The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
NATURAL GAS 23 Jan 2020 | 09:00 UTC London
UK's Europa continues search for Irish gas partner after major pulls back
https://www.spglobal.com/commodityinsights/en/market-insights/latest-news/natural-gas/012320-uks-europa-continues-search-for-irish-gas-partner-after-major-pulls-back
I was just pointing out that Ireland will be a very difficult sell to any potential farminees, something WH was pretty clear on. The problem is finding a farmin partner with the balance sheet who wants to take a political risk and exploration risk. That is pretty difficult in a western European country, much less one that for the last several years or more has stated they do not want fossil fuel production in their country.
The Irish government may give an extension and we will open up a farm out but who is going to farm in. That is a significant risk. The big companies who have the financial ability just wont touch it because they dont want the negative pubicity. I would seriously doubt if Shell, BP, Equinor, CNOCC would farm in. It is a very big ask to find a farm in partner. WH basically said that, just ask him.
Yes, it is what we want but right now, nothing has changed and they want to appoint two new directors to replace SO and SW, so back up to 5 BOD. I suspect the selling of shares is just shareholders saying at the moment they cant see a story which will make the share price move. Just like OLD18 said was making him sell his shares after 10 years.
We can change direction of the share price but need to remove WH to show the remaining shareholders that things are changing
Well nothing will change if people don't vote for change. The share price is 1p. How is it that people are happy with that? They will be voting for a BOD who awarded themselves and not shareholders, have nothing new to offer, particularly in the near future. We may get an extension on Ireland but who is going to farmin? There aren't many companies who will drill exploration wells in Ireland. The BOD have made it clear that the Canadian Pension Fund who owns half of Corrib are risk adverse (they are a pension fund after all). Who does that leave? Cloughton is on the King of Englands land, good luck getting that drilled. What are you left with Wressle which has been a pension fund for the Directors.
If you dont want change vote to keep the current BOD who in my opinion have firmly said they could care less about the share price because they didnt use it as a KP when they awarded themselves.
As of now, nothing will change, yes we will get an increase in production and maybe more reserves but nothing transformational
Well nothing will change if people don't vote for change. The share price is 1p. How is it that people are happy with that? They will be voting for a BOD who awarded themselves and not shareholders, have nothing new to offer, particularly in the near future. We may get an extension on Ireland but who is going to farmin? There aren't many companies who will drill exploration wells in Ireland. The BOD have made it clear that the Canadian Pension Fund who owns have of Corrib are risk adverse (they are a pension fund after all). Who does that leave? Cloughton is on the King of Englands land, good luck getting that drilled. What are you left with Wressle which has been a pension fund for the Directors.
If you dont want change vote to keep the current BOD who in my opinion have firmly said they could care less about the share price because they didnt use it as a KP when they awarded themselves.
It was great to see the shareholders get rid of 2 useless and very costly non-executives. However, I agree that they will just replace the 2 non execs with 2 new non-execs who will also do very little. They will hide behind corporate governance which has been blantanly disregarded in the past,eg , an ex CEO who ratcheted up his own salary move to chair of the remuneration committee and more. Two new non-execs will not do anything to produce change. It was a shame that AS did not get voted down because that leaves the door open to say we need 3 non-execs because we have 2 execs.
We can still implement change by voting off WH. He clearly doesnt offer anything new and between him and AS they are costing the company over £600,000. It was clear that the BOD have lost the confidence of the shareholders and the only way we are going to implement real change for the shareholders is a board clear out.
Yes I would also like to thank Paul for all his efforts in informing the shareholders how to vote their shares through the nominee accounts. This was a combined effort but I don't feel that getting rid of 2 useless non executives will make much difference. We need to see a clean out.
I think the agenda is that, he is wealthy, has taken a lot of money out of the Company and has spent very little supporting EOG buying shares and has very little skin in the game. It's not the kind of Director I want.
Serif, it is your call if you think it is not a time to change BOD. However, I urge you to look at the share price today and ask why even after an increase in Wressle the BOD cant entice anyone to buy shares. They simply have lost the confidence of the retail market and institutional investors. A change of BOD would indicate that the company is changing. The Irish licenses haven't gone away, BOC doesn't have a monopoly on speaking to the Irish government. Any new Director should be able to speak to the Irish government. They either will or wont give the extension as it has already been applied for. I think it is more in the hands of the Green Party than any of our so called Directors.
Yes it is a good well but the current directors didnt bring Wressle into the portfolio. They are just using it to say ' look we deserve our pay'. The share price cant rely solely on one well and the Irish promise
'BOD' are rattled'
They should have been rattled years ago, and particularly after last years agm but they did nothing, not until they think their jobs are at stake. Still i bet they wont be saying we are leaving, not with their take home pay!