The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
Gordon, you asked for a modest increase today, +5% in green. Overall a good day then!
It would be useful to get a Q&A, they’ve mentioned plans to co-mingle etc., but omitted in this update when is it likely to happen, as well no mention on condensate rate etc.
Crunch the numbers tt, new gas sale price to be announced in coming days remember, as of 01/10. All about stabilising the operations now.
Hi Gordon,
I did sell up at some point, however decided to buy back in some months back. On my current holding (c230m), my average is somewhat lower than yours. I did snap up a another modest amount yesterday. Got a positive view but important to keep a balanced view.
But equally 50% above my lowest entry point. Hopefully some indication this week, if not by Monday, that way they should have had 10 days or so post tubing re-install.
Haddy, fyi day before the last placing it was pushed up to .3
Gents, concur question is obviously what players want to play. What is also going to be key when it comes to valuation of the assets is below paragraph from the Q report:
The Company's net volumes have also increased following the GSPC acquisition as shown in Tables 1 and 2. At this point in time the 1P allocation is zero. Under the Society of Petroleum Engineers Petroleum Resource Management System ("PRMS") the 1P volumes may be attributed once capital has been spent and a commercial analysis has confirmed a positive NPV10. Synergia Energy intends that 1P volumes will be added at the appropriate time.
PRMS classification is linked to the market factors, hence with such a high gas price, we hopefully will see us soon having P1 classed reserves.
Yes C, when it was hiked to $6.1, that was a 110% in its own, so up from approx $3. However, some offset probably needs to be factored in for increased demand for equipment hire. These however are one-off costs.
Yes, one could probably say it actually puts us in a favourable position vs some of the other producers, if they’re introduced (and we get going).
Agree Callum, fyi when I read into this when they were initially introduced it was for large scale producers only. Significantly above the volume Syn would reach for a while even if we were to get started on drilling new wells next year. It was also based upon historical volumes, so nothing to lose any sleep over from what I understood.
Callum, good thing Syn is in gas business then, not crude.
Elegance, yes if not this week, I am hopeful that next week we will have an update if the tubing re-install alone has done the trick. Need to get ready to have stable operations in time for the price hike
$6.1 (current) —> $10.5 (Oct 1st) expected
https://www.bqprime.com/amp/economy-finance/natural-gas-prices-may-double-in-october-capping-it-may-not-be-a-solution
Sorry to hear Gordon, hope is short lived. Good to see we continue to move forward. And re CCS, I was thinking there would be some kind of update, based upon their last
sentence in the paragraph, within the quarterly report. I read on NSTA, the applicants aren’t publicly published, so great to see there is still a long-term play on the go, beyond Cambay.
Yes, I dont have the spreadsheet I pulled together here but yes I agree we really need to get to point where we’re close to break even (steady operations), that way they focus on the JV. If they can co-mingle the two wells then it shouldn’t be too far off if we can get to/sustain at 1.25 gas + equal increase in condensate, along w gas price increase. This despite increase in operational costs no doubt.
Yep, you’re right. still believe it’s worthwhile to do your own individual assessments, even if only it is to be told you were miles off! Surely we will have some kind of update either this or latest by end of next week one would think.
Agree Gordon, hence why I said conservative, as any downtime for essential works means less revenue etc. I agree, I did anyhow put in some allocation for rig hire etc. obviously, only a set of figures based upon estimate prices available in public domain. Also I have estimated actual production days vs non-production days
Past figures are in q report, so assume is used by BP to reach his conclusion. Looking forward to learn details and assumptions he has used.
Bp, things are novi forward. Why is funding the elephant? I ran conservative calculations based upon cash burn, cash position from last quarterly report. I’m not concerned, but obviously also keen to see some tangible and positive news in coming weeks.
They need to get flow rates stable, ideally at 1 from 77, and then co-mingle the two operational wells so we can to a stable flow of around 1.25 without any down-time. This coupled with increase in sales price come October should mean we’re close to break even until jv/new wells are started to be worked upon. Important month we’re in.
Jack, have a look to quarterly report for your flow question. It mentions various things.