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Should be an interesting presentation.
I'm sure some people get dividend payment day mixed up with ex-divi day.
There will be buyers tomorrow & early next week as dividends land in accounts are re-invested.
AECO has jumped & TMP Expansion is complete.
All the best to those selling today.
Maybe a little selfish to be smiling at a retrace here but it's starting to look like a good time to be getting my divi payment, who gets theirs first, lol iii has it bang on first thing.
Time
02 May 2024, 12:00 BST
Starts tomorrow
Duration
1 hour
Meeting Type
CDM
Presenters
Majid Shafiq - CEO
Ryan Heath - President of i3 Energy Canada
Jason Dranchuk - CFO
Will be topping up my holding on Friday
May 3rd G-G-G
Interesting that the last investor presentation on meetme was 5th July, also coincided with a director purchase announced on the same day purchased the day before. With around 10% yield, I wonder if we will see the same again. Majid now has 9,875,110 shares, I bet he would like to up the dividend, he's currently taking £101,318 in div's a year, nice!
Is it divi payment day tomorrow? Some incoming cash is certainly welcome after my 6 figure loss yesterday.
From Simply Wall St this morning - an automatically generated report that does not appear to recognize that i3e is an Oil Company and that profit margins are down due to Oil & Gas prices.
Ocassionally they come up with some interesting ideas but often the report is more useful for putting under the cat litter tray in the kitchen!
New minor risk - Profit margin trend
The company's profit margins are lower than last year and have reduced by more than 30%.
• Net profit margin: 10%
• Last year net profit margin: 20%
This is considered a minor risk. A large drop in profit margin could indicate the company does not have strong competitive advantages or it is yet to establish itself and its core business. Even if it is a well established business, this may make it a much riskier investment than one that has a combination of proven competitive advantages and a stable or growing profit margin.
Currently, the following risks have been identified for the company:
Minor Risks
• Dividend is not well covered by cash flows (147% cash payout ratio).
• Share price has been volatile over the past 3 months (7.2% average weekly change).
• Profit margins are more than 30% lower than last year (10% net profit margin).
Spike,
You highlighted i3e are not analagous to Shell - are you suggesting that i3e are analagous to Repsol ?? There are two reasons why Repsol walking away from Tain doesnt necessarily mean much to i3e:
1) Repsol have stated their desire to exit the NS - i3e have not (currently)
2) Tain would have been a small development for Repsol not really moving the needle plus the money is probably better spent outside of the UK consistent with their new direction. A tain / Serenity development would be sizeable for i3e and would move the needle.
"Do you believe anyone would pay cash to I3E now for the Serenity licence?" - I dont think so. Majid has previously said that you would need an approved FDP in order to realize any value if I recall correctly. A Tain + Serenity with an approved FDP maybe worth something. I'm not saying it definetly is but maybe and I think this is what i3e are looking at. Serica or Ithaca (cannot remember which) recently bought an asset that was of similar size to Tain / Serenity with the clear intention of developing.
Anyway - sign up to the investor meet Company presentation and ask a couple of questions!
Are our North Sea losses commercially valuable to others? Rather than walk away from the licence could we sell and the buyer uses the transferred losses to offset against profit? Not sure how things stack up on licence transfers in the NS.
Still no nsta 33rd round next batch awards , probably because awards are not being taken up.
Tain Serenity would be a big capex commitment for Serica and new Ceo there is down beat about North Sea oil.
Tony did you read the article - consideration is not payable until first oil.
Cambo would also be an exception due to its size and the sellers being Shell are hardly analogous to I3E. We can see the value of Tain as Repsol just walked away.
Do you believe anyone would pay cash to I3E now for the Serenity licence?
Aeco seems to have jumped 20%.
There is plenty activity going on in the North Sea, I think many are worried though what a labour gov will bring. There is though a huge difference between those that are cash strapped and can only survive on gaining finance such as seen by DELT yesterday, and those companies with resource to spend of which their are many.
Looks like i3 UK ops are in close down mode.
Are you posting as se7en now WCSB?
Most oil companies will step back from investing in the North Sea until a clear understanding on what will happen when labour comes to power.
"However it’s pretty clear that no one in the North Sea is buying undeveloped assets for upfront cash payments so in that sense it’s worthless as it stands."
https://www.offshore-technology.com/news/ithaca-cambo-shell/
After a 10 second search - here is one example of ithaca buying undeveloped assets - Its a reasonable bet that there are other examples
Joe - the market value and accounting carrying value are two different things. While I3E still have an intention to take it forward it’s appropriate that it carries some value on the balance sheet.
However it’s pretty clear that no one in the North Sea is buying undeveloped assets for upfront cash payments so in that sense it’s worthless as it stands.
I still think it’s a drag on the SP - the fact that they confirmed no capex for this year was positive but it still remains hanging there as a potential near term money pit, although I suspect most investors by now expect it to be relinquished in the future, unless there is a drastic change in political environment
The savings they would make by closing the UK operation would easily cover the impairment charge going forward. Indeed they could comfortably raise the dividend in my opinion. The North Sea is essentially closed for new business, probably for years to come so let’s bite the bullet Majid.
"no dividend." Oh no
"no dividend."
Oh my
An impairment charge is going to lead to a loss albeit a non-cash charge - no paper profits, no retained earnings, no dividend.
Except that the latest capital structure can offset the reduction in retained earnings/distributable reserves and enable the payment of dividends.
I3e are currently earning more than sufficient cash to fund a dividend - thats the way I see it !