Member Info for DrPatience

(From Linkedin) In a reply to Tom Baxter (Senior Lecturer at University of Aberdeen) who sent a clarification letter to the minister regarding use of hydrogen for heating of homes, SCOGOV’s hydrogen special advisor said:

“As set out in our Hydrogen Action Plan, we do not consider that hydrogen will play a central role in the overall decarbonisation of domestic heat and therefore cannot afford to delay action to decarbonise homes this decade through other available technologies.”

Heat pumps are better. Uptake in UK is low and very slow. Same for additional insulation. Gas will be needed in the UK (and elsewhere) for a while...

PS: cookoo, ref your question (which I missed): " i never mentioned about people happy to part with shares where did that come from? ".

I comes from the fact (my own experience) that it is easy to buy smallish blocks of shares (£5-10k) instantly in the market, no liquidity issues at all.

Those selling may of course not actually be happy as such, but nevertheless part with their shares at this price. For me that's mind boggling given we are in the best position ever.(subjective of course what the sp should be). It could be they need the money or just out of fear that oil and gas exploration is no more...

Anyway, I hope that clarifies.

Oiled-up, yes also the only I have seen so far.

However, since the share price jumped 5+ %, I think they are obliged to come clean under Takeover Code, even if only based on rumours. What an acceptable response time is, I don't know!

If nothing in today's papers (not see anything yet), they really ought to come clean with an RNS soonest.

If false, it's better to calm things down.

Selecta, receiving shares as remuneration and receiving subsequent dividends are 2 separate taxable events. The case considers the dividends only, as I recall. How you got the shares is not a material point.

The ruling has been appealed, so I would feel comfortable to continue to treat the payouts as capital gains.

HL is effectively playing it safe, so noone can blame them afterwards if the ruling is maintained, but also leaving the door open to change back to it being capital gains.

Whatever the broker calls the payout, it's ultimately an issue between the individual and HMRC. Each of us needs to decide based on our own judgement.

Cookoo, the reality is that oil and gas exploration is an expensive affair; if you monetise too early, you won't get enough out, as you need data to reduce the discount factors. I think it's ripe now, now that we have such good data on Pensacola. Can the Delt team negotiate and close a deal? To be seen and if not, it's game over, as I think it's tricky to raise $30 million in another round. Monetisation/ farm down is however very much possible at this point. Everything the CEO has stated makes sense to me. Now he needs to deliver! As simple as that.

I appreciate it has been a long and painful journey. I maintain: the assets have never been as promising as they are now. Even just Selene and Pensacola on their own.

Good luck to all of us then!

Cookoo, I focus on fact published around derisking Selene and Pensacola, including the Shell input. These are more promising than ever. The fact that people are happy to part with their shares at this valuation, well, so be it. I keep adding becasue the risk/reward suits me. I could lose it all, so be it. It's called investment and willingness to take a calculated risk.

I am happy with everything I see coming from Delt and Shell at this point. You still hope I am right, surely.

Have a great weekend.

Thanks Oiledup, got it!!

I still cannot see why a bidder wouldn't be interested in the life business?!

Yes, it's a choice in the end :-)

Atb

Oiled up, I'm not convinced/confused. If a bid is made, why would a bidder not want the life business?! (20% or whatever of that UK market). Why would you not want the crown jewels? I don't get it.

And who are the "analysts".

Intuitively...doesn't feel straight to me!

If someone could explain...it's entirely possible I have missed something :-)

NN, see my post 9:18: yes!

They need to issue RNS.

If this confirms they are being approached, it may jump a lot more (£5+?)

If they deny and it genuinely is false rumours, it will drop like a stone back to £4 or whatever.

I cannot see this being false; it's difficult moving such a large share without some substance being traded in the City corridors! Just my personal take.

Announcement/RNS ought to be coming...

