Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
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Oil looks as though its finished consolidating and is gearing up to embark on the next stage of its run. To new ATHs is my guess. However, a recession could throw a spanner in the works.
Should it play out - I hope the WD acquisition is over the line before we break $100 crude.... Tick tock.
Good to have you with us… Now throw a few insults and slither off, there’s a good fellow…lol
Meanwhile Harbour continues moving bigger, drills keep drilling and we march quietly towards our new future….
Go off and read the 2010 Rockerfella report you may take a different view
But then again probably not 😂
RUSSIAN GOVERNMENT TELLS OIL COMPANIES TO CUT OUTPUT TO 9 MILLION BARRELS PER DAY BY END OF JUNE
Always good to see Brent Oil, UK and European Gas prices all nicely on the rise again here:
https://tradingeconomics.com/commodities
Halfway through "The life of John D Rockefeller Sr". I highly recommend it. And it reminded of a quote from the great man that I thought I'd share with you all, from The Prize by Daniel Yergin (another great one).
"Hope if crude oil goes down again our Executive Committee will not allow any amount of statistics or information to prevent their buying, we must try and not lose our nerve when the market gets to the bottom as some people always do. We will surely make a great mistake if we do not buy."
Now granted this was in the late 1800s and he was talking about standard oil and oil in general. But its interesting, to some.
I hope Linda Cook has read it and runs Harbour in a similar style.
Hoping that the silence is a positive sign and documents are being agreed and signed.
It was encouraging that Harbour have sent all the documents to various countries and done are already completed.
Drills going on in numerous countries and new projects coming on line.
The “Calm before the storm” but hopefully in a positive way.
One thing is for certain, the till are rolling and we are producing 500k BOPD equivalent… Onwards and upwards….
Make that nearly 200 points of FTSE up-move.....damn calculator lol
Another good day on the markets that good old Harbor fails to join in with
Whats the betting that when sellers come back into the wider market, we get taken down to
Trying to stay positive, Brent still around $85 so perhaps we are just consolidating around 270. Just frustrating that the FTSE has jumped best part of 160+points and weve seen zero benefit
You read that yearly report and realise HBR are buying a giant.
$80.68 WTI target
Norway is a great area for us. Production around 160k BOOD equivalent currently and we are 3rd biggest producer (excluding state).
We have Maria phase 2 under development and also the recent Adriana Discovery which pushes up from 19-31 to 28-43 recoverable and it’s close to other fields so easy to tie back.
We also have the deeper Sabina which we might go after in late 2024-25.
Not the greatest tax regime for stable and we seem to have a good strike rate..
Seems like an area we can tick away in for decades to come….
https://wintershalldea.no/en/where-we-are/maria
https://wintershalldea.com/en/newsroom/pi-24-04
Always good to see Harbour Energy amongst the top picks:
Investors Eye Undervalued AI, Energy Sectors for Growth
Fears surrounding the inflation of stock market evaluations have resulted in investors pivoting their interest to AI companies and the energy sector. These sectors are currently viewed as undervalued, promising immense growth potential for investors who are willing to shift away from traditionally profitable markets.
German investment bank strategist, Jonathan Stubbs, suggests the U.S. and European energy sectors are at historical trading lows. He insists a aconsideration of these sectors could provide profitable opportunities for diversified portfolios amidst fluctuating oil prices and increasing reliance on renewable energy sources.
Historically, the energy sector has experienced undervalued levels only three times in the past four decades, with each instance followed by a market surge for oil and gas stock investors. These patterns suggest potentially aggressive future returns. However, they also serve as a reminder of the risks inherent in any market movement.
A recent analysis by a reputed bank used a unique measure combining price-to-earnings multiples, dividend yields, and price-to-book multiples to assess the sector’s worth, specifically highlighting the European oil and gas sector’s undervalued status. The assessment suggests the current market conditions may present an excellent opportunity for investors.
According to the bank, the trailing price/book multiples show the European energy sector to be the most affordable it’s ever been, even considering potential market volatility and uncertainties. The bank identified five “top picks” for investors wanting to diversify their energy portfolio, including Shell, TotalEnergies, Harbour Energy, Saipem, and Energean. These companies were selected based on their financial performance, growth potential, and commitment to cleaner energy sources.
Jonathan Stubbs emphasizes the energy sector’s potential for sustained investment amidst robust financial performance and strong balance sheets. This could result in continuous investor rewards and long-term returns, particularly through share buybacks. Investors seeking unique opportunities for growth might find them in the currently undervalued AI and energy sectors.
