Long term this is my only concern (but it is a huge one). I'm not entirely sure that oil prices won't go a lot lower even than they are now and that is surely going to impact on any RBL and potentially overall economic viability of the whole project. And it certainly doesn't bode well for any T/O prospects.
The BOD have told us the plan. I don't believe they would lie about their plans, but do we believe they can deliver to the plan and in the time scales.
My view is that the phased approach is a low cost option and their design is inivative and allows for additional financing methods.
The plan B is a good plan and may work out better than plan A. Working with service companies to finance the project means that Bentley is still 100% owned
Will XEL do a good job in these negotiations? Do we really care as long as financing is sorted and the FDP is submitted. Have we forgotten about RBL $350m expected
But as investors the question is when will we see true value? (By true value I mean far more than 100 to 200% rise from today's share price.)
We would need. A bullish market, reduced tax or higher oil prices, production or FDP (which one is up for debate ) what comes with this is a robust financing package. Which may include a farm out partner.
I will be look at the Q3 results before the end of the month as a chance for the bod to update us on how things are going.
Datafeed and UK data supplied by NBTrader and Digital Look.
While London South East do their best to maintain the high quality of the information displayed on this site,
we cannot be held responsible for any loss due to incorrect information found here. All information is provided free of charge, 'as-is', and you use it at your own risk.
The contents of all 'Chat' messages should not be construed as advice and represent the opinions of the authors, not those of London South East Limited, or its affiliates.
London South East does not authorise or approve this content, and reserves the right to remove items at its discretion.