Take over code mandates communication to the market in a number of cases, including:

- when, following an approach by or on behalf of a potential bidder to the target board, there is rumor and speculation or an untoward (generally 5% or more) movement in the target's share price;

- when, after a potential bidder first actively considers a bid but before an approach has been made to the target board, the target is the subject of rumor and speculation or there is an untoward movement in its share price and there are reasonable grounds for concluding that it is the potential bidder's actions (whether through inadequate security or otherwise) which have led to the situation;

Amanda, we are all ears!!! Not sure what a reasonable response time is though, but staying silent seems not an option.

The big question is how much is it worth!?

Mulder, you are right! Shares are cheap vs overseas peers; GBP weak...

Vod a basket case for me; huge debt, poor service (personal experiences); no vision from CEO.

Dhub, the business is undervalued for sure. It's being kept down because if the interest rates. The business is doing great and is super solid.

To jump 7% just based on loose rumours is a lot; in my books it means it's more than a rumour and traders in the city are taking it seriously. It's not small guys like us who can move the price this much!! Just my take.

HI100, BP/Shell my shared no 2 holdings, if this happened, newco would move to my top spot! By a mile actually, especially if listed primarily in US. US investors would simply love this :-)

This would be almost too good to be true!!!

Delt mentioned in the article. 4 Oct 2023.

"Subsurface consultancy TROVE claims an estimated 2.8 Bboe could be developed from acreage to be awarded shortly under the 33rd UK Offshore Licensing Round."

https://www.offshore-mag.com/regional-reports/north-sea-europe/article/14299824/uk-33rd-round-awards-could-trigger-multiple-developments-of-discovered-north-sea-fields

"Outstanding Contribution to Energy Security Award, sponsored by Wood This award recognises a company that has made a significant impact in ensuring the UK’s security of energy supply, through the whole oil and gas lifecycle (exploration, production and decommissioning) or the provision of renewable energy sources. To be eligible for consideration, nominees should demonstrate exceptional leadership, innovation, and measurable outcomes in addressing challenges related to energy supply, diversification, efficiency, and sustainability.

Deltic Energy Plc Centrica Energy Storage + CNOOC International Kellas Midstream"

On cookoo's wise words: I topped up!!

MarkGo

You are spot on. The paper market for oil is huge and the big traders' wet dream!!! Sadly creates artificial volatility. Fortunes made and fortunes lost. Not much to do will the physical oil market.

Purdey, I think a fundraise would be tricky, although technically possible. Would need special resolutions no doubt.

We are in the strange situation of (factually) being in the best position ever, yet the share price is very depressed due to sentiments/fear.

1) No one likes a down round!

2) Let's say the cash in bank ($7-8 million or whatever) will cover bits and pieces, including a few more licences, until end 2024. Say the Selene drill realistically requires $40 million, then we will pay 25% of the first $25million, then 50% of the rest; so in round numbers around £11.5 million (apologies in advance if the numbers are not a 100% correct, just working as per what I remember from the August presentation, etc.). Then add Pensacola. In reality we need to raise the equivalent of the whole market cap. That's tricky, really tricky! The investment is so large we are into big boy territory!!

I would actually prefer a fundraise; one where ALL shareholders could participate on a pro rata basis to raise say $30 million; then it is irrelevant what the current share price is. That would preserve the maximum possible share of our financial rights; and also grow the overall value through derisking. I would take my full allocation ANY DAY! I cannot see it happening though; I think we will have an RNS telling us they have monetised/farmed down in due course. This strategy is well publicised, this is the most likely outcome in my view.

Well, yes, don't underestimate what market speculation can do to the market short term. Eventually demand/supply will prevail. Going back up most likely, as much I prefer $85-90...

SE18, rightly or wrongly, I'm on the same page.

Based on historic patterns an RNS is really due :-)

Hopefully something good is brewing but negotiating monetisation/ farm down, possibly with several parties, will take time. However, as you say, this is the declared strategy.

We may also soon hear the results from the 33rd round, although frankly I am not really so interested (nice to have but really for the future). In the past, I seem to recall a 2-3 months decision making period after the consultation on the Appropriate Assessment closed. So they may slip this out just before Xmas...

I guess we will not hear anything further about the survey done to acquire high resolution 2D seismic lines in August/September; presumably it will just feed into Shell's planning efforts.