Website: http://www.sacoilholdings.com/index.php






CEO Interview:




Profile:

SacOil, as a South African based, operated and controlled company has a competitive advantage at the point of entry in the highly attractive African oil and gas space.

SacOil is dual listed on the JSE (Share code: SCL) and AIM (Share code: SAC).

SacOils remit is to build a Pan-African upstream oil and gas business with a balanced portfolio of assets in Africa.

SacOil has a highly experienced board with significant oil and gas industry as well as deal making expertise.

SacOils assets are in all phases of the upstream cycle exploration, appraisal and near production and are currently in the Democratic Republic of the Congo and Nigeria.

SacOil will continue with its stated strategy of targeting the acquisition of discovered but undeveloped or previously producing but now shut, near-term producing and production upstream oil and gas assets on the African continent.

SacOil intends to initially develop all their deposits in consortiums with global major oil & gas companies with extensive experience in Africa but in time looks to establish itself as a fully-fledged exploration and production company with in house capacity.

SacOils interests are currently in Nigeria, the DRC and South Africa.


Assets:

Democratic Republic of Congo ( DRC ) - Block III ( Working Interest 12.5% )

The exploration property rights are located in the DRC Lake Albert area close to the Uganda and DRC border. The area is part of the Rift Valley and is known as the Albertine Graben area which is a proven petroleum discovery region. Bituminous shales are known to be present and are generally mature. This being evidenced by numerous oil seeps and recent positive drill results in adjacent oil concessions.
DRC Block 3 Albertine Graben

The Albertine Graben is part of the East African Rift System (Western Branch) which is a relatively young exploration province with the fi rst exploration starting as recent as 1999. To date over 800 million barrels of recoverable oil resources have been discovered with two fields namely Kingfisher (200 million barrels) and Giraffe-Buffalo (300 million barrels) being the biggest discoveries. The total resource base estimated at 2 G barrels. To date the majority of the exploration has been on the Uganda side but the DRC concessions are considered to be highly prospective with Block 3 being close to recent significant discoveries.
Ownership

SacOil PTY Limited has an 85% participating interest in Block 3 with SacOil Holdings having a 50% stake which results in an overall 42.5% participating interest. The National Oil Company of the DRC holds a 15% interest.
Technical

The licence area is 3,177 square kilometres situated mostly in low land (Semliki river plain) flanked by rift margins and is on trend from recent discoveries in Uganda. The areas have been identified as Oil and Gas prone with the main source kitchen believed to be below deeper parts of Lake Albert. It is considered possible that a smaller kitchen is located in the southern part of Block 3. Kibuku oil seeps suggest that oil is likely to be found in the northern part of the block.
Work programme

The five year programme will be divided into five sub-periods and the initial work will include field studies as well as geochemical studies. Following this will be the acquisition, processing and interpretation of a minimum of 4,000 square kilometres of 2D seismic data. If the results are satisfactory then a drilling programme will follow with at least two exploration wells being drilled.
Competent Persons report

A Competent Persons Report on Block III has been prepared according to the rules of AIM, including the AIM Giuidance Note for Mining, Oil and Gas Companies, June 2009.




LATEST IN DRC:

DRC - Block III ( Working Interest 12.5% )

After the successful farm out deal to ToTal, SacOil is fully carried through to commercial development on Block III which has target prospective resources of 513 million barrels.ToTal has paid $7.5m net cash, and a $54m contingent bonus payment to the company and the project can now be fastracked ahead of earlier estimates. Analyst notes suggest the DRC assets are on trends with recent discoveries in the Lake Albert Basin.

NIGERIA:

Block OPL 281: ( Working Interest 20% )

The production mission is currently being addressed by acquisition of Nigerian near production assets acquired in Joint Venture with EER a Nigerian Oil and Investment and Consulting company. SacOil will have a 50% benefit and funding obligation in all EER joint venture acquisitions.The background and dealOPL is an ex Shell permit having been drilled between 1967 and 1970. The initial award was to a company named Binergy Limited who subsequently had their licence revoked. The block was rewarded to Transcorp in 2006 as part of a Mini Bid Round. Transcorp have paid the majority of the $30 million signing bonus and will cede a 40% equity stake to SacOil on condition the licence is reinstated to Transcorp by the Federal Government of Nigeria.Terms of the Farm-in:EER is the technical partner who will operate the asset on behalf of the JV and TranscorpJV will pay $20 million upon Minister of Petroleum consent for dealJV will pay $7.5 million upon commercial production declarationJV will pay $5 million within 90 days of first oil being producedTechnicaLDiscovery wells Obote-1 and Ekoro-1 drilled between 1967-1970. The terrain is an onshore swamp location and the entire block has been covered by Shell with 3D Seismic during 1991/2. The competent persons report indicates Contingent Resources of 250 MMBOE with further potential in two additional prospects and deeper zones. The hydrocarbons in the two wells were discovered between 2,400 and 4,000 metres with Obote-1 encountering 4 hydrocarbon levels and Ekoro-1 intersecting 8 hydrocarbon levels between 8,260ft and 10,761ft.

