We would love to hear your thoughts about our site and services, please take our survey 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.
Aimshame, that’s according to lse yes, however for a more accurate spread check your account…
Plenty of strong PR recently.
For me the next material catalyst to really shift the sp will be news on Tain and Serenity and a possible tie up with Serica via i3e
Dyor
The spread is 18%. Keep buying.
Aimshame, share price is up around 20% in the last few sessions in what is usually a very quiet week for the markets
Nice to see another tick up at the end of the day - and that 2.7m sell worked through which seems to have been sitting on the SP for a couple of days.
Term,
Keep adding, maybe it will get the share price up because nothing else seems to be shifting it.
Happy to keep adding at these levels, market yet to acknowledge the recent news
Europa Oil and Gas
@Europaoilandgas
·
2h
.
@Tennyson_Secs has increased its Target price for #EOG to 4.97p following the announcement of our acquisition of a 42.9% interest in Antler Global, which owns an 80% stake in the EG-08 gas licence offshore Equatorial Guinea. This offers c. 5x upside from the current share price.
Https://twitter.com/europaoilandgas/status/1740305763304697870?s=46&t=yb4bY8lQ32WiMrlMFx8_yQ
Tain about 10 million recoverable + Serenity about 8 million recoverable. Combined and farmed down nice and Europa still paying no tax on Wressle oil. Nicer…
I3 and Europa mull fresh bid for Tain North Sea discovery.
Termination of appointment of Simon John Barry as a director on 20 December 2023
Appointment of Mr William Peter Holland as a director on 20 December 2023
Serif / draft have you seen the promo video on the Europa web site. Best I’ve seen from them, very professional and informative about an exciting prospect.
Well fwiw I think Will is going to have a proper crack at making a success of Eog.
Racing money only here but could moon if the stars align.
Thanks, draft. Hadn’t seen this. Think WH speaks very well to the prospect. Lets hope good things build for us all from here on in.
They didn't seem to be very independent last time as all worked at Enterprise and SO brought in BOC and he allowed them all to increase their salaries way above what they should be because he wasn't really independent. He has not been a good Chairman so let's hope he moves off and we can really have an independent BODs who care about shareholders
I suspect Boards are meant to have an “independent” non-exec, not just a Chairman.
I see on the other board we’ve been graced with the appointment of another banker called Simon, I really don’t understand why?
Where are the other BODs share purchases. I have said it before and will say it again, £8000 pounds of purchased shares by the BOD, including new appointees, is not enough to show support for their strategy. We need to see substantial purchases by all of the BOD.
Naturally this project is very early stage, and despite the confident geological chances of success of 60-70% per project, and low economic threshold of 38 mmboe, we have applied a cautious 20% risking in calculating our Total NAV. This values the three prospects at US$70m risked, or 5.67p/shr. Our risking allows headroom to add substantial value as the project passes major milestones, such as the securing of drilling finance, successful drilling, project sanction etc. Including assets elsewhere across Europa’s portfolio (onshore UK, Serenity, Inishkea West) we calculate a Core NAV of 3.76p/shr (which includes discovered resources and corporate items only) and a Total NAV (i.e. including exploration) of 15.83p/shr. Reflecting the current state of the equity markets, our Target Price of 4.97p/shr is set at Core NAV, plus just 10% of the (already risked) exploration NAV. Finally it is worth adding a short comment on what will remain the company’s most important asset (for now at least). At the time of the latest announcement, the Wressle field was flowing at rates equivalent to c.205 bopd net to Europa. At current oil prices, we estimate that this will generate in the region of US$3.5-4m of operating cash flow, which more than covers any capital requirements that the company has elsewhere across the portfolio. We estimate that, following the US$3m investment, Europa will still have over US$3m cash remaining on the balance sheet (debt free), implying a current enterprise value of just US$9m today.”
While they are geologically discrete and considered independent (i.e. no conditional probability), the three prospects can be tested from one single wellbore and two sidetracks. This has a number of advantages – it significantly reduces drilling costs per well, improves overall chances of commercial success assuming only one ‘mother-bore’ is drilled (91% on the basis that at least one of the three prospects exceeds the economic threshold of 38 mmboe), and arguably most importantly makes the farm-in a far more attractive proposition. Preliminary scoping suggests that all three prospects can be drilled for US$50m, versus one vertical well which would cost an estimated US$30m. Assuming a farm out around midyear 2024, we would expect drilling during H1 2025. Terms of the deal Europa is investing US$3m of new equity into Antler, acquiring a 42.9% interest in the private company. Antler and Europa will appoint one Board member each, with all Board decisions to be unanimous. The funds from the raise will cover the work programme and budget for the first year, which includes the formal farm out process. Value proposition and funding Using DCF we value the prospects on a unit basis at US$6.13/boe (NPV10, US$65/bbl long term Brent oil price, US$6.5/mcf gas price). The “A” prospect is the largest of the three, with 686 bcfe (114 mmboe) gross recoverable in the P50 case. Prospect “B” has some 365 bcf (61 mmboe) recoverable, and “C” 186 bcf (31 mmboe). In total, therefore, there are some 1.24 Tcf (206 mmboe) of recoverable P50 prospective resources to be tested. On an unrisked basis, using our US$6.13/boe valuation, we estimate an NPV10 of up to US$352m (net to EOG on a fully diluted basis). For an initial outlay of just US$3m, therefore, Europa is acquiring exposure to a project which could, on paper at least, deliver almost 120x return.