By Nigel Somerville, the Deputy Sheriff of AIM | Tuesday 14 November 2017
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.
Yesterday at 1.50pm (the back end of lunchtime no-one-is-watching o’clock) Caymen registered, head office in Houston, Texas, operations in Georgia but AIM-listed (why?) Frontera Resources (FRR) gave an update on its Taribani asset in Georgia. It has the drilling permit. Woohoo. But what about the Ud-2 well? Has the company been taking lessons from UK Oil and Gas (UKOG)?
The last we heard, on 3rd November, was that as announced on 2 October 2017 the Company has commenced extensive testing of the well following successful completion of workover operations. An update will be provided in due course as this work unfolds.
On 2 October we were told that the workover had been successfully completed as planned and that the service company hired to perforate gas bearing intervals would now mobilise on site.
We are now 14 November and the company seems to have gone all quiet on Ud-2. Surely after a month and a half of mobilising on the Ud-2 site some results of the perforations are known? Surely the company wishes to tell the market about the 5.8 trillion cubic feet recoverable?
But there is nothing at all in yesterday’s announcement. Rather like UKOG and its operations at Broadford Bridge, the company has gone silent when it comes to announcing the actual flow rates.
Is Frontera doing the same?
Great bear Waseem Shakoor has a few thoughts on the matter:
So is the company simply ignoring it, under the no-one will notice rule. After all, it has further projects to test which are also incredibly exciting. That’s why the shares have multiplied about six-fold in the last few weeks.
They are incredibly exciting, aren’t they? After all, the company is under the new leadership of Mr Zaza Mamulaishvili.
Oh, hang on, he’s been there from the start and the (now non-exec) Chairman hasn’t changed. What could possibly go wrong from here?
Never miss a story.
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