Charles Jillings, CEO of Utilico, energized by strong economic momentum across Latin America. Watch the video here.
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Doesn't mean a great deal since it's almost a certainty we'll have a new government come October but https://www.reuters.com/world/uk/uks-hunt-set-extend-energy-windfall-tax-by-one-year-sources-2024-03-04/
Why buy a value oil play when you can buy crypto. Just wish I had spare change to load up!
It’s difficult to see how this can go down from here.Any speculation that JOG might look at other assets with the £30m or it just going to be held for capex on tie backs?
Gas prices spike for 18 months so massive tax on oil for years. Makes sense.
All priced in with initial £6 target. Is there wasn’t the extra tax you wouldn’t be able to buy at this price.
Can only read the first sentence of that - expect the union (the largest contributor to Labour Party funds) to have it's say on that.
Https://www.telegraph.co.uk/business/2024/02/27/labour-north-sea-tax-raid-oil-production-fears/ not great reading for any LTH
Lordy! That's all we need - great news from Serica and then Malcy extolling the virtues of JOG. Bl00dy hell the price'll be south of 150p by Friday. Hasn't anyone got any bad news to lift the price?
For JOG this is another amazing milestone to have passed, apart from the legal certainty of closing, it puts JOG in a very strong financial position so that now they and their exceptional partners can take this project on to become one of the biggest, and low carbon developments in the UKCS.
For years I have been impressed by the way that JOG have moved forward and now that they have two high quality partners with Serica now formally on board (see comments below) they can kick on with certainty. My Price Target has been £10 per share for a long time now and at the current share price exhibits a material discount to the core NAV. JOG remains an outstanding investment in the sector.
Is the only (publishable) word that springs to mind.
Thanks 81. Fdp approval early April? Because public comments deadline March 1, read somewhere about a month for approval? Then internal fid by Neo? Any oilman who knows? As stated I’m not afraid of asking questions however stupid they seem ~)
As per JOGs RNS under further Information:
'The cash paid by Serica Energy at completion totalled $7.5 million, of which $0.7 million is associated with a portion of the costs incurred by NEO Energy ("NEO") on JOG's behalf since the 1 April 2023 economic effective date of the transaction. This amount will be paid to NEO by JOG. The net cash payment to JOG is therefore $6.8 million.'
Scroll down and you'll see it.
Interesting. Anyone knows more on this?
Their RNS notes a total payment to JOG of $7.5m hope our directors are not "nicking" the extra $0.7m.
DYOR but see below the 'conclusion' of a research note from today post RNS:
Conclusion: JOG holds 20% in the Greater Buchan Area assets in the UK North Sea.
Development of the main Buchan field is moving towards FID in 2024, and with expected
recovery of over 70mmbbl gross, represents the third largest oil development offshore UK.
The outlying J2 and Verbier discoveries, both future tieback candidates, then add a further
40mmboe gross. During 2023 JOG agreed farm out deals with NEO Energy and Serica
Energy, leaving JOG fully carried to Buchan first oil at its 20% interest (based on CAPEX
expectations at FID), largely eliminating funding risk for the company. JOG is also funded for
its share of ongoing FEED costs, and cash milestone payments under the farm out have left
the company with £10m cash at the end of 2023, and a further US$26.8m to come in 2024
(US$6.8m now received). Buchan FID is expected in H2 2024, with first oil in late 2026, at
which time we expect JOG to add 7mbbl/d of net production from Buchan. The existing and
upcoming cash provides JOG with significant optionality, and once Buchan passes FID we
could potentially see new asset acquisitions, creating a platform for growth from subsequent
Buchan volumes. Nearer term, we expect additional development detail, followed by FID in H2
2024. The shares are trading at a substantial discount to our 620p total risked NAV, but we
see news flow this year, plus the ever-decreasing time to Buchan first oil, as having the
potential to help close this valuation gap.
Based purely on the value of the cash received versus the market cap, the price today should be +10%. There's no argument that this was already priced in before news, we all know practically nothing's priced into JOG. Good to see the completion happen though, and on schedule.
Let's hope there aren't any talks going on. If there's an offer, it will be at a massive undervalue.
Job done
Didas
Directors buying should be an indicator there are no talks as this would be price sensative information.
Hoping for an announcement this week re Serica deal.
Four Serica directors bought over 200,000 shares between them earlier this month.
I wonder if buy talks are going on behind the scenes?
Fingers crossed for us ever patient holders.
Energy price coming down, oil price coming down, why not the windfall tax coming down too??
Read somewhere labour has softened their tone a bit?
Some WFT for Rolls Royce - surely this previously poorly managed company has benefitted from the unrest around the world. Then of course there is the banks throwing billions at share buy backs as they jump on the back of the interest rate hikes. - lets have a level playing field. Oil and Gas prices are more or less back to normal - Users are now paying for the "poor UK regulator" who allowed financially weak businesses into the energy market to create false competition when none was needed. Rant over.
Well said JC , lets not forgot that AB has done what he set out to do . I think when FDP approval received then will fly
.continued .... Con(struction) Man