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Started: Offwork, 22 May 2024 19:20
Last post: Ash78, Today 13:10
...In fact 'this' years
Biggest deal these lads are probably working on is where and when next year's Christmas knees up/back patting do is. More snouts at the table this year n all 🐽 💰
Scott if i were a gambling man I'd lay you a bet that they absolutely won't.
Hopefully they do. And it’s a meaningful amount.
I expect the deal will be unveiled before end of month
Bbls………
Started: Deeko19, 20 May 2024 13:14
Last post: zebbo, 20 May 2024 22:07
When significant news does break, this will rise very fast indeed. Should be 30p now with small production and Sarawak on the horizon. Sarawak will have a farm in/down this year. Petros/Petronas want to move fast with 8-10 TFCs at play this would be ££ even with a 10% carry
Unveiling of next prod deal is key to starters
10kBbls/day deal then eyes on far east
When do we think this massively undervalued company will not be so
Mitch clegg as CEO makes me nervous with opportunity progression. I recall several revised RNS’s from his Tullow days that drove the share price down to 8p.
Nevertheless, a great opportunity missed on my part
Afrenta is probably around 7k atm. With scope to increase further from existing assets.
Huge potential there.
LBE at its current market cap is massively undervalued. The excellent posts from Zengas highlight this perfectly.
Unfortunately none of this helps today's revenue, profits and share price 😒
Thanks guys
Was not completely imagining it! Numerous discoveries off Sarawak and ongoing !https://dayakdaily.com/premier-offshore-sarawak-potentially-rich-in-gas-following-og-discoveries-in-2023/
Started: zebbo, 10 May 2024 17:21
Last post: pauldrayton, 16 May 2024 22:38
Don’t worry you were about as accurate as Longboat’s exploration team have been!
Apologies may have got crossed wires there as that is south American offshore block. Got confused with the Exxon Sarawak news and collaboration etc. pardon me
Offshore Malaysia really hitting up with Petronas third hydrocarbon discovery just announced. This time in deep water 5000+ deeper than lbe block ( kertang 1000+) Not an overstatement to say this region offshore Malaysia is prolific in terms of discoveries. Lbe may actually be in right place at right time with this licence.
Mubadala off Indonesia excited about making a giant and game changing 2TCF gas in place discovery in water depth deeper than Longboats Block 2A which is in water depth ranging from 100 - 1400m with the proposed Kertang well location at 1,000m.
Kertang 9 TCF mid case recoverable estimate.
Multiple follow on structures.
Will be interesting once we gain a farm out from our current 52.5% to accompany us with Petronas and Petros
Updated 13 May 2024, 11:01
United Arab Emirates operator Mubadala Energy confirmed it has made a giant gas discovery with potential for more than 2 trillion cubic feet of gas-in-place with its Tangkulo-1 ultra-deepwater exploration well on the South Andaman gross split production sharing contract offshore Indonesia.
Tangkulo-1 was drilled to a depth of 3400 metres from a water depth of 1200 metres, just a few months after Mubadala made a major discovery with its Layaran-1 well, also on the South Andaman PSC. The operator earlier said that Layaran has the potential to host an estimated 6 Tcf-plus of gas although industry sources have suggested the figure could be higher.
"When added to our recent success at Layaran-1, this game-changing discovery promises to transform Indonesia’s and Southeast Asia’s energy landscape and demonstrates that South Andaman is one of the world’s most exciting energy plays," commented Mansoor Mohammed Al Hamed, Mubadala Energy chief executive.
The Tangkulo-1 well encountered an 80-metre gas column in a good quality Oligocene sandstone reservoir that was confirmed through an extensive data gathering campaign that included obtaining a full core of 72 metres, wireline logging, sidewall core, pressure and fluid sampling.
Utilising a new drill stem test (DST) design, the wildcat flowed 47 million cubic feet per day of "excellent quality" gas and 1300 barrels per day of condensate. Mubadala noted that, although testing was constrained by testing facilities, the estimated well capacity is between 80 and 100 MMcfd of gas and more than 2000 bpd of condensate.
Unlocking further potential
In line with company’s gas-biased strategy, Tangkulo-1 is an important pillar in the cluster’s development story, with the discovery unlocking further potential in the southern part of the block and indicating an additional multi-Tcf of prospective gas resources in nearby structures.
