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RNS’ are necessarily factual and concise; there is a legal obligation to not be misleading. To that extent, the less said the better because the scope for misinterpretation is minimised, although - as we’ve seen here in the past - the lack of detail can lead to lots of debate and conjecture about what is actually happening. I guess that G’s communications team have two hats: there’s PR and there’s IR, the former allows rather more scope in terms of ‘selling’ good news, whilst the latter has the task of sticking to the facts and not preempting what PR will be saying in a week or so’s time. I think G’s IR has improved in terms of clarity and is much better than it was. However, the ‘PR’ side is not necessarily as proactive as it could be - although that does carry the danger of raising expectations unduly - as happened back in 2018 when Bina Bawi was projected as a transformational asset. As an investor I prefer restrained communications, I don’t like ‘hype’ - unless I’m looking to sell, of course! However, regular updates on projects in the pipeline, new opportunities and the performance of existing assets are essential. The payments updates can raise questions concerning monthly variability - April's disappointing figure (reported in June) being a good , example, especially as it came after the KRG reneged on the receivables recovery agreement. That's when an RNS can fail to be as reassuring as perhaps it could be.
Elcapitan / Astle - I have to agree with Bunks, Genel IR messaging has been unclear and incomplete for years now. Monthly RNS' for KRG payments are a good example. Historically, all they ever reported was what had been paid - often no explanation of which month's production the monies were for (someone on here - Boyo I think used to run a table showing which months had been paid for and which hadn't. Genel never did that much), little clarity over rate of repayment of monies owing and very little clear update on new payment schedules. Now I know that KRG non-compliance with agreements isn't Genel's fault but newly agreed schedules were never made clear.
Latest RNS info has got a bit better so we can now see what the money received is for and the total outstanding - so improving but they should have been this clear 4 years ago. Even now, a short paragraph saying the outstanding amount should be repaid in XX months assuming current Brent prices or something similar would help.
Examples:
Latest payment RNS tells us "Genel is now owed $141 million from the KRG for oil sales from November 2019 to February 2020 and the suspended override from March to December 2020."
Why not tell us what is delayed oil sales and what is suspended override? Why not tell us how long it is expected to take to repay it?
Latest Tawke PSC RNS tells us about production - why nothing looking forward? How bad is Tawke decline forecast to be? Everyone can see it declining, be honest and tell us what planned Q3 / Q4 production is?
Genel results on the 3rd Aug.
Should be decent reading....compare to 2020
That's funny, you're not annoying 'but' (there's always a 'but' isn't there) it's like one or both of you are either G IR (Andrew Benbow), who we know read these boards, or you managed to jump on that Virgin Galactic suborbital flight down to earth earlier this month. I'm going for the former.....
What are you confused about? I've been vocal over the years of my views of G IR and their inability to release professional and confidence inspiring investor comms, I think I'm entitled to be somewhat critical being a long term holder. Jim has been saying something similar.
Quite frankly I think Andrew should step aside and let Hydro take care of next Tuesdays H1 results (no offence Hydro), the odd currency issue, inaccuracy, inflammatory language doesn't really matter does it?
Tell you what, lets see what comes out next week and we can talk about quality....
Hi
Not trying to be annoying but I genuinely don’t know what you mean.
Could you give any specific examples to help me understand?
What clarity do you think you are not getting?
It's an opinion and I didn't say DNO were perfect, far from it.
You can be astounded all you want but our comms are atrocious most of the time, anyone paying attention over a fair period knows this. I will read others IR to get more insight on what is going on in the region because we don't seem to know how to deal with investors, that in itself speaks volumes.
Comms are in our control and can be fairly easily fixed, I don't see why they haven't done something about it, GKP seems to have polished up their act a bit recently. It must be all that negotiating we're been doing around assets, KRG payments etc getting in the way of the basics ..... bet its like Piccadilly Circus before Covid at G HQ.
I think you’ve misunderstood
Genel has to report when dno comments on tawke
So it is pretty much a copy snd paste of what dno has said that.is relevant to tawke
Genel release is next week
I’m honestly astounded you think dno comma may be better
Tell me what is happening on tawke in the second half, based on their announcement?
OT Alert - RDS I see has announced a modest share buyback program @$2 billion +divi boosted ... nice
As I've previously said, one thing Genel does have control over in regards to share price is its comms with shareholders and prospective shareholders. The Investor Relations team are appalling. Bland RNS' - differing amounts of information on payment RNS' from month to month, poorly written info on licensing and reserves. It's almost as if the company doesn't want to say anything clearly in case it is viewed in a negative light. Uncertainty far worse than temporary bad news.
If you want to see how well it can be done look at the DEC forum on LSE. The CFO responds to individual questions over investment, acquisition strategy, partnering etc etc - nothing to breach market rules but useful, timely, accurate info, which results in happy shareholders.
Well today's RNS was about DNO - so just an echo of their news. Hopefully G's H1 next week will address all the other issues that interest us.
Maybe it will be as positive for G as RDS' was for them today...
sorry about the double post - issues with the LSE website ...
we need to improve our comms because this mornings release feels extremely lazy
https://www.dno.no/en/investors/announcements/dno-reports-second-quarter-2021-results-strengthening-financials/