Despite all the bad news and delays in the sea lion development I strongly think RKH is very solid at this SP. One the finally investment decision is made in Q1 next year and all the full commitments are made RKH will fly back to £1.20/50 minimum. It's not just the cash balance that de risks RKH it's the assets and the known reserves that underpin the company. The market is very gloomy right now but I have seen this 100 times and will do another 100 times most likely. The market knows what is coming with the significantly de risked drill program and they will be buying in force in the coming weeks and months. Look at every falkland drill campaign and the SP in all the falkland company's they always rise and rise strongly in the last two months prior the start up. What's different about this drill campaign is allot of the prospects are likely to be a success! And with minimal outlay to RKH could significantly move the value of the company. Then we have the possible prospect of a buy out in times of bad markets and lower sentiment the bigger companies always go on a spending spree. I won't go into the production we all know that of RKH survive to production this will be £1 billion + by that time Good luck to all with whatever your position
Catalyst next few months
- Short list of EPC bidders in Q4 - Draft field development plan in Q4 - Spud in Q1 - Result of well in Q1 - Spud of Second well in Q1/Q2 - Result of second well in Q1/Q2 - Partner Q1/Q2 - FID Q2
Bought first tranche sub 69p. Buy low, Sell High
not much point at this price lol will top up in the new year if it stays at this level
New Broker Target at 220p
Lots of broker targets for this one ranging from 120p up to 345p. New one out today at 220p. Looks like this could be the bottom but who knows with the craziness going at the moment. Agree that things should start to move up over coming months as we near end of year with usual santa rallies plus as we move in to the 2015 drilling campaign.
I do think this will be good in a few months buy cash in bank value does not mean price will hold at that level. Look at SEY, $107million in the bank and £55million MK with their concessions. Sentiment is all on aim! Sad but true.
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