George Frangeskides, Chairman at ALBA, explains why the Pilbara Lithium option ‘was too good to miss’. Watch the video here.
@ Trek,
"And the unit costs are below 1.9 and that’s allowing extra for plugging!"
I assume this is their operating cost including debt and plugging, excluding divi & profit? I think I read that they need $3 to make the business model work comfortably and pay current divi, anything above $3 being a bonus?
It was almost 20p when they started commissioning last spring. If it can make this work I expect a lot more than 20p for all the risk, worry and previous losses I've experienced with this roller coaster company. I'll either be exiting at 30p+ or cutting my losses at 3p by the end of 24, LOL
Thanks for posting that Bubba
Shouldn't this sort of thing be subject to an RNS?
George,
DEC will pick and choose when and for how long to hedge based on the available prices. They are now presented with quite favourable prices to choose from for the next 3+ years. Completely meaningless to you perhaps George, but not to DEC or the rest of us here.
Average NG futures prices based on today's rates -
2025 $3.6
2026 $3.9
2027 $3.8
Dividend should secure for some time yet IMO. I'd load up even more at these prices if I hadn't already put in as much as I'm comfortable with in a single company.
so there's a new short in play today. caused sp to drop to a little over £8 at one point in london, finishing around £8.50 but soon to recover to $12.89 across the pond which is basically £10. in my book that's a big fail. better shorting next time, ******s!
Https://twitter.com/SeplatEnergy/status/1749788261273252015?ref_src=twsrc%5Egoogle%7Ctwcamp%5Eserp%7Ctwgr%5Etweet
We're working with the National Oil Company & the government & we're optimistic about a speedy resolution of the MPNU deal. We estimate that our turnover revenues will probably go 2 to 3 times what they are today in terms of production. #transformingLives #SeplatEnergy
Ok, thanks for the explanation Axe
It all seems very odd to me. I understand, and to the best of my ability follow, Benjamin Graham's mentality. The way markets now work seems completely irrational to me. I guess that puts me in the "not too many brain cells" category.
So let's consider Graham's strategy. When the share price is depressed and disconnected from the company's fair value for no good reason one should buy. Providing that the company you've invested in is sound and has a long term future it should only be a matter of time until there is a correction and share price rises to something approaching fair value. At that point one should probably sell and search for other value opportunities
Presently this is in deeply undervalued territory IMO
I guess the issue here is that while I just give shorters the middle finger there are weaker retail investors who give up and sell. I will sell of course, but not at anything like these prices!
Shorts should definitely not be made illegal. Shorts are especially important in hot countries, particularly where people need to work outside of they have no A/C in their office.
In all seriousness, is shorting not often connected with market manipulation? Was the first short here not opened the day before the congress letter ? I don't believe in coincidences of that nature.
Why oh why did I not take profits, or better still sell out completely in the spring when commissioning began and SP was >18p?
Reason - I was greedy and expected production to ramp up as planned, for us to be raking in $$$$ and for the SP to be in the 30's by now.
I neglected to take into account the Hummingbird factor, LOL!
We know that DEC hedges most production 12-24 months ahead.
Feb 25 to Jan 26 ave futures price is $3.5
Feb 26 to Jan 27 ave futures price is $3.9
I think I read that they need to average at least $3 so if they've locked in prices similar to the above or better for 25/26 the future looks good.
I think it was Benjamin Graham that said something to the effect that a share price is just a quotation or an offer to buy your shares. You obviously don't have to accept it.
So long as there's an annual divi of £2.76 / share or anything even remotely close to that number I'll not be considering offers or quotes under £15 to past with any of mine.
If something changes fundamentally I may reconsider, but it hasn't as yet.