Market reaction: slightly positive as Ophir is delivering on its projects in line with guidance. Gas production in 4Q16 in Indonesia is likely to be much lower than we anticipated (17.5 mmcf/d), however with the Take or Pay nature of the gas contract, Ophir is likely to be paid in 1Q16 for 80% of the gas that should have theoretically been produced since early January 2016 at 20 mmcf/d. Gas prices are still being negotiated with an existing contracted price of US$4.79/mcf (with 3% escalation
13 Sep 2016
FIRST GAS AT KERENDAN, PRODUCTION BOOST AT BUALUANG
Sign up to access
Get access to our full offering from over 30 providers
Get access to our full offering from over 30 providers
FIRST GAS AT KERENDAN, PRODUCTION BOOST AT BUALUANG
Ophir Energy (OPHR:LON) | 0 0 1.6% | Mkt Cap: 402.5m
- Published:
13 Sep 2016 -
Author:
Stephane Foucaud -
Pages:
3
Market reaction: slightly positive as Ophir is delivering on its projects in line with guidance. Gas production in 4Q16 in Indonesia is likely to be much lower than we anticipated (17.5 mmcf/d), however with the Take or Pay nature of the gas contract, Ophir is likely to be paid in 1Q16 for 80% of the gas that should have theoretically been produced since early January 2016 at 20 mmcf/d. Gas prices are still being negotiated with an existing contracted price of US$4.79/mcf (with 3% escalation