Https://seekingalpha.com/news/4081602-crude-inventory-decreased-by-2m-barrels-for-week-ended-march-15-eia
“Crude inventory decreased by 2M barrels for week ended March 15 - EIA”
Https://wintershalldea.com/sites/default/files/media/files/Wintershall%20Dea%20Annual%20Report%202023.pdf
Like Pip I have great expectations… Worth a read from page 15 onwards….
You not embarrassed neversell your on here 24/7 and completly clueless you havnt even got the basic of understanding
Theres a reason for nobody posting on these boards anymore because it's full of clowns alright coco as you were I'll leave to it 😉
Hi sittingduck, Don’t be put off by “Village”, he pops up every now and then, insults everyone and slithers off again.
Personally I’m very very confident the deal will go through and we will have multiple area to spend our dosh. The thing is which ones bring us our best bucks.
Re Zama, Thank you Alextrader. Still think it’s going to be a while and would love to know Slims plan. Get hold of Zama, buy the company, who knows…..
I mean one of the richest men in the World investing in a mid cap UK oil and gas company is odd, he obviously sees or knows something. He's not an idiot and he knows far more about the situation than you or I. So its encouraging for investors.
Zama may go pear shaped, it may not.
But the reality is, we were all investors long before Slim and his crew. I took a punt on it following the PMO merger, as I did with other small oilies being convinced the oil price would rebound. And based on a whole hat full of reasons, fully expect the oil price to break $100 and remain there for some time in the future.
However, what started as a punt, Harbours earnings, balance sheet, management have impressed me and has now become one of my biggest holdings. Until I see something that convinces me otherwise, I'll remain invested.
The mexican cartel also own any oil found
President Lázaro Cárdenas
In accordance with Article 27 of the Constitution of 1917, President Lázaro Cárdenas declared that all mineral and oil reserves found within Mexico belong to "the nation", i.e., the federal government. The Mexican government established a state-owned petroleum company, Petróleos Mexicanos, or PEMEX.
Newkotb
You are only looking at the corporation tax rate which is a little below 44%. The Indonesian government first take 60% of all operating profit (making no contribution to CAPEX) and then apply corporate tax on HBR’s 40% share of profit. Then if HBR wants to return the remaining cash to UK to pay shareholders a further 20% tax is applied.
The 83% I referenced is the total take by Indonesia gove through the PSC, corporate tax and dividend withholding tax
Pemex own 50 percent and dont have a pot to pxss in
Pexmex is state owned so the mexican gov own 50 percent hence all the contracts heading pemex way over talos
Who owns Pemex?
Petroleos Mexicanos (PEMEX) is a state-owned integrated oil and gas company. It operates across the value chain of the oil and gas industry, from exploration and production to processing, logistics, and marketing.
Your welcome 🙄
“Harbour Energy (LON:HBR) Is Posting Promising Earnings But The Good News Doesn’t Stop There”
The stock was sluggish on the back of Harbour Energy plc's (LON:HBR) recent earnings report. Our analysis suggests that there are some reasons for hope that investors should be aware of.
Examining Cashflow Against Harbour Energy's Earnings
Many investors haven't heard of the accrual ratio from cashflow, but it is actually a useful measure of how well a company's profit is backed up by free cash flow (FCF) during a given period. To get the accrual ratio we first subtract FCF from profit for a period, and then divide that number by the average operating assets for the period. You could think of the accrual ratio from cashflow as the 'non-FCF profit ratio'.
That means a negative accrual ratio is a good thing, because it shows that the company is bringing in more free cash flow than its profit would suggest. While having an accrual ratio above zero is of little concern, we do think it's worth noting when a company has a relatively high accrual ratio. To quote a 2014 paper by Lewellen and Resutek, "firms with higher accruals tend to be less profitable in the future".
For the year to December 2023, Harbour Energy had an accrual ratio of -0.75. That implies it has very good cash conversion, and that its earnings in the last year actually significantly understate its free cash flow. Indeed, in the last twelve months it reported free cash flow of US$1.3b, well over the US$32.0m it reported in profit.
Our Take On Harbour Energy's Profit Performance
Happily for shareholders, Harbour Energy produced plenty of free cash flow to back up its statutory profit numbers. Based on this observation, we consider it possible that Harbour Energy's statutory profit actually understates its earnings potential! And on top of that, its earnings per share have grown at an extremely impressive rate over the last year.
Love a positive post but we need to be aware that Zama is now delayed and our major partner Pemex don’t have a “pot to miss” in and they own over 50%.
As always time will tell and the tie up with Talos and Dlim is a huge bonus?..
Https://www2.deloitte.com/content/dam/Deloitte/global/Documents/Energy-and-Resources/gx-er-oilandgas-indonesia.pdf
The effective tax rate is stated as circa 44%