Member Info for chilting

So, we sit on our contrarian investment for another year, as the SP tanks, and hope that the green shoots finally sprout.

Good luck everyone.

SP is falling back, but on very low volume - still a firm hold.

mrc
Any improvement over 2020 is a victory and will have a positive impact on the SP.

Kraken has been the saviour and the villain at the same time.

The production from the field has provided vital revenue but the capital costs have been crippling.

The problem was simply down to timing - if peak production had come when Brent was high, Enquest would be swimming in cash now and dividends would be flowing.

As it is we now have to hope that Bressay and/or Bentley can be tied into AK to lift production, and next time around Brent is high.

Production is disappointing but there is real evidence of improvement generally.

With Brent at current levels the dismal performance over the last few years can now be cast aside and the SP will respond accordingly.

In other words - any improvement has to be good news.

Reuters are reporting no change likely in OPEC+ policy with the group not responding to calls for a large increase in output - the existing policy of gradually increasing supply to match demand looks set to continue - all good news for Enquest.

https://www.reuters.com/business/energy/opec-raises-2022-oil-demand-growth-forecast-2021-09-01/

Surfing with the tide out I think Ginadmilk - Woodford's new venture seems to have stalled with this very appropriate webpage.

https://wcmp.co/

I think romaron is suggesting that we tranquilize mrc ahead of tomorrows results, to calm him down a bit - poor guy cannot take the strain - his trading instincts say sell on news, but logic recommends a hold.

All set up for a long term hold - excellent news on new products - results next week will confirm long term progress - SP will fly at some stage.

Trading actually indicates indecision - its much better to invest long term for capital growth and dividends - then top slice to take profit - I will top slice with Enquest at some stage, but at the moment its a long term hold with lots more upside.

mrc
You may be ready to jump like a frightened rabbit in the headlights, but that would be rather stupid.

The fundamentals are strong here - we have green lights from Enquest and Brent - the outcome will be good over the coming months, even if for some reason the SP stumbles on the day.

The only potential red light is Government regulation sometime in the future, but that can be set aside for the moment.

Interesting video

https://edition.cnn.com/2021/08/29/business/insectta-black-soldier-fly-maggots-hnk-spc-intl/index.html

Ida has taken out about 13% of the US refining capacity at the moment - some of this may take a while to get back because the refineries are antiquated and power outages continue - most are over 50 years old.
Port Fourchon where winds of 153 miles an hour hit when Ida came ashore is a rebuilding job - this is an important servicing port for the offshore oil in the Gulf.

Brent now showing signs of getting back to the month's high and is a strong buy - bodes well for Thursday.

Jan its now or never.
Assuming that the results are published on Thursday and Brent remains strong, it is imperative that the SP does close over 30p on Friday - if it doesn't then Enquest would have failed the test and could slide or flatline - momentum has been very good, but the SP needs a big push now to rerate and push on towards 40p.

https://www.reuters.com/business/energy/oil-rises-hurricane-ida-pounds-us-crude-patch-louisiana-2021-08-30/?taid=612c85806415690001038b41&utm_campaign=trueAnthem:+Trending+Content&utm_medium=trueAnthem&utm_source=twitter

I guess we will find out by this evening.

Ida came ashore near the oil field servicing port of Port Fourchon with winds of 153 miles an hour, looking around that area it would seem that there is potential for major damage to the US oil industries infrastructure that could take weeks to repair.
Even the Mississippi flowed backwards for about four hours.

Aloj
Be careful what you wish for.
If energy costs go too high that will damage the economic recovery and reduce demand, then Brent will dive back towards $40 to start the whole cycle all over again.
Do not kill the goose that lays golden eggs!
Brent at around $75 is good for everyone, including Enquest, in the short and long term.

M&S are doing a good job at keeping all their options open without putting all their eggs in one basket.

The obvious move to online groceries is being fully exploited by the partnership with Ocado. Also, M&S.com is starting to gain traction, although it has some way to go and can only be regarded as a work in progress.

The stores are trading much better now than they have for some time, with unprofitable High Street stores gradually closing to be replaced by out of town stores or better placed High Street stores.

The assumption that many people make, including John Lewis, that the future is just online is clearly ludicrous. Its all about getting the balance right between online and physical stores and M&S seem to be heading in the right direction to do just that.