By David Press on
3/28/2011 10:18 PM
Nido Petroleum ( NDO-ASX) today announced the approval from the Philippines DOE for their upcoming drilling target, Gindara-1. I've noted Gindara as a possible company making prospect a number of times and I now feel that at current prices, Nido may be offering traders and opportunity for a buy early, sell before spud play, and for longer term speculators, an opportunity for serious share price gains on the back of a successful oil find.
Nido and JV partners, Shell and Kairiki are targeting a possible 1 billion barrels of oil at Gindara, with the drill date around May 2011. Having attained approval for the well, as well as securing the “Atwood Falcon” rig, Nido are finalising the required third party logistics and planning and suggest the rig should arrive on site around mid...
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By David Press on
12/24/2010 4:25 AM
It's been a while since I wrote an update on the fortunes of Nido Petroleum ( NDO-ASX) in the Philippines, after last discussing their issues at Tindalo. The rough seas (pardon the pun) have continued, with a weather induced shut down of Galoc, further issues at Tindalo, after the much anticipated work over and unfortunately for shareholders, a request for more funds in the way of a capital raising. On the upside, depending on how you look at it, Nido managed to finalise the farm out deal for Gindara that has been touted for many a months now, with Shell Philippines Company (a subsidiary of Royal Dutch Shell).
Nido's crucial cash flow...
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By David Press on
9/15/2010 10:00 PM
Nido Petroleum announced on Monday 13th September that a sidetrack program was now underway at their troubled Tindalo-1 well in the Phillipines. We discussed recent water production issues in this blog and have been awaiting news on developments since.
All things going to plan, news should be forthcoming in around a week regarding Tindalo-1 coming back online and possibly initial flows. I'm sure I'm not the only investor hoping they are taking their time and getting it right this time around, but assuming they do, Nido Petroleum's future cash flows and hopefully shareprice are in for some serious growth.
Recent presentations by the company continue to place great emphasis on their...
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By David Press on
8/10/2010 10:20 PM
 Nido Petroleum (NDO-ASX) and it's joint venture partners of Tindalo-1, a shallow water oil target in the Philippines, have run into water cut issues after initial high flow rates and a swift rise in the shareprice.
Nido recently announced the need to perform a work over on the well with an expected start within 3-4 weeks of joint venture approval. Currently Tindalo-1 is producing at sub-optimal levels due to high levels of water cut and poor water separation and treatment. Nido has been forced to store large volumes of water due to the poor performance of its water treatment equipment (treated water unfit for return to natural environment) resulting in further setbacks.
Performance upgrades for the water treatment equipment will be performed as soon as possible and production levels will be increased to the maximum allowable...
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By David Press on
6/8/2010 5:20 PM
Nido Petroleum today announced successful flow rates from their SC54A Tindalo-1 well, resulting in an appreciation in the shareprice to well over 20c in intraday trade after an end to the companys self imposed trading halt.
The well was flowing at a maximum rate of 18 689 bopd, well above their target of between 7000 and 15 000 bopd. Those rates came without use of any pumping and were restricted by the hardware used, adding more positive sentiment to the productivity of this well over the longer term.
Nido made it quite clear in todays announcement that they intend to use the cash flow to immediately develop other shallow water targets in the area and plan to implement their strategy regarding development of their Gindarra target in SC63. Given the company's public search for a major partner for SC63, and the purchase of over 11% of the company's shares by Morgan Stanley, there are certainly exciting times ahead.
Disclaimer: At the time of publishing, the Author...
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By David Press on
5/26/2010 8:01 PM
Nido Petroleum Ltd (ASX-NDO) a small oil producer with large acreage in the highly prospective Palawan Basin in the Philippines is on the verge of producing results which the company believes will be transformational. Flow results from their Tindalo 1 well are imminent with potential to significantly increase cash flow for the company, but more importantly success at Tindalo will minimise Nido's reliance on a farm out of it's company making Gindarra targets.
Tindalo 1 in Service Contract 54A is targeting between 7000 and 15000 bopd of which NDO holds a 40% interest. Success will potentially triple Nido's production and add significantly to Nido's cash flow which at its current market capitalisation, should put upward pressure on share prices. Recoverable oil is estimated at 5.1mmbbl but risk still remains on the flow rates and how long the well will flow at economic rates. Further to Tindalo 1, Nido has a number of shallow targets in SC54A that may offer further production increases,...
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