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Interims Results were delayed last year. HUR took advantage of the one-month extension citing the forced change of auditor. There is no reason for a delay this year and there has been no advise by the Company of an intention to do so. Accordingly Interim Results should be out by the end of this week to comply with the three month time limit and with them we might hopefully get some indication of ‘the plan’.
The last fundraise was 17.03.21 for £15m and in the following Interim Results for the period ending 30.06.21 they reported a cash balance of £17m.
2021-year end Results reported a cash balance of £13m, and in the Interims published today for the period ending 30.06.22 they reported a cash balance of £8.7m.
If they don’t get a deal done before year end, they will have to do another fundraise in H1 2023.
Back in April 2021 AB said they expected a deal in 4 months. That is long gone and we now have what is arguably the best financial environment to attract a farm in partner. The only snippet of new information in today’s results is the statement:
“with the majority of interested parties forecast to complete their technical due diligence in October 2022”
I continue to hold, but patience is wearing thin as I am not confident they will they will survive another fundraise.
NSTiger
An update would be nice but as we know management are not exactly shareholder friendly so realistically do not expect one. Read the post by Pisces21 Monday 18.11. Each will have to decide on the veracity but I am inclined to take it as honest. Another week to 10 days and we should see a tanker on its way to Lancaster.
Apart from ‘the plan’, which if they are true to their word should be announced by the end of this month Interim results are now due, 14th October last year and 11th September in 2020. It is conceivable that announcement of the plan will be included with the Interims.
Alibi
500,000$ is not typical.
Rig daily rates vary from 200,000$ to 500,000$
The Paul B. Loyd Jr. is currently on contract with Serica at 160,000$, and next year with Harbour for 175,000$.
Goldenbadger1
The current flow rate confirms your prediction of two more offloads this year. I am expecting the next at the end of this month or early October and the final early December. I can see your point in extending the periods to increase the loads, and thus revenue prior to year end but I doubt they will. The main issue is winter weather which can delay offloads leaving them at risk of reaching storage capacity and having to shut down production. The other question is why would they want to maximise year end revenue just to make the balance sheet look good?
Also if they get the flaring consent a substantial part of their cash will be committed to P8.
Thanks missdosh.
Many are aware AK was a keen poker player but one of his other interests, less well known was camion cross (truck racing on dirt tracks) visiting various tracks across France to report for FranceRoutes.
This is a link to FranceRoutes facebook page which was posted shortly after his death.
https://www.facebook.com/franceroutes/posts/10165628137900370
flowing nitrous oxide, lol.
Monday not Friday.
NSTiger
I read Jockbob11’s post from last Friday with interest and am surprised it has not been commented on before. You are right in that these things should not leak out but remember they are talking to the NSTR and if my suspicions are correct it would not be the first time company information provided to the NSTR (formerly the OGA) has been leaked.
In my opinion the main issue will be getting the flaring consent given that a new well (P8) will be a development of the field beyond the EPS. That said I don’t see total production exceeding the anticipated EPS production of 20k bopd so it would be rather obtuse of the NSTA to refuse given the present energy crisis. Finding a rig will not be a problem.
A correction to my previous post.
"A bidder is obliged in any bid to offer all target shareholders the highest price at which it purchased target shares at any time during the period of three months prior to the making of the bid. A bidder which subsequently acquires further target shares during the offer period at a higher price, must increase its bid price to that higher price. A cash offer must be made to target company shareholders if a bidder has bought more than 10% of the target’s shares before or during the bid."
https://www.taylorwessing.com/-/media/taylor-wessing/files/uk/public-takeover-offers.pdf
see page 12.
So if the bidder has acquired shares prior to the bid the minimum is the highest price paid in the last 3 months
flyingpie
The quote is correct but it only applies when the bidder has already acquired 30%.
If a potential bidder has less than 10% of the shares in issue there is no minimum amount that the bidder is required to offer. Obviously the bidder will have to offer a premium to the current sp and this is usually 20-30% as any thing less is almost certain to fail to attract sufficient interest. As I said in my original post 25% would be realistic.
https://www.thetimes.co.uk/article/tories-rush-to-drill-for-more-oil-in-north-sea-mtstjhv0d
"Liz Truss will approve a series of oil and gas drilling licences in the North Sea in one of her first acts as prime minister as part of a long-term plan to ensure Britain’s energy security."
