Brief update:
Construction starts on Cambodian platform
Operator targeting first oil in the first half of next year
9 December 2019 3:33 GMT Updated 9 December 2019 3:33 GMT
by Josh Lewis

The first steel has been cut on the oil platform which will be used on Cambodia’s maiden hydrocarbon development. Singapore’s KrisEnergy confirmed Monday construction had commenced at the PT Profab facility on Batam Island.
[Content locked : https://www.upstreamonline.com/field-de ... 2-1-720140]

Ha! ^^^
KrisEnergy is still talking big. But....
They have just been granted a second 3 month "protection from creditors" - while they try to come up with a plan to stay afloat.
Big doubts if they will be able to restructure/refinance US$550 mill debts.
Biggest shareholder now is an old creditor trying to recoup their debt, and they are putting in no more funds. (a marine ops biz, who previously took shares rather than write off the debts completely)

This drilling platform has been shrunk since announced only months ago.
The above mentioned shareholder/creditor is building it - no one else will, and the creditor must or the whole show goes down.
"The Mini-Platform is a similar structure to the 24-slot platform describe under the PPA
except that it is smaller and houses only up to six wells."
Production time frame pushed back again. Mid 2020 now.
Oil price still well below recovery cost
-that is expected to change over 7yr life of current plans, but still pretty marginal.

My guess (pretty strongly) is that they are still proceeding with the so-called plans, and this platform, so they have something to dangle to other possible lenders.
**NB They are still talking positive tho'.

Lets make the call - "on a razors edge".
Two more months before we get much more meaningful info - after the "protection from creditors" ends.

Meanwhile i have been looking into the current oil drilling in Thai waters. Ugly. Very.

KrisEnergy commissions offshore Cambodia geotechnical studies
KrisEnergy has contracted Fugro for geotechnical investigations for the Apsara oil field project in block A offshore Cambodia.
Jan 28th, 2020
LEIDSCHENDAM, the Netherlands – KrisEnergy has contracted Fugro for geotechnical investigations for the Apsara oil field project in block A offshore Cambodia.

Apsara will provide the first ever production from the Khmer basin in the Gulf of Thailand.

Fugro will use the drillship Fugro Mariner to conduct shallow gas pilot-hole drilling and cone penetration tests and to drill geotechnical sample boreholes, all related to the design and installation phases of the Apsara Mini Phase 1A development.

The company supported the field’s previous operator Chevron in 2006, when it supported drilling of the initial exploration wells that led to the field’s discovery.

Vladimir Lavie, senior geophysicist for KrisEnergy, said: “We’ve already completed our geophysical surveys, and Fugro’s geotechnical investigation will provide the final set of geomechanical information needed to de-risk the design, installation, and operation of our project.”
https://www.offshore-mag.com/geoscience ... al-studies

February 21, 2020
As KrisEnergy gears up to produce Cambodia’s first drop of oil, it has been besieged by creditors
Singapore-listed KrisEnergy is fending off creditors on multiple fronts as the upstream oil company fights to keep its Cambodian ambitions on track.

The company told shareholders that it will appear in court in Singapore next Monday to request a second three-month extension to a debt moratorium. The moratorium has been in place since August, when KrisEnergy began efforts to restructure its debt load, which stood at $476.8 million as of last year.

Meanwhile Rubicon Offshore International, a Singapore-based offshore oil field service company, this month filed a statutory demand in the Cayman Islands against KrisEnergy’s Thai subsidiary seeking $2.84 million.

The demand stems from a 2014 dispute over additional costs incurred from the chartering of a Rubicon vessel. Rubicon has threatened to present a winding-up petition against the subsidiary should it not receive payment.

KrisEnergy told the Nikkei Asian Review that it will “defend the claim vigorously.” A U.K. commercial court last year found in Rubicon’s favor in a case related to the matter.

The company’s financial woes come as it pushes ahead with work on realizing Cambodia’s long-held ambitions to produce oil from its Apsara oil field.

Despite the added financial pressures, KrisEnergy said it will “continue to focus all operational resources into the Apsara development.”

In November, the company ordered a so-called minimum facilities wellhead platform for its Cambodian project from Indonesia’s Profab. In January, it announced Dutch offshore survey services provider Fugro had been hired to carry out a geotechnical survey at the site.

KrisEnergy’s vice president of investor relations and communications Tanya Pang said the contract for a drilling rig was expected to be awarded by the end of the first quarter.
https://www.khmertimeskh.com/50693541/a ... -creditors

block a seems cursed, this ha sbeen going on for about 15 years with various companies

A second 3 month extension!! ^^^^
for bankruptcy/wind-up proceedings to be in a halt.
That will be nine months in total - to come up with a rescue plan.
First we waited three months from Sept last year, then they got an extension in December.
I have been waiting now for March 6 to hear all about their big restructuring/survival plans.
But no - now may/june.

