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This has improved throughout the day. Looking for further upward movement in days and weeks to come.
VERY STRONG BUY!!!!!!!!!
· Charlestown will invest £1.5m in the Company, initially in the form of a loan, which upon closing of the AREA OFF-1 farm-out to Chevron and subject to prior completion of an agreed share consolidation shall convert at a fixed price of 0.168 pence per share, being a c. 20% premium to the current share price. This will result in Charlestown holding a c. 8.7% shareholding in Challenger Energy, thus making Charlestown one of the Company's largest shareholders
· Charlestown is a New York-based specialist energy investor with a successful track record of making early cornerstone investments in listed exploration companies, most recently as the lead investor in a listed Namibian-focused conjugate margin player
Looks like the share price will hang around this area until the farm out is signed as to fulfil Charlestown's deal. If the share price rose before hand may see a pull back to fully the share transaction.
Yep, Malcy's comments make interesting reading, like his enthusiasm and am also going to correct myself from earlier - looks like consolidation will likely be June / July approximately... and as said, the investment can only go through when the share price has been consolidated x50... with the inverse happening to the number of shares, that is a good reason for the consolidation.
Druid- GY670 was the best of the recent Trinidad wells. It did lose pressure from the initial heady heights but continued to produce respectable daily barrels for many years. Ritson mentioned a couple of years post drill that it was still managing 30 bopd.
Management decided that fresh drilling in that area would have a good chance of hitting that pocket but they suffered the lost equipment issue and had no money to try again.
If the company was better resourced it would have persisted with drilling in that area as an additional well can be used to support water flood or CO2 injection.
CERP was always under capitalised - when Ritson was able to borrow enough for 3 drills he went for it big time but it was ultra high risk with borrowed cash as there was no room for failure and he took to company close to bankruptcy, requiring recapitalisation at huge cost to shareholders.
Ploughing on regardless with borrowed money was reckless with shareholder value.
When Koot took over he used his personality to raise cash for the Saffron project in Cedros. It could have worked but didn’t, after 2 goes.
Now focus is, quite rightly, on Uruguay. As has been mentioned if Chevron decide to drill CEG have a great opportunity to participate and if they choose not to raise cash for it Eytan says they are permitted to trade part of the share to a third party.
Whether they decide on such a course of action largely depends on Eytan’s soundings from the group of large shareholders, which prior to Charlestown, were largely Australian based.
What will be will be but plenty of opportunities for shareholders to stick/twist/sell along the line - a very exciting opportunity with news flow to keep everyone interested!
"CEG shares are up very modestly on this deal, done at a 20% premium as I said but if ever there was a ten-bagger staring you in the face then this is it, ignore taking shares at 0.14p at your peril, it could well be a eureka moment right in front of your very eyes…"
https://www.malcysblog.com/2024/04/oil-price-challenger-petrofac-i3-and-finally/
Up to 0.16p - 0.17p on over 47m volume and not even 2 hours of the trading day gone.
This is in high demand and expect further rises in sp from this moment on.
To be exact without any points or p's, I took it as 0.2p. There is likely to be consolidation next month for a good reason, so in that situation e.g if it was point 0.2p then 50 for 1 it would be 10p but of course it could be a little either way at that time, obviously though hoping for 20p at some point after consolidation wouldn't be so mathematically imaginative.
Whatever the near term future it has been good to read both of your posts.
Oh Willec get a grip of course I meant 0.002p TO BE EXACT!
Only you could think I meant 20p!!
x
20p in two weeks is not likely at all. Would be happen with 0.20p which is very possible.
Willec - I know I will lose all credibility here - If I have ever had any after JB's assasination - But I think we hit 20 by end of month - yep - I 've just become a Ramper (for a minute or two) - Why? - The facts are alligning and because The trolls are trying to persuade non investment and this one is a good chance - Folks in a few months time will be saying to them selves OH I wish, If only etc - ALL IN MY HUMBLE OPINION
Another way of putting it is - JB and Co will have peeeed on peoples chips.
