Other have said it, but I'll repeat it again. A loss is only a loss when you come to sell, be that through inpatient choice or a need for the cash. - I do not currently see the BoD selling, so why would I?
Ref the current SP no 1, so what? OK, it would have been nice to see this drop coming, but I like many don't have that crystal ball. As for the 'I told you so brigade' well done to you, I can also tell you so now that it has happened, so frankly I'm not interested.
Ref the current SP no 2, so what? The BoD are not looking to raise funds via a placement, so it matters little in that the business has all the cash it need to operate, it can borrow money against its assets and clearly those lending the money don't care what the SP is so long as the assets are there to cover the loan. That is not to say that the BoD should over spend, they should just continue to invest where and when it is correct to do so.
The current business model. For me it is spot on. A gradual (if you call 200% year on year growth gradual) growth, keep the risk low and keep using the big boys for their knowledge and experience. Lets face it the big boys seems to think there is money to be made and MAGP are just paying their percentage of the costs and taking their percentage of the sp"oil"s. The ONLY reason for a big percentage drill would be to hold the lease on a big net percentage area.
Last Thursday RNS, several great bits of news Parmley - a good flow of 93% oil (say that again 93% oil) on a 12%+ NRI. Would people prefer to see 100boepd at 50% oil? In-fill drills - these are your cash cows guys and girls. You do NOT drill an in-fill drill on a bad well. These are drilled against some of your better wells where you have already have good known production. These are the bankers of the oil world. Super low risk, known returns, most small time oil companies would kill for these.
So, if you can buy at the present, good on you. If you're sat on a paper loss put them away somewhere nice and safe for a while and relax, Enjoy the wait in the knowledge that it is only a matter of time. MAGP is no going to go bust, there is cash coming in, there is on-going growth, sit back and wait and if need be wait some more...
Finally, I'm slightly put out by some of the criticisms leveled at the BoD of late, perhaps somebody can explain what they have done wrong? OK, Mississippi is getting down graded, but I think that might have come as news to the BoD. The Mississippi Lime has always been considered patchy, tell us something new; perhaps something like we've also got Woodford which is actually better then we originally thought.
Robsky - I take the view that director buys at this time would be a disappointment. In effect, it would signal no SP+movement for at least 2 months. Rich3r - Ramble as you wish although I expect you have a job to hold down.
George It is a pity that the conference call was not put on the website but reading between the lines that would almost imply that moves are afoot that have yet to be revealed otherwise director purchases would have taken place IMHO.
I have suspected for a while that all is not in the open and yes Rich it was confirmed by Frank that the share price was disappointing for the BOD as well as us, but how long will it be allowed to linger at this level remains to be seen.
Rich ramble all you want mate most of your rambles highly logical and respected and keep up with the charts.
gorgeousgeorge - Did your beloved give you that title? And yes, your observation is not overlooked. That's why we read "diversify portfolio" a while back. Some of us are not dumb. :) Rich3r - I liked your post. Would like to add a comment when I get a chance. re: Baron issue - Only rely on utterings of those who, over time, can prove some degree of sincerity.
During the conference call, Steven Snead said that the BOD cannot buy shares if they are aware of something or if they are involved in a negotiation which they have not released to the market but could affect the price. They also talked about making an acquisition this year.
I've traded - bought and sold since first dipping my toes in around September '12.
I made money then lost it here and currently I'm sitting on a circa 54% loss - which is my largest of any share.
I am aware that others may have larger % losses and almost certainly much larger £ losses and that in itself concerns me. (none of mine of course).
It's all so unfortunate because magp was always 'meant to be a sound investment' - a safe haven.
Turns out that it was not - at least thus far !
We can lick our wounds until the cows come home but for me, magp will be a life-long investment lesson and I will look out for the like again.
I don't think the website is particularly good.
Why do the RNS always come in around 8 point size which you can't easily read?
Why are we seeing the same old RNS IPR and not the actual production rates tally - in which we are all interested - as is the market imo. Surely our bod have access to our overall bopd figures? ( I accept that we can only have IPR when a new well comes to production).
I accept that our headline financials are likely dented by the huge delay in payments to us - which bakoven has so often highlighted.
But It's plain and clear that the market does not like the magp model imo. How much lower do we need to go to gather evidence of it??
if the bod are 'happy' with the current sp then I will eat my hat. Are they waiting for a TO? If they are then will the buyers use our current low sp as leverage?
these are all questions above my pay grade but I would like to see magp come out fighting and give us some decent and truthful PR.
Good to see some getting wise on here at last on the Baron issue but he is a day trader after all .Anyway I joined Magp on December 21 -2011 and paid .54p and been a pretty staunch supporter although I was not on LSE until about 11 months later, things were looking up a few weeks back as we broke the 9day-30day-and 90day sma and then came the RNS that murdered us from which for me triggered a very large stop loss, something I never reckoned on but I use them on aim a lot and was glad of it on NEW a couple of years back ,since then two more kicked in and on Friday decided to pull out as we all know it has been a continuous drop for months on end.At one point I was 400% + up here and should have sold but that is history and I still got out in front thanks to the stop loss really. I got lucky with rose bought in January and sold half when it came good and still in Hawk .As for Magp I will watch closely as I believe it will come good but it could take a while but this drop has to stop soon surely.GLA
Some of the above ties in with RFW's announced agenda. No wild application of cash asset will be thrown at riskier ventures. Hence the intention to participate in e.g infill wells where reasonable results can be expected. The quality of MAGP's 5000 net OK acreage is unknown. Some of it is bound to fall within the map boundaries to be found on the first link above. In the midst of the heat of the moment we are overlooking an obvious fact -- CoS equals 90+%.
Until RFW revises the programme with further insight, I am diversifying into other AIM sectors, where volatility is less pronounced. Three steps have already been taken, thanks to a profitable escape from UJO this morning. Other than AMER, MAGP and MTA (in limbo) no more O&G experiments will be undertaken.
I think commerciante has summed up my reasoning regarding management very well. All that I would add is for those with an open mind and a little time please read back through the rns's starting from April 17th last year paying for example attention to the heading of a four fold increase in net reserves and 94 million value and compare that to where we are today. For those that complete this task I suspect the word disgust which appears to have upset some may appear to be understated ! I will not be posting again unless I believe I have something constructive to say so once again I wish all holders a successful outcome. I for one will trade the price action to a prepared plan and treat the updates with the healthy sceptisim I believe they deserve.
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