On completion of the Tangkulo well, the West Capella is lined up to drill an appraisal well on Layaran.
Mubadala operates the South Andaman PSC with an 80% working interest and its sole partner is UK independent Harbour Energy on 20%.
https://www.upstreamonline.com/exploration/game-changing-mubadala-energy-confirms-another-giant-gas-discovery-offshore-indonesia/2-1-1642620
Started: Deeko19, 10 May 2024 11:05
Last post: Ash78, 10 May 2024 15:11
Agree Paul. How many years do they need. Wish i wanged my money in a ftse divi payer
Charlatans.
Is this company ever going to do anything?
Meanwhile the management are coining it in.
Let’s march onwards to the early20’s
Started: Mommur, 10 May 2024 12:47
Last post: Mommur, 10 May 2024 12:47
Still holding myself and would like to add more around the 17p mark. Spare cash all went into ECO at 9p which has accelerated - perhaps thats where the traders have gone - to help me along!!
Although I am no fan of the ex FPM management who follow the mantra of increasing MC rather than SP, along with hefty wage bills, I do see a recovery going towards the Norge drill later this year. Happy to sit and should funds allow add.
Started: deeko, 8 May 2024 10:32
Last post: Urraca, 8 May 2024 16:16
So they are not talking to Malcy at the moment. Lets hope ots because they’re working on something they’re not yet ready to unveil.
Lol Ash. I think the difference is now, that Longboat finally have someone (JAPEX) behind them. Let's see what they come up with.
In the meantime, I noted Malcy has been scracthing his head about the recent management changes:
"As I write I am waiting to talk to Longboat management about a series of management changes which leave me somewhat unconvinced. The company has a large number of excellent directors but are they all in the right place? As a former Faroe fan I cannot understand why Helge has left the management team, I am known to be a huge fan of James Menzies so that area is in excellent hands but I guess better folk than me will tell me one day… I must be missing something, it wouldn’t be the first time."
Based on our miniscule production investment to date i think there's 3 hopes in that, no hope, bob hope and envelope
Good shout Zengas,
Long story short, it's easily doable. Repsol, Source, Var, Shell (reports) are looking to either sell up or refine their portfolio in Norway so opportunities are around. Helge, for his lack of charisma has been in Norway for decades, has the connections and managed to convince JAPEX to join us and fund us.
It's potentially doable. One thing you may have potentially missed is the barrel per 2P reserves. Okeas was transacted at an initial cost of $5.36 per 2P bl which would value the upfront cost at about $284m for 53 mm bls P2 and then discounted back to whatever effective date is used (perhaps 1/1/24 or earlier).
I posted this on 1/3/24
Okea bought their 4 interests (not long after LBE )n Statford, Statford Ost, Statford Nord and Sygna for $220m giving 13-15,000 boepd, 41 mmboe 2P, 8mmboe 2C and upside of another 14 mmboe.
Acquisition of 28% WI in PL037 from Equinor, comprising 23.93123% WI in Statfjord Unit, 28% WI in Statfjord Nord, 14% WI in Statfjord Øst Unit and 15.4% WI in Sygna Unit.
Production in 2024 this year estimated to be 16-20,000 boepd (though likely reduced by 10% this year).
Effective date 1 January 2023
Initial fixed consideration of USD 220 million including tax balances of approximately NOK 300 million.
This was transacted at an initial cost of $5.36 per boe 2P.
However this would expand to a profit share on bls sold between $75-$96 in 2023, $64 - $85 in 2024 and $53 - $72/b in 2025 where Equinor get 90% of the profit in those ranges after tax and effectively increasing the 2P per barrel cost.
Happy to be wrong btw Mommur. I'm always please to see other investors getting mega returns.
I'd just rather LBE aren't bought out by SQZ because I don't see the Ring Vet Vest being a big priority for them. They seem more contempt with draining every inch of BKR regardless of the diminishing returns they receive with each cycle.
I'm just not sure on SQZ in terms of their desire to truly branch out of the CNS, that's why I originally sold out.
