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Here's the thing - I believe a lot of people use different ways to describe the price, some say 0.2, 2p, 20p, 0.20, 2.0... not always clear what some folks mean although I think everyone can agree that twenty actual pence per share is rather delusional based on the status quo..... :0)
I agree with Crusty's view on paper / in theory but we seem to be seeing a resurgence of rainbow chasers coming back into the markets at the moment, not all who are as familiar and clued up as others. When you factor that in then it's anyone's guess where this will end up over the next few months but one thing for sure is that there's nothing like an upcoming drill to help get everyone a little bit excited :D
Didn't say or intend to tout that it wasn't possible, Ddraig, but, like you say below, prudence often means you don't make the call at this stage. It's also got to flow for it to be really worth something which is why, in my opinion, the real pay day isn't here just let. ATB.
I believe it's standard practice for drill cuttings to be sent to a laboratory for further analysis and although I suspect we'll receive another update in a few weeks time it will conclude that further drilling will be required before they're able to confirm a discovery. A discovery in itself is only as good as the amount of oil and how much it flows which won't be possible until next winter.
In the meantime, we'll likely need further cash to get us there and pay for such additional work. I believe this still has a good chance of coming good but would say we're probably a year away from really knowing for sure. It's possible 88E may be bought out in this time but I believe any purchaser would want to know what the aforementioned results were before finalizing any purchase price.
The good news is that 88E believe there may be more oil there than they first thought and it isn't going anywhere.
The bad news is that the encountered problems with the wire logging have hit the timing and with drill window rapidly closing then it's probably not going to be until next year when they get another decent opportunity to continue testing the well which will be more than enough to scare off all the rainbow chasers, leading to a medium term collapse in the share price.
People will always moan about placings and whilst the idea of dilution sucks, I'd prefer that to a loan which, given the risk, is likely to come with all kinds of onerous terms and be extremely expensive. Issuing equity has and always will be an easier way for junior cap companies to raise funds. If they didn't then they'd just go bust instead. Of course we all then have concerns over how the money raised is spent but if you don't like it then you can always sell or be in it to win it... or lose it all eventually anyway.. GLA :-D
I was a shareholder back in 2017 and was fortunate enough to meet some of the LTHs at the 2017 AGM in Dublin! Having sold out and since moved to the US where I now have to pay tax on any profits, I decided to take another plunge back into AEX now so I by the time the drill finally starts to turn again then I'll have held my shares for over a year and will only have to pay long term CGT tax instead of the higher short term sale rate. Looks like I may have time it well but still a long way to go before we get back to the dizzy heights of a few years ago, taking into account the farm out which has occurred since then. GLA!
Think of it more in terms of market cap (number of shares in issue times share price) rather than just the share price as that only tells half the story.
Per below comments, if each share was worth a pound then that would mean 88E having a market cap (based on today's number of shares in issue) of roughly 12 billion pounds - that's a lot of oil to find and sell with a decent margin!
Prize available if you can reference the last piece of news put out by the Company....
Probably also explains why we went around taking leases of as much land as we could - DW must have seen this coming.
We should at least be fine for now then so, again, further evidence to suggest this is just a prudent and precautionary measure taken by 88e. Hopefully there's a positive game plan for moving forward beyond the immediate activities.
Exactly, I'd like to think this decision (by the Biden administration) was anticipated by DW and team and that the trading halt is just a precautionary measure whilst 88e taken time to confirm that everything remains fine / on track. I think we all know this would have been played like cheap fiddle had a suspension in trading not been requested. GLA.
Reading this article, hoping that this doesn't cover us but can see why a trading halt has been ordered given the uncertainty that something like this creates and the volatility it would likely cause to the share price in the meantime: https://www.chicagotribune.com/nation-world/ct-nw-biden-oil-gas-lease-halt-sixty-days-20210121-ymr62swo3zbebbd2vf7vqj4dqy-story.html
"The trading halt should be until the release of the announcement by the Company expected to be no later than market pre-open Monday, 7 December 2020."
We should therefore see an announcement come out sometime during Australia's or the UK's Friday - would imagine it'll come out later today (Oz time) to coincide with a 7am UK RNS :-)
Wow, a timely call - no idea where the bottom on this is right now so is only anyone's guess.
Agreed, bullson - I've just seen this happen too many times before, companies with great assets but with management who try to hold out for too much and end up with 100% of nothing.
Let's just hope JOG do a better job at this but I guess time will tell and that starts with the farm out but until then I don't really see much in the way of share price appreciation as associated box ticking steps along the way rarely seem to create much market excitement these days. GL.
Exactly, without them or another big player then JOG are very unlikely to get very far in developing this asset so in the meantime the price will just continue to drift and you'll watch more and more of your investment fade away but that's up to you as you seem very worked up for someone who claims to have made so much.... or maybe it's just past your bedtime.. :o)
*Equinor and more shares being sold than bought - wow, such great insight..... but if you think it's just RG who's offloading then you're clearly deluded and underwater on your current position which will just continue to get worse until there's some serious news to help propel this further towards production.
In the meantime, I can't see it staying above £1 for much longer imo.
A few similarities here with HUR - having a great asset is all well and good but is relatively worthless unless it's taken out the ground and sold and that seems a fair way off here yet irrespective of Equinox's involvement.
No reason for the share price to really motor in the meantime, hence the continued gradual drop.