A quick sale at 15p certainly looks very attractive and is obviously appealing to many here, but is it realistic?
First if an offer is made for the Company what would be a realistic premium to offer over the current share price? 25% might be realistic, 50% would be generous and 100% is fantasy world. Second why is now the right time to make an offer. Whilst it may suit Crystal Amber to have a sale no potential buyer is going to act simply for the benefit of CA. They will only do what is in their best interests when it suits them.
Do not over rate CA’s control of the Company. They have three nominees on a board consisting of eight members. Regardless of how much distain there is for Maris and Chaffe they are management and therefore running the Company. I do not see the Board as a whole agreeing on a strategy purely to suit CA’s timescale.
HUR may be a cash cow for the moment but for how long. At some point drilling Lancaster will be required if the life of the field is to be prolonged. They can dabble elsewhere but that is just delaying matters and the Company will still be reliant on its main income stream. In my opinion the sooner they get on with it the better.
MPO818
I'm still waiting patiently for Dickinsons.
The maintenance shutdown period is usually 10 -14 days. I expect the next offload to be around the 7th October. Regardless there will only be two more offloads before year end. What will be of interest is how the reservoir performs post shutdown in terms of the extent to which bottom hole pressure recovers.
However, before the next offload we should have news from Management (if they are true to their word) on the future plan. Will it be P8 or are they going to invest elsewhere. For those who can’t be bothered to read the Company website I would like to point you to their page tilted About us where you will find under Strategy “Hurricane’s strategy is to create shareholder value through monetising the reserves and resources associated with naturally fractured basement reservoirs within its portfolio .“ The question is does this remain true because if they are planning to invest their cash pile elsewhere they really need to update their website to avoid misleading investors.
For all those who are in on the expectation of a takeover dream on. The industry said fractured basement and sniffed.
BHP reported today and it’s worth reading their results as an indicator of where the oil price is going.
daltry
He was not given free shares. It was his company which he retained an interest in represented by number of shares allocated.
daltry
We were told in the AGM presentation that a decision on drilling P8 will be made this summer.
Picsmaister reporting on the AGM said in his post “On a more positive note, and from speaking informally afterwards, I do think they working actively on a plan to develop P8 and/or to merge or acquire existing business. Decisions promised by end of Sept (after being pushed to define what was meant by end of the summer)”
Interesting to note that the AGM presentation is no longer up on the Company website.
What should HUR spend their cash pile on.
Should it be on developing and extending the life of Lancaster. Whilst this has risks, I believe that it will provide a better return than investing elsewhere. Or do they go on a buying spree. If so three questions arise. 1) how much of the current cash pile should they spend. 2) What percentage cash return might they expect to get, and 3) Does HUR have in house the expertise required to identify the best investment opportunities.
Answers please
I have held Admiral for that last ten years and the dividend has increased every year. The yield, including the specials has consistently been 6% or more.
If you strip out the Portal Penguin cash return dividends over the last three years were 2019-140p 2020-156.5p and 2021-187p and if you then calculate yield based on todays closing price it works out as 7.15% for the 2019 dividend,7.99% for the 2020 and 9.55% for the 2021.
In my opinion the market has over reacted to the results of Sabre and Direct line. The sp had already dropped 14% when results were announced on the 3rd March and the explanation can be found in the CFO’s review “We expect that Group profit in 2022 will be lower than 2021 and 2020” see page 8. So if profit falls back to a pre 2020 level then surely the dividend will not be anything less than 2019 dividend which gives a 7.15% yield. Plus there will be the third and final Portal Penguins dividend of 46p to be paid with the next interim in October.
I’m looking forward to the Interim results on the 10th.
Just a thought. Assuming it is a buy it seems most likely that the order was filled or substantially filled yesterday which could explain yesterday’s rise and why the sp has not moved today.