Member Info for ELSteve

Cue a few 2 Ronnies jokes !

I always feel happier when i3 has a 3 handle, just trying to imagine my excitement if it had a 4 handle

Today is XD and the market is up !

Cheers Joe

Just that I would have liked to have seen a little more news flow, like most other people on here too.

Hi Stas, I thought you were calling for a Monday RNS in one of your posts from Friday ;-)

I am confident that the numbers when they come will be good however the company does need to update the market on it's Q2 and the drilling programme in a more timely manner I feel. Delays and tardiness can start to sap a little confidence from the wider market which then affects the share price and all of our investments, we need updates to continue the momentum because at the moment we have stalled somewhat.

Probably a good shout but have recently transferred my pensions into a SIPP and payed IFA fees and have no desire to go through the whole process again, will speak to Transact and see if I can speed up the process.

I still haven't received the dividend in my pension fund yet and I use Transact but it normally takes a few days to get credited, luckily I purchased on payment day the amount I was expecting from some spare cash.

IG have also posted the dividend, lucky I am sat down !

Interesting to see the warrant grant for Novum at 0.425p although I'm not expecting it to provide any short term support !

A very good video to watch however I am not convinced by his explanation of losing money on the hedges. Someone posted on here that the company is hedging by buying put options and if that is the case then the only loss is on the cost of buying those options as i3 will still benefit from the increase in the underlying. If the company for example buys the $90 put options for $2 and the price of oil goes to $120 from $90 then the options will expire worthless, i.e. they would have lost $2 buying the hedge but will make an extra $30 from the price increase in the underlying. Selling calls to deliver to the market will be a different story so apologies if I have got this wrong maybe someone can confirm to me the exact hedging strategy ?

The CFD provider will still need to purchase the underlying to obtain the exposure hence the need for an RNS, definitely wouldn't want to B book that one !

I wouldn't be surprised if more bidders start to enter the fray. What the bid process has highlighted is that North Sea oil and gas producers are very cheap and given the uncertainty over Russian gas supplies into Europe going forward it may be a way for a rival to secure some production. These are just my thoughts and nothing more but it doesn't feel done yet.

That is a pretty poor excuse as clients are contracted with IG surely it is their responsibility to rectify the situation and not blame a third party. Try raising the issue under a TCF complaint and suggest going to the FCA to see if that gives them a little encouragement to try harder.

I'm pleased you have spotted this ARK as I have felt for a while that someone has written an Algo that translates the move in oil into a basket of underlying stocks, unfortunately where they have messed up is that a linear 1% fall/rise in the oil price does not translate to a 1% fall/rise in the profits of the underlying so whilst I am not pleased that the oil stocks seem to be getting manipulated I feel they will get caught out the wrong side of a move to value.

I am still waiting for IG too Gerry

You are most welcome

Buying a put option gives the holder the right to sell so for example if i3 had bought the $110 put option when the price was trading at $115 for say $2 then if the price of oil breaks below $108 the hedge is making money. If oil trades up above $117 then the cost of the hedge has been negated by the rise in the underlying price and you certainly wouldn't exercise a sell option at $110 so just let the hedge lapse.

Funny you mention the 20% pullback as everything I buy always has a 20% pullback immediately after purchase !