Member Info for chilting

gkb
The extra reserves adjoining Kraken certainly boost the balance sheet and could help AB if he wants to sell a stake in Kraken.
He does have most of his eggs in one basket, so it would make sense to buy other oil assets elsewhere, developed or existing, to aid cash flow and maintain production levels.

Anyway back in this morning. before the next spike in Brent - hopefully.

There is plenty of space for expansion at the existing premises - that isn't an issue.
Expanding when you are busy is always a problem, especially taking on extra staff and adding capacity - so there are bound to be growing pains.
There is also the option to run out some licencing deals.

OWLS
The past record isn't great, as you say, but M&S is still well priced for recovery and slow long term growth, especially after being knocked by Covid. The SP could easily double in the next 3-5 years.
It won't by any means outperform Ocado in the longer term but it it a worthy addition to any portfolio - especially with the Ocado Retail partnership.

I guess that explains the dip - big order to fill.

Bottom line is - Bentley didn't cost much - it adds to Enquest's reserves - it probably won't be exploited until the other reserves in the area are exhausted - in other words it will be AK's last job and she may be moved to accommodate - it will probably only be developed if Brent is at the right level so a decision on it is way down the line.

To be fair romaron - I was simply responding to both your posts.

What I am saying does have relevance to all companies that produce fossil fuels, including Enquest.

The point is that by capturing the CO2 when using fossil fuels it is possible to eliminate emissions and make their use just as green as renewables.

It would be a joint decision because Ocado Retail drivers would be handling the returnable packaging, so working out a logistical solution would require thought and organisation with new working practices - that would be one for Ocado.

One obvious starting point would be to pack M&S Ready Meals packed in returnable boxes.
The packaging used by M&S at the moment for their meals is a real negative, so an about turn would generate fantastic publicity and reduce waste - win win.

On thing that I would like to see Ocado Retail do in the future is to reduce packaging - a lot of it isn't necessary when merchandising products on line.

It would be great if products could be sent out in durable generic containers that could be returned for cleaning and reuse.

https://theecobahn.com/packaging/loop-reusable-packaging-multi-use-grocery-packaging/

You may well be right romaron, but at least give the technology a chance.

There are rich rewards for companies that get it right and provide energy that is affordable without destroying the planet.

The resources are all around us, wind, sun, waves, biomass or deep underground oil, gas, coal, we just have to work out ways of using them cleanly.

Ocado's vertical farming enterprise will also make a contribution to reducing emissions, not just via the plants themselves but the farms are to be sited next to CFC's, so reducing transport miles - this will be particularly important during the winter.

That's why we need lots of alternatives, but they all have to meet the same criteria - affordability at minimum pollution levels.
The tech is rapidly being developed to achieve just that for renewables and carbon fuels.
Some, like the French will opt for just nuclear, this is a cop out and its far from affordable but it may have a place as the ultimate back up for the grid - maybe one or possible two power stations.

https://www.theengineer.co.uk/bp-plans-1gw-blue-hydrogen-project-at-teesside/

BP's Teesside project keeps natural gas very much in the mix - the plant will capture CO2 emissions for burial underground - if the emissions are not released its just as green as wind power and much cheaper than nuclear.

The power plant could also be adapted to run on coal with the same method of CO2 capture - I am not sure about oil.

It seems that elderly shoppers are more inclined to return to supermarkets with 50% of the increase in sales in the four weeks to 18th April attributed to this age group.
This meant that trips to physical stores increased by 4% in the month but basket sizes were down.
It will obviously take longer for this to pan out but it seems, so far, to be very much as expected.

It looks like the WTB board did a good job steering the company through Covid and are now well placed to push the company forward and gain market share in the UK. The German operation is growing exceptionally quickly and with plenty of capital to spend is quickly becoming a national brand with ever increasing coverage in most Cities.

Providing Covid continues to decline in the UK and Europe, we should see a good surge in demand this summer, with high occupancy and higher than average returns, especially in tourist areas and travel corridors. A question mark still remains on how the business market will recover.

In truth OCDO and MKS are two totally different types of investment and both appeal to different investors, but its actually a good idea to have both types of investment in your portfolio.

For the growth share investor, OCDO is a shinning star giving excellent capital growth over the long term, although for traders and shorter term investors if you get your timing wrong you can walk away with nothing.

The plodder MKS is a much safer bet, there again you have to buy at the right time, but you are unlikely to loose much and there is always the bonus of dividend payments. So capital growth isn't so important for this type of investment, more a case of better growth than a Bank Savings Account or Premium Bonds.

One day growth shares become plodders and then you reap high rewards from your capital growth followed by a bucket load of dividend payments.

The important thing about the acquisition of Bressay and now Bentley is that it adds to Enquest's reserves and also adds value to the assets of the company in a cost effective way.

The value of the Kraken Field has also been greatly enhanced, simply because the productive life of the field has in theory been increased. Even if one or both additions never make it into production the asset value is still there.

Moody's wrote this on 17th June last year - they had previously raised concerns about Enquest's lack of future reserves.
If the price of Brent does increase, I think Moody's will look favourably at Enquest for a positive rerate - note also the favourable response to Magnus.

" EnQuest's ratings continue to be underpinned by its robust operating track record as an efficient independent UK North Sea oil and gas company. The group's reserve base and production profile have been significantly enhanced by the acquisition of the remaining 75% interest in Magnus in 2018 and recent improved performance at the Kraken field, even though its 2P reserve life remains under 10 years of 2020 projected production, underlining the need to bring new resources to production to offset the decline rates of mature fields."

Note, that the acquisitions of Bressay and Bentley directly answer the concern raised by Moody's to the limited reserve life of Kraken.

Smartinvestor
Also the increase in sentiment regarding ITX has a high potential to increase the SP.
With the lack of shares in circulation this could make a very big difference to the SP and it could easily move into the overbought zone.

The SP is bound to be much more volatile now, with all the interest from traders and the resulting higher volume.
Its much better like this than fading on low volume.
Its the percentage of stock in sticky hands that matters now - that as we know is very high and likely to remain so.