The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen 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.
Robs12
He mentions production blocks assume this is the GPA.......wondering what Andy Austin is going to do with his £32 million share listing on Aim
Enquest on the hunt for production. Deals s are looking Rosey.
That IC article made me laugh out loud. It doesn't mention Perth at all!
Good to see some positive movement on the SP and new investors on the BB. For new (and existing) investors, check out the following website www.1stsom.com where it details all the companies involved including PMG involved in the maximum economic recovery for the outer motay firth area including the PMG owned GPA. Its very informative and clearly there is a strong desire to develop this region in the North sea. Still not sure why the sudden move the SP, but no complaints here!!!!!
Cheers Matt that does answer my questions re why? Quite a compelling case to buy and hold in fact!
Very few free float here. Always moves quick.
Lots of TC loyal holding the line.
i have try to buy since the results but you can only deal in small amounts .
Coz it's our main man Mr Simon Thompson - glowing review of PMG - as it deservedly should!
Any takeover would have to be over 250p to tempt Tom, The biggest fund raise was in 2014 for 50m at 255p.
He wont let this go on the cheap.
I think it's a bid coming. Further, I think Serica SQZ
DYOR
Delighted to be suddenly up 18% on my modest punt but does anyone know why?
No RNS, rumours of a bid on the way or a JV?
thats more like it, been here almost 12 years, yawn.........
Not selling, happy to hold till TC sells circa £3-£4,maybe more
Gaining good momentum now, likely a big buyer in the background
OIL and gas independent Parkmead Group, led by sector veteran Tom Cross, yesterday highlighted its appetite for expansion in renewable energy and flagged further advances with its interests in the Greater Perth Area in the North Sea.
In September 2019, Parkmead acquired Pitreadie Farm, a company owning some 2,320 acres of land in Aberdeenshire, as part of its drive into renewable energy.
Mr Cross said yesterday: “Following our first strategic acquisition in the renewable energy arena, we continue to evaluate further opportunities. Renewable energy is directly in line with Parkmead’s business plan, broadening and enhancing the group’s energy asset base. Potential has been identified for a large windfarm project on a part of the group’s onshore acreage.”
Parkmead, which has operations in the UK and Netherlands, reported a fall in revenues to £4.1 million in the year to June 30, from £8.3m in the prior 12 months. It said this reflected record-low gas prices during the year. Gross profit fell from £5.7m to £1.3m. Parkmead, which said the results showed the “robustness” of its gas assets, noted net profit before tax and non-cash impairment charges for the year to June was £0.8m.
The firm said it was in commercial discussions with the Scott field partnership, including Chinese group CNOOC, “in order to agree terms for a tie-back of the Greater Perth Area to the Scott facilities”. It added: “Parkmead is also in discussions with other operators in the vicinity where new opportunities have arisen during the year. Infrastructure studies completed in 2020 have confirmed that there are no technical hurdles to produce Perth oil from the wells all the way through to the onshore facilities.”
Mr Cross said: “Further advances have been made within the Greater Perth Area project. The group is in discussions with a number of leading, international service companies and oil companies in relation to driving forward the GPA project.”
Building an onshore wind farm would be a “piece of cake” compared to constructing and operating major offshore facilities, he said, adding: “When you’ve built steel cities 200-300 miles offshore in the North Sea, that’s a lot more complicated than putting up 30 turbines onshore.”
Jonathan Wright, research director at stockbroker finnCap, described Parkmead as an exploration and production company “for all seasons”, while its diversification into renewables offered some “future proofing” and opened up a new “investor-friendly” avenue of growth.
Parkmead Group’s boss said yesterday that the Aberdeen-based energy firm hoped to settle on the best development option for its flagship UK North Sea oil project next year.
Executive chairman Tom Cross said the company had completed “major studies” showing oil from its Greater Perth Area (GPA) could be taken ashore via Chinese firm Cnooc’s Scott platform and Ineos’ Forties pipeline without any “technical hurdles”.
Parkmead has been in commercial discussions with Cnooc about tying GPA back to Scott, six miles away, for well over a year.
Mr Cross said the firm was still mulling alternatives for the GPA, in the outer Moray Firth, including a standalone floating production vessel and tie-backs to other platforms in the vicinity, but Scott was in “pole position” to host oil from the development.
The GPA is thought to be capable of producing up to 130 million barrels of oil equivalent (boe).
Technical and support studies conducted with Cnooc and Ineos have convinced Mr Cross the project is “robust” and “bona fide”.
He was speaking after Parkmead published results for the 12 months to June 30 2020, showing pre-tax losses of £792,000, against profits of £4.8 million in 2018-19.
Figures were dented by a £1.6m non-cash impairment related to the release of non-core acreage from Parkmead’s portfolio.
Gross profits totalled £1.3m, down 78% year-on-year, while revenue was halved to £4m as oversupply into the European market and Covid’s impact on demand sparked a slump in gas prices.
Parkmead’s current production comes from four onshore gas fields in the Netherlands, where further development opportunities are being weighed up.
The company is also assessing several acquisition and investment opportunities in upstream natural gas in the Netherlands and UK North Sea, as well as in the renewables sector.
Last year, Parkmead bought farmland in Aberdeenshire from a company majority-owned by Mr Cross’ family as part of its expansion into green power.