They should, in my view be a 100,000 boepd company by now but they seemed too contempt and focused on BKR. Outside of R3, which was a plan that came with Rhum on the sale of the field. I'm just not sure what they've achieved. The last Tailwind acquisition seemed insane from a synergy point of view. SQZ had touted itself as a company focused entirely on gas production to then acquire a company focused entirely on oil (and fairly low rates).
Mitch Clegg IMO was the downfall of SQZ and it was crazy to save him from his failed time at Circle Oil, once TCW stepped aside as CEO the company has stagnated, in 2021/22 they we're given a miracle from the bull run in Nat gas prices and they still failed to do anything meaningful with the profit. I don't see them doing anything meaningful in Norway unfortunately.
Serica has commented on looking at Norway Assets, Deeko. With the backing of Mercuria, may well have the slide rule going. Bigger fish than Longboat, which I considered a tasty morsel for Serica as well!!
Started: zebbo, 1 May 2024 11:44
Last post: sirimcbonus, 5 May 2024 02:29
Ps. To be fair, at Coro JM did the Duyung acquisition in 2019, but that is probably 2-3 years from production, so succesful in one sense , but a poor return on cash .
I liked the previous set up. Whilst I like JM and he was succesful 3 companies ago, he subsequently was ceo of Tap oil though it had a producing asset in SE Asia, he was unable to raise funds and there was a boardroom coup pushed by a shareholder and he resigned. He then went to Coro plc and again didnt manage to close a meaningful deal and then didnt want to reduce his salary as the other board members had during covid and was therefore squeezed out/ resigned.
Though he touts his connections, In neither company over a total of around 4/5 years did he manage to complete a meaningful deal.
As a result of this history and having been persuaded by his charm, I dont see him as ceo material anymore. and was pleased that the HH and the Norges were in place to manage him.
Let's see about Nick...
> 2. Japex buy out LBEs stake (they have H to do the Norwegian deals, which is what they wanted all along)
That is certainly one possible outcome.
Helge goes to work for JAPEX and LBE get a pay out.
Fine by me so long as value added for share holders.
I personally think this set up just allows Helge to focus on his domain (Chairman of Norway business) and building up that sector. James (Chairman of Malaysia business) can focus on Malaysia since it sounded like there is a fair bit of news to come out from Malaysia recently.
Nick can then get the stick from the shareholders that we aren't moving quickly enough.
Let's see what the next few months bring! Upcoming free carry drill in Norway too so should be fun.
Having a business insight into how the Japanese like to conduct business, I think this is how it plays out
1. H now gone to head up Japex/LBE partnership.
2. Japex buy out LBEs stake (they have H to do the Norwegian deals, which is what they wanted all along)
3. Stake money will then be used to progress Asia opportunities and the big beast :-)
Who else is wondering whether HH has been pressured to move aside by some large shareholders. Due to shareholder value destruction / lack of progress.
Or is it just that he has reached retirement age.
I noted our new CEO shelled out about 170k for shares at 75p a share, back when they raised 35m for the Norway drilling deals.
Olderandwiser, if they deliver some shareholder value I can assure you that I will be the first to congratulate them.
But I can only judge them on their performance to date, which has been diabolical. That’s not sour grapes, it’s just a fact.
I'm very sorry, Paul, that you have suffered mentally and financially by being a Lth of LBE, but, for Heavens sake, give the sour grapes a rest and think outside the box about what is being set up for the future of this company.
You will feel much better for the change of attitude.
“Nick Ingrassia was on 230k and moves up to CEO replacing Helge Hammer who was on £300k”.
So Nick Ingrassia and Helge Hammer have taken over a million each in salary alone since setting up the company, for doing precisely nothing.
It beggars belief but that’s AIM for you.
We will also have production $$ coming in at 51%. I'm sure some will be used for running costs before paying down the JAPEX loan
Started: Hazbeen, 2 May 2024 12:59
Last post: Hazbeen, 2 May 2024 12:59
Some holder is liquidating
Started: Hazbeen, 1 May 2024 14:58
Last post: Hazbeen, 1 May 2024 15:52
Worth investing for this alone, we know the big E&P players want this deal.
Its Malaysian portfolio, Kertang, is located north-west of the prolific Central Luconia hydrocarbon province.
