Hi Rahar,Eyasi termination knocked the wind out of this stock &...

Hi Rahar,

Eyasi termination knocked the wind out of this stock & so the HC posts since are less enthusiastic / upbeat.

As a perhaps naïve optimist, I believe SWE will still get 50% of Eyasi with a larger company (BPT perhaps?)taking up PVD's 50%.

If so, as this is now a new bid, SOGTL will have to front up with half of the signature fee of US$2.5 million as per the new 2013 MPSA. However, regaining Eyasi would be worth it IMO as any later farmout will recover backcosts etc...

12B farmout terms etc... was great news but our star operator & best friend Tullow doesn't always succeed with every well in Kenya - see latest news report below:
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Tullow Oil Falls Most in Two Weeks on Well Results in Kenya

By Eduard Gismatullin Mar 27, 2014 10:49 AM PT0 Comments Email Print

Tullow Oil Plc fell the most in more than two weeks in London after the oil explorer said a test well in Kenya failed to find viable crude deposits.

The shares fell 2.3 percent to 759 pence, the biggest decline since March 13. Partner African Oil Corp. fell 11 percent to 44.3 kronor in Stockholm.

The Emong-1 exploration well in Block 13T “encountered poorly developed oil-bearing reservoir sands,” Tullow said in a statement. The well was drilled about 4 kilometers (2.5 miles) to the southeast of the Ngamia-1 discovery.

The two partners have found enough oil in Kenya to make local field development commercially viable. The companies expect to start production and possible sales as soon as 2016, making the first oil exports from East Africa.

“The market will already have assumed a hit” in Emong because of its proximity to Ngamia, Investec Bank Plc wrote in an e-mailed report. “This result will test simplistic assumptions in the market about the drillout of the remaining” potential reservoirs in the area.

The partners also drilled the Etuko-2 well in Block 10BB, which was “designed to evaluate a very shallow reservoir zone,” London-based Tullow said. The well was drilled to 650 meters (2,132 feet) depth and “flowed water with oil shows.”

The companies completed tests on the Ekales-1 well in Block 13T, which flowed a combined rate of over 1,000 barrels of oil a day, Africa Oil said in a statement.

“Water from Etuko-2 is disappointing,” Oswald Clint, an analyst at Sanford C. Bernstein & Co. in London, said in an e-mailed report. “Ekales flowrates could be better but still likely sufficient for development.”

http://www.bloomberg.com/news/2014-03-27/tullow-oil-falls-most-in-six-weeks-on-well-results-in-kenya.html
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Despite this Tullow remains upbeat:
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Tullow upbeat about Kenyan oil prospects

Tullow Oil unfazed by "poorly developed" oil reserves in Kenya.

By Daniel J. Graeber | March 27, 2014 at 8:50 AM |

March 27 (UPI) -- British energy explorer Tullow Oil said Thursday some of its oil reserve areas in Kenya were poorly developed, though it remained upbeat about the potential.
Tullow announced exploration results from Blocks 10BB and 13T, which it operates in parity with Africa Oil Corp.

Tullow said it encountered a "poorly developed oil bearing reservoir" in Block 13T, though deploying rigs elsewhere in the nearby Amosing discovery would target an area it said "may be one of the largest discoveries in the basin to date."

African Oil Corp., in a separate statement, said early 2013 testing from both blocks yielded a flow rate of about 5,000 barrels of oil per day.

Angus McCoss, exploration director for Tullow, said in a statement early exploration results from Kenya were in line with expectations.

"Our focus remains on continuing to explore and appraise our first successful basin, as well as stepping out into several untested basins, which together form a chain of prospective basins that have the potential to become a transformational new oil province," he said.

http://www.upi.com/Business_News/Energy-Resources/2014/03/27/Tullow-upbeat-about-Kenyan-oil-prospects/7411395923529/?spt=sec&or=bn
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Next news for SWE is the DSE listing - any day now,

finding out who the 12B farminee is (my punt is Premier Oil)

and the big one?

An announcement that SWE have been awarded Block 31 in Zambia!

Sentiment is down on all the Aussie O & G juniors in Africa at the moment, except for FAR due to Senegal spud next month.

PVD - back to where it was a year ago as Toubkal not spud until Jan 2015.

PCL - burning cash on what the market thinks will be a non-commercial sunbird.

TPT - more drama than Jason Bourne can come up with!! Suspended, no directors at moment, failed JKA takeover but now have a rig booked for a drill - sentiment? Hard to tell exactly because no trades happening!!

And last but not least- WHN - saved in Seychelles by Ophir but share price still crap!

Long term, SWE has as good prospects as any & unlike the other companies mentioned - SWE is onshore, so the exploration / drill costs are much lower!

Have a SWEll day everyone!!