Listen to our latest Investing Matters Podcast episode 'Uncovering opportunities with investment trusts' with The AIC's Richard Stone 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.
Having gone over my posts from yesterday if INFA did execute the SPA for Meridian Holdings there are a number of less capital intensive uses for the land than the FSRU that was originally proposed for the site. Assuming that INFA can acquire the FREEHOLD for the land the options that I can see are:
1 Lease the land to the Wind Turbine companies to use for the onshore infrastructure that is needed to support an offshore windfarm. This is the least capital intensive option as INFA would not need to actual provide the infrastructure they are only providing the land.
2 Develop and Provide harbour facilities so that the various windfarm operators can build and operate the offshore windfarms.
3 A combination of 1 and 2 this would only be feasible if the area of land in Barrow is large enough to handle the infrastructure.
The idea that Infa has an interest at Barrow has been suggested by Bubble on a number of occasions and regardless of anything in any RNS's to suggets otherwise, AFAICT, we don't.
I posted this back on 28th October last year.
"It was only a term sheet they were going to enter into for the acquisition of the FSRU project.
And conditional on final investment decision (FID) currently estimated to be taken within 36 months of the Sales and Purchase Agreement.
Although as we all know that was expected to be executed on or before 31 July 2020.
But it was updated in the Appledore acquistion RNS.
"The Company now has the possibility of tying the FSRU project into existing infrastructure, both offshore and onshore. This has the advantage of bringing project CAPEX down substantially and fast-tracking the project to FID earlier than envisaged. Further value engineering work is being conducted to determine the technical and commercial viability of such tie-ins into existing infrastructure.
Whilst the Company is keen to progress this project, it needs to ensure that all the fundamentals are in place and that it has the optimal solution to offer further LNG import capacity in the UK, which is not only technically competent but also economically viable. Accordingly, the Company shall be undertaking the various workstreams as discussed above and shall proceed to execution of the SPA in Q4. This timeline may come forward should the Company complete these workstreams ahead of time and COVID-19 travel restrictions be eased enabling access to specialists on-site. " "
Nothing regarding the SPA ever came up to the point where they said that they were no longer interested in the project.
Be happy to be proved mistaken, though. But in all recent info from the company they only mention having an interest in four sites, not five.
Si_Derman ref 11.03 post you have answered one of two questions and I agree with you that my reading of the two RNSs is that INFA does not currently own the Barrow site. The second question which I am not sure you addressed is Can INFA obtain the site if a plan to utilise it is developed. My view is that this depends on whether in withdrawing from the FSRU project they also said they are not interested in the site.
Firstly, I guess that would depend on whether Meridian, or whoever owns the land, would let it go in isolation. And if in doing so would it stymie their chance of offering the FSRU project to another possible candidate?
And secondly, do Infa need the outlay for even more land when we seem to have a fair amount underused already?
Thanks stokey for some clarification ,the fact that it's still being held for something and the dredging ships are present clearing the depth of the channel and have been there for a few weeks now and the fact that the tenaments for sections of the Irish sea have now been completed and thousand of wind turbines will be used and will need maintenance all along the North sea coast might suggest it's going to be used by someone ,I know all about the contract si-demain as you pointed out to me a while ago but times are changing imho