OPL 281 was evaluated by TRACS to contain 99.2mmboe of gross reserves with an expected initial gross production rate of 15 kbpd. Peak potential production rate could reach 30 kbpd, when it could deliver up to $200m in revenues. With relatively low running cost and a total capex need of $50m net to SacOil, the field could generate significant cash flows in excess of $40-45m pa by 2015/16.






Block OPL 233: ( Working Interest 20% )

Background: OPL 233 is an offshore oil block previously operated by Chevron. It is located in the shallow Marine central Delta region offshore Nigeria. The block encompasses an area of approximately 126 square kilometres. The water depths range from 10 to 30 feet and the block is adjacently north of the Apoi oil field. The block was awarded to NIGDEL United during the Mini-Bid Round in 2006. Current equity participation is NIGDEL 60%, EER 20% and SacOil 20%.

Olobia-1 well indicates 103ft of net oil and 54ft of gas and condensates across
five reservoir zones in the well. Based on an evaluation by TRACS it is estimated
that the 2C Best estimate on the unrisked contingent resources is 19mmbbl
(3.8mmbbl net to SacOil). Therefore if a second well, Olobia-2, is drilled and tested
the reserves can immediately be booked and classified as a producible reserve.
In OPL 233 there is only one field, the Olobia Oil and Gas field, which has been
conceptually developed and worked up to a point that can be drilled.

Exploration upside: EER/SacOil have mapped additional leads and prospects using
the existing seismic data and estimate an exploration upside, with prospective
resources in the order of 300mmboe, which will be further evaluated with an OBC
(Ocean Bottom Cable) survey.




South Africa:

Greenhills Plant - Manganese

The company manufactures manganese, sulphate powder, manganese sulphate solution and manganese oxide at its plant in Mpumalanga better known as the Greenhills plant. The main source of income from the plant is from the sale of manganese sulphate, manganese hydrate and manganese oxide. The average production of the plant is 300 tonnes per month of manganese sulphate and 360 tonnes of manganese oxides which approximately 230 tonnes are used to produce manganese sulphate powder. This business is not considered to be a core asset and will be probably disposed of in the short term future.

Latest Oil Barrel Presentation:




.

Is that 20k shares or 20k

There's 250,000 for sale on the book.

Morning guys i found this on advfn this morning,may give us some coverage



BARCLAYS OIL AND GAS FOCUS

December 14th 2011

By Andrew Stannard

"CHRISTMAS CRACKERS"

The AIM market has suffered like its FTSE big brother an uncertain year
but there are many gems on offer for brave investors looking for
excellent returns this christmas and new year.The aim resources sector
looks seriously oversold and now looks poised for a good recovery.
I have identified four stocks that could show impressive near term
growth to help your xmas go with a bang !


Gulf Keystone Petroleum * ( GKP )

SacOil Holdings Plc * ( SAC )

Victoria Oil and Gas * ( VOG )

Desire Petroleum * ( DES )



Click for more details and Pdf *

maxo good find,where did you get that from ??

davyboy it was on advfn gkp board,am also a small gkp holder

Thanks maxo :-)

Cheers for that maxo.

Nice to see barclays cast an eye over sacoil guys !

From a recent report :-)


The deal with Total could ultimately be worth US$300 million to SacOil, which will receive US$61.5 million staged over the next five years, of which US$7.5 million has already been paid.

It also leaves the company with a 12.5 per cent interest ( free carry ) in the licence.

As important, the group receives a free carry on all the exploration work right up to the final investment decision phase in other words the point at which it is decided whether Block III is commercially viable and bank debt financeable.

In Nigeria sacoil has stakes in licences OPL 233 and 281, which have already seen oil discoveries and where there is obvious scope to add value by turning a contingent resource into reserves.,there does seem scope for a substantial increase in reserves at OPL 233 with consultants TRACS identifying more than 100 feet of net oil and given that this block lies adjacent to the 600 million barrels plus Apoi field, Green points out.

Good seismic here together with this well data could allow a significant resource to be proved up by the end of 2012.

Two wells already exist on OPL 281 as well as good seismic data, which points to one large field that may potentially contain close on 100 million barrels.

All that could be confirmed by future appraisal drilling which looks set to begin in April or May 2013, the GECR analyst adds.

In the DRC SacOil owns a 3,177 kilometre licence area known simply Block III.

It is in the Albetine Graben, the source of Tullow Oils (LON:TLW) Kingfisher and Giraffe-Buffalo discoveries over the border in Uganda.

