Oil fell this week amid growing concerns that another wave of the coronavirus pandemic will spark tighter lockdown measures and further stifle crude demand. New York futures edged lower Friday and fell 2.1% on the week. The number of US coronavirus cases rose above 7 million, according to data from Johns Hopkins University. Meanwhile, a second governor tested positive for Covid-19 as cases surge around the country. At the same time, the market is contending with returning supply. Oil traders have reported a sharp increase in Iraqi exports for next month, while output from Libya has shown signs of rising this week. US crude's gradual climb since May has come to a halt in September, with futures on track to drop about 5.5% this month. Still, Goldman Sachs Group Inc said oil consumption is currently just above 93 million barrels a day and may rise 1.8 million a day to the end of the year. Yet, any meaningful recovery in consumption has so far been held back by the lingering pandemic. Prices:  West Texas Intermediate for November delivery edged 6 cents lower to settle at $40.25 a barrel.  Brent for November dipped 2 cents to end the session at $41.92 a barrel. The contract lost 2.9% this week. In a sign of just how damaging the virus has been to oil demand, the industry's largest tankers next year will earn 8% less than they were anticipating back in May, according to a survey of shipping analysts by Bloomberg. That comes as nations including Saudi Arabia and Russia have drastically scaled back output, draining the hoard at sea and diminishing the flow of cargoes. The spread between Nymex gasoline futures and WTI rallied over 9% on Friday toward $10 a barrel. Still, the so-called crack remains at its lowest seasonally since 2013. At the same time, Gulf Coast gasoline climbed to a one-month high as refiners snapped up winter-grade fuel and on dwindling fall stockpiles. Meanwhile, the physical market for actual barrels of crude is not providing much optimism either. Bakken crude for delivery at Clearbrook, Minnesota, this week hit the largest discount to Nymex WTI futures in two weeks. Other oil-market drivers:  Oil executives are rushing to build a war chest of federal permits to drill in New Mexico as they brace for a fracking ban proposed by US Democratic presidential candidate Joe Biden.  Russia will ship slightly more flagship Urals crude from its key western ports next month, though the volume will remain well below its usual level, a sign that nation continues to adhere to its OPEC+ alliance commitment to keep output constrained.  Exxon Mobil Corp. has narrowed the list of bidders for its oil-producing offshore assets in Malaysia that could potentially raise $2 billion to $3 billion in a sale, according to people with knowledge of the matter.