GLA
IK
As Nas-k posted www.galp.com/corp/en/investors/publications-and-announcements/investor-announcements/investor-announcement/id/1529/update-5-on-namibia-exploration
It just gets better and better - The trolls are defeated - idiots.
Hi Druid
Sorry a bit confused by your posts - which previous farmin are you referring too please?
IK
And yes, Uruguay is all the rage now.....and a legit binary play........but heads-up people......while I do not doubt the sincerity of those involved now, we have raised off a farm-out before in prior incarnation.....it does not mean Uruguay is not real... but we have gone down this road before.
When it closes I will believe we have learned some.
Interstking, no, we found exactly what we were looking for in Cedros with Saffron 1, you are just a pessimist. Leo Koot said so after drilling, logging and testing. And he really knows what he's talking about.
Cedros and Goudron are just as good as he said.
I think...
In4,
Can't get it up at Goudron, So what about GY 677 then, 2000bopd for ages!
.....just joking, I know how sensitive that is considering all the production crashes around late 2015.
:-)
In4 - Thks vm for that info, much appreciated.
I guess if we have deeper pockets, hopefully, post Uruquay success, our growth could be exponential.
I suspect you are originally a CERP investor whereas I am a BPC veteran.
Originally a follower of Alan Burns.
One could argue that with deeper pockets (and maybe a friendly successful partner) The Bahamas might still be a play for the future.
I know that is going to give The Trolls food for disparagement but my argument still stands that we drilled against all the odds and failed on the first attempt. Virtually every exploration region fails on its first attempt. You need to be a major with deep pockets to have PERSEVERANCE. - Yep! pun intended.
OK pie in the sky maybe or at this time of night maybe I'm dreaming!!!
Have a good weekend.
Cheers.
IK
GLA.
InterestKing - Trinidad business pretty much breaks even at current production levels, ignoring the G&A of CEG, substantially BOD salaries.
The Goudron licence is main producer. From memory CEG only earn about $7 per barrel on first 150 barrels per month - thereafter rate is better and over 300 rate is even better.
All fresh faced CEOs look at the numbers and think - if only I can get production up to say 450 bopd at Goudron business will be transformed. Problem is investment needed and successive CEOs have all been cash strapped - they’ve raised cash but it’s been for specific projects like new drill on Cedros ( Saffron) - shareholders don’t like to cough up for boring Goudron .
If CEG do have a bit of cash spare after advancing Uruguay they may be able to make Goudron more viable which may increase the value if they want to get shot of it ultimately. PRD have bought Cory Moruga and will be applying their CO2 injection process to it- CEG will watch with interest.
I’m not saying any more about Trinidad because most people don’t want to know - Uruguay is the sexy number now!
In4 Thanks vm for elucidation and indeed insight into something v useful FMI.
Cheers.
GL
IK.
Cedros peninsula is SW Trinidad where some areas ouse oil naturally at surface. At Galpha point oil bearing rock is visible at the beach. At that beach it’s possible to see Offshore oil platforms in the Venezuelan basin where oil has been successfully extracted for many years.
Many have suggested that a deep drill onshore at Cedros may yield similar bounty but depth is required, ideally 15,000 feet and that costs a huge amount. CERP under Koot managed to finance two drills, at shallower levels, but was commercially unsuccessful.
CEG still have license and it wouldn’t surprise me if it was sold for many millions as part of the stated strategic plan.
Normas - correct - primary guide is MKT CAP@100 mill.
The nominal share price doesn’t really matter to institutions.
In4cedros - (what is the derivation of your name please ?????!!!!)
A superb comparison. History does not dictate the future. e.g. Otherwise we might have a 6 day ME war now.
Times and things change.
The question really for The Trolls is: How old are you and can you teach old dogs new tricks?
GLA
IK
GarryGraham- as a claimed Manchester City fan you should be acutely aware that fortunes can change, especially when some investment is introduced!
Up 12% on 157m volume - not bad for a Friday.
Shows positive intent for next week as we head north to 1p +