Member Info for BouncyDeadCat

spent the week consolidating.
It'll be interesting to see what happens next week. If we remain 10% up by the end of the day, then it bodes well.

Most people who attempt day-trading get wrecked and lose most, if not all of their money.
However, there are a few traders who manage to make a living by getting slightly more TA calls right than wrong.
If you have a wealth of experience and manage to get 55% of your TA calls correct, then you can make money. But you also have to live with the fact that you will be wrong 45% of the time as well.

When news is extremely positive, like it currently is with Char, there are going to be meteoric rises, followed by dips and moments of consolidation (sideways action).

Unless one is going to behave like a day trader, usually, the best thing for an 'investor' to do is buy an undervalued stock, based on its fundamentals and hold onto it whilst the story plays out.

We are only on Chapter 1 of the Anchois story. Sitting on a huge gas asset worth $xx Billions is a good basis for the fundamentals of this small company to play out.

Each time the BoD moves Lixus a step closer towards production the SP will write a new chapter and we'll hopefully move up in price.

Fib lines, RSI etc are technical indicators that traders use to assist them in guessing which direction they think the price will go. Fibs are used to guess where support and resistance lies in the SP and RSI is used to gauger overbought or underbought sentiment over a short term timescale.
I do a bit of TA, but it's not particularly accurate. If you get a 55% success rate then you're doing well.

Yes, it's only an expression of interest from two significant financial institutions, but the fact that there are two of them, suggests the interest is genuinely a keen one. Agreement in principle will be the next step and by then I suspect Char will be close to the analysts target of 31p.
Don't forget, this gas asset is a strategic resource for Morocco.
Someone posted here not so long ago, an article by some numpty journalist claiming Morocco wouldn't be interested in a strategic resource and would instead opt to build an LNG receiving terminal (around $1.4 billion cost to build) and would import their gas from the US instead. It didn't make any sense at all.

To be clear - the revenue Char will receive for selling its gas (for 10 years) will be tax free, not your gains from owning and then selling Char shares.
However, it's this tax-free revenue that will create decent revenues and hopefully, a decent SP ;)

They have a gas discovery valued between $9-$20 billion (maybe even more if the Lixus satellites are proved up through drilling) which they own a 75% stake in, which will produce tax-free revenue for the company for the first 10 years of its production cycle. This Tax-free revenue will flow to Char shareholders (regardless of whatever financial vehicle you hold your Char shares in).

We recently learned that two large institutional lenders – African Finance Corporation and a well-known multinational bank have agreements of interest with Chariot to debt finance the project for the full $300-$500 million development cost.

I was somewhat perplexed when news of these agreements broke as the SP didn't move much, although it gave me an opportunity to pick up another 100,000 shares at a smidge over 6p. I should have had the conviction to buy more as the company was only valued at £23 million. At £36 million this is still a very cheap stock based on the asset(s) they hold and I will buy more of it on the dips. GL whatever you decide to do.

I think it's possible we could hit this on the next major news release, especially if it's either a i) partner or ii) confirmed finance.

Can't quite believe how cheap this stock is still....

Can only assume it's market uncertainty on the deal Char end up with.

Currently we're priced at keeping just 0.3% of our 75% stake.

anyone got an inkling on what it may be?

is having a brain fart day today.

Yes, agreed snott :) it doesn't really matter if it's $9 billion, $20 billion or $40 billion based on where the current SP is at as we'll be so far from where we are currently are! - i.e. priced in (multiple) pounds rather than pence!

Yes, agreed :) doesn't really matter if it's $9 billion, $20 billion or $40 billion based on what the current SP is as it we'll be so far from where we are currentlt - i.e. priced in (multiple) pounds rather than pence!

Snott, it specifically says:

1.2Tcf | 5% per yr Growth | $9 Billion Revenue

So they are calculating $9B reveune from 1.2Tcf.

Whether it ends up being $9 billion or $20 billion in revenue, 28 million market cap doesn't make any sense, hence why we are currently going through a re-valuation.

Question is: What number do we pause on 12 months from now? Analysts say 31p.

Based on 1.2 Tcf.
Expected total resource is 1.8-2.2 Tcf including satellites and other Lixus prospects.

This is where I expected the SP to land when news broke that 2 financial institutes were interested in Debt funding Lixus (hence my intial slight disappointment).

Char is so far off the radar for most market participants, that it's taken a while for the wider market to wake up to what Chariot have in their possession. A 75% stake in a $20 Billion strategic gas discovery and parties interested in funding its extraction already coming to the table!

If the news continues to flow, so will the buying (Obviously with healthy pullbacks along the way).

Don't want to be picky, but I'm a little disappointed with a 26% rise today.

Terrible day on the markets, otherwise we would have got a considerably higher bump than +26%

£23 Million market cap - That's unbelievably cheap for $20 Billion worth of gas that's very close to 1st extraction!

100,000 shares for £6,000!!! :-0

Screaming Buy.

Opinionated but clueless write up.
The author suggests the idea (his own) of Morocco importing LNG from America when it doesn't even have the processing facilities to do such a thing (would cost hundreds of millions of $$$). He/she also disregards the importance of developing and utilizing soverign supplies of gas. Truely clueless.

Your words: 'They failed to address the question about the failure to do a farm out to-date. What do they mean that they won't do a deal that doesn't fully value Anchois?'

I think I've fully explained why they wouldn't do a deal before they fully assessed the extent of Anchois. Before doing so would = a bad deal for shareholders.
Not sure why this is so difficult for you to comprehend.

'But on the other hand, are you prepared to wait for a long time / years until JMW (who hasn't got that many credentials to demonstrate and in a company that hasn't done a deal for a number of years)'

I'm not desperate for an immediate return. Check my history and you will learn that I've been here way longer than you, but for the record, I'd rather wait for a bigger/better payout rather than a small one.

JMW is largely irrelevant. Chariot have a massive gas deposit which is next to thriving off-taker market, he crunches the numbers and I'm happy for them to give a consortium a great deal, just not give it away for peanuts.

I've already agreed with you that Adonis has acknowledged mistakes and disgruntled shareholders, what more do you want... a human sacrifice?

It was your complaint about why a bad deal hadn't already been done that was to miss the point, especially in the face of yesterday's massive resource upgrade. More gas means more of a return for shareholders.

As the acting CEO and largest shareholder, Adonis spent a lot of time on the call addressing the bemoans of shareholders and siding with them. Not being happy with the level of humility shown by the CFO when he's trying to answer questions seems rather trivial.

I agree that not taking management statements at face value is prudent, but however way you slice it, Chariot own an enormous gas asset very close to a major pipeline into Europe, on a shoreline with 2 power stations, in a country with a gas hungry domestic market.

There's both i) Demand & ii) Infrastructure already in place.

To me it's comparable to a city with no supermarket where the inhabitants have to buy their food from a supermarket in another county.

A partnership deal will come as there's a market for the resource as well as the benefit of the soverign security of having it located in the country that's going to use a lot of its supply. All wrapped up in a 10 year tax break from 1st production.