Sapan Ghai, CCO at Sovereign Metals, discusses their superior graphite test results. Watch the video 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.
Yes that's it, so there's no need to rush in and overpay. AA is a very canny opeator and I have the utmost cofident he will deliver a big time acquistition with maximum bang for buck in the near term. I for one am happy to wait knowing that if he doesn't strike in the next six months we can expect another bumper dividend as consolation.
Hmm time will tell, maybe better deals to be made elsewhere, either way it appears that a lot of interesting assets are up for sale
The amount PMO had agreed to pay for the 25% of Tolmount from Dana was actually US$191 million plus contingent payments of up to US$55 million for 14K boe p/d and gross resources of 22.5M boe. From what AA has said in the past and unless the price drops significantly I just can't see AA getting involved with this as it would be too dillutive. One thing's for certain... it certainly makes a mockery of the current RRE marcket cap!
I'm not sure if backdatig the purchase to 2019 would help as it isn't currently producing. If anything wouldn't more liabilities come along with the purchase?
Also, PMO have updated to say the first gas is delayed to Q2 2021. Still it looks like an interesting asset for AA to run the rule over, and fits with his declared interests.
If they would be willing to sell the 50% for say 300mil it would be more than doable for us - spend 200 from our pocket and borrow 100? Exciting thought
I see it’s 50/50 between Dana and PMO, PMO wanted to purchase additional 25% from Dana but: 1. Would Dana sell the 25% to us as another company when the project was originally between the two? 2. If not, would Dana want to sell their whole 50% ? Interesting times ahead
Sounds like a good asset + no suspension since it wouldn’t be reverse takeover
I was basing mine on 50%.
Tolmount purchase off Dana. $246m for 25% or 14000 boepd. Southern North Sea gas.....interesting. AA would likely look to pay less than $246m in current climate. Would take RRE to over 40000 boepd by 2021 and add 22mmboe reserves. This asset has to be No1 on AA target list.
Maverick, I am perfectly happy. I'm not bothered at all by Tolmount.
I wonder what they wanted in the renegotiations.....what ever it was...they did nt get it....original deal was 25% for £152mill but at what terms..but would be a good fit for rockrose... https://cld.bz/8pAL2h/28/
Oxygen on the PMO board stated "Good to see they have dropped the 25% interest in Tolmount, originally costed at $191m......Dana won’t be happy though !"
note dollars and not sterling
PMO were originally looking for the acquisition to be back dated to the 1st Jan 2019
Yes I think I was a bit generous with £300 mill compared to the gas price.
To be fair the more I look in to this the more sense it makes.
After all who did we buy Arran from ? Yep DANA.
And if you look at certain reports they mention AA was able to get a bargain which shows that nit only does AA have credibility amongst dealing with Dana but can also negotiate a good price.
Now how does £250m sound for Tolmount?
Makes sense, Danas 50% producing 28000 barrels a day
Also;
Tolmount, in the Southern North Sea, is 50% operated by Premier and remains on track for first gas in the fourth quarter of 2020, before the end of the year, according to the company’s website.
The Group sees the potential for the Greater Tolmount Area to contain up to one trillion cubif feet of gas (cbf) including the fully appraised 500 Bcf Tolmount main structure and upside at Tolmount East and Tolmount Far East.
Let’s see. Tolmount is a decent fit but is it big enough ? I think 2 acquisitions would certainly be on the cards. It’s like news years day or Black Friday ..... only problem is there’s not another day coming like this again for some time so AA best getting his shopping bags out and I’m not talking about the 5p bags either
We could get that for £300 million.
So looks like PMO won’t be progressing the additional 25% of Tolmount from Dana