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Whatto Banbury. You cannot seriously be pointing out the 1 day relative movement of gas vs oil? C’mon now. I know we take different lenses on the transaction, but that’s a random observation. Shall we look at the 6 month relative chart on those two?
The website looks to have had a revamp following the acquisition of the tailwind assets.
Looks much brighter than the previous incarnation.
The Board and Senior Management look to have had new photos taken.
The 'old' Serica management, with all due respect, now looks relatively old in comparison to the Tailwind and Mercuria management.
How long before Steve Edwards is CEO & Jacques Tohme CFO?
Robert Lawson/Guillame Vermesch Non Executive Chair?
The acquisition/merger is done, despite my objections, and I admire what they have achieved for Tailwind and Mercuria.
I'm still sat on the sidelines watching but feel that the best chance for growth is now in the hands of the Tailwind/Mercuria management.
With an 18 month lock in, that might present opportunities for those wanting out to do so at a profit.
Troubled - near doubled production - nonsense.
Far closer to 60% increase at a ridiculous price.
Gas going up 10% today. Oil less so.
Poor deal
Agree with you TerrM1 as i am in a similar postion to yourself. This whole situation is fasical.As i posted before tho bod have coveniently brushed aside lth and have blatantly lied to lth inmv. Very easy to reinvent the company based on lies inmv. Oh well lets start again. I wonder what price the next options will be issued at. Hmm let me think 2.30
troubledseller
I am struggle to understand your analysis
1. The only ambition the BOD have is to keep their jobs as long as possible, if they believed in their strategy they would have bought shares. If the BOD had any regard for shareholder they would have negotiated with Kistos and now the shareholders would have been sitting on substantial profits not like myself substantial losses.
2. The cash pile should have been paid out in dividends as promised or invested outside of the UK. 90% of all NS produces are reducing investments in the UK before an even worse Labour government, either they are right or the BOD are right.
3. Swapping the cash pile for debt and assets valued much higher than current asset values makes no sense to me.
4. Who wants to be a serious NS producer now, virtually all other NS produces want out, they can see the writing on the wall.
5. There will be worse to come with Labour, they have stated this many times.
6. There is serious trusts with our new majority shareholder which have now stopped us getting a takeover bid, one of the best chances to increase value.
7. O&G price will probably rise but not much use if government takes virtually all of your profits. It will be far more profitable to extract it outside the UK and sell it to the UK. Labour have stated they will stop all new NS O&G developments.
8. The market takes a different view to you and can see no value in this reverse takeover.
Are we not a listed company.The bod may wish to conveniently forget its existing shareholders. Which i hasten to add is very easy when you are on a six figure salary with share options being handed out like smarties,
Fwiw i spoke to the ceo a number of years ago . just when the so called mystery covid arrived. during the conversation he said he did not see any problem when at the time the largest holder was selling out. He actually welcomed it as it bought new investors into the arena. He obviously still thinks the same. Very convenient and easy isnt it. So be fore warned the ceo and bod will re invent themelves again and new investors will soon be forgotten. Very easy for a salaried bod with millions of free share options dont ya fink.
NewKotb - Perhaps the BOD have much more ambition than we have given them credit for, it was just several months ago that many on here, yourself included, were berating them for sitting on our cash pile and not doing anything with it. Here we are a few months later with near doubled production and a more diversified portfolio. There are trust issues with our new majority share holders which will hopefully prove unfounded, perhaps I am naeve and too trusting, time will tell as always. However this could prove to be great long term play, I would be in favour of a JOG tie up, for disclosure I am a holder there. In a few short years we could be a serious NS producer providing the UK with much needed energy security. I have had many doubts and frustrations with my investments in both SQZ and JOG but continue to hold both despite the loonacy of government policies and their approach to the O&G industry, there could be even worse to come with Labour policies in the near term. However the tenet of my investments is that O&G is here to stay regardless, the price of which will continue to rise as demand increases and supply contracts. jmofwiw.
it is all adding up. Our BOD have never purchased any significant shares from their own salaries. Why??.
Quite simple there is a game plan. They are mearly puppets/muppets of hmg past/present/future . i could even add add stooges of some foreign entity,but that could be misconstrewed as being rude.