In February 2023, Longboat entered Malaysia through the award of a Production Sharing Contract for Block 2A, offshore Sarawak. Block 2A covers approx. 12,000km2 and is located in water depths of between 100-1,400 metres where a number of large prospects across multiple plays have been identified, with significant volume potential representing multiple trillions of cubic feet of gas.
Personally I think longboat should be going back to JAPEX and saying.
There are several deals available right not. How much do you want the production and how quickly?
Repsol is up for sale: 29,000 boepd and 53 million bow reserves
Sval is up for sale 70,000 boepd expected to sell for 400 million according to routers with debt of 700 million.
Kufpac just sold for 450 million and 19,000 boepd
Var will be divesting according to reports.
My take would be you’ve offered the £100 million but if you want to grow quickly, here’s the opportunity. £300 million loan, reserve based lending for the other £200 million and off we go to the races :)
if you are a lth , then a sympathise with you , especially if you bought 2022 previous
the company’s performsnce has been **** go put it mildly , and directors have not earned their salaries before the japex deal .with this deal it is superb position to now growth .
can the bod deliver ?, would hope so with expertise around .
if it can get close to the prioduction levels mentioned then it can more than justify the current mkt cap and share price .
i have been buying and it is currently liquid on both sides , so demand and supply is there
the risk reward at £10m is very very compelling and this could easily double or triple on potential deals
since i have been following these for while , the last rns was allowed an opportunity to buy sub 18p again which i though i had missed for good
good luck everyone
Daveri, i agree cash burn has been my concern for the last 5 years. No funding is free and with little cashflow, along with the numerous staff appointments, the company needs to get a move on implementing its plans/strategy...
So he’s no longer a director of a PLC ….seems legally engineered to me - though must still be a “PDMR” for reporting any share dealings!
North of 300k monthly cash burn here is the urgency
And here's me thinking someone was off the payroll !!
It's the sort of thing you might do if Longboat plc were going to sell their stake in lbe/japex ... given japex invested at least partly in Helge and his Norway connections ... ???
Certainly I would think some sort of deal is driving this.
James Menzies as CEO would have been phenomenal. Such a charismatic and bullish guy.
Nick I’ve not heard much from (I think) but looking forward to the next update from him. Presumably it’ll contain details of the shallow water stranded discovery awards James touched on in Malaysia.
HH is chairman of longboat Japex.
Nick taking on the CEO role at longboat.
Graham chairman of longboat.
My guess would be that meetings in Malaysia where Helge is predominantly inexperienced is conflicting with meetings in Norway so they have very much divided and conquered to start knocking down the bowling pins.
So if H is taking on the role of chairman, does that mean G Stewart is retiring and off to spend his £36m from FPM sale to DNO???
Last post: Deeko19, 1 May 2024 07:51
Yep, 1000 boepd by June.
A 33% increase is not to be sniffed at, but I thought they were suggesting 1000 boepd by next month, so I'm still hoping for that.
According to the presentation we’re heading from 600 Boepd to 800 boepd :)
Started: Mommur, 30 Apr 2024 09:47
Last post: Deeko19, 30 Apr 2024 09:56
Still here Mommur.
I never get excited when we sustain a large drop for no real reason then begin rising again. I view it as the MM just taking the p**s and ripping people off.
Topped up a fair bit though and patiently waiting for an RNS with the words ‘longboat are pleased to announce the acquisition of’ :)
Again, crazy value here, 6-10 bagger easily with a reasonable sized acquisition.
Deadly silence on here - strange as sp has rose on the last 3 days. Missed my chance sub 17p to add a few more, will watch with interest.
Started: hedgeman, 18 Apr 2024 13:51
Last post: deeko, 25 Apr 2024 21:16
Noted the copy and paste from offshore-technology website states 3.5 million barrels of condensate. I'd suspect that's a typo on their part, 35 thousand or 350 thousand would be more likely
Aye Kertang is a game changer here: Kasawari is 3 TCF, Kertang is estimated at 9 TCF. KasawariIt is expected to produce 900 million standard cubic feet per day (mmscfd) of gas and 3.5 million barrels of condensate per day.
The Kasawari gas field is expected to commence production in 2023.
