Member Info for Andy144

It's free cash flow that needs to be compared. FY2022:$219m, FY2023:$219m (odd that), Q12024:$74m.

Accounting losses and practices have been discussed on here many times and still remain a mystery so it really is only FCF that can be compared with any degree of relevance.

It is probably fair to say that we all, one way or the other, want to influence others even if it is not a conscientious decision to do so. If we own DEC shares then it makes scense that we would like others to do so. If we are shorting them then the opposite.

The difference is that the comments the shorters make are often a magnitude of power stronger than the buyers.

For example, GG says DEC is a con; buying gas in the open market to sell, false reporting of output etc. (Note here that no shorter, pundit, congressional enquiry, or any other body has suggested this - so GG is the only one who knows, somehow).

That is his view and he is welcome to it. He is trying to influence. But the longs cannot respond to these comments in the opposite direction in the same way, saying output is more than stated etc.

So this is probably where the frustration is coming from some are feeling. The answer: If you like the share and think it will get there in the end then just hold, play the market and ignore both the rampers and shorters.

DEC were paying out approx. $40million in divi's per quarter. The excellent and brilliantly thought out divi recalibration now gives approx 2/3rds of that as potential divi BB. Soooo, say about $25m in extra BB power per quarter. Add on a bit to that as they were doing a sort of BB anyway and we get to about $10m a month or about $350,000 a day.

An we get?? Ta Dah! Er....£35,000 per ENAT (every now and then).

Excellent job Rusty, Heel Punt, etc.

I would disagree with that. I have posted a few times a cut in divi will help DEC. They have always sailed close to the wind with cash on hand. The new move will help cut debt, increase cash in the bank, increase liquidity and share buybacks. If DEC find they have too much cash then a special dividend becomes an option.

It's about the best move they could have done given the circumstances.

$12.07 = £9.58ish

And they are PSUs! Really? What performance exactly?

"A 15% increase on production from a known asset they operate to gain 100% ownership is ultra low risk."

A worthy point but did DEC really approach OT during this mess and say "hey, can we buy you out"?

OT reply "sure, how you gonna pay?"

DEC: "not sure...we'll knock up something no one understands"

Or did OT push hard to exit because DEC are a mess?

Well DEC is as good a place as any to put your short money. Floundering about trying any tactic to get things back on track. A catalogue of excruciating errors wrapped up in non English. I don't think DEC is a con, I think it is just poorly managed. Let's face it, buying gas wells and producing gas isn't exactly a new and exciting technology.

The Oaktree purchase is another classic example of the above. Buying your partner's share of something you already run and control is hardly acreditive, and we don't even know how they will pay for it. I bet OT just put up 2 fingers at DEC and told them to buy it or else...

Looks like it has increased to 4.5% now. Interestingly it's about the same as it was in 2018.

What an excellent word, one I will try and use more from now on:

"Hey, officer. My car tyres have just been recalibrated"

"Look honey, Sears have recalibrated the prices of their bassiers"

@Bismarck "cash reserves to pay the divi may run out in about a year from now. "

Sorry, you have lost me here a bit...DEC have practically no cash reserves.

Thanks Lukee

It will all be for nothing anyway if the SP does not get over the £9.35p threshhold. The shorters will be trying extra hard to make sure it doesn't. DEC should start the BB again soon - if they can. If the Tender BB fails then there will be blood.

LL. I agree. On the face of it, it does not like look like a great option. I'm not sure how Dividends are taxed in the US, especially from an II's point of view so that might be a factor. Unlikely there will be capital gains on the share sale either. It's a bit baffling. Perhaps DEC thinking "we have to do something...this is something so we have to do it"

Gavster.

DEC have a pot of $42m to pay. You can either get that as a dividend or get then same amount by dividing this dividend by the share price @ 27th march etc. and selling that number of shares. So if you had 1000 shares you would get about £650 dividend OR get the same amount by selling DEC about 65 shares give or take. If you choose the share selling option you won't get the dividend.

Please explain how this cannot be done.

1% of what?

"Andy = idiot

I am 100% correct.

You can work through any amount of figures in any way you choose."

So you think DEC can be offered 47.58m shares for tender do you?

@TheWednesday

Not quite. You will sell the 68 shares at £10.50p

Wow..Jun_man,

HL have actually got it right.

I will await your apology once you have worked out that you have got it about as wrong as possible.