The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust 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.
So... They had $35m in cash..
The lent out Eur13.38m to Progar with a interest rate of 5.5% per annum.
"In the year to 31 December 2017, Proger had revenues[1] of €110 million, generated an EBITDA of €9.1 million and €4.0 million of net profit; for the first six months of 2018, net profit grew to €2.74 million."
CAD have option to take 22% of this asset or get the loan repaid in full with interest, Proger is profitable.
On top of this CAD has 16m POUNDS in cash, and recently the production rate for company has come in at 600bopd. Who knows, they are still cleaning the well, maybe production increases further.
Cad is Profitable, they have a very good investment with Progar, remember the valuation was set in 2017 so CAD share in progar might be worth near eur20m now.
Fair valuation of CAD at present should be near 50m, at present the 600bopd are not factored in at all.
I don´t care about todays SP performance. Sooner or even later the SP will reflect the inner value of CAD!
And with every RNS this well is getting more de-risked. And as lower the remaining risk, as more ambitious we will see the buying here ;-)
Even with today’s rns it ain’t budging! Same as last week with the first well update! The hell is going on here???
Cash is king and Cad have plenty of it,with a revenue to top it off :-)
yes hugely undervalued here,should be in the 20's at least.and for that reason i'm in.market will eventually wake up,maybe on the next rns.GLA.
So if the 385bpd getting realized long term, we might see around 160.000 Barrel for year 2019. Huge increase.
Cash position in GBP is around 31 million which is higher than current MC.
So the revenues from operational business are recognized with value "zero" in the MC.
Huge upside potential imho.....
They seem to have hit the sweet spot with this drill in terms of pay zone and well completion.
Given 2p resources of 1.36 million barrels and CAD having plenty more cash for further drills I can see this being transformative to the company in terms of production and revenue.
IMO the sky's the limit this year.
13 to buy even...
The spread is awful, 12.3 to sell and 13.5 to buy... wtf
Just wrote at CAD.GB.PL. So here you all are :-)
I mean the tendency is very promising:
Well update 25th of April --> 150bpd
Well update 30th of April --> 385bpd
Well update cw 19 --> ????
Hard to tell. The pump will increase flow however the well will naturally plateau. Time will tell but should be producing North of today's 385 bopd when pumping at plateau.
Given net average production for 2018 was only 250 boepd this one well will more than double 2019 production and therefore revenues.
IMO, a couple more wells like this and this is £100m MCAP company all day long.
385 BPD no pump
Amazing,so what happens with assisted pumping?
Flow has increased to 385bopd with no stimulation.
This looks very good indeed
Guess we are waiting on full pumped flow test results? How long will it take to source and install pump?
Also are we still waiting on the release of the sale proceeds or was that covered off in recent update. I.e was that the part sold for a nominal sum as it was loss making?
Today. Come on CAD release some good news.
Next week will see previous highs of 16p smashed. MCAP still below cash reserves and we should get first flow results soon. Not forgetting confirmation of asset sales either. GLA
What the best case estimated flow rates were for this drill?
From tame sellers...mugged off.
Full ask paid :-))
At last!
Movement
Net production for 2018 averaged 250 boepd so this one well could provide a 60 percent increase in production.
Average sold price in 2018 was $52 /boe. Current oil price $72.
With this trading around its cash position, IMO none of this can be priced in.
Large buy orders being filled,big gap,13.75 the other day,with sells around 11.50 ish.