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Lol Krok i bought at the bottom , ive no loses
Do agree that war is a front , also the assets are not effected wrong area.
Thordon, 20p, my dear, 20p on screeb. Have a look)
No need even for another quarter like this
If the well they have just spudded is dry as the case was with a previous one and a sidetrack, and on top of that 2Q production falls below 3.5 kboepd, the share price will be 15p
And you can scream as much as you’d like about what a great company it is
You can call me whatever you like but I make decent money out of here while you have been sitting for years mumbling all your nonsense and increasing your losses
Aimsurfer, it is a private asset in the south of Russia, it will tell you nothing.
It us not about having or not having an LSE ticker. Many assets of this size face very similar issues and I can tell you from inside the industry JKX is in a big trouble now
Krok bounces one oil company to another , buys low then ramps it up.
On on oil company Cadagan started by saying to get rid of the Italian management even thou they went 18 months ago.
Now results are good , drilling to restart
Increased cash
Low P/E
Don't be shy, what company are you a CEO of? To embarrassed to say? :)
And, for the record, all this happened at record gas prices
Once the share price falls below 20p, and it inevitably will if there is another quarter like this, all happy holders will shut up as simply mentioning you have this stock in your portfolio will be too humiliating))
Just scroll down this thread - I warned of what happened today a few months ago
It actually turned to be much worse than I thought it would
Minus 15% in a single day, almost half of value lost in the last 6 months - what a great company indeed!))
Keep holding, guys, always good to be a happy holder)
Krok what’s your company called? You sound like a genius. Can I invest $1m in your outfit. Will wire money. Hope is not a krok o xxxx
Maybe people should invest in you wise one? Is your company publicly listed?
What you say is true but you completely fail to focus on opportunity with such cash balance. Lack of recent drilling activity impacting production numbers.
They ended 2018 with 3,677 boepd. That incresed significant with successful drilling campaigns, are you you saying they have no chance to stabilise production on the current assets?
People were saying the same in 2018.
Decline rate is nothing new on these fields. This has been the case for over a decade. Key now is they have capital behind them. Geopolitical risk is nothing new here but that's why it's so cheap, irony is the most profitable, stable part of their opps is actually in Russia! It doesn't matter which way you look at this business, its way to cheap. I'll be a buyer down here to add to core holding. As long as cash keeps increasing, why wouldn't you hold!
The valuation of an upstream asset has nothing to do with a FCF in a single quarter (or several quarters)
Tge asset heeds to have stable or, better, growing production, ability to consistently generate positive FCF without sacrificing the production and management willingness to distribute that FCF to shareholders
JKX currently has none of the above
You dont have a clue about upstream oil and gas. They stopped all capex. They cant repeat it even with minimal drilling. And they now need to drill a lot. But they dont have good structures for that anymore
I am here because I actively trade Ukrainian oil and gas stocks and JKX is just one of them.
I am also here because I am CEO of an upstream oil asset with production of ca. 4 kbopd and therefore is genuinely interested in how peers are doing
Last but not least, I am here because I had covered JKX (and most of its ex-USSR peers) for almost a decade in my previous life of an O&G investment banker
What are you doing here except for watching your investment is evaporating?
So why are you here??
Find me a company that has 10% of market cap in fcf per quarter and I'll start listening to you??
And the decline accelerates. In 4Q20 it was 8%, in 1Q21 - 12%
You don't normally see such steep decline rates in such a short period of time. Figures speaks for themselves - the existing fields in Ukraine are dying
The share prices will sink below 20p if they do not fix their Ukrainian production trend
They have already lost over 40% since the highs of 2019. Decline of 12% in a quarter is unbelievably high
Their cash only increased because they skipped capex. Once they start drilling it will change. Another quarter like this and over half production will be lost. And more than half cashflow
All-in-all, operationally JKX is in a big trouble. Don’t be amused by this latest cash increase - it works against the company
So cash & inventory of £23m by my calculation leaving £22m value on future profits to get current market value. It does look like Ukraine production is slowly dwindling (as someone already pointed out) but even so, if market prices and caped stick around current level (a big if) then that’s £3.5m additional cash each quarter. That’s assuming production levels remain (unlikely given the trend). Not sure which way the shares will go to be honest.