To date the real excitement in this region has been on the Ugandan side of the border where discoveries have produced well flow rates anywhere from 350 to 13,000 barrels of oil a day, Green says.

In this region discoveries made to date add up to over 800 million barrels of P50 contingent Resources and these have come from two distinct types of oil plays which are either escarpment/near-shore plays such as Kingfisher or Victoria Nile Delta plays, which includes the biggest find so far at Giraffe-Buffalo.

davy, i think both of the nigerian blocks could net sacoil some superb returns and
they got these at a huge discount :-) the niger delta has been muted as the worlds
richest oil zones.

anders, sacoil already have two highly prospective blocks in nigeria and they also
have an agreement in place with EER on future projects,EER seem to be very very
well connected in a number of african countries so watch this space as the assets
grow.

Nigeria Blocks Info ( OPL 281 & OPL 233 )

OPL 281 (formerly OML44) is located in the onshore swamp within the prolific area of the western Niger delta, south of OML 42, which has giant fields such as Odidi, Egwa & Jones creek. Two discovery wells have been drilled in OPL281: Ekoro- 1 in 1967 and Obote 1 in 1970. Ekoro 1 well encountered hydrocarbons in 8 intervals between 8260 ft and 10761 ft while Obote 1 well encountered 4 hydrocarbon bearing intervals between 8720 ft and 12350 ft respectively.

The block was awarded to Transcorp in 2006 as part of a Mini Bid Round. Transcorp, EER and SacOil entered into JV agreement in 2011 where EER will be Technical Operator of the asset on behalf of the JV.

Reconnaissance survey carried out in November 2010 by Hornbird Geosearch Integrated Services Ltd (Nigerian company) confirmed the existence of the 2 wells and their location. TRACS, an independent consultant, produces a Competent Persons Report (CPR) which states contingent resource of 100 MMbo for the prospect delineated by the two wells. Significant exploration upside exists with Prospective Resources in deeper horizons in the discovery and several prospects have been identified for further study which may be future drill candidates.

OPL 233 covers 126 km square and located in a near-shore shallow water depth of approx. 30 feet and less; immediately adjacent to Apoi Field (Reserves >600 MMboe) and north west of OML 141. Previous operator, Shell, acquired a sparse grid of 2D seismic and drilled one exploration well (Olobia-1) in 1986, which encountered hydrocarbon in five intervals between 4500 and 7200 ft.

The block was awarded to NIGDEL in 2007 as part of Oil Bid Round under sole risk agreement. NIGDEL, EER and SACOIL entered into a JV agreement in 2011 whereby EER will be the Technical Operator of the asset on behalf of the JV.

Evaluation of the well logs indicates 96 ft of net oil and 61 ft of gas and condensate in the Olobia-1 well. The evaluation of the size and extent of this discovery is uncertain due to the poor quality of the existing seismic. TRACS, an independent consultant, has carried out a study and the Competent Persons Report (CPR) gives a contingent resource of 19 MMboe on the block.

Due to limited seismic data, significant exploration upside potential exists in OPL233. Much of the block, which is located in the core area of the prolific Niger delta play, remains unevaluated. Attractive structures exist on the 2D data which are likely to contain hydrocarbons, which require 3D data to allow them to mature to drillable status. Acquisition of 3D will allow identification of large features and prospects and mapping of the subsurface architecture. Hence, the work programme involves obtaining a new OBC 3D seismic to evaluate the acreage. The aim is to mature exploration prospects, delineate the Olobia discovery and develop an appraisal well plan. Thereafter, additional prospects identified on 3D will be ranked and an exploration programme will be developed.

maxo, in the recent report issued by finncap they stated that sacoils current assets
could be worth as much as 98.1p per share on a moderate success basis in nigeria
and the Drc. It gives some food for thought as to what could happen with sacoil
on a fairly near term basis and especially as we are currently trading well below
our current NAV ( net asset value ) .

Morning guys

morning anders, whats your thoughts on the barlays tip yesterday? they must believe
that SAC is going to release some sort of news fairly soon IMO.


BARCLAYS OIL AND GAS FOCUS

December 14th 2011

By Andrew Stannard

"CHRISTMAS CRACKERS"

The AIM market has suffered like its FTSE big brother an uncertain year
but there are many gems on offer for brave investors looking for
excellent returns this christmas and new year.The aim resources sector
looks seriously oversold and now looks poised for a good recovery.
I have identified four stocks that could show impressive near term
growth to help your xmas go with a bang !


Gulf Keystone Petroleum * ( GKP )

SacOil Holdings Plc * ( SAC )

Victoria Oil and Gas * ( VOG )

Desire Petroleum * ( DES )



Click for more details and Pdf *

All gone quiet?

It only takes one to go away Andy...............

Yes its gone quiet over the road as well - shame I was looking forward to a bit of fun - its ages since I've seen one of "these" threads on here :-)))

must be his day off!

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