Member Info for bluerill

seriously, what in the **** is wrong with you?

quick correction: of course its 8MILLION bbls/day, not 8 billion

out of curiosity VV, do you post under 'VanVan' on advfn?

yes VV, I see. all good

VV - obviously, there was nothing on dividend tax withholding

Just finished OF's presentation. Each of the half dozen 'zoom' interviews he's done in the past 6 weeks is better than the previous. Oisin actually did a formal presentation this time, so i assume the slide deck is, or will be soon, up on the website. Highlights included frequent references to just how big a value-creator/cash generator this pipeline deal will be and again, Oisin confirmed 'next month or 2' for completion, which is more than reassuring (he even provided a schematic of the pipeline in construction) and a big wet kiss to his critics. In fact, a recurring theme in the presentation was 'exploding myths'. Now I would never claim that OF engages in troll-baiting, but part of the goals of trolls on this board and especially elsewhere over time, has been to promote various myths about sle doing business in Nigeria which, though not at all supported by the facts (eg., a big, fat 6p special dividend that crushed certain souls), they have continued to this day to try and perpetuate. OF - and Zak Mir as well - directly addressed those by declaring more than once that repatriating funds to the UK from Nigeria has 'never' been a problem and that, likewise contrary to popular belief, corruption under Bahari has been significantly curtailed if not eliminated altogether. If I had a favourite moment, it was the slide near the end titled 'San Leon by the Numbers' , which is essentially a love letter to the imbedded value in this company and its cash-generating prospects going forward, that if I hadn't known better, I would have sworn I wrote myself (there was even a short discussion about Jite's two urea/fertiliser businesses, lest anyone forget that we are also a huge gas producer with a captive customer. The 3rd recurring theme was focused on deals, which OF continued from recent previous interviews, providing greater detail and nuance on what ('marginal' fields that would be 'large' ones most anywhere else that need cash desperately) and how (more innovative 'loans to own' deals). Finally, there were quite a few other tasty little nuggets including: 'service' revenue has certainly not been forsaken despite the drop off in c19-affected drilling as we booked $3m (not a lot, but more than I realised) last year, work-overs have almost entirely compensated for natural well declines (another favourite troll myth dinged), and drilling is certainly set to pickup in the coming quarters. There was more, but I'm sure everyone will watch the interview for themselves and/or review the deck. Meantime, dinner of fillet of troll en croute awaits.

Could someone please translate that from the original trollish into at least something you might read on a Reddit thread for incels?

'contemptuous' (sic. correct meaningless insult is 'contemptible') , 'garbage' AND 'rubbish', 'fatty boy' (huh?), and my personal favourite: '.....made me sick....'. Watch out, Warren Buffett. Clearly, a man of many slurs, few thoughts

Sorry, did someone misplace the 'You have to be at least this sentient to post here' sign? You know the one with the baboon scratching its bum on it?

smile

'.....I see this as a genuine triple whammy for SLE shareholders, the export route and FSO from OML 18 will see almost total elimination of downtime and ullage, thus increasing revenues and profits. In addition they should see new 3rd party tariff income and as well as that 14% coupon on the $15m they are lending over four years. The distribution policy at San Leon just got a whole lot better for shareholders.....'

yes

talking $5/bbl tariff, so as much as $50k/day to san leon, when the pipeline reaches its 100k bbls capacity

https://www.proactiveinvestors.co.uk/companies/news/925686/san-leon-energy-s-oisin-fanning-discusses-us15mln-investment-in-energy-link-infrastructure-925686.html

http://pdf.reuters.com/htmlnews/htmlnews.asp?i=43059c3bf0e37541&u=urn:newsml:reuters.com:20200803:nRSC8456Ua
OF once again buying 10% of an asset essentially for nothing, this time its infrastructure-related however, which diversifies its revenue stream going forward and greatly improves its risk profile. The market will like this deal in my view.

This update on Barryroe from Providence/Lansdowne is, in my mind, even more significant than the market is pricing in today, with their respective 6% and 12% moves, though both are already up materially from their March lows. As per the broker quote on advfn (following), the Spot-On consortium makes what seemed almost impossible 6 months ago - the drilling of Barryroe - now much more likely. This of course makes San Leon's recent write-down(s) of its 4.5% NPI appear the result of an over-abundance of caution at KPMG, which is precisely what OF hinted at in his CEO statement in the recent annual report when he said that, despite the write-down, a write-UP was now possible from those distressed valuation levels. Even newer shareholders will also recognise that it was that 50m or so write-down in the interims and then the finals that constitutes the majority of the accounting losses that the company have reported (an obsession over on the other board). Furthermore, my understanding is that in fact, there remains an active trading market generally in royalty arrangements, but particularly in NPIs such as ours which are essentially first in the queue. I have always focused my commentary on the company's core OML18 asset and avoided any ancillary assets in my valuation comments, even Barryroe, but today's announcement not only has me excited that the chances of sle realising something non-neglible for the asset have dramatically improved, but that that value is material and could be realised in the next 2 years (ie., Barryroe may be further than that to actually get into production, the ability of sle to sell the NPI will go up dramatically if drilling is successful and first oil is in sight) rather than 5+, or never. Finally, that broker comment: '.....The 6-company consortium that Spot-On have put together for the development of Barryroe does seem impressive. In the past Barryroe has suffered a number of false dawns with anticipated farm-in partners never quite getting across the line. In my view that has principally been driven by the financial deficiencies of the proposed partners, rather than a fundamental concern of the prospectivity of Barryroe. At circa 350MMboe of 2C resources and with significant additional exploration potential, Barryroe remains one of the largest undeveloped discoveries in Western Europe. With estimated extraction costs of circa US$25/bbl and off the coast of an energy deficient country, it should be highly profitable as a development.....'

PROVIDENCE RESOURCES (PVR); Co is progressing farm out discussions with SpotOn Energy on exploration license SEL 1/11, which includes the Barryroe Oil & Gas field.

Informed inference

Process of board upgrading. Higgs's day job is running Genel Energy and in the post-virus world, that doesn't leave a lot of time for non-exec board roles and I don't know much about Mark Phillips, which kind of says it all.

well, maybe not 'way', but deal looks reasonably oversubscribed. Don't despair too much despite the tsunami of new shares. This is the sort of 'old economy' business that will claim a slice of the future. Share price should be materially higher in 6 months, maybe sooner.