Member Info for chilting

Maybe after sorting out the refinancing with the Banks, AB is keen to close the GE deal and the publication of the prospectus is imminent - hence today's rise in the SP.

Yes, certainly moving up against the market - other oil shares are down.

Sentiment might be shot to pieces here, judging by the comments, but the potential remains the same.
Patience is the key for these small cap AIM shares, therefore this is a time to buy for a long term hold, not to sell.

But, don't tie up all your cash in one AIM small cap - you only need a modest amount of these to make a big difference if the SP starts to fly - spread the risk to two or three of these small caps but keep most of your investments in FTSE250 or 100 shares.

Its hardly surprising that US shale shares have bounced back quickly.
The shale industry is much more agile than North Sea Oil, simply because they are land based.
They can just simply ramp up production in months rather than years and with oil prices rising the incentive for big profits pulls up the share price.

SP now flying.

SP being held back by the shorts - it looks like they may win in the short term, but I guess they may asses their position.

Sainsbury's SP is up over 4% and Morrisons is as expected up over 31% - Blackrock also have a 2.29% short here.

I agree that we might see some upward movement here.

The interesting one to watch, apart from Morrisons, will be Sainsburys, they are the most shorted stock on ShortTraker at 7.5% and Blackrock have the biggest holding at 2.49%.

There is a Government backed project that involves installing a small electrolyser at the base of each wind turbine - this would mean that the offshore wind farm would be in effect supplying green hydrogen by pipeline to its on land hub.

The project is in its early stages and it may not be viable, but if it did work Shetland would be an ideal location to scale it up, with Sullom Voe as the hub.

Hinkley Point is just a replacement for other nuclear power stations that are approaching end of productive life.

Its more of an insurance against running out of generating power in periods of high demand.

So the decision to go ahead with it, had little to do with any future energy policy and more to do with saving politicians skin if the power went off while the nation was cooking their Christmas Turkeys.

In the future, if we are to have an all electric world, nuclear will have a place - especially if Rolls Royce can get their small prefabricated nuclear power stations up and running.

As for hydrogen - we will have to wait and see but small scale investment is justified to prove the technology one way or the other. Heat pumps, to me, are bloody useless.

Pelle
I hope it all works out for you, all the time and effort you have put in here, not to mention your investment - you certainly deserve success and that elusive dividend.

Pelle
Yes, that's true, assuming Brent continues to rise in price.

With the growth companies I invest in their fate is largely in their own hands - with oil companies, that is not the case, because as we have seen with Enquest, Kraken's peak production has so far come at a time when the oil price has been low, so there is no control on revenue, let alone a dividend.

So, there is a double gamble when investing in oil - company and Brent - so maybe, although the rewards can be considerable, oil should only be a small part of an investors portfolio.

mrc
All my investments are long term, mainly in growth companies or recovery plays - mostly 5 years plus and I just top slice profit on the spikes.

My only failure in this regard - apart from a few that went pear shaped - has been Enquest.
So, I have come to the conclusion that short term is best here.

if, however, it becomes obvious that Brent is going to have a purple period - as it does at the moment - I will continue to hold or even top slice.

All right mrc - in 5 years time Brent will be valued at between maybe $20 and $140 - how can you base an investment decision on that? - its just a gamble - far better to dip in and out when you can see a trend rather than staying in long term looking for a pot of gold at the end of the rainbow.

So Morrisons have rejected the bid because it undervalues the company - the usual first move - lets see what happens now.

It will be interesting to see what impact this move has on other shares in the sector, including M&S, we could see a healthy rise in the SP on Monday morning as investors evaluate the implications - especially as globally UK shares are perceived to be undervalued - interesting times.

Basically the FT article says that holding oil shares is simply a gamble based on Brent reacting to supply and demand fluctuations - but this has always been the case.

However, the list of variables is now so long that it has become impossible to predict with any certainty at all how the balance of supply and demand will pan out.

So the inevitable conclusion is that oil shares are simply a short term trade.

The only surprise is that its Morrisons - I would have thought that the lame duck Sainsburys would be the main target - it would be much easier to add value - a real challenge for Sir Terry Leahy.

Hardliner Raisi is set to become the new Iranian president making it far less likely that sanctions against Iran will end. Tensions are more likely to ratchet up again and could lead to conflict within the region.

However, China will continue to take all the crude it can from Iran, so in the long run it may not make much difference to overall global supply and demand.

https://www.bbc.co.uk/news/world-middle-east-57537027

The whole sector is down today, including M&S, mainly down to Tesco results disappointing the market greatly aided by lowish volume and shorts.

Summer is always a flat period but even at this time of year, positive news will make all the difference and that is just around the corner - revenue is growing daily from Ocado Solutions and new deals are undoubtedly in the pipeline.

The Saudi's certainly won't let on how much they can ramp up supply - they will always hold the market in suspense - all the while US production cannot swing the market to over supply they hold all the cards and will carry on walking up the price of crude oil - hence my belief that the spike will come this year and it will be very much like the summer 2008 spike.

I think you are over analysing the current situation Kraken - Brent simply went up too fast, too quickly - its just pausing for breath.