Triangle Energy's Strategic Updates on Exploration, Production, and New Ventures
TRIANGLE ENERGY (GLOBAL) LIMITED (TEG) Share Update July 2024 Monday 29th
Triangle Energy Announces Key Developments in Exploration and Production
Triangle Energy (Global) Limited has released its June 2024 Quarterly Activities Report, highlighting crucial developments in exploration permits, production fields, and new ventures.
Instant Summary:
- Booth-1 well expected to spud by 31st July 2024.
- Triangle revises Sale and Purchase Deed for Cliff Head Oil Field.
- 8th Oil Offtake loadout scheduled for 2nd August 2024.
- Awarded permit P2650 in the UK with Orcadian Energy.
- Federal approval for Greenhouse Gas Storage Formation over WA-31L.
Exploration Permits and Drilling
Triangle Energy has made significant strides in its exploration permits. The Booth-1 well is anticipated to spud on or before 31st July 2024, with drilling expected to take 22 days. The Becos-1 prospect is awaiting an Environmental Permit, and all long lead items for this project have arrived and are in storage.
Cliff Head Oil Field Developments
Triangle announced a revision of their Sale and Purchase Deed for the Cliff Head Oil Field on 23rd July 2024. Pilot Energy will pay up to $16 million in staged payments plus back costs for Cliff Head operating expenditures from 1st August 2024 to First Completion in mid-October 2024. The 8th Oil Offtake loadout is expected to commence on 2nd August 2024, with delivery to a buyer in Malaysia at an agreed price of August US$ Brent Average plus a US$0.50 premium.
New Ventures and Carbon Capture
Triangle has been awarded permit P2650 in the UK in a joint venture with Orcadian Energy, focusing on low-risk shallow gas potential objectives. Additionally, Triangle is pursuing opportunities in Australia and Asia, with negotiations for a Petroleum Service Contract with the Philippines Department of Energy already underway. Federal regulatory approval for a Declaration of Greenhouse Gas Storage Formation over the WA-31L license was granted on 14th June 2024, marking a significant step in their carbon capture and storage initiatives.
Financial and Corporate Overview
As of 30th June 2024, Triangle Energy's market capitalization stands at $38.08 million, with a cash balance of $5.03 million. The company holds a 9% shareholding in State Gas Limited, which entered an initial offtake agreement with Thiess Pty Ltd for the delivery of CNG. Triangle received $6.54 million in oil sales revenue in April 2024 for the 7th Cliff Head crude oil sales.
The developments in exploration and production are likely to have a positive impact on Triangle Energy's stock. The spudding of the Booth-1 well and the revision of the Sale and Purchase Deed for Cliff Head indicate strong operational progress. The award of new permits and federal approval for greenhouse gas storage further solidify the company's strategic direction.
Investor Reaction:
Analysts are expected to react positively to Triangle Energy's comprehensive updates, particularly the advancements in exploration and production. The strategic moves in new ventures and carbon capture initiatives are likely to be viewed favorably, enhancing investor confidence.
Conclusion:
Investors should closely monitor Triangle Energy's upcoming activities, including the spudding of the Booth-1 well and the finalization of the Cliff Head sale. The company's proactive steps in new ventures and carbon capture projects demonstrate a forward-thinking approach, making it a compelling option for portfolio consideration.