FO PRP 88E DGOC EME TRIN UOG

• 28 Sep 20
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GeoPark (GPRK US)C; Target price US$20.00 per share: All eyes on CPO-5 - We see the CPO-5 block becoming a key area of focus in the next 18 months and the main reason behind the acquisition of AMERISUR in January 2020. By YE20, GeoPark will drill two wells on the highly prospective CPO-5 block. This will include an imminent development/appraisal well in the Indico light oil field followed by an exploration well. The only existing well in the Indico field is still flowing naturally at >5 mbbl/d since first oil in December 2018. The implied very strong reservoir performance and the fact that the oil pool boundaries have not been encountered yet suggest the field offers production and reserves upside that could start to be unlocked with upcoming drilling. In 2021, GeoPark could drill an additional 5-7 wells at CPO-5 comprising a combination of exploration, delineation and development wells. According to the latest CPR, 3-4 new Indico wells could add 7.5-12.5 mbbl/d gross production (2.5-4.2 mbbl/d net to GeoPark) in 1-2 years. The exploration program for 2021 will likely test the continuity of the Guadalupe play encountered on Llanos-34 into CPO-5. The share price trades at ~55% discount to our Core NAV of ~US$17. Overall there could be 350-700 mmboe gross prospective resources across the Llanos blocks (including CPO-5) that GeoPark is imminently starting to explore. Our target price of US$20 per share reflects our ReNAV. It represents ~150% upside to the current levels. IN OTHER NEWS ________________________________________ AMERICAS Gran Tierra Energy (GTE CN/LN): Production update in Colombia – During 3Q20 to date, production has averaged ~18.700 boe/d increasing to an average of 21,250 boe/d during September, reflecting the resumption of production at the Suroriente and PUT-7 Blocks in the southern Putumayo region, as well as at several minor fields, and by the recommencement of workover activities at the Acordionero oil field. As of August 31, 2020, Gran Tierra has collected total VAT and income tax receivables of ~US$51 mm; the company expects to collect approximately another US$25 to $35 mm before YE20. FY21 WI production is expected to be >30,000 boe/d. Pantheon Resources (PANR LN): Resources update in Alaska – The SMD horizon at the Talitha prospect is estimated to hold 302 mmbbl prospective resources. 91 wells would be required to develop the field that would reach 90 mbbl/d peak production. Pantheo holds 89.2% of the project. EUROPE IGas Energy (IGAS LN): 1H20 results – 1H20 net production in the UK was d ~1,940 boe/d. Cash balances as at 30 June 2020 were £2.6 mm with net debt of £11.2 mm. IGas reiterated its FY20 production guidance 1,850 - 2,050 boe/d, with underlying cash operating expenses anticipated to be $34/boe. Royal Dutch Shell (RDSA/B LN): Selling assets in Norway – Shell is selling its interests in the Kvitebjørn and Valemon fields in the North Sea to PGNiG. UK Oil & Gas (UKOG LN): Updated volumetric at UK asset – The Loxley Accumulation is now expected to hold 23-70 bcf recoverable resources. ~78% of the overall Loxley gas accumulation's gas resource are interpreted to lie within the Company's PEDL234 acreage. MIDDLE EAST AND NORTH AFRICA Genel Energy (GENL LN): Receives payment from the KRG – Genel has received a total net payment of US$10.8 mm for sales at Tawke and Taq Taq in August. Maha Energy (MAHA-A SS): Oman entry – Maha has been awarded 100% WI in the onshore Block 70 that includes the shallow undeveloped Mafraq heavy oil field. The Block is located in the middle of the oil producing Ghaba Salt Basin in the central part of Oman. The Mafraq oil field was discovered by Petroleum Development Oman in 1988 and was further delineated by four wells and 3D seismic in stages until 2010. The Mafraq field is estimated to contain between 185 – 280 mmbbl of original oil in place. The productive reservoir is located at approximately 430 m below ground level. SUB-SAHARAN AFRICA Africa Energy (AEC SS/AFE CN): Private placement – Africa Energy has raised US$28 mm of new equity priced at SEK3.00 per share. San Leon Energy (SLE LN): 1H20 results – Gross oil sales at OML-18 were 25.2 mbbl/d during 1H20 with gas sales of 39.1 mmcf/d. Production downtime and “losses” were respectively 15% and 20% over the period. San Leon held US$22.6 mm in cash as at 18 September (US$6.8 mm is held in escrow for the Oza transaction).

GENL GPRK MAHAA RDSA UKOG

• 25 Sep 20
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Marimaca has announced the results of its latest magnetic survey. Following on from the success of its magnetic exploration efforts at Marimaca, where a large scale anomaly was discovered below the oxide ore body, the company has flown a drone across the northern part of its license area. The results have been startling with four large scale anomalies identified of a similar size or larger than the Marimaca Sulphide Target (175 million m3 or c. 475Mt according to company estimates) – see Figure 1. All targets are situated along the same structural fault zone that controls mineralization at Marimaca. It should also be noted, as the well-respected Chief Geologist, Sergio Rivera states on the press release “Perhaps most exciting is that many of the target areas are covered by gravel, suggesting that any near surface oxide mineralization associated with these magnetic anomalies is likely to be blind”

Marimaca Copper Corp.

• 23 Sep 20
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On Monday, Wheaton (WPM) announced its intention to seek a listing of its shares on the main market of the London Stock Exchange (LSE). The company is not intending to raise any new capital and will be retaining its primary listing on the TSX and its dual listing on the NYSE. Nevertheless, the listing will bring one of the world's largest dividend paying precious metal companies to the LSE by end-Q420 (subject to required regulatory approvals, including publication of a prospectus etc).

Wheaton Precious Metals Corp.

