The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
Goldenbadger 1,
Excluding the Conv bond,how much additional debt is Hurr carrying ?
Assuming production and Brent hold up,then paying the Bondholders and raising capital via equity at say 2p may work ?? but would the market go with another equity raise @2p ??.So many questions with so few answers.
I am running the slide rule over Hurr again,each time I have done it in the past I have balked at speculating as everything has to go right(which has been elusive to date) and any further slip up and Hurr is dust.
I am actually surprised that the bonds are trading at 56.
Lets see,Best of luck.
Interesting article on missing 2b Oil with zero accountability . Why ?
Along with many other risks identified in Hurricane presently , i would summarise the critical ones presently as follows :
BOD Agenda possible Dilution or Cheap sale to Kerogen ( China ) .
Oil Well 6 no longer economic .
Brent Price fall below $60 .
Any good CEO would be mitigating the above as follows :
Utilize Investec to buy Discounted CB's presently $100m in market at 50% Discount .
Hedge 10k boepd 12 months at $60 .( Have a back up if water out in 12 months) .
Objective of removing present CB's and their restrictions also $16m interest p.a.
(PMO failed to do this and this one action , believe cost PI's everything . TD . )
Presently sitting on $140m free cash rising at between $15-$20m per tanker , next tanker April 25th +- Production still 11-12k boepd as no contrary RNS .
4 more tankers required to be in a position to cancel CB's and begin building cash for Drills in 2022 .
Rose coloured spectacles required .
bot - i agree the bod are pretty much inept. they said forward plan by december and we still don't know what the plan is.
I could have easily accepted a serious downgrade of halifax but not zero. halifax was always considered the big one so one would expect at least the same concentration as lincoln and lancaster.
if the bod wanted to destroy the company - they couldn't have gone about it in a better way.
^ The only plausible reason new-board are actively keeping share price low is because I believe Kerogen are the bond holder. The identity of bond holder(s) has never been published in public domain. Good luck getting that information from investor relations who will obfuscate when asked direct questions.
Kerogen, like everyone else, have a lost a lot of money investing in Hurricane since 2016. I believe they now want to "kitchen sink" the company and take controlling interest for as cheaply as possible. The new board is clearly representing the interests of the bond holder (Kerogen) rather than the share holders.
What has happened here ? Well either the 2017 CPR was a total lie - certainly major technical errors were made... Though perhaps the 2021 CPR (kitchen sinking) remains overly pessimistic too. It remains possible the truth still lies somewhere in the middle... ? The remains of Hurricane likely has value to someone based on the tax losses, acreage and cash in bank.
Certainly there was a battle for control of Hurricane which Dr Trice lost (... rightly based on what we know now and the rising oil-water contact). However I still don't believe for a minute the new board are acting in the best interest of share holders either!
The OGA and Schlumberger certainly need to take a long look at themselves. Many investors made decisions based on the 2017 and a false belief that Lancaster / Halifax was the largest discovery on UK shelf since 1970s. A down grade from 1 billion to less than 10 million barrels is eye-watering....
The answer is simple. Someone pulled the plug out, and all the oil went down the sink.
Maybe the BOD's got hold of the report first and added a zero on the end.
Either way, BOD's obviously have a plan to hold back SP until "something" that is happening. They cannot seriously believe that continuously issuing an RNS like they have been is professional and keeping to the BOD standards.
Anybody knows that whenever there is a problem, whether in HURR, in real life or other businesses, there are problems, yes, there are setbacks, yes, but what is the plan.
My Wife's car broke down yesterday and she said well what are we going to do......I didn't exactly say hhhmmm Your car broken down, and end the conversion. I said we will take it to the garage, if they cannot fix it then in the interim we can hire a car, and at the same time look for a new car....
They always state the "news" but not what the next steps are, no firm dates, no "outs".
I was certain that they said that they would be issuing the PLAN for the FPW, not, "oh we are going to carry on drilling". That goes without saying.....
They are definitely keeping the price down, now no shadow of a doubt in my mind.
True.... However 1 billion to less than 10million is an astonishing downgrade. Especially as no further wells were drilled. Lancaster was supposedly the largest find on UK shelf since the 1970s
A lots of PIs lost money here.... The obvious question : how did the 2017 CPR get it so wrong?
https://expronews.com/company-news/the-billion-barrel-west-of-shetland-discovery-that-didnt-exist/