Currently we're 50% holders. Imagine the value here even if farmed down to 5-10%.
Im in buy mode. Looking cheap on all levels £9m mcap, with what we have....Hmmmm.
If you listen to James in the last interview Block 2A offshore, Sarawak - Kertang will be drilled in 25 and is part of the Petronas drill plan. That to me indicates that they have a major in the process of being lined up. As soon as news starts to flow here, we will be way higher. Plus we have NS/ Norway stuff
A great time to keep accumulating though!
Unfortunately the market doesn't seem to think they are working on something big.
The secondees are more likely to be there asking some difficult questions and perhaps questioning the BODs appetite to invest. In the meantime we've entered yet another period of higher oil and gas prices. "Ooo the timings not right" "Ooo we're still reviewing a number of possible deals" ...
Started: SpArmada, 17 Apr 2024 09:44
Last post: ZENGAS, 17 Apr 2024 11:23
20/3/23 OKEA
The Statfjord Area comprises the Statfjord Unit, Statfjord Øst Unit, Statfjord Nord and Sygna Unit.
The Statfjord Unit development covers the Statfjord A, B and C concrete gravity-based platforms. The other fields are subsea developments tied back to the main field platforms.
Statfjord Area is one of the largest fields on the NCS in terms of initial oil in place which was in excess of 6 billion barrels. Statfjord A was put on production in 1979, followed by Statfjord B in 1982 and Statfjord C in 1985.
====================================================
*****
The field is operated by Equinor and the Field Life extension (FLX) unit was established in 2020 with an ambition to deliver 200% increase in remaining reserves, 25% cost reduction and 50% CO2 reduction in the Statfjord Area by 2030.
****
================================================================
https://www.okea.no/investor/investor-news/okea-acquires-28-working-interest-in-pl037-statfjord-area-from-equinor/
Longboat
Statfjord Øst is located seven kilometres to the northeast of the Statfjord field in a maximum water depth of 190 metres and produces oil and gas from two subsea production templates and one water injection template tied-back to the Statfjord C platform.
The Sygna field is located just northeast of the Statfjord Nord field in 300 metres water depth. Sygna produces oil and gas from good quality, Middle Jurassic sandstone in the Brent Group. Originally discovered in 1996, the field began production in 2000 from three production wells tied-back via a subsea template to the Statfjord C facility.
https://longboatenergy.com/operations-norway/
Thanks for the clarification
LBE's description of Statfjord East on its webpage also confirms that it uses the Statfjord C platform:
"Prospect: Statfjord East
Licence: PL 089 CS
Partners: Longboat JAPEX (4.8%), Equinor (operator), Petoro, Vår, Wintershall Dea
Statfjord Øst is located seven kilometres to the northeast of the Statfjord field in a maximum water depth of 190 metres and produces oil and gas from two subsea production templates and one water injection template tied-back to the Statfjord C platform. The Norwegian Ministry of Petroleum and Energy approved a redevelopment plan in 2021 to drill five new production wells into potentially undrained areas of the field while also adding gas-lift to increase production levels.
Production is expected to increase significantly early in 2024 when the new wells will be brought on stream. Gas-lift installation has been completed."
Source: https://longboatenergy.com/operations-norway/
Yes, the Statfjord A platform is for the main field. Statfjord East or Ost in which LBE has its interest uses the Statfjord C platform. Below is an excerpt from the regulatory factpages for Statfjord East which confirm this fact:
https://factpages.sodir.no/en/field/pageview/all/43672
"Statfjord Øst is a field in the Tampen area in the North Sea, seven kilometres northeast of the Statfjord field. The water depth is 150-190 metres. Statfjord Øst was discovered in 1976, and the plan for development and operation (PDO) was approved in 1990. The field has been developed with two subsea production templates and one water injection template, tied-back to the Statfjord C platform. In addition, two production wells have been drilled from Statfjord C. The production started in 1994."
We’re Statfjord c no?
I think I bought what he sold yesterday.....lol
Reduced by 400,000 or so yesterday - message to the board??
Agree Mommur,
Like I've said previously, I'm all in on LBE based on the current trajectory and plan. I was never sold on it pre-JAPEX, exploration is like waiting for a lottery ticket to come in but once JAPEX was onboard with $100 Million to fund acquisitions, the potential prize here is far too tempting from my standpoint.