• 22 Sep 20
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• As the industry adjusts to a ~US$40/bbl world, companies with Strong balance sheets such as GeoPark are returning to exploration and development drilling. • As production at Llanos 34 (GPRK WI 45%) continues to recover after temporary shut-ins in 2Q20 and following the resumption of drilling activities, the asset continues to be a source of reliable, stable free cash flow to fund future exploration and appraisal activities elsewhere. With this in mind, we see the adjacent CPO-5 block becoming a key area of focus in the next 18 months and the main reason behind the acquisition of AMERISUR in January 2020. • By YE20, GeoPark will drill two wells in the highly prospective CPO-5 block. This will include an imminent development/appraisal well in the Indico light oil field followed by an exploration well. The only existing well in the Indico field is still flowing naturally at >5 mbbl/d since first oil in December 2018. The implied very strong reservoir performance and the fact that the oil pool boundaries have not been encountered yet suggest the field offers production and reserves upside that could start to be unlocked with upcoming drilling. • The CPO-5 exploration well in 2020 will target the Aguila prospect (same play concept in the existing Indico and Mariposa fields). • In 2021, GeoPark could drill an additional 5-7 wells at CPO-5 comprising a combination of exploration, delineation and development wells. According to the latest CPR, 3-4 new Indico wells could add 7.5-12.5 mbbl/d gross production (2.5-4.2 mbbl/d net to GeoPark) in 1-2 years. The exploration program for 2021 will likely test the continuity of the Guadalupe play encountered on Llanos-34 into CPO-5. Other exploration well candidates for 2021 GeoPark holds a large exploration portfolio with meaningful exploration acreage surrounding its core Llanos-34 Block. On Llanos-34, there are a handful of exploration prospects plus some appraisal drilling opportunities on other relatively minor fields, some of which could be drilled in 2021. Exploration targets on the recently acquired Llanos-87, 123 and 124 blocks could be drilled within the next 18 months. Other likely catalysts in 2021 include 1-2 exploration wells in Ecuador, in blocks located close to the best fields of the prolific Oriente basin. This could open-up a new area of focus. Value and big exploration The share price trades at ~55% discount to our Core NAV of ~US$17. Overall there could be 350-700 mmboe gross prospective resources across the Llanos blocks (including CPO-5) that GeoPark is imminently starting to explore. Our target price of US$20 per share reflects our ReNAV. It represents ~150% upside to the current levels.

GeoPark Ltd.

• 22 Sep 20
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Nomad Royalty is a TSX-listed precious metals-focused mining royalty and streaming business with a diversified portfolio of large cash flow and near-term cash flow generating mining assets.The company's focus on cash flow is demonstrated by 50% of NAV currently coming from cash flow generating asse

Nomad Royalty Co. Ltd.

• 21 Sep 20
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Falcon has announced the resumption of activities at Kyalla 117 with the fracture stimulation of the well, and extended production test to follow. Initial results from the production test are expected in Q4/20, with final results expected by the end of Q1/21. Following the farm-down of a 7.5% participating interest to JV partner Origin Energy in April, Falcon is fully funded through the upcoming drilling campaign. We believe success at the Kyalla well will result in the JV further evaluating the potential of the Kyalla liquids rich gas play, thereby fast-tracking the potential commercialisation and monetisation of Falcon's 22.5% working interest. We reiterate our 39p price target (a 406% premium to the current share price) and our BUY recommendation.

Falcon Oil & Gas Ltd.

• 21 Sep 20
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Saudi Arabia's warning to OPEC+ cheaters and short-sellers alike helped oil prices stage their biggest weekly rally since June, despite a grim start to the week as industry heavyweights painted a troubling demand picture for the petroleum complex. Futures in New York rose 10% this week following a show of determination by Saudi Arabia, the most influential nation in the Organisation of Petroleum Exporting Countries, to defend the market on Thursday. The Saudis hinted they are prepared for new production cuts, and lambasted OPEC+ members that have cheated on production quotas. Prices briefly fell as much as 1.6% on Friday following an announcement from Libyan military commander Khalifa Haftar that he will allow crude production and exports to resume. But while Haftar reached the agreement with the country's deputy premier, it was unclear whether the deal that excluded the National Oil Co would actually restart exports. Haftar controls most of eastern Libya and has halted operations and shipments from his territory as part of a campaign against the internationally recognised Tripoli government. The OPEC member is pumping just 80,000 barrels a day, but produced 1.2 million a day last year. Oil reversed last week's losses, which pushed West Texas Intermediate futures toward $37 a barrel amid a slew of downbeat demand forecasts from the International Energy Agency to Trafigura Group and BP Plc. Helping support prices this week, US government data showed crude and gasoline stockpiles declining. American oil stockpiles are now at their lowest since April. But crude may not be out of the woods just yet, with distillate supplies at record highs and refining margins for the fuel deteriorating in the US and Europe. Meanwhile, rising coronavirus infections in Europe raise the spectre of a return to tighter restrictions that have crippled consumption. Prices  West Texas Intermediate for October delivery rose 14 cents to settle at $41.11 a barrel.  Brent for November settlement lost 15 cents to end the session at $43.15 a barrel. The contract rose 8.3% this week, its largest weekly gain since June.

FO PRP 88E DGOC EME TRIN UOG

• 21 Sep 20
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