For a moment, I can't get my head round this deal. Has SLE really stumped up $180m just so Midwestern can acquire Mart who own 45% of OML18 plus other assets.So when you take out our so called indirect interest of 10% who acquire's the remaining 35% as it say's Midwestern will acquire all other assets but will have no interest in anything on OML18....Seem's an aful lot of money to pay back
Thanks SloppyJoe for the reply. I am invested for a profit. I bought at just over 4p and I was seriously worried (still a bit) for a long time but I believe the tide is turning. I do believe there will be an upward trend. Oil prices will go up eventually.
Fracker, it depends upon which perspective you want.
There are execution risks with Rawicz and with completion of the deal in Nigeria. There are political risks in any country and Nigeria certainly isn't the worst.
The main thing to remember, if you're invested here for a profit, is that if there is success with Rawicz, which looks very likely, and if this deal completes, then SLE will be sat with £275m of producing assets, net of any debt.
As a result, the SP will re rate upwards - the market can apply any discount it likes over any concerns, political, geographical or reputational. Even if it applies 90%, we're set for a 135% uplift from current levels.
This company is valued at cash. It is hugely undervalued based upon the development and exploration assets it already owns. Nigeria is only upside - just a question of how much and whether the deal completes.
Success in both areas will be multi - bag returns from here.
OML-18 is a masterstroke for a number of reasons, but also because it will be operated by an INDIGENOUS company. There has been anger in Nigeria against the multinationals AND foreign owned O&G companies resulting in vandalised infrastructure but Midwestern are owned by Nigerians, ran by Nigerians and employ Nigerians.
SLE as relative silent partners doing service deals in the background and creaming off 10% of production is pretty genius in my eyes. Company making.
1st smith, I hold quite a number at under 30p, how many and the exact price you will excuse me if I don't say as by what I have seen on the other side any positive poster here is re posted by a known crusader as I said yesterday.
but by what I read over there he is on course to face a court case for defamation, libel and slander, I know he reads this blog so it will give him something to think about as I am going to send SLE his posts to add to the list of shareholders finding his content totally appalling to the business of SLE and the good of shareholders confidence.
2nd Smithy, The why"s and wants of us normal shareholder will not know, but I expect any information regarding it will come out once/if the deal goes through, if it does maybe more detailed info will be released.
SLE are at an Investor talk in April and hopefully anyone going could ask and tell us here! what do you say Sid?. Why don't you go Frus!!
Personally this Nigerian news has come at a great time for me , R15 as well to come and anything else!!. if the deal goes through and once shares are back in the market, I can see over £1 to £s, as by going on longtermers its 1p onwards and no dilution.
Datafeed and UK data supplied by NBTrader and Digital Look.
While London South East do their best to maintain the high quality of the information displayed on this site,
we cannot be held responsible for any loss due to incorrect information found here. All information is provided free of charge, 'as-is', and you use it at your own risk.
The contents of all 'Chat' messages should not be construed as advice and represent the opinions of the authors, not those of London South East Limited, or its affiliates.
London South East does not authorise or approve this content, and reserves the right to remove items at its discretion.