Member Info for BouncyDeadCat

What's a bulletin board for if not for posting ones bullish/bearish case and buying/selling accordingly?

It was the usual perpetual whingers who were doing the sniding.

Anyway, hopefully onwards and upwards from here. Market has been a bit punch-drunk of late.

GLALTH's.

for the buys I made between 13.5p-15.25p two weeks ago and got mocked for....

;)

It's far beyond conceptual.

They cannot RNS or speak publicly about having done such things unless they are true. Otherwise a jail sentence awaits them (it's called securities fraud).

Envirionmental and Social imapct assessment underway
https://www.youtube.com/watch?v=-aDqv-8a5Zo

They've signed a Pipeline Tie-In Agreement with ONHYM securing access to the major Maghreb Europe Gas Pipeline.
https://www.chariotenergygroup.com/wp-content/uploads/2022/09/Pipeline-Tie-in-Contract-signed-in-Morocco_Chariot-Limited_7.9.22-Final.pdf
They have also agreed key principles for long term gas sales from Anchois with the Office National de l'Electricité et de l'Eau Potable ("ONEE"). Which is the precursor to a GSA.
https://www.chariotenergygroup.com/wp-content/uploads/2022/12/Moroccan-Gas-Sales-Principles-Agreed_Chariot-Limited-12.12.22_Final.pdf

I continue to invest in companies that I believe, in time, will produce a good ROI.

And I sell the ones I don't.

What I find 'perplexing' is why anyone would buy into a company and then spend every day whinging about it, rather than selling it and moving on...

You're perplexed over sentiment and how it works!?!

Surfit, personally, I don't trust a word Janet Yellen says.

However, regardless of the soundness (or lack thereof) of the US banking system, the world needs O&G to function and if they have to print a whole lot more currency to sure up the financial system (I don't see any other way around their problem(s) other than money-printing), O&G will rise to meet that additional currency that needs to be printed.

Inflation over the next 5 years is going to be very sticky and being in commodities (during a time of high inflation) is going to be a good hedge to preserve one's purchasing power.

Expect lots of volitility, but general price direction for O&G over the next 5 years will be up.

IMO; Once Chariot starts laying pipe to Anchois - value will be realised quickly. Until that point, things may feel a bit rocky.

Just my opinion. DYOR etc.

is because down-the-line it will be essential for desalinating sea water for Project Nour.

But ENEO can and hopefully will, be a very good revenue accretive acquisition for the current Chariot Transitional Power arm.

Mines are notorious for using lots of water and turning that water rather toxic post-use. Chariot Transitional Power currently provides renewable power to mines. If it can use some of the excess renewable power to also treat the contaminated water produced by mines (using ENEO's technology and process) - then they will have a nifty add-on to up-sell all of these mines they provide power for.

It appears to be what they valued it at when the deal was done. And ENEO can't come back for more shares if the price is lower than 18p on final closure as a maximum number of shares was put on the deferred consideration of $0.5 million.

The wording 'up to' implies they have capped the value to $0.5m as well as the maximum number of shares that is able to represent. So it appears the number of shares eligible to be handed over in the 2nd tranche could go down (say if the SP of CHAR were to be higher than 18p on the date of deferred consideration), fewer shares than 2,267,694 would need to be handed over in the 2nd tranche.

"Deferred consideration also payable in Chariot Ordinary Shares up to US$0.5 million (representing a maximum of 2,267,694 shares)."

2,267,694 shares x 2 tranches x 18p
Convert it to dollars
= $1 million

I don’t feel anything about the SP other than it’s very cheap for what you get and I don’t share any of your concerns that an impending disaster must be imminent because the SP has gone lower.

The SP has gone lower because the market has gone lower across the board.

Chariot has taken no more of a beating this week/month than the other 2 O&G stocks in my portfolio (BP & Shell). All 3 companies are down between 16-17%.

1 month SP performance:
BP down from 567p to 476p
Shell down from £25.85 to £21.93
Char down from 16.50p to 13.60p

Wide spread. If you're price is closer to the stated ask than the stated bid then the computer will guess at it being a Sell rather than a Buy.

Then you haven't been paying attention.
Oil dropped $13 per barrel in 5 days.
The fear of Credit Suisse collapsing was causing fear in the market, particularly amongst European banks.
SocGen was down more than Chariot yesterday (-12%).

Last time there was volitility in the markets you were on here telling everyone Chariot was about to release some devastating news which never happened.

the Swiss Central Bank bails out Credit Suisse.

https://www.ft.com/content/adb74b25-ee03-4bdd-8c7a-4dcc6c95fcac

It's also important (especially on down days) to keep in mind the importance of developing Anchois from a sovereign perspective.

A few years ago, Morocco's gas supply was completely cut off by Algeria. Ever since, it has been relying on the good graces of Spain to share some of its US (LNG) imports.

It's why things have been moving quickly for a project of this size.

The only way fear of contagion can be stopped is if the FED realises its mistake and reverses policy (like it did in 2018).

I'm betting that it will, because the alternative is a complete collapse of financial markets.

The fear of contagion is out there.
https://finance.yahoo.com/quote/GLE.PA?p=GLE.PA&.tsrc=fin-srch

Everytime I buy another chunk I get 1,000 more shares :)

No idea where the short-term bottom will be, but...

The FED either reverses policy (stops hiking & starts printing) or we get complete systemic failure of the entire financial system. 2 small banks and 1 medium sized bank have already gone under and Credit Suisse is teetering on the brink. If Credit Suisse collapses, then other European banks (including SocGen) could follow (contagion).

So the fed will have to pivot - when it does - I want to be in assets, particularly hard assets (Commodities, O&G, desirable real estate, Gold & Bitcoin). More QE will result in continued currency debasement and inflation.

We're at the end of a longterm debt cycle - You have to put your cash somewhere - if you don't - it will be debased into nothing by policy makers /central banks.

DYOR.

Still think it presents great value based on Anchois alone.

This is my post from 28th April 2022 when the share price of RR was at 82.72p and I was loading up the truck.
To all those who ridiculed it - where are you? ;-)

"Not sure why anyone would pay too much attention to EPS or the P/E ratio when looking at the post-covid financials of this company.

A lot of planes were literally grounded for the best part of 2 years and Rolls Royce's largest division (Aerospace) wasn't profitable because of that.

So while a P/E of 56 may appear high on the surface, when you take into account Covid as a rare exceptional black swan event that happened across the world and stopped us all from travelling to different countries, you quickly come to the conclusion that the low profit that has created this high p/e multiple is no indication of a failing company, but because of a rare black swan event (pandemic) which is now (hopefully) behind us.

In the case of RR. I think the Price to Sales ratio (P/S) is more revealing in terms of showing how much exceptional value is on offer if you buy this stock now.

The P/S ratio for RR. is just 0.6. Which means the entire market cap of this company is valued at just 60% of the revenue it earns in 1 year. or in other words; you're paying 60p for every £1 Rolls Royce makes.

When RR's civil aerospace division becomes profitable again (instead of being a drain on cashflow) the P/E ratio will reduce.

On top of aerospace sales coming back, you also have increased defence spending and the new SMR division too.

A P/S ratio of 0.6 therefore looks very very good value here."

@15.25p
No other reason than; thought it was a good price (based on Anchois alone).
Good luck, DYOR etc.