As i posted earlier this is now a tabacco stock, but without the clarity of dividends???
FWIW, Serica had better not be looking at acquiring / farming-in to JOG (GBA licences), not that it wouldn't be a great deal in the long run, just not now we have Mercrica calling the shots. Much prefer instantly accretive deals and at very least, right now ones away from NS for sure.
High CapEx with debt to get to first oil then serious FCF thereafter .... however, 'thereafter' will probably be once SQZ is 100% owned by Mercuria.... all part of their plan, could well be !!
Given our "Long stop date for Completion" of TW deal being last working day of April, (28 April 2023) and JOG's exclusivity period until 30th April 2023 .... is that pure coincidence, hummm !!
PS, If JOG is to be 'partnered' by SQZ then why did we need Mercuria onboard, no reason why a deal couldn't have been struck with JOG last year. What will Mercuria specifically bring to the deal ?
Flexmw, as you mentioned, not many "significant UK North Sea operators" to pick from.
aimo & dyor
Sorry forgot to add that thinking the present and forthcoming government had a brain cell between them. Maybe they have, renewable green energy . Even if they have to purchase the needs of energy for the nation from overseas for the next twenty years, but hey ho Great Britain is green. local elections coming up so off to vote for the green party .
Hats off to both companies for comtinuing operations. All it says to me is that it is easy to use other peoples money. (a bit like hmg and its stooges oik sta.rmer and co )
Personally i have had enough. Unforfortunatly if we are lucky at best Sercica is now a tobacco stock. One to hold for the dividend with very little growth in share price. Maybe that is what the plan has been all along ???. Still what do i know apart from being the muppet holding out after the share priced halved.
Skerryvore
During the period, Parkmead increased its stake in the high-impact Skerryvore project from 30% to 50% and gained regulatory approval to progress into the next phase of the licence. Parkmead will continue as operator in this current phase, which is testament to the efforts and capability of the project team. Skerryvore will be Parkmead's first operated exploration well. Parkmead's joint venture partners on the licence are Serica Energy (UK) Limited (20%) and CalEnergy (Gas) Limited (30%).
The Company's detailed technical work programme has confirmed the considerable multi-interval potential of Skerryvore. The planned well will target the main stacked exploration prospects, at Mey and Chalk intervals, which studies indicate could contain significant volumes of light oil. The licence also contains additional prospectivity at the Ekofisk and Jurassic levels. A successful discovery will result in a tie back to nearby infrastructure in line with the NSTA's MER and Hub Strategy for new developments.
The area around Skerryvore is currently seeing important activity on several fronts, with Harbour Energy now in the execute phase of the adjacent Talbot development project, and NEO Energy proceeding with the redevelopment of Affleck. Activity is also ongoing on the Isabella discovery by TotalEnergies. Further development activity is also taking place in the Norwegian sector in close proximity to Skerryvore at Tommeliten A, a licence operated by ConocoPhillips.
Skerryvore Update - SQZ being a partner…
Well planning activities underway on the exciting Skerryvore exploration targets
· Well and site survey planning work has commenced with a rig tendering process due to start in Q2 2023
· An extensive tender process was completed in January 2023 for the well management services and the contract was awarded to Exceed Energy, an industry-leader in well management and performance solutions
· Parkmead increased its equity in Skerryvore to 50%, and progressed the project to Phase C as Licence Exploration Operator with strong industry partners
· Skerryvore consists of stacked light oil prospects at Mey and Tor intervals
interesting for Jersey Oil & Gas, deals still looking to be done in the NS.. Serica must be classed as a significant UK North Sea Operator, investment costs offset by the epl must put developments in a different light….
Jersey Oil and Gas plc
("Jersey Oil & Gas", "JOG" or the "Company")
Greater Buchan Area Farm-out Update
Jersey Oil & Gas (AIM: JOG), an independent upstream oil and gas company focused on the UK Continental Shelf region of the North Sea, is pleased to provide an update on the status of the GBA farm-out process.
