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They are disputing and have provisioned 42m worth of tax with the NL govt. IIRC AA said he was pretty confident the outcome. At todays price the release this provision would b worth 30% of the mkt cap. Crazy valuation here vs the assets.
That said all very normal for LSE stocks. Country is f'd.
So now worth less than before fundraiser to do the Tulip deal.
despite 3 deals since then the company has lost value,,, can’t blame it all on windfall tax as you don’t get taxed at more than 100%!!
Netherlands- been a disaster, no drilling success and even basic work overs not resulted in any better production
GLA- not too bad but no sign of Glendorach and Edrador west getting go ahead to add any value,,, total dragging feet on it (may be as they are wanting out of the whole thing and selling) , scary decom liabilities too
Mime- could be all good but more delays and cost at Balder project,,,, Var already taken big write off,,, no chance of starting up 2024 so company needs to update
so maybe AA not the great dealmaker ppl think,,? if something new deal up his sleeve then may be treat with caution as could be just a distraction from current performance
liquidity concern too? not making much cash at these prices, balder will eat capex, tax bills to pay and they removed comfortable headroom buying those bonds back when imho should have held onto cash
If SP is overeaction then Aa could RNS to reassure,,, fact is nothing yet forthcoming so suggests no good news or reassurance to give
gla
GD
As AA has said before in RNS' and on podcasts investment in UK assets doesn't return the required returns. The only ones hoping for a Serica transactions are Serica holders.
Commenting on the proposed acquisition, Andrew Austin, Kistos' Executive Chairman, said:
"After a period during which commodity price volatility and fiscal uncertainty has made it difficult to agree deals in the UK and the Netherlands, I am very pleased to be able to announce Kistos' expansion into Norway. Kistos has evaluated several transactions in the UK and Dutch sectors, but the imposition of punitive windfall taxes and a lack of fiscal certainty have meant that both countries remain difficult places to commit capital and ensure continuity of shareholder returns."
AA is a major shareholder in Kistos and it's effectively his baby. The only way you'd get him involved in Serica is if you merged the 2 companies.
As said below Serica is out of Kistos' reach now from a straight takeover perspective.
@jaytee41 - I had exactly the same thought.
Some retails panicking because of the lower reported production of GLA in December, without considering the temporary halt of the Shetland gas plant
AA is not CEO, but Chairman, totally different roles
Mitch Flegg resigning soon, so they will be after a new ceo. Wonder if AA will be hunted
In any case, it would be the other way around
Serica is surely impossible with the current market cap.
AA will come good.
I enjoyed the ride up (and my sell down) from 110 to 600, although I wish I sold out completely at those dizzy heights, never mind, my memories of Rockrose were too strong.
Sub 150 now would seem to be a perfect level to rebuild a larger position, but is it the bottom? Surely it can't go near the IPO price. We're certainly a million miles from the Employee Incentive Scheme levels, ironically the issue of that timed closely with he beginning of this fall.
One things for sure, AA doesn't sit on his hands. Something will come along soon, or cash will be returned to shareholders in some form.
Maybe another go at Serica?
Yep, another morning another 5% gone. Looks like PI's are bailing and I completely understand why given the tumbleweeds. I really find it mind boggling that they cant or more likely, for some stubborn reason, won't issue a statement 1 month after the close simply stating revenue, cash and debt. It's not exactly war and peace
Looks like someone trying to ramp so they can get out lol
Nice first post :)
I notice Total have won 10 licences shared with Shell. Read somewhere that Kistos will share with Total. This would have been from Kistos. Did anyone else read it? I believe the area is WoS.
Eh?
AA - issues are there within Kistos…… a big shareholder I know seems to think it’s a matter of weeks if not shorter that the Kistos price move will happen. Reason ? Watch this space……… price is silly here. Mr Austin, will play his cards well.
Seems to have no support. Company comms are frankly rubbish. A trading update is urgently required.
Think that’s contributing to the next downturn
Sorry, that third paragraph should have read
"We know we averaged 9.6k to the end of June and production from July to the end of November averaged 8k. We had just 20 days of production in December from GLA due to the shutdown at the SGP. Our total production for the month needs to be above 6k to meet the guidance of 8.5k to 10.5k."
We should do it easily. 2.5 - 3k from Norway, 2.5k - 3k from the Netherlands and around 2k from GLA.
*20 days of production from GLA*
Production averaged 8.8k per day (5783 boepd of gas and 3035 b/d of oil) and Tormore returned to production.
For the year I am guessing our average production will be around the 8.5 to 8.6k per day mark.
We know we averaged 9.6k to the end of June and production from July to the end of November averaged 8k. We had 20 days of production in December which needs to be above 6k to meet the guidance of 8.5k to 10.5k.
Breakdown for November.
UK (GLA)
Glenlivet 44.5mmscf/d
Laggan 36.6mmscf/d
Tormore 5.4mmscf/d
Total production per day = 15331 boepd of gas and 738 b/d of oil.
20% net to Kistos = 3066 boepd of gas and 148 b/d of oil.
NORWAY (BALDER)
Total production = 28,871 b/d of oil
10% net to Kistos = 2887 b/d of oil
NETHERLANDS (Q10-A)
Total production = 4528 boepd of gas
60% net to Kistos = 2717 boepd of gas
aimo dyor
COPENHAGEN, Jan 25 (Reuters) -Oslo-listed Vaar Energi VAR.OL, majority-owned by Italy's Eni ENI.MI on Thursday said it expected to book non-cash impairments in the fourth quarter related to its Balder oil and gas project of around $530 million before tax.
"The impairment was triggered by reduced commodity prices and increased cost," Vaar Energi said in a statement.
Vaar has repeatedly warned of cost overruns at the Balder field development in the North Sea.
The company in 2022 flagged the oil and gas project would cost $1.2 billion more than previously expected, and in September Vaar said the project would cost another $340 million.
After tax the fourth-quarter impairment amounted to around $117 million, Vaar said.
"We view this as undramatic and a technicality," brokers DNB Markets said in a note to clients.
Vaar owns 90% of Balder while Kistos Energy holds the remaining 10%.
Andrew will never accept a bid for Kistos from them, never
Seems to be a result of previous merger/aquisitions and estimated oil/gas prices prior to delays (pricing forecasts lower now) different assumptions for kistos
Perhaps Mercuria can offer the top job at Serica YoungJun. Who knows - concur with AA attributes and the economy of scale of an enlarged company would certainly be a consideration. Apart from the other 82.5% of shares he doesn't own!!
No doubt their will be some consolidation this year but maybe not Kistos/Serica - but a nice thought.