named by Wood Mackenzie as in top 20 exploration wells worldwide to watch in 2018.

Initial production of any find would be via trucking routes in the area to China.

DRILL 3) Fox-1 (Block V)
Spud early Q2 2019.
Mean prospective resource 200 MMBO mid case. High-quality 3D seismic late 2017.
Initial production of any find would be via trucking routes in the area to China.

DRILL 4) New Red Deer prospect, 48MMbo recoverable (mid case) in a basin analogous to nearby producing basins in Mongolia + northern China, within easy reach of existing infrastructure.
Spud late April 2019, complete May 2019 (3 weeks).

DRILL 5) Block XX
Near field Gazelle prospect targeting 13MMBO recoverable & rapid commercialization.
Spud late May 2019
Near to existing production infrastructure which has spare capacity.

DRILL 6) Block XX
-TBC
-rapid commercialization
Spud late June 2019
Near to existing production infrastructure which has spare capacity.

Bit of a comment from Malcy at 22:55 into the audio :

HTTPS://www.voxmarkets.co.uk/articles/ascent-resources-malcy-on-eme-sou-rbd-amer-matd--a0e223b


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News out today............SL-1 is a duster, oil shows but thats all.

Off we go to Wild Horse-1.

480 Million barrels recoverable potential. Worth up to 320p a share.

Spud in the next 3 weeks.

The excitement builds again, and all those looking to buy in for Wild Horse-1 - now will be buying in.

Edison Flash Update:


https://nofile.io/f/8jBAvrFmPwS/IM00B292WR19PetroMatad+200918flash+-+Copy+-+Copy.pdf


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