Member Info for DonkeyOatey

"It highlights a gross miscalculation by political leaders in their assumption that renewables would naturally pick up the slack from declining oil and gas output.

A problem they have created by penalising investment into fossil fuel industries.

It also points toward a disturbingly high probability of global energy shortages… This is backed up by Goehring & Rozencwajg’s recent report predicting multi-fold increases to energy prices set to manifest by the mid-2020’s.

This is a complex problem that has the potential to erode global standards of living.

It’s also highly inflationary.

For over a century we have taken for granted uninterrupted access to abundant energy that has enabled technological innovation and improved standards of living.

But the seeds have been sown… An end to civilisations ‘era of abundance’ is fast approaching.

While this is set to be a monumental miscalculation with potentially dire consequences for the global economy…

There are perhaps a few key areas for investors to take shelter from a looming energy crisis.

The first and most obvious solution is gaining broad exposure through a highly liquid oil and gas ETF.

The iShares U.S. Oil & Gas Exploration & Production ETF (IEO) offers a market-cap-weighted ETF with exposure to companies engaged in the exploration, production, and distribution of oil and gas.

Assets under management stand at around $1.3 billion… The ETF also offers investors a 1.96% annual dividend yield.

With leverage to rising oil and gas prices it also enables investors to capture upside from future discovery.

Given the impetus to find more oil after a decade-long slump, holding exposure to both production and exploration should serve investors well.

However, the service-side of the oil and gas business is also set to capitalise on future energy volatility.

It offers investors a strategy for de-risking their exposure to production shortfalls and declining output among those companies that have chosen not to invest in future supply thanks to government net-zero mandates.

Should the global economy look to re-align itself with stabilising energy supply then capex spending will be enormous… Service companies will benefit the most.

The VanEck Oil Services ETF (NYSE: OIH) tracks the world’s largest O&G service companies… Including big names like Schlumberger (NYSE:SLB), Halliburton (NYSE: HAL) and Baker Hughes (NYSE: BKR).

These are multi-national companies with a global reach.

That limits jurisdictional risk… Something that hangs over producers operating in countries committed to ending oil and gas licenses and development applications."

Lol so the deal is now only worth 6p is it! Funny, it was all about 50p+ before Anglo didn't come forward to buy the company. Good luck waiting for the 6p here, I just don't understand why it isn't more than 8p now, given how transformational this deal supposedly was, and that was going to be in a matter of weeks not months! Haha

Haha, select - I'm glad to say that at least my investment decisions seem to be a little better than yours, at least judging from your decision to hold Arc. Not selling at 8p, 7p, 6p, 5p, 4p or 3p was an absolute masterstroke, no doubt you made an absolute fortune holding all the way down to the 2p range. Haha

Coming from someone who asks for investment advice on a group forum, that's funny. You'd do better to worry about the fact that you may never see the previous highs again, let alone 10p, than fussing about rounding effects when comparing 8p to 2p! Sorry to say you've all wasted millions on salaries and benefits for your leadership here whilst you're shares have fallen in value dramatically. All whilst NvS tells you that things will be sorted in weeks not months -how many months ago was that? At least 3 months ago, perhaps even 4 months? Good for anyone thinking of investing here to research the disaster which was the "executive chairman" in his appointment at Bumi, it's always good to do your own research into the leaders of companies where you are thinking of investing. I did that some years ago, and it saved me from losing a fortune here in Arc! Good to see that seeking alpha are also writing about the Tingo debacle. Which arc employee was responsible for the due diligence, I wonder? Certainly I know which employee will not be accepting any responsibility for it. Enjoy all those riches NvS has made for you all here over the last few years haha

Jarv55, old girl, what I'm assuming is that you're not actually able to read, because what I said was: "So you've all lost 75% of the value of your holdings" nothing there about buying at the top of the market.

I imagine when NvS talks about how rich you're gonna be, you hear the singing o' the angels! Hahaha

Oh they have made you all SO very rich haven't they? Your shares are worth 1/4 of what they were before the Anglo deal. So you've all lost 75% of the value of your holdings, and paid NvS and his merry men how many millions in salary, benefits and expenses during that time?! Genius!

On the wrong side?! Are you kidding?! These have gone down from 8p to the current 2p! I'd say the sidelines during this period were precisely the right side. Just saw another seeking alpha talking about the Tingo fraud. Yet another NvS sucksess for the benefit of arc shareholders. Haha

Lol truthfactory, you won't get any sensible discussion from cheezewhizz, he'll be too busy telling the weak and gullible how rich they're gonna be and that this junior miner (which seems to achieve very little mining) is actually gonna sell for billions, because some acf report said so! 40p per share losses all round!

Perhaps you should ask your very close source to educate you about the value of a redundant FPSO? 900m it certainly is not worth!!!

Always research the leadership at any company where you are thinking of investing your money. Particularly at arc you should research Von shinding, the "executive chairman" and his disastrous time at Bumi. It might well encourage you to think that your money could be better invested elsewhere.

Lol perhaps the rampers should change the record! We've heard for years now how this is about to make everyone rich, all the way down from 8p to 2p now. I don't see how anyone who listened to that advice and went long has failed to lose money here.

Strongly recommend anyone thinking of investing in arc researches the history of the "executive chairman" here and see what he has done in the past. His time at Bumi was an absolute disaster, and it's always good to know the history behind the management of any company you consider investing your hard earned money into.

Greener, again, would nonsense are you talking about? 900m dollars for a redundant FPSO?!? FFS get a clue or stop posting. This will be in the 50-100m range, not just shy of a billion dollars!

What rubbish you are spouting! If neo walk away, there will BE no 12.5% farmout! But there would be a very expensive, for neo, breach of contract claim. But why would they walk when they've agreed this during the dark days of the current tory suicide pact?

What an embarrassing disaster the CEO here. Total Botswana bust after so much hype. But it could be a good punt to above 1p. As PB will have free reign to buy up to 90% in the market, one strategy could be to buy now in the hope they buy everything available beneath the financing price they paid of 1p. It would provide support, and would mean others wanting to buy would likely end up having to compete for supply since Pb will be buying and holding, I suspect. Not investment advice, just an interesting opportunity for a short term trade possibility. Risky but could be a nice reward if it worked.

Thanks for the chuckle, Seamus. Well run company, lol. I suppose it is a well run company if your definition includes: years of poor communication, suspending shares because insiders post market sensitive news, RNSes which talk nonsense which never materializes (such as Jorc resource to be published shortly; how many years ago was that?) Raising money via dilution for a JV which they then walk away from, insiders selling large positions and taking months to notify the market. The list of attributes for your definition of a well run company just goes on and on!!

I think you're about right there, EIE01: just apply a 95% discount and I think you'll be in about the right ballpark.

Indeed. No hurry; Monday morning would be fine.

What discount value are you using in your own npv calcs, vicar?

My advice to you would be this, if you really must have advice: if you make your investment decisions based on the buy/sell recommendations of anonymous posters on a website, then you should seek professional help in more than one area of your life.