Add in the fact that Helge has mentioned we could extend this for a deal worth unto $200 Million then the Mcap is looking a little silly in my opinion. These guys could spring out an acquisition anywhere between 6000- 15000 boepd at any time.
The initial acquisition has worked out v.well for us at 1000 boepd (we're not there yet but come June we will be). A further bolt on acquisition of similar magnitude put's us in a very good place and yet the board have expressed a desire to achieve a much bigger deal.
I'll continue to acquire shares whilst we're in the teens because the Mcap is just silly at the minute. If nothing else happens between now and the Q3 well spud, I'd put a dead cert on us approaching 30p by September which is 76% increase from todays price. Even then at 30p a share the Mcap is tiny... £15 million's. Mental
I'm not sure who quoted this but 'everybody wan't it right now...nobody want's to get rich slowly'
and my other favourite quote by Peter Lynch - It takes remarkable patience to hold on to a stock in a company that excites you, but which everybody else seems to ignore. You begin to think everybody else is right and you are wrong. But where the story is promising, patience is often rewarded
Time to call it a day guys on the rancour and assess whether you as a PI can accumulate some wealth here. I was one of a few voices that cautioned buyer beware when these were issued at 100p, due to the "new fpm" management team. Was it a lifestyle company or would it roll the dice and strike lucky. I bought a tranche for the last three drills at 50p - silly me, but have been a buyer in the teens. Perhaps Serica will pounce, that would be good for me, but slowly,slowly just perhaps. Of course in another few years these "entreprenuers" will have recovered their initial stake in wages - aaah the life!!! Place your bets on this one and the p0ast is done.
Long term holders have very good reason to be cynical. Cynicism based on the experience of holding shares in this company for the past 4/5 years. Cynicism based on facts not speculation.
I’m still holding and have also averaged down a bit Whirlaw. I do agree with a fair amount of what you say, but I think management performance has been extremely poor to date. I think it’s undervalued at the moment given the licenses they have in Norway and the prospects in Malaysia, and I’m hopeful that the JAPEX backing will enable them to create some shareholder value.
I just think it’s important to be honest about how the company has performed to date, and an 84% drop in the share price since the IPO tells its own story. That is pure destruction of shareholder value.
I share in the hope they can turn this around Zengas, but we are now waiting for them to pull a rabbit out of the hat.
They have a lot to do to convince this whole setup isn’t purely designed to line the board’s own pockets, but we will see.
Paul because you still can’t grasp what I’ve said and twisting it to suit the situation you find yourself in.
Anyway enough, I’ll leave you to look back while I and some of the others look forward to the future with the 1st production deal bagged, Japex funding deal, largest undrilled target off Sarawak consolidated all in the past 6-9 months with upcoming carried drilling Q3, wider Asian region team and deal sourcing in both jurisdictions.
Did you sell out Paul? I remember you saying a couple of years ago that you held quite a chunk? As did mozzabezza, not heard from him for a while either..
I'm still here, in from 70p in 2020, have averaged down quite a bit since then.
I'm comfortable waiting, believing they've finally got themselves in the position to do well from here.
Share price performance has been disappointing for sure, but I don't put all the blame on the company. I believe the pandemic changed the market completely. Pretty much all deals where shelved initially, there was hardly anyone wanting to sell when the oil price was so low/unstable, not in Norway anyway. Then PE leveraged cheap money massively, which skewed the market dynamics as the market for M&A began to come back. The share price has not recovered from the II sell down, I guess it's whether one sees that as a buying opportunity. But if you don't believe in the management, as you clearly don't, then I guess you see no upside from here.
It’s not putting words in your mouth, it’s what you’ve said!
Like it or not Zengas, Longboat Energy has been nothing but a failure so far. The share price has dropped from £1 to 16p which should tell you everything you need to know but for the benefit of others I shall provide the history.
Longboat launched with the objective of securing production assets in Norway (predominantly gas). When the pandemic hit and energy prices dropped significantly they tried to negotiate too hard and subsequently lost out on doing a deal when commodity prices were at historic lows (no foresight).
