Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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Why?.. The U.K has done it in the past, God knows the yanks are constantly doing it! At the end of the day Money talks and bull**** walks. The young are idealists and the old wise men have learnt their lessons and make plans! Always been the way and always will!
Regardless of money and positions, this is a bad move.
Getting in to bed with a genocidal occupier is hardly going to have people clapping their hands.
This has been strung out far too long by the management team, and now more risk with another drill supposedly in early 2024 - I guess we should expect that in Dec 2024.
What’s all this about ? An anticipated FO by many loyal holders , who have been patiently waiting to be rewarded by a fall in share price . World has gone bonkers !
...and the tension will ease... I know it, the World knows it! The retaliation of Israel's war efforts is already being felt by the U.S this morning. Alienating the entire Arab region is not in the best interest of Israel, and they know it. Morocco needs this gas supply badly. Lot's of political play here, you just have to be able to read between the lines.
KB,had said many times that there was going to be a sucker punch and this has not disappointed! The amount of posts early yesterday morning, high fives,Merry Christmas posts and this is what we have been waiting for was certainly short lived. Strange thing I find is the market has shown yet again this wasnt the RNS that they had promised, hence the sells and these clowns are still trying to big it up,thats the 3 Stoogies for you🤣🤣🤣...In all honesty, utterly utterly disappointed with yesterday. IMO we will soon find that 1 of the 6% has massively reduced their holdings,lets wait and see.....Hope you are well m8👍
“So far, Morocco has not in any way threatened to break ties, or anything else. But there is concern, and these are uneasy times across the Middle East and North Africa,”
Relationship “icy”
Maybe the market is not happy with the political background from the chosen partner……
The "next" alleged "catalyst" RNS is just around the corner folks so fill yer boots as the train will be departing soon🤷♂️
Everything is going to plan and there's nowt to be concerned about........🤔
Deja Vu anyone 🥱
Well I've already added, current sp I seemed as good enough, waiting for lower will take up too much of my day IF it ever happens, and the goal here is to wait for new year works, which, let's be honest is right around the corner with a high CoS drill that'll change the company's future with a multiple of today's market cap! It's a win win for me.
I concur whimax, the aim market is very unpredictable at the best of times but even more so atm, strong hold for me, may even add to my holding.
Couldn’t agree more Happyinvestor.
This deal gives Chariot the opportunity to earn vast amounts of revenue with no further dilution and zero debt (in fact less than zero due to structure of deal) off the back off 1 drill with a very high COS.
It’s an absolute no brainer. If people can’t see it, simply because the SP didn’t react “correctly” yesterday, more fool them.
Https://www.upstreamonline.com/finance/ambitious-energean-strikes-deal-to-operate-morocco-s-biggest-gas-project/2-1-1567268
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All IMHO DYOR
Happy
Very important deal for Israel-Morocco relations.
https://m.jpost.com/business-and-innovation/energy-and-infrastructure/article-777088
There are some flippant comments being thrown around on this BB but the derampers are speaking from a place of ignorance. Do not doubt Energean's capabilities and determination. They didn't take this decision lightly.
All IMHO DYOR
Happy
Surfit
I think you're completely wrong about this. You totally underestimate the importance and seriousness of this deal not only for Energean and Chariot but also for Israel's relations with Morocco. You're taking snippets of information and spinning a needlessly negative yarn. The picture you present couldn't be further from the truth.
This is a great deal for Chariot and will produce very substantial cashflows in time. The reason for the fall is that investors nowadays are impatient for instant gratification and I truly believe the London Stock Market is fundamentally broken. But value will out.
Energean are highly innovative and bold. They are not Premier Oil or Harbour. They are the perfect partners to bring this very large gas field, close to European end markets, to production.
All IMHO DYOR
Happy
Hey GP, I listened to the Webinar and the wording ( As I recollect it) was, that they were funded for the onshore to production at 3million per well and I think it went they do not "expect" to do another "significant" raise. I just do not belive them.
I will have to go back and scrutinise the last up date to cross check burn rate....I even think approx +$900k went on a category called "good will".
I checked the SP price at 0900 today, saw the drop and went bugger, we have had another renewables or hydrogen investment RNS 😂.
I just feel the market does not trust the boards financial direction and that lack of flow testing is coming back to bite them big style?? It's reexposed risk and doubt. IMHO.
Rockhopper got around 200milion cash off Permier oil for a sea lion farm in, paid a lot back due to poor contract on having to also pay for 2 years of FEED costs, squandered the rest and have now have a loan also (similar repayment deal as us) with their (Premier taken out by creditors, absorbed by Harbour energy qho dropped project, then passed sealion on) to new partners Navistas petroleum (also Israeli)
Different and bigger project mind.
Nothing nice going to be happening for 6months now., then it's a nail bite on onshore exploration results.
So I am done here for a while now. Pointless.
