The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
Not sure if I missed it before or if they just updated but the page on their website now says;
Due to the holiday period, Investor Questions for this month will be answered on 3 January along with the usual quarterly RNS production release.
Glad we finally have some good news. One technical question though and I’m not trying to dampen just learn… aren’t they still limited by the compressor?
5m cubic feet a day is what 50,000 therms a day? So x31 is 1.5m therms a month - which is the compressor limit anyway?
Or have I missed something?
Thanks!
Hey Hallowed Whenever the company talks about the GSA, or the FID and TE5 they are talking about the whole Horst not just the te-5 drill site... The Horst covers the larger area and includes te-6 and te-7 locations, all of that is wrapped together. The point of te-6&7 appraisal Wells was to prove newer drilling techniques could extract it in commercial quantities. So in summary te-5,6&7 are the same thing :)
How many shares did we have when that was offered though? That’s the balance, we have a lot more now. With regards to going again, does anyone know the average cos in Algeria? With their 1 in 3 successful drills?
When GRH was here talking about it, i was all for it at the time, in fact i pushed JP and BM at the last Chat on the subject and they admitted they were looking at it again (albeit that was probably just to shut me up).
I'm sure however GRH said their upfront "prices were reasonable" as they require a slice of the action on discoveries. So i agree now it doesn't make sense, do we want to give away any more of the pie? it's potentially going to slim enough as it is. Hmm.
As i was curious about this, I've just web-chatted to an agent on the Halifax Platform about the issue raised as i was curious as to their response.
You: Hi Jason. I'm not sure if you can help with this one. One of the shares i hold in my UK ISA is called Sound Energy. The stated aim of the company is to discover gas reserves and sell the company. A question that has come up is what happens if the company they sell to is based internationally, specifically the USA. If that company gives a CASH offer, my understanding is we just receive a 1 off dividend in GBP and all is well. Tax free because of the ISA wrapper. If however they offer SHARES or CASH/SHARES, technically i now have a USA shareholding in my UK ISA. The discussion has been the tax implications of that and if it is prudent to do a w-8ben form before any potential transaction occurs. Or if it is not needed. Does that make sense?
Jason: If that is the case and the company ends up in the US you will need a w-8ben form in place to trade on it .
You: so for clarity; if we got given shares instead of cash from an american company - the shares itself can still sit in the ISA and would still be exempt from UK Tax, however I would be liable if i sold down or got dividends, from the USA. The w-8ben form is purely about reducing that tax from 30% to 15% yes?
Jason: Yes that is correct
You: is this the case purely with USA? or if for example a Chinese/Russian/European company purchased instead, is there similar processes there too?
Jason: In that case you'd have to transfer the share out from our platform as we don't trade on the Chinese market
Jason: But I can't really speak on that situation as it is hypothetical and anything can happen
So thank you for bringing it up! I'd not thought about that...... Might be worth talking to your own brokers.
> We have commissioned Edison Research to do a full company valuation for us, which will include a valuation of the exploration portfolio in Tendrara and Sidi. That should be available to shareholders within a few weeks.
At last! So that will include prospect inventories and clear up the value properly.
Have I misread it then? I read the trap they originally intended to drill has dropped from 30% to 25% to 14% They therefore have found us a small bone (the 126bcf or whatever it was) that they’ve estimated at 26% I didn’t read it as overall basin has dropped to 14%?? * goes to reread
Just on the note of the fast-track stuff, was reading this tonight ->
https://www.shearwatergeo.com/122/news/pre-stack-time-and-depth-migration
https://www.shearwatergeo.com/123/resources/shearwater-blog/clearly-better-seismic
both reference sound energy, and before the jokes start about the second url start ;) .....
My view i think is the seismic programme itself is best in class, as in time taken, no incidents, the sheer size of the operation etc. Most majors would have done it over a much longer period from what i took from the team.
As the analysis is getting processed and reprocessed by the main processing company (western gecco wasn't it?), it will get clearer and clearer over time and that processing work continues in the background and is an asset that whilst may not have any value on its own, helps towards the company sale.
I took from the deep dive that Shearwater was designed to get 'as close to good as you can get' as 'quickly as you can', so more clarity arrives over time.
I also took from the deep dive, they are confident in the "upto 34tcf" result, nothing to date (inc te8 at the time) changed that. Given however if the tagi is less desirable than hoped, the gas still needed to have gone somewhere, so the suggestion was its probably akin to that Jamiroquai hit, "deeper underground" aka more in the Paleozoic perhaps than originally estimated perhaps? At least that was my takeaway from talking to Brian etc.
The bit I don’t understand with the discussion is JJ clearly said in one of the videos (Norwich I think) the pre discount figure is £3.50 per TCF. Then goes on to talk about a 10% discount. £3.50 * 0.90 = £3.15 £3.15 * 47.5% = £1.496 aka £1.50 I’m gonna stay until the end, roll on GSA and FEED so we get some real answers.
Whilst today is obviously not what any of us investors wanted (long term or not), it doesn’t mean the seismic is defective. As we keep getting told, it was shot as a state of the art programme by a whole bunch of leading industry names, not the sound team... The problem surely has just been the interpretation of what was produced. From speaking to the team several times in person, all this stuff is based on interpretation of the data and that is fed from assumptions from existing knowledge.. and in Rogers case, an active imagination on the paleo due to the lack of clear data.... Id suggest we give them some time to re-evaluate what we have based on our new data and the revised assumptions as the result. A clear concise update is needed next.