Speculation on my part, but if Iona is a fire sale or gets backing, payment on first oil is a game that can be played by cash rich companies dealing in development. With regard to other companies hurting more than most, I must have shares in all of them, looking at my portfolio!! ENQ is in a tight spot at present and for Pi's its the II rights issue embezzlement plan that rings alarm bells.
MM i think most ii's have a longer time frame compared to PI's!
given the cash, the effective valuation of 26M bls (p2) plus 42M bls (2C) looks very low compared to deals even at todays prices. OK so the oil is sour, so development not as cheap of sweet oil, but unless you work on the principle pmg will spend the cash on expo, looks a better bet than most of the small oilers.
out of interest which other co's do you think are in real trouble?
There are so many what appear to be good assets available. There are at least five companies that have or shortly will be going into administration focused on the UKCS. If funding is available for an astute management the possibilities are plentiful. What I find somewhat comforting is the II's resolve to maintain their investment. Grim times for us P.I.'s but personally determined to see this one through. GLA.
it could be interested to see if TC makes any moves on both iona and AP assets. it is not just the ones parkmead have interests in already, orlando project is in development with 11,000bopd due on-stream end of next year.
if you read the analyst reports from Panmure Gorden the 294p is assuming the utilisation and production of its oil and gas assets within its remit. so that the potential share price that could be achieved from the reserves it has its disposal.
Also i think it goes without saying 294 is with POO fully recovered. I think that is realistic. during the 2010 boom it went as high as £3.60. so
so £2.94 is conservative as far the upper end potential for it in the long term.
Short to medium term as long as POO remains slumped doesn't look like it will do that any time soon unfortunately to be realistic about it. I am just slowly building my investment here and drip feeding in. I am not going to bother trying to time it for the bottom. you just never know with AIM stocks.
I have seen an oil company on AIM where the share price was worth significantly less than its share price. So impossible to know where the bottom actually is its like catching a falling knife to be cliche about it.
The Parkmead Group plc with EPIC/TICKER LON:PMG has had its stock rating noted as ‘Retains’ with the recommendation being set at ‘BUY’ today by analysts at Panmure Gordon. The Parkmead Group plc are listed in the Oil & Gas sector within AIM. Panmure Gordon have set a target price of 294 GBX on its stock. This would imply the analyst believes there is now a potential upside of 302.7% from the opening price of 73 GBX. Over the last 30 and 90 trading days the company share price has decreased 22 points and decreased 35 points respectively.
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