Good luck, been an education....again 😂
TTFN
Very best Sft
Surfit
“In summary, it as feared the RNS revealed that we are lacking cash, and have to prove flow rates AND be successful with onshore exploration we have been rerated again, next raise...could it be 10p or 12p. That's probably how the markets see it”
Whimax mentioned that there will “not be significant raise pre gas”
Depends what chariot consider significant and after todays carnage I would have to agree with you at those prices.
Jeez. I was cool about the good news first thing 🙈
Hey GP,
1. The RNS / Webinar confirmed that the onshore "venture" is going to be a personal CHAR play.
We have been informed that they expect to be fully funded to production, if of course we find commercially viable gas, I do not belive that we have enough.
2. Was the lack of flow testing the Anchois wells of concern to prospective farm in partners, I belive it was. We are going back to do what we should have done, whilst there. It was a mistake reading between the words and partnering (maybe????, not a driller, but I sense there MAY have been doubt created???
3. The farm in deal: I still wonder what the last paragraph means I.e. " Energean's carry of Chariot's costs is non-recourse, and has a coupon of 7% over the one year Secured Overnight Financing Rate (SOFR), with the carry including interest repayable from 50% of Chariot's future net sales revenues from the Lixus licence"
My understanding of a farm in is that the project costs are paid for by the farminee, for the % of the asset we are giving to them not that we pay them back from 50% of our profits? May be I am wrong on this, but I do not think so??????
4. Back to burn rates and cash flow to get to FID, we are getting 10 million for our exploration completed to date.
2nd December 2021 CHAR undertook the risk and share placed $11milion for re-entering Anchois 2 exploration/ conformation AND Finalise ( STILL NOT FINALISED) negotiations of gas sales agreements and financing to unlock Final Investment Decision on Anchois AND FOR pursuing the other pillars.
Then share placing to raise $24million RNS 18th of May 2022 to quote
"Advance the engineering and design of the Anchois Gas Development, including FEED project, project financing, gas sales and updated reserves report, to reach FID (YES FID, but now we have to flow test before); and Progress renewable power pipeline, strategic partnering and new venture opportunities.
Then obviously the last raise for (imo) to keep the lights on (cash runway) and do exploration not FEED OR procurement of build.
In summary, it as feared the RNS revealed that we are lacking cash, and have to prove flow rates AND be successful with onshore exploration we have been rerated again, next raise...could it be 10p or 12p. That's probably how the markets see it.
I have had my choices made for me, I can not get out shares and I am not putting more in to keep averaging down...just going have to back draw this investment and hope.
GLA
Rgds Sft
ICB. A bid in any form would have had to go public as I understand it? We all own a part of the company?
I think AP was caught off guard by the question about had bids been received. He realised he had to answer truthfully but hadn’t expected it to be asked. It seems clear it wasn’t going to be mentioned which begs the question was it at a level where they thought shareholders would be tempted to sell and they don’t want to. The bid must have been framed as pre bid discussions about acceptable price, because if it was a formal bid they would have had to inform shareholders.
ICB have we really been bidded for? If we have then as I suggested earlier we will have another bid or two coming. Doesn’t normally end at one.
Strange also that it would have been mentioned in a webcast. Would that not be news worthy if it was an official bid?
It would be interesting to know how much was offered for the whole company and whether there was more than one offer. I feel sure it would have been at a premium to the sp when it was made, so much higher than the sp now. Perhaps we can draw comfort from the fact they believe they can extract a lot more by carrying on rather than taking the money now.
It also throws up the possibility,particularly at this low sp, that a bidder or bidders will return. ENOC will have done serious due diligence and they know what they are doing, so that in itself gives further confidence to a bidder. Personally I hope today has shaken out the traders and the people who were hoping to sell on a spike on news and they will be replaced by institutional shareholders who will be in for the journey to production and cash coming in. CHAR is massively oversold and should recover to a more sensible level in the coming days and weeks.
GP,
Maybe a major or two have looked at it, but simply were not willing to go anywhere close to the kind of deal that was eventually struck, my opinion is that any of the majors would have wanted far more and give a lot less.
Nick the majors may have cast their eye over this but i don’t believe they even came to the table.
IMO a with a major partner we would have seen a minimum 30% spike today before any sell off.
We needed that endorsement.
I get you GP, and yes the swamped with traders is a reality, but everyone is a pesky seller at some point too.
It is more about the imbalance for me, OK, it is something many of us have seen many times, decent news comes out and it barely gets chance to stick its head out the water before it gets sunk, but it has a bit of a different wiff about it today.
I had even considered if some element had accumulated on the back of talks, especially more so if they have rejected a low ball hint of an offer/buyout, I don't know, but regardless, I also feel this will bounce back well, I cannot see anything they have put out today that justifies this reaction.
For sure there will have been a fair number with positions ONLY focused on this news and expectation, we have seen cycles every week for a few weeks now of runs up into close on Friday and then back off again on Monday, but even those trades/traders would not have such an effect over the full session.
That should say Gooner not Boomer 😂 although maybe you’re both?!