Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
So on Monday 12:41 Crude wrote: -
10% of our mid-case prospect inventory equates to 2TCF at 47p per TCF. Add in 90% of the value of our discovered 0.5TCF & we can see that brings us to over £1 per share (not including Sidi). Fingers crossed but I reckon that's peanuts for a big buyer looking for loads of running room & cheap to extract gas with a guaranteed path to market at excellent prices & a 10-year tax break! Come on James & co...sock it too them!!
Crude...ever hopeful of a very satisfactory outcome at 'LE'!
ENDS
The original email from JP was before seismic.
OLEUM
I read this on Monday and asked myself, do we have any belief in this? If so why is the SP only 12p today?
Has the market got it wrong or are we all dreamers?
Crudehope's post---
Singwhenyouwin, I don't know if the same rules apply without finding any more gas but if we could hang some hope on a belief that we have proved the presence of a hydrocarbon system then what James advised could yet make us a decent profit! here's what he said:
"Good morning Kirk,
I am just beginning the process of responding to questions and yours is top of the list"!
"We haven’t provided any updated guidance on a value per Tcf – that was a conscious decision for a variety of reasons – mainly that we do not yet know the gas sales price, which is the most important variable. As we approach FID we will put a number in the public domain".
"Regarding the proved up volumes and how a purchaser might value the business…. I think the way to think about this is that we should get a high percentage (maybe 90%) of the P1 volumes and then a low percentages of the unproved volumes. The key variable which the seismic helps reduce is the risking of the unproved volumes. So right now, based on public information, we might get say 90% of our proved 0.5Tcf and a small percent, say 2% of our 31Tcf potential. Post seismic perhaps that 2% increases to say 10% or another number as we will be able to demonstrate with a prospect inventory how our 31Tcf is built up. More drilling and re-entries will increase in the proved volumes but actually most of the value uplift will come from the seismic".
Hope that helps explain our thinking Kirk.
Cheers,
James
"most of the value uplift will come from the seismic".......................we can only hope that still proves to be the case!
Cheers, Crude...ps, that Elton John movie was great fun!
OLEUM
My apologies; re my post of Friday 11:40. There is 'bad' language in the video so don't view if you are sensitive on such issues. I don't use such language myself but each to his own. I already have SMP and have held for a long time with my average at a much lower price so no ramping. Just Buy The Dip. DYOR OLEUM
I have tried to follow this advice; the only difficulty is to know when the DIP is the DIP. Stop guessing it is here now withSMP. https://www.youtube.com/watch?v=0akBdQa55b4 OLEUM
Mayfield, I felt sorry for you talking to yourself. I then noticed Rivaldo. I got into NCC in June 2012 at the equivalent price of 125p. I think that you will find that the institutions will have taken up the 11m left over from the 1 for 10. I expect that there will be a period of consolidation following the recent rise but I am in for the long term. I don't know whether you picked it up but the main owner of FoxIT picked up Euro60m as a result of the takeover. FoxIT looks a good business with its own special sectors. The important thing is to keep the staff joining the group. I thought the figure was 170? Being mainly Dutch nationals they will speak good English and the Dutch are normally trilingual. Good times ahead for all I hope, OLEUM
Dear All, Has anyone any views on the current price following the trading announcement of 15 April 2015 and the subsequent drop to 670p on 21 April? The SP seems to be creeping up; was the drop overdone and how do you rate them now? OLEUM
AMEC came up with disappointing results at half year and negative statements about oil and gas on 7 August. GDWN say 2015-2016 might be affected. Don't panic over price fall. 15-16 is a long way off. Europe will need more gas if Russia withdraws its sources. Buy at 3400. OLEUM.