I suspect that maybe KrisEnergy is lost at sea? along with that elusive first drop of Kh offshore oil.
The company is desperado broke. the economics of the field are marginal, and the timing is not right.
But don't relax yet, it could still happen. The company seems to be putting everything on this last throw of the dice.

This is a desperado oil company about to belly up - operating offshore in a country with zero effective environmental controls.
Very hard to see "best practice" being adopted. A recipe for disaster actually.
The returns to the treasury are scratchy at best, no local refining capacity will be built for the production, the general environment will suffer, and fish stocks will fall.

All for sweet FA - except for a high-livin' life for a few.
Financed by debt and stock exchange investments, not from any expected high-profit oil flows.
That is the tragedy - it is all totally pointless in the first place. Certainly not beneficial "development".

Apsara offshore Cambodia on track for mid-year start-up
KrisEnergy anticipates first oil from the Apsara field development in block A offshore Cambodia around mid-year.
Feb 28th, 2020
Offshore staff

SINGAPORE – KrisEnergy anticipates first oil from the Apsara field development in block A offshore Cambodia around mid-year.

Renovation and upgrades of the Ingenium II production barge continue in the Benoi yard and Gul drydock in Singapore. Installation and integration have been completed of the new power generation equipment, central control room, electrical switch room, living quarters, pedestal crane, electrical transformers and produced water processing package, and mechanical completion of all systems should finish shortly ahead of commissioning.

Construction of the topsides and jacket for the minimum facilities wellhead platform started in December at the PT Profab1 facility on Batam Island, Indonesia. Once concluded, this will be loaded onto a barge for transportation to the field location.

Fasttrack processing of 200 sq km (77 sq mi) of 3D seismic data acquired over the Apsara development area in mid-2019 was also completed in December. According to KrisEnergy, this should improve imaging of geological faults and sand bodies for the design of well trajectories ahead of development drilling.

Processing of 1,000 sq km (386 sq mi) of 3D data over a large prospective area in the southwestern part of the block is expected to finish by mid-year.
https://www.offshore-mag.com/field-deve ... ar-startup

Not great news.
I was hoping tomorrows court hearing in Singapore would reveal more about their parlous financial situation.
Not sure how they are going about all this with $500 mill debt overdue.
One of their big creditors, and now shareholders, produces this ^^^ equipment, so maybe they are doubling down on their bet.

We may know more after tomorrow.

LOL They're fucked, (i reckon)
But maybe they and the oil ministry know something i don't..

FRI, FEB 28, 2020 - 1:27 PM
FIONA LAM
KRISENERGY, which is in the midst of a debt restructuring, sank further into the red for the fourth quarter last year. Its net loss deepened to US$82.7 million, from the US$73.9 million loss a year ago.

Despite a surge in revenue, the bottom line was weighed down by higher depreciation, depletion and amortisation charges as well as increased finance costs, the upstream oil and gas firm said on Friday.

Finance costs amounted to US$15.2 million compared to US$11.3 million a year ago. This comprised non-cash accretion of bond discount, lease liability and decommissioning provisions, bank loan interest on the revolving credit facility from DBS, default interest expenses on the due-2022 and due-2023 notes, and financial restructuring expense.

Loss per share stood at 5.5 US cents for the quarter, compared to the year-ago loss per share of five US cents.
(on shares last traded at 3c)

Revenue doubled to US$35.1 million from US$17.4 million a year ago, mainly as a result of two liftings from the Wassana field in Q4 2019 compared to only one lifting in Q4 2018.

This was partially offset by the lower average realised selling prices for oil and liquids. The average benchmark Brent crude price fell 9 per cent year on year during the quarter.

Due to the group’s accumulated losses, no dividend was declared for the year ended Dec 31, 2019, the same as the year before.

For the full year, net loss widened to US$168.9 million, from the US$137.4 million loss for 2018.

Lower prices and lower sales dragged revenue down by 12.6 per cent to US$126.5 million for the year.

As at Dec 31, 2019, the group had about US$503 million in borrowings and debt securities repayable within the next one year or on demand.

These comprise its zero-coupon notes, the DBS revolving credit facility maturing on June 30, 2020, the notes maturing in 2022 and 2023, as well as two unsecured term loans from HSBC and Standard Chartered Bank.

Last week, KrisEnergy said it would not make principal and interest payments totalling US$4.5 million coming due on Feb 21, 2020, under the two term loans. It also would not pay about S$4.2 million in interest due on Feb 22, 2020, under the notes maturing in 2023.

KrisEnergy’s debt moratorium has been extended till May 27, 2020.

I don't understand the need for a wellhead platform in the illustration? What is it's purpose? I've worked on several setups like this all over the world and there was never a fixed platform involved.
As far as Fugro and KrisEnergy go...
Sounds like the day two fools met.