Member Info for chilting

I got mine today via Interactive Investor.

Todays RNS may have evoked a degree of confidence in the market but much needed clarity is still required before we see a rerate. Presumably a prospectus means some sort of equity raise?

Meanwhile Brent continues to rise.

When Enquest do finally get their act together there could be a pot of gold at the end of the rainbow - its just that the rainbow has a habit of disappearing.

Maybe the extra working capital was needed to provide a new production line to manufacture the products that will be used for producing bio-plastics and or paints???

Encouraging start this morning, SP back to around 20p but no real buying surge as yet - more clarity is needed - that will come when the prospectus is released.

It seems that the news of the debt facility has probably been leaked, so Enquest has cobbled together an RNS before they had a chance to finalise the details for the Golden Eagle prospectus???

Very welcome news this morning but rather lacking in detail as is usual with Enquest.
Everything else still to be revealed in the Golden Eagle prospectus but no indication of time frame - I did hope that we would see another RNS this morning.

More detail to come in the Golden Eagle prospectus - maybe that will be in a separate RHS before the market opens.

https://www.londonstockexchange.com/news-article/ENQ/new-senior-secured-debt-facility/15013487

gkb
Yes, they have some shiny new planes curtesy of our friends in the US - no doubt one of them will take off to order when Johnson and Bidden have their photo op with the aircraft carrier as a backdrop.

And this is just for you -
https://www.youtube.com/watch?v=0RbKStEFNT8

Its not just a frigate gkb - they now have an aircraft carrier - HMS The Prince of Wales, no less.

Yes, very true but it also evens out demand and has potential to make oil and gas more expensive than renewables.

Politicians are under pressure to combat climate change - this is another way than can meet that commitment.

The carrot to oil companies is to reduce emissions by, for example, carbon capture - then they can dodge the taxes and earn tax refunds that will hopefully cover the additional costs and also earn extra revenue.

The next step by Governments will be a carbon tax - I guess it will be discussed in Glasgow in November - to even out the market in fossil fuels and renewables.

The idea of taxing oil and gas producers to raise funds for Governments to subsidise investment in renewables may be rather unpalatable for some.

Dilution is very minimal - working capital is needed to fund expansion of production facilities due to surge in demand.

mrc
Filtering Kraken because he is making accurate observations is rather a head in the sand reaction.

The underlying question is why are shares in the whole UK oil sector underperforming Brent?

ITM Trading Update is out this morning, could impact on the SP here.
Their update is very positive for the future but revenue for the year to 30th April is down, although they have plenty in the Bank.
There does seem to be an element of smoke and mirrors in the trading update???
It will be interesting to see how the market sees it.

The trouble is that volumes are now likely to stay fairly low throughout the summer, and it won't be until September before they pick up again.
So, I guess Blackrock are onto a winner - the traders at Blackrock have programmed their computers and gone on a long summer holiday and will return in September to a nice little earner.

That's only half the answer Jan - the SP's of other UK oil companies, including the majors, certainly haven't responded as strongly as expected to Brent at these levels.

At least they get it, and they are the worst polluters but 2050 is a long time scale but welcome nonetheless.

https://www.reuters.com/business/sustainable-business/canadas-oil-sands-producers-form-alliance-achieve-net-zero-emissions-by-2050-2021-06-09/

My guess would be an extra production line is being installed, plus extra staff to operate it.
In day to day manufacturing, everything is simple - more orders, from more regular customers = extra capacity - that's why Itaconix have so much growing room at their unit.

Kraken
The last time Brent was this high was in late summer 2018 - the SP hit 43.8p at that time as I am sure you remember.