Member Info for Goldenbadger1

A question:
Brent for many months was between a $5- $10 premium to WTI due to quality .
How has that changed to $1 today ?

Letter sent SSB so lets see if the matter is considered .

Just a thought .....18k bopd for 2 years at $40 ave would add approx $120m to bottom line .
A share buy-back as discussed would be $170m to the bottom line over same time period , zero debt , zero dilution .
At a cost of around $64m .
Obviously its a timing issue as oil recovers and SP recovers the door closes .

Thanks for the clarity SSB , as you say it is possible and with today's OGA ruling we have the cash available . Also the volume of shares traded presently would allow this strategy to be enacted within a short time frame .
Plenty of willing sellers .

While the debt is not due yet . Over at PMO you can see what happens over many years where you lose control of a company to your financiers . Control your own company while you have the opportunity if you have the shares in house you also control to a greater extent voting on possible hostile takeovers .

Long yes thank you, an additional 12% would take the estimated cost to $64.5 m so still possible . A company can buy back its own shares as you say .
Maybe without the price collapse the opportunity would not be available . Its at a huge discount presently and an opportunity to sort out a debt due in 24 months at 28% of its present value and with the bonus of no dilution . Looking at the company finance it can be done . O&G is by nature high risk we need to take a few measured risks now and this would cost the same as a duster drill but would be more transformative if successful .

Thanks JAdam , i thought i would throw it out there to see if some ' Financial Guru' can shoot holes in the idea . I would like to believe like yourself that this strategy or something similar would have been considered by Hurricane . Maybe its in play and they are already snapping up cheap shares , which i believe would be sound financial judgement .
We shall see

Should read 'cover Cb's at 25% of outstanding present debt .' you get the drift ...

Hurricane in July 2022 are required to settle the Cb's value $230m or issue 442m shares at a value of 52 cents per share . Or a combination of the two , it is Hurricanes choice .
Working on an exchange rate of $1 -1.1 Sterling , IF Hurricane could purchase 442m shares over the next few months at an average price of (13 cents ) 11.8p Sterling . The cost to company would be approx $57.5m .
Sit on them until July 2022 and with a production and oil price recovery Hurricane can settle the Cb's with shares having covered them at 25% of current value . Also having zero dilution .
Possible ??

The timing of that short would be very interesting , processed when ?
Official 22nd . I think they polished the Crystal ball lol

Agreed Colonel the good Dr T has very little room for failure with his next move. This has become an issue of confidence . Maybe it always has been ....... confidence and Trust .

Looks like all along Dr T knew a lot less than he thought , water , connectivity ect its coming across like one big experiment .
The only upside i see is well 6 was producing 12,200 bpd on April 4th alone . As stated crank this up to 15-16 if possible then get either a new sidetrack , Lanc 8 or Lincoln tied back quickly (plenty of cheap capacity available ) as now we are a one trick pony . BWTFDIKAM

Interesting last time Brent at $36 Hur was 15p .

Not that it would be fair value but a move in the required direction .

Anyone know the time scale for dismissing the appeal ?

BP have/had Mexico as a good target for growth and possibly have sound relationships to a Government that needs production . PMO should strike a deal to swap all Mexican assets for the North Sea deal on the table .
Deal of the year for both parties if TD could pull it off . No dilution and debt reduction .

On a takeover i believe our Ace in the pack is Dr T . Without his field knowledge and expertise in F.B.s and particularly Rona Ridge then a Hostile buy out without him is high risk . Would he join BP or another ?
Possibly why the CMD was a 'work in progress presentation' with the share price where it is . Dr T is not showing his hand yet and that is the correct game at the moment imo .

Spittin Images should be back for the next CMD give them the script .

A question .
Unrestricted Cash 1/1/2020 $157m
Unrestricted Cash 1/4/2020 $ 152 m
Free Cash 1/4/2020 $ 129m
Free Cash 1/1/2020 ?? Anyone

Read as : Hurricane after 3 years and 21 days after the closing date 21st July 2017 of the issue,( so End August 2020 ) providing meet the criteria set out , Hurricane can repurchase Bonds .

Long as stated 'could ' i would assume after a negotiation . I assume not a unilateral position .
The devil is in the detail will have a look .