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TheCashFerret... I'm just trying to be pragmatic and simply explain what I see, nothing more, just simply giving a view, you might not like it, but if your belief is that I have an agenda, I can't push against that , FYI I don't.
I'm still a little concerned about the wording in the rns relating to Lancaster, and would have liked 100% more positive wording on the subject. Don't like there will be further updates later in December.
GLA
Wonder what it would take to sack the main man they will want blood at the AGM. Someone got to carry the can for this and it looks like there’s a long way to go down yet. That’s the 30% I said yesterday who knows where the bottom is keep your powder dry
bartlebobton - your agenda is so blatantly obvious its embarrassing, take a rest and post something useful
....ps..... the market has a view and it isn't pretty.
Who made the decision to drill WD and WW... it wasn't the Milkman, we find they are both noncommercial, so the share price drops, how can that be a surprise ? Drilling horizontal wells, looking for oil in fractured basement, isn't common place, it's only HUR and the Norwegians, whose name I have forgotten, doing it in UK and Norwegian waters respectively, surely that should tell us something; the risk is greater. They can gather as much data as they like from WD and WW, but that's all it is, data, which is open to interpretation. It's the law of diminishing returns, marginal gain v effort in; drilled a hole looking for oil, noncommercial, but we've got lots of data, try selling barrels of data on the open market. If you presented the same data to 20 different geologists, you wouldn't get the same answer from all of them. It's not an exact science, so everyone, even posters here can have a view, but that's all it is....and they probably haven't written a dissertation on it, lucky them I say.
Littlened, prior to rns the sp had risen in the expectation the flares heralded another big producing asset and like a cheap fire work on bonfire night it sort of fizzled out leaving disappointed onlookers.
Yes Tav,but those factors existed already,the RNS did not create them.
littlened, what you are missing imv, is the fear that current production may not be sustained. what is also relevant is the general negativity to oil companies [e.g shell] that already pay great divis or those that are paying down debt at fast rates e.g enq or pmo. So hur has to compete for investors cash and there is real and credible competition. I think hur is more undervalued than any of the others I mentioned but it probably needs a good news catalyst.
johnpwh ... perhaps a Ted Baker suit...... To quote the Daily T.... unraveling faster than a snagged cardigan
Littlened, you've hit the nail on the head. The rns from yesterday appears to have been so dry and opaque that the vast majority of people reading it did not understand the implications of what it meant. Fwiw, I don't blame the punter but Hur pr. What they needed to do was put some meat on the bones of what's went on and the implications of what happens further down the line. I feel we've been short-changed with yesterday's rns and the evidence of this can be seen just by looking at the so chart.
.....market sentiment and expectations
As a non oilman I am confused as to the price reaction.The oil type is excellent.little water and 1300bopd is not to be sniffed at.There was no alternative to a PA as the well is on the high seas and until Dr.T pronounces the results of technical analysis we don't know whether this oil can be commercially viable,either as stand alone or as a connection to another field.
Without GWA the Lancaster field continues to produce very well and the value of this alone should justify a sp well above 36p.
Am I missing something?
Seems to be. You have to go back to April 2018 to see this price level.
To a non oilman like me the RNS, on second reading, is not at all bad. It implies connectivity due to oil grade, a reasonable (if presumably not commercial) flow, little to no water and continued success at Lancaster without qualification (which was promised if problems arose there). What is lacking is presentation, the lack of 'pleased' in the first paragraph (I hate the lack of that!) and the general tone of bland facts with little supporting explanation. Compared to a couple of years back Dr.T seems a timid elusive creature (except when snapping at ill informed analysts). At one time you couldn't get him off Malcys sofa. Maybe he's changed, now sports a purple Mohican and wears nothing but Sports Direct tracksuits. I don't think he has time for private investors, which isn't to his credit.
Once again this is a typical AIM reaction to news that is by no means clear - if WW proves to be connected to LC then watch this fly. Even if its not, LC is already a significant producing asset and the comapny's debt is minimal. I would have thought that this is well positioned considering the positive cash flow and take-over potential.
I will and am continuuing to top if those drops further - its a no-brainer IMO