There is a chance that a commercial old discovery has been made next to GGX leases. Go to previous info presented on this thread.
Should that be the case......it would be hard to value GGX.....other than to suggest a cap at multiples over its present value.
See comment prepared by JAPEX...(note likely targets on the Cebu mainland). Note also.....the ongoing environmental issues faced by any would be oil production offside). Focus would likely turn to Cebu mainland production (GGX leases)....exciting stock, maybe slipped under the guard of investors.
Petroleum System of Tanon Strait, Visayan Basin, Philippines
Yasushi Hamada1, Yutaka Tanaka1, Osamu Takano2, and Shinji Ijima3. (1) JAPEX, Tokyo, Japan, [email protected], (2) Research Division for Exploration, JAPEX Research Center, Japan Petroleum Exploration, 1-2-1, Hamada, Mihama-ku, Chiba, 261-0025, Japan, (3) JAPEX, Japan
Tanon Strait is located Central Philippines and still in the frontier exploration stage. JAPEX has carried out satellite image analysis, fieldwork, sample analyses, sequence stratigraphic study, reprocessing geophysical data and 750km of new 2D seismic data acquisition since 2002. The exploration effort resulted in the confirmation of hydrocarbon potential of the area as well as the delineation of numerous prospects and leads. The key components of the petroleum system are as follows. Source Rock: Coal & coaly shale layers are identified in Upper Oligocene to Lower Miocene deposits on the surface of Cebu Island. H.I. values exceed 200mgHC/gTOC in coal samples. The same layers are deemed to extend into the central Tanon Strait. Reservoirs: Multiple layers of sandstone are expected in Upper Oligocene to Upper Miocene deposits. Middle to Upper Miocene limestone reef build-ups are also expected from seismic sections. Trap: Anticlinal and reefal traps are expected. In addition, Several AVO anomalies suggest sandstone stratigraphic trap. Oil Seepage: Satellite image analysis confirmed numerous slicks on the sea; therefore, oil samples were taken and analyzed. It became clear that the origin of the oils were terrestrial organic matter. Hydrocarbon Migration: Seismic facies of Upper Oligocene to Lower Miocene in the central Tanon strait suggest distribution of thick coal measures. It is inferred that hydrocarbons were generated and expelled, and migrated into surrounding traps after Pliocene time. This paper proposes a new exploration model within the block which was recently devised based on the above components.
Petroleum Systems of the Philippines 2006 AAPG International Conference and Exhibition, (November 5-8, 2006) Technical Program
Fisherfolk protest extended drilling January 25, 2008 Updated 11:34:36 (Mla time) Chris Ligan Cebu Daily News
CEBU CITY, Philippines - Braving the heat, irate fisherfolk activists picketed the Department of Environment and Natural Resources (DENR-7) Banilad office yesterday to protest the oil drilling exploration in the Tañon Strait.
Around 20 members of the Panaghugpong sa Gagmay’ng Mangigisda sa Sugbo (PAMANA-Cebu) questioned the 41-day extension of the drilling project granted by the DENR to the Japanese Petroleum Exploration (Japex) Corp.
In a letter to Allan Aranguez, Environmental Management Board (EMB) director of the DENR, the group questioned results of the DENR’s monitoring of the oil exploration and asked for a complete list of affected families and the damages caused by the project.
“The drilling should be stopped immediately because there are more than 4,000 families (mostly fishermen) in the southern part of Cebu province, particularly in the towns of Aloguinsan and Pinamungajan, who are badly affected by it. The project has also caused destruction of the marine resources,” said Wilbert Demol, spokesperson of PAMANA-Cebu.
Demol said the affected families complained three times to the municipal government in Pinamungajan but they weren’t entertained.
The drilling platform, owned by Japex, is located in the waters off Pinamungajan town on Cebu’s west coast. Its equipment drills into the seabed to test the viability of oil deposits underneath the Tañon Strait.
The project, which started on Nov. 15, 2007, was supposed to end on Jan. 15, but was granted an extension.
Aranguez explained to the group that Japex Corp. is allowed a drilling exploration extension under the conditions in its Environmental Compliance Certificate.
He said the company asked for the extension after experiencing a technical problem. Their 3,000-meter long pipes broke.
GGX Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
(20min delay)