Core Viewpoint - Oil India reported a decline in third-quarter profit due to lower realizations impacting margins, despite an increase in fuel demand [1] Company Summary - Oil India experienced a fall in profit for the third quarter, indicating challenges in maintaining profitability amidst fluctuating market conditions [1] - The company faced squeezed margins, which were primarily attributed to lower realizations, despite the backdrop of higher fuel demand [1] Industry Summary - The oil and gas industry is currently experiencing a complex environment where demand for fuel is rising, yet companies are struggling with profit margins due to pricing pressures [1]

Market Overview - Australian shares continue to rise, with a +0.4% advance in futures following a +1.9% increase the previous day, supported by a rebound in Wall Street technology stocks [1][3] - The Nasdaq index is up +0.9%, while the S&P 500 and Dow Jones both increased by +0.5%, indicating a recovery in market sentiment after a previous decline [3] Company News - Electro Optic Systems (ASX:EOS) is under scrutiny as it prepares to respond to a short sell report from Grizzly Research, with the market expecting the release before market open [4] - Elevra Lithium (ASX:ELV) has signed a Memorandum of Understanding (MOU) to supply Mangrove Lithium with spodumene concentrate, with expectations to supply up to 144,000 tonnes per year [4] - PLS Group (ASX:PLS) has secured a multi-year offtake agreement with Canmax for 150,000 tonnes of spodumene at a price of US$1,000 per tonne [5] - Eastern Gas Corp (ASX:EGA) is set to debut on the ASX, focusing on oil and gas exploration in the Cooper and Surat Basin, with an initial market capitalization of $5.5 million [5] - Compushare (ASX:CPU) and Amotiv (ASX:AOV) are also expected to report earnings, with CSL (ASX:CSL) leading a series of quarterly reports [5][6] Commodity Prices - The Australian dollar is trading at US 70.9 cents [7] - Iron ore prices have increased by nearly +1%, currently at $99.80 per tonne [7] - Brent crude oil has risen by +1.5%, now priced at $69.06 per barrel [7] - Gold is trading at $5,095 per ounce, while US natural gas futures have decreased by -8% to $3.14 per gigajoule [7]

Group 1 - Petrobras has acquired a 42.5% stake in an oil exploration field located off the coast of Namibia [1] - The acquisition is part of Petrobras's strategy to explore new frontiers in Africa [1] - This move aims to replenish the company's reserves and enhance its exploration portfolio [1]

Core Viewpoint - TotalEnergies has signed agreements to acquire a 42.5% operated interest in the PEL104 Exploration license offshore Namibia, enhancing its position in the region [1] Group 1: Acquisition Details - TotalEnergies will become the operator of the PEL104 license, holding a 42.5% interest [1] - The remaining interests in the license are held by Petrobras (42.5%), Namcor (10%), and Eight Offshore Investments Holdings (5%) [1] Group 2: Location and Coverage - The PEL104 license is located in the Lüderitz basin, covering a significant area offshore Namibia [1]

Core Investment Thesis - Natural gas is becoming a globalizing commodity due to increasing LNG exports and growing demand, partly driven by the AI boom [1] Industry Focus - The primary focus is on Canadian energy, specifically oil and gas exploration, along with US players and various international energy companies [1] - The investment strategy involves identifying undervalued companies during periods of improving macro sector and fundamentals [1] Market Dynamics - There is a combination of increased market interest and deep value in the energy sector, indicating potential investment opportunities [1]

Core Viewpoint - TotalEnergies has signed agreements to acquire a 42.5% interest in an exploration license offshore Namibia [1] Company Summary - TotalEnergies is expanding its portfolio by acquiring a significant stake in offshore exploration, indicating a strategic move to enhance its presence in the oil and gas sector [1]