Studies are now being carried out to gauge the potential for a large wind farm on acreage owned by Parkmead near Stonehaven.
The site is next to Fred Olsen Renewables’ 33-turbine Mid Hill wind farm and Mr Cross would like to construct a project of a similar scale.
He revealed Parkmead had been approached by “major wind power companies” who were keen to help develop the project as partners, but said Parkmead already had the expertise required to handle the project in-house.
Mr Cross’ team at Parkmead is the same one that helped him build up Dana Petroleum before it was bought out by South Korea’s national oil firm in a hostile takeover in 2010.
Last year, Parkmead bought extensive farmland in Aberdeenshire from a company majority-owned by Mr Cross’ family as part of its expansion into renewable energy.
It said today that studies were being conducted for the potential development of a large wind farm, while the divestment of non-core acreage is on the cards.
One of the areas Parkmead acquired sits adjacent to the 33 turbine Mid Hill wind farm near Stonehaven.
Mr Cross said: “Parkmead is well positioned for the future. We have excellent UK and Netherlands regional expertise, significant cash resources, and a growing portfolio of high-quality assets.
“The group will continue to build upon the inherent value in its existing interests with a balanced, acquisition-led, growth strategy to secure opportunities that maximise future value for our shareholders.”
Jonathan Wright, research director at stockbroker finnCap, described Parkmead as an exploration and production company “for all seasons”.
Mr Wright said Parkmead’s diversification into renewables provided a degree of “future proofing” and opened up a new “investor-friendly” avenue of growth.
Parkmead Group, of Aberdeen, has widened its search for a host facility for its Greater Perth Area (GPA) project in the central North Sea.
The London-listed firm has been in talks for more than a year with Chinese operator CNOOC about using its Scott platform to receive oil from the GPA.
Parkmead said it was still involved in commercial discussions with CNOOC, but revealed this morning that it was also speaking with “other operators in the vicinity”.
The company said new opportunities had arisen during the year for developing GPA, thought to be capable of producing 75-130 million barrels of oil equivalent (boe).
Parkmead also said new infrastructure studies showed there would be no “technical hurdles” to producing Perth oil from the wells all the way through to the onshore facilities.
Parkmead continues to reprocess seismic data covering the Skerryvore prospect, which contains three “stacked” targets thought to contain 157m boe.
The firm provided the updates in its full-year results statement, which showed Parkmead slid into the red in the 12 months to June 30, 2020.
Pre-tax losses totalled £792,000 for the reporting period, down from profits of £4.8 million in 2018-19, as revenues were halved to £4m.
Parkmead’s loss largely caused by a £1.6m impairment charge linked to the release of non-core acreage from its portfolio.
Gross profits totalled £1.3m, down 78% year-on-year.
The business’ figures were hit by a drop in gas prices caused by oversupply into the European market and the impact of Covid-19 on demand.
The pandemic has delayed the development of the Platypus gas field, 15%-owned by Parkmead, in the UK southern North Sea.
Operator Dana Petroleum had hoped to make an investment decision in the second quarter of 2020.
But Dana said in August it would “re-engage” with suppliers to “understand the viability of sanctioning” Platypus in mid-2021.
Parkmead executive chairman Tom Cross built up Dana into a successful exploration company before it was bought out by South Korea’s national oil firm in a hostile takeover in 2010.
Since then, he has been focused on leading Parkmead, whose current production comes from four onshore gas fields in the Netherlands, where further development opportunities are being weighed up.
Company bosses said financial performance would have been worse, but for Parkmead’s “strict financial performance” and low operating costs of $9.9 per barrel.
The company, which had cash balances of £25.7m at the end of June, said it was in a strong financial position which allowed it to evaluate “further acquisition opportunities in renewables, gas and oil”.
Tom Cross
Last year, Parkmead bought extensive farmland in Aberdeenshire from a company majority-owned by Mr Cross’ family as part of its expansion into renewable energy.
It said today that studies were being conducted for the potential development of a large wind farm, while the divestment of non-core acreage is on the c
The update is a bit phoned in, but key thing for me are the gas sales more or less breaking even. If we were burning cash that would have been a concern.
Just need one of these projects to progress now to get the SP into orbit. Added some more today - under 30p seems very cheap.
Here's to a cold winter to get this gas price on our side.
Just had a cheeky punt this afternoon in my toddlers Jisa's
Good to hear that the company is in discussions with other infrastructure owners in the vicinity of GPA, The Scott partners definitely need a nudge.
Coupled with the "studies showed there are no technical hurdles" quote from the results, GPA seems to be moving forwards.
I have been in for around eight years, now at an average of 60p per share.
Patience needed but the rewards will come I think.
Gas production in the Netherlands dropped 14% on last year despite it being noted that lockdown had no effect. Very much glossed over in the results (they were keen to point out a production increase in 2019). 2p reserves are largely unchanged.
Broker note from FinnCap this morning initiating coverage. A glowing report and a whopping 155p price target with risks taken into account. I’m in.
“We initiate with a risked-NAV based price target of 155p/sh. Investors would do well to get on-board with a management team that has a strong track record of delivering shareholder value”
I looked at the wind farm bit when it was announced...it will be nowhere near the same size as next door, so wouldn't get too excited about that
Cannot argue with that mrc......+8% better than I expected!