After the pandemic energy prices spiked which meant the Longboat management were definitely now unwilling to pay the market prices for production assets. They ended up instead getting desperate and securing a portfolio of exploration prospects, boasting at the time that Norway had a 50% success rate at exploration and these prospects were carefully chosen by their expert technical team. Well that technical team turned out to be utterly useless - out of 10 prospects (Rodhette, Egyptian Vulture, Mugnetind, Ginny, Hermine, Cambozola, Copernicus, Oswig, Velocette & Kveikje), only one of them found commercial hydrocarbons. Their technical team would have had better success throwing darts at a wall - 10% success compared to an industry average of 50%. The only successful well had an over 50% CoS as well!
Having wasted all their money on a failed exploration programme it’s no wonder several of their institutional investors wanted out and weren’t prepared to back them further.
They were between a rock and a hard place but thankfully managed to do a deal with JAPEX and they have now secured a small production deal but even that has had cost overruns that would have been disastrous had JAPEX not come on board.
Now I’m not saying they can’t go on to be successful, and I’m hopeful that they can. But don’t kid yourself or others, it’s been a total disaster thus far.
You can disagree all you like but the market agrees with me, hence a share price of 16p despite the Kveikje discovery & nearby license area, the JAPEX deal and the Malaysian exploration prospects. Sentiment is in the toilet and for good reason.
Started: MrBombastic, 12 Apr 2024 09:14
Last post: Deeko19, 12 Apr 2024 10:20
Yes they are.
600 bopd
800 bopd from may
1050 bopd from June
You can find the latest investor presentation on YouTube
Please can someone clarify if they are actually in production now. I think it says in yesterday’s update 600 boped but revenue was zero for last year. Which I understand because if the are in production any revenue will fall in to this year.
Started: deeko, 11 Apr 2024 15:16
Last post: deeko, 11 Apr 2024 15:16
Not bad for a company with a 10 million Mcap
1000 boepd
Started: MrBombastic, 11 Apr 2024 13:23
Last post: Deeko19, 11 Apr 2024 13:54
Indeed. Currently at a yearly revenue of $19.7 million with the current prices and $27.9 million at 850 boepd.
I’ll continue to top up throughout the year. Fact is that when all wells are online and we’re spudding the well in q3 we’ll be sitting at mid 30p in my opinion.
Of course this is just my opinion
Thanks for the information. It’s a lot of revenue for a. £10m tiddler ! DYOR
From the initial production pre new wells vs production guidance now. The average rate of each well is 2500 boe, suggests with the upcoming 2 wells that longboat will be at 850 boepd with all wells online. Call it 900 with optimisation of liquid rates and gas lift rates
'o By end-March 2024, initial production of c. 300 boepd net to Longboat JAPEX had doubled to c. 600, following the completion of drilling and gas-lift installation on three of the five new Statfjord Øst wells brought on stream since the acquisition
o The remaining two new wells require some minor work which is expected to be completed in the coming months'
Someone mentioned 600. Is that all to them? Or is it a percentage of that. Also is there another well to come on stream soon?
Started: Deeko19, 9 Apr 2024 13:47
Last post: Ash78, 11 Apr 2024 10:43
Haggis i can cope with that payback period but only if we make further investments in the meantime that are cash generative
Definitely not rose tinted. I agree 17 million isn’t great, infact it’s really poor but unfortunately that’s the nature of the beast. Sometimes things go well and sometimes they don’t. Similalry, that 17 million is not for 600 boe because you’re neglecting the fact that two additional wells still need to be commissioned.
Either way, the payback will be longer but I’d rather the production which runs until mid 2030’s than nothing. The production is a spring board.
"I’m happy enough right now but clearly something else is coming."
My problem is that the feeling that something else is coming is like groundhog day... that's what I'm miserable about, along with the significant share price drop since floating
> So the 600 bopd have cost 17m.....so far
Another view: the deal will be paid for and cash generative in ~2.5 years.
Less if they can increase production as probable.
Deeko, one thing you are missing, in your rose coloured view and why the SP has tanked
"There have been delays and cost overruns which together have had a significant negative impact on the joint venture's projected working capital. After the period end, Longboat JAPEX drew down US$17 million "
So the 600 bopd have cost 17m.....so far