The Oil Man: Sound Energy, Sirius Petroleum, Lamprell

WTI $57.30 -69c, Brent $63.11 -50c, Diff -$5.81 +19c, NG $3.18 +5c

OPEC day today, so we are in the land of guesswork, yesterday's modest fall was in response to the speech by the Saudi Oil Minister who was corralling the Russkis to sign up for the 2018 deal.

The price this morning is showing Brent up by nearly 50 cents so is predicting an agreement, but given historical lapses do nothing until the announcement is out.

Sound Energy

Sound has announced exploration volume estimates for Sidi Moktar this morning. The independent preliminary technical evaluation carried out by EG Group of the historical exploration well and the 2D seismic data over the Sidi Moktar permits, and the early results are most promising.

The results "significantly enhance the company's view of the exploration potential and confirms substantial upside" in this pre-salt play.

EG reports a range of unrisked gas originally in place on a gross basis from a low case of 6.7 TCF through a best case 8.9 TCF and a high case of 11.2 TCF.

EG suggest at least three promising leads with substantial opportunities, although the company correctly caution against the element of risk attached to these observations.

This is potentially a second material leg to the onshore Moroccan portfolio. Rumour has it it is only a first step in their plans to consolidate more onshore Morocco so watch this space…

Sundry

Sirius has announced that it is finally on the move with regards to the Ororo field with a placing and all that goes with it, more when I have spoken to the company.

Lamprell has done it again, today it announces that on its East Anglia One contract that it has taken a bath on the contract which means a profit warning…Again, more if I get a chance to speak to them, but there is no email from the company just an announcement on LSE…

And finally…

In the midweek footie all the top sides apart from Spurs won, although the Noisy Neighbours left it pretty late last night. Big Sam is walking into a winter wonderland and must be thinking how it all fell into place, whilst David Moyes is already under severe pressure…

Malcolm Graham-Wood is an independent oil industry expert and freelance contributor, not a direct employee of Interactive Investor.

This article is for information and discussion purposes only and does not form a recommendation to invest or otherwise. The value of an investment may fall. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.