And further to the Nostrum link, Roxi added a v. +ve rns today. TPL is stuck in a 'jam tomorrow' mode. The last few +ve rns announcements, ie ' everything on plan' has seen the sp fall. The Aug. results rns and update stated , 'significantly increase the cash flow in 2015'. Plse BOD, have a stab at quantifying 'significantly'? Does it mean losses will be less?, does it mean the co may actually be EBITDA +ve.? More war war, less jaw jaw. All IMHO of course.
http://www.energyvoice.com/2014/08/64196/ Someone seems to be making progress there.....
better close soon
Where will the money come from?
Just need the gas to start flowing at 3x volume and 2-3x? current gas price and then we should start to see solid profits and cash-flow - I think that should lead to revenues of $30-$45m p.a. (a 50% share of total assuming farm out, and depending on the price agreed in the GSA) at low incremental and development cost. The gas programme is already financed and planning to go live in Q1 2015 as I understand it, meaning that we're just waiting for approval of the farm out to get the net proceeds of $71m, which should finance the well in Kazakhstan, the $9m capex required for Tajik partnership and some development work in Georgia. So while we're in the poor cashflow situation now, if management execute their plans this should change. The risk in the meantime are delays on the farm out affecting finance for commitments in Tajik, delays in the gas tie in project (e.g. bad winter weather has harmed previous years). It may still be a jam tomorrow story, but one that I still quite like the sound of at 20p a share. Personally I don't see any further dilution being likely at this stage unless something seriously adverse happens with the shallow gas programme. However if there was to be a huge exploration find, financing development may be a nice problem to be faced with!
I lot of the expected cash may be priced in. Still waiting for the profit and loss account to improve. The danger is with alot of these types of shares is that they will need to dilute or get into debt to develop any finds, or they end up selling cheaply. This is rarley mentioned, i.e. where is the money going to come from. Any risks are increased if the cash flow is rubbish.
26 Aug '14
RE: re re
Went down on no volume so we can go back up too Agree something + coming. . .
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