GeoGlobal Resources is a development stage company that wields an impressive array of hydrocarbon exploration/development interests via its subsidiaries. Doing business in key locations where rights or production sharing can be accessed directly or through joint venture partners, the company has been able to rapidly amass a significant acreage footprint (some 3.7M gross, 1.6M net acres) that is balanced for both oil and gas, with primary operations in India (begun in 2003), as well as high-value locations in Israel and Colombia.
The key to sustaining momentum for GGR has been the aggressive pursuit of potential targets with high value exploration and the subsequent maturation (generally within a 4 to 6 year window with a minimum interest of 25%) of the properties through development. While the extremely capable GGR team, with their vast knowledge of global hydrocarbon basins, proven technical skills (rapid and accurate geological/geophysical evaluation of targets potential), and drive to implement new technology, are indeed shareholder-focused, GGR has also built a solid reputation for responsible, safe, and community-oriented development. In fact, the company possesses the vision to see achievement of sustainability objectives as another important way to generate shareholder value, and the community involvement is seen as being fundamental to maximizing operational success.
The company secured its first oil and natural gas production sharing contract (PSC) back in 2003-2004, capturing an initial seat in India via the deal, which, while starting out small (KG-OSN-2001/3 Offshore Block) has morphed into today’s complex throne-like architecture. GGR is pursuing four different hydrocarbon basins in India today (10 blocks, both on-shore and off-shore), continually growing the asset footprint, and currently participates in another nine production sharing contracts. In addition, GGR is pursuing a basin in Israel (offshore, three licenses) and another in Colombia (onshore, two licenses), actually operating a third of the overall footprint itself (two blocks in India and the three licenses in Israel).
While GGR has yet to meet planned principal operational status and is still essentially an (development-stage) exploration company, with production currently being derived from assets in India (which began back in 2009 at the Tarapur Block), the company is extremely well positioned in emerging, geologically hydrocarbon rich regions, with tight integration to local governments/officials.
India
A total of 99 wells have been drilled to date (some merely awaiting tie-in to the tank storage facility or filings to be put onto production), and the company has an extensive field development plan targeting roughly one-fifth of the overall Tarapur 1 Discovery Area (9.7 sq km).
The latest data for the Tarapur 1 field, subsequent to approval of the field development plan on the Deen Dayal West condensate field in Apr, 2009 and the completed independent reserve report from Chapman Petroleum Engineering Ltd. (Jan 1, 2012), shows an estimated reserve total of 251 MBbls of oil (23 developed, 228 undeveloped) and 197 MMcf of natural gas (59 developed, 138 undeveloped).
The development plan includes eleven new wells (three slant, eight multilateral), two offshore platforms (one of which will be a central processing facility for the other local offshore operations), an onshore gas terminal, and 20km of 24-inch pipeline, in addition to addressing four existing wells and implementing other requisite facilities.
Multiple discoveries in the area are viable and in need of pursuit. The company has exploration rights pursuant to PSCs in each of the four major basins and operator Gujarat State Petroleum Corp. Ltd. will seek to obtain a 17 sq km mining lease to cover the overall target set.
• Krishna Godavari Basin, Andhra Pradesh – where the initial KG-OSN-2001/3 Offshore Block (10% participating interest) agreement entry occurred; also holds the KG-ONN-2004/1 Onshore Block (10% PI, option to expand to 25%), recent report (Jan 24) indicates anticipated drilling of two shallow wells by end of Q2 201, as well as a high-pressure/temp deep well in Q3/4
• Cambay Basin, Gujarat (all onshore) – CB-ON/2 (Tarapur Block, 20% PI); CB-ONN-2002/2 (Mehsana, 10% PI) and CB-ONN-2002/3 (Sanand/Miroli, 10% PI); CB-ONN-2003/2 (Ankleshwar, 10% PI)
• Deccan Syneclise Basin, Maharashtra (all onshore) – DS-ONN-2003/1 (DS 03, operator and 100% PI); DS-ONN-2004/1 (DS 04, operator and 100% PI)
• Bikaner-Nagaur Basin, Rajasthan (again onshore) – RJ-ONN-2004/2 (RJ Block 20, 25% PI); RJ-ONN-2004/3 (RJ Block 21, 25% PI)
Israel
Some 287k gross (50k net) acres via three licenses acquired in 2010 in the Levantine Basin just off the coast in the Mediterranean (licenses vary in the 6-25 mile range). Exploration rights (associated with the Israel licenses) entered into with Israel Ministry of National Infrastructure, while in early development, show great promise for unlocking the abundant hydrocarbons that lay just offshore of this energy-hungry economy. The recent placing of the Noble Homer Ferrington Semi-submersible Drilling Rig into May availability means the Myra-1 location will see drilling very soon (the company even landed an appropriate time extension from the Israel Petroleum Commissioner’s Office). The company also reported completion of processing the data from over 43 sq km of 3D seismic cable in the Samuel License (analytical report filed with Israel Ministry of National Infrastructure ahead of deadline).
• Levantine Basin, West Coast of Israel (licenses, offshore in roughly 1-1.5k meters of water) – 347/Myra (5% PI); 348/Sara (5% PI); 388/Samuel (effectively a 45% interest awarded via the Israel Petroleum Commissioner)
Colombia
Here the company has some 465k gross acres (45.6k net) on two licenses, again, like the Israel footprint in early development stage but with serious potential. GeoGlobal Resources has worked hand-in-hand with Petro Caribbean Resources Ltd. and the Colombian National Agency of Hydrocarbons to secure definitive agreements and a memorandum of understanding to cover exploration rights in the Putumayo Basin.
• Putumayo Basin (licenses, onshore) – Putumayo 6 (10% carried interest via the memorandum); Putumayo 7 (10% carried interest)
It is plain to see from this diverse acreage position why GGR is lighting up the market and getting investors buzzing. From tight-knit integration with relevant local government and institutions, to the masterful execution of both in-house development via the company’s veteran team and lucrative joint venturing, GGR has created a profoundly adept business model and has already secured an impressive position in some of the planet’s top emerging energy sources.
For more information on GeoGlobal Resources Inc., please visit the company’s website at: www.GeoGlobal.com
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