Canadian Overseas Petroleum (XOP-V)
Does Art Get to Ride Again?
If there was a high profile play that fell apart during the financial collapse of much of the world
five years ago, it would be hard to find a more intriguing story than oil executive Art Millholland,
the President and dominant force behind Oilexco Inc.
Up until then, Millholland had some beautiful moves that had pushed the company into becoming one of the few success
stories in the North Sea. Moves, such as signing longterm contracts that meant Oilexco always seemed to have a
rig available when a play needed drilling, while others didn't, and it meant they were always a step ahead.
Until the crash at least. With no protection on the price of oil when it crashed and the banks you deal with leading the
way down and demanding payment right now, Oilexco fell down the slippery slopes and disappeared, hurting lots of
folks badly.
There have been enough rumors and gossip around Oilexco that one wonders when someone will write a book on
the full story, or for that matter, do a “Dallas-like” TV series. But maybe Millholland will ride again (or not), this time with
success, or lack of success, offshore Liberia.
His new company, Canadian Overseas Petroleum, had a miss in the North Sea sometime ago, but their decision to pick up
an offshore lease in Liberia from a company in distress sometime ago might, after a long time, become timely.
The President of Liberia, Mrs. Ellen Johnson Sirleaf, has just signed off on an amended Production Sharing Agreement
on the offshore block they have with an itty-bitty partner you just might have heard of...Exxon-Mobil. That itty-bitty company
must see something they like as they are committed to putting up a lot of bucks into this project called Block LB - 13.
Millholland is in England, but I suspect speculators who have jumped onboard in the last few days are wondering
about a few things that Art might be able to answer...or not.
Such as:
1. Will the legislature in Liberia okay the agreement which seems generous and has some nice benefits and payouts
to the country, but hey, in west Africa lately, mining companies have found themselves almost held hostage...
2. The squiggly lines on seismic are suggesting something big (you have heard of targets of billions of barrels before
right?) but we all know squiggly lines don't give guarantees...but just when will Exxon get around to drilling? Is it
relatively short, a year or two away, or even more? Do they even have a rig lined up capable of doing the job?
3. Chevron recently drilled in the area and so far isn’t telling anyone what they may have apparently found (or not) in the
neighborhood. We would encourage anyone who might know those results to give us a call...there is a cold Keith’s to
be had!
For more information...best of luck! Their website is non-existent and if you had basic questions such as how much
money is in the bank, how soon to drill, good luck. But I suspect with the game on, much of that should be available soon.
Interesting... |