The Company is in advanced exclusive negotiations with a significant UK North Sea operator. Heads of terms have been agreed for the farm-out of a material interest in the GBA licences to this company and both parties are working towards finalising a fully termed agreement in the near future. An exclusivity period until 30th April 2023 has been agreed.
Fwiw my view is we have until the next government to utilise them. Spend, Spend,Spend as the first big pools winner said.
NewKOTB what about all those billions of supposed tax losses from Tailwind? Thought that was the main reason that Serica bought TW for...... Do you mean we will be paying silly tax rates still?
The problem with the politics in play at the moment is that the Conservatives think they will lose the next election so any new government is going to inherit the problems.
The current Policies are non growth so they cannot expect extra revenues from tax, therefore, they have decided to tax the Companies that are doing well. I just wonder if the Banks will be next one they start announcing their results which should be good on higher interest rates and therefore profit margins. We live in a country where it will be impossible for you to be successful as you get hammered from governments.
18 months, the clock is ticking - either our new friends will stich us up or Labour will. Must admit don't know what comes first.....
Sasa, mega deal comes off and SP goes to plus £3 I will have my finger on the sell button
Apparently the UK Government are as misguided as the Irish Government.
The Irish Government would rather see the bountiful reserves of Natural-Gas and Petroleum offshore Irelands coast remain untapped .
Ireland is dependent on the Natural-Gas and Petroleum supplies it receives from and via the UK.
How long will both Countries economies function for without the North Sea production.
With this WFT income profitability will be severely restricted
A solution producers of Natural-Gas and Petroleum in the Noth Sea reduce production as a consequence of the new economic situation.
This should resolve the situation.
If not cease production entirely for an undefined time until the muddy waters become clear and the WTF is removed.
P.., poor, performance. Thats just about everything in my portfolio bar Serica, recovering. I guess I should be thankful we have gone from 200p to 220p - at least thats one tranche in profit!!!
Give the tortoise some lettuce.
I was hopeful the government might see sense and announce a floor on the WFT as per rumours, but sadly they have demonstrated their stupidity yet again.
Going forward, Serica needs to invest overseas and wind down UK operations or start returning cash to shareholders via dividends.
TerryM1
There could still be positives here. Serica could spend the next eighteen months investing in their fields as most of it can be written off. If there is a change in government they could then invest overseas and cut production here as hopefully everything would have been overhauled. Which should make it easier to limit production for however long it takes until gvnmt sees sense.Also by then our balance sheet should have improved as well.
P.s what is the betting that there is a major shutdown in the North sea by one or more producers after today's announcement
Upomega
" Even our current government are not that stupid"
How do you came to that conclusion. this government have done nothing but stupid policies, mostly in the area of high tax and spend also regulation and who was chanceller when BOE printed huge amount of money which caused this inflation crisis. Rishi Sunak can't go anywhere without giving our money away, half a billion £ to the French to not stop the migrants is just one example. From every example in history these policies alway lead to drop in the economy, come to think of it it is is not stupid but insanity. As Einstein say's "Insanity is doing the same thing over and over and expecting different results".
Some posters seem to be assuming that a floor is not now going to be set. Why the change of heart. Is this because today labour are saying they are going to increase the tax further, Even our current government are not that stupid. Inmv this floor will be set. Its just a question as to when. Whatever happens we should have at least eighteen months of decent revenue before the next government
No floor price in today's 'Powering up Britain' announcement.... I despair.
OEUK Chief exec David Whitehouse said that the North sea's future hangs in the balance.
Well worth reading his response.
https://www.ogv.energy/news-item/north-sea-s-future-hangs-in-the-balance-as-government-offers-no-relief-on-windfall-taxes-says-offshore-energies-uk
Clinch
To sell before the next election might well be the most sensible options, even if SQZ make investments overseas they are stuck with a lot of O&G in the UK and tax losses which will be removed by the next Labour government as well as a useless self serving BOD kept in place by the new best friend Mercuria with no chance of a takeover except by Mercuria for a derisory price.
For me the best use for this share is capital losses to offset against capital gains tax, with our great government new reduced allowances very useful. Choice between conservatives and Labour is do you want your hand cut off or your arm.
Hope I am wrong as like all of us would like to make some money but break even will be an excellent result but highly unlikely.