Core Viewpoint - TAG Oil Ltd. has increased its brokered offering to $10,000,000 due to strong investor demand, with units priced at $0.10 each [1] Offering Details - The offering consists of $5,640,000 under a prospectus-exempt LIFE Offering and $4,360,000 under a private placement [1] - Each unit includes one common share and one warrant, allowing the purchase of an additional common share at $0.13 for 48 months [2] - The Agents have an option to increase the private placement by up to $1,500,000 [4] Use of Proceeds - Proceeds will be used for appraisal and development activities at the Badr Oil Field and Southeast Ras Qattara concessions in Egypt, as well as for working capital [3] - Specific activities include drilling a new vertical well at BED-1 and conducting a Diagnostic Fracture Injectivity Test at SERQ [3] Regulatory and Closing Information - The closing of the offerings is expected around February 16, 2026, pending necessary regulatory approvals [8] - The LIFE Offering will be available in all Canadian provinces except Quebec and other qualifying jurisdictions, including the U.S. [5][7] Agent Compensation - Agents will receive an 8.0% cash commission on gross proceeds and broker warrants equal to 8.0% of units sold [9][10]

Core Viewpoint - TAG Oil Ltd. has announced a private placement offering to raise up to $5 million through the sale of units priced at $0.10 each, which will consist of common shares and warrants [1][2]. Offering Details - The offering will consist of units, each comprising one common share and one warrant, with the warrant allowing the purchase of an additional common share at $0.13 for 48 months [2]. - The company has granted the agents an option to increase the offering size by up to 15% [4]. - The offering is expected to close around the week of February 16, 2026, pending regulatory approvals [12]. Use of Proceeds - The net proceeds from the offering will be used for appraisal and development activities at the Badr Oil Field and Southeast Ras Qattara concessions in Egypt, as well as for working capital and general corporate purposes [5][6]. Investment Highlights - TAG Oil has identified the ARF reservoir at BED-1 as a low-permeability carbonate formation with significant development potential, with independent engineers estimating 532 million barrels of oil-in-place [11]. - The SERQ concession is estimated to hold approximately 3.2 billion barrels of oil-initially-in-place across 512,000 acres, with further technical studies planned [11]. - The existing regional infrastructure is expected to lower development risks and timelines [11]. Additional Offering Information - The units will be offered under the listed issuer financing exemption, making them free-trading upon closing in Canada and other qualifying jurisdictions [9]. - The agents will receive an 8% cash commission on the gross proceeds and broker warrants equal to 8% of the units sold [13].

Core Insights - Essar Oil and Gas Exploration & Production (EOGEPL) plans to invest $100 million (Rs 9.15 billion) in a new drilling initiative at its Raniganj East coal bed methane (CBM) block in West Bengal, India, aiming to enhance natural gas production from the largest CBM-producing site in India [1][2] Investment and Development Plans - The new drilling program represents the next phase of development at Raniganj East, focusing on introducing pilot projects for horizontal CBM wells [2] - Raniganj East is estimated to have approximately four trillion cubic feet of in-place CBM resources, with existing infrastructure capable of handling up to three million standard cubic meters per day (mscm/d) of gas, which the new investment will help expand [2] Historical Investment and Future Potential - EOGEPL has invested over Rs 60 billion in developing the Raniganj East CBM block, including drilling 454 wells and constructing more than 350 km of pipeline infrastructure [3] - The company has spent an additional Rs 6 billion to drill around 100 wells, all of which are now in production [3] - Technical studies with IIT Bombay and the University of Utah have identified hydrocarbons and favorable geo-mechanical conditions for potential shale gas development in the Raniganj area [3] Strategic Goals and Industry Context - India's initiative to increase domestic gas production aims to reduce dependency on imports while promoting city gas networks and industrial usage, particularly in coal-rich regions like Raniganj [4] - EOGEPL plans to increase production to around 5 mscm/d by 2028 through a combination of incremental CBM drilling, improved recovery techniques, and potential shale development [4] - In January 2024, Essar Oil UK partnered with Elessent Clean Technologies to develop an industrial carbon capture facility at Stanlow, UK, indicating a broader commitment to sustainable practices [4]

Core Viewpoint - French lawmakers in the senate have voted in favor of a bill that proposes allowing oil and gas exploration in overseas territories [1] Group 1 - The bill aims to expand oil and gas exploration activities, potentially increasing energy resources for France [1] - This legislative move reflects a shift in energy policy, focusing on overseas territories to enhance energy independence [1] - The decision may have implications for environmental policies and international relations regarding energy resources [1]