Member Info for gotabesirius

I've been wondering exactly the same thing. Take over coming perhaps? Price certainly range bound when all oil and gas producers are rising...and on paper this is the cheapest of them all!

I doubt it. If there's a placing it'll be with a cornerstone investor....sticky money!

$30 Post capex break even point is pretty impressive, and some analysts think it may be even lower this year, especially after factoring in the new acquisition.

If Enquest makes $30 (conservative) margin after capex on the $325m acquisition and 18mbboe....that's almost $600m fcf.

(I believe oil will average more like $70 over next few years) So $275m net back from the investment isn't bad. ha. The days of marginal acquisitions for peanuts in the North Sea are gone! Look how many cash shells/companies are waiting to sign acquisitions and look how many have succeeded in the last 6 months!

That's a very good point! VERY GOOD

Anyone got a link as I can't find anything?

Given government has given go ahead for huge coal mine in Cumbria I'd be amazed they target north sea when jobs are required desperately this year with unemployment set to rocket...

I can't see this happening yet. HMG need north sea gas more than ever at the moment. It's a transition fuel and will be for a few more years yet! What happens when the wind drops on cloudy days! ha

Given oil move and gas futures we can presume an average price this year of $45 pboe. $15 opex (high end)

$30 income pboe.....if we presume 30k boepd average for this year, that's income of circa $328m....even if capex is $75m that's $250m free cash taking total cash position up to £250m ...at which point we increase to 100% of BKR.

This is going to be a cash machine going forwards!

That's just over half billion dollar gross revenue at current spots from PGM at 160k oz pa. Dear me, where's the PR!

Anyone know how many the seller has left and who it is?

Absolutely superb! Spreadsheet time ha! Thanks

Guys, any idea what the current basket price is and a quick formula to work this out? Thanks

Shale production is declining again if you look at output

Considering there's about $50 million fcf per month at $60 brent I wouldn't worry too much!

You think the Open Offer won't be until later in the year? Surely it's best to get this done sooner rather than later?

Avanza adding

What absolute dribble John, you are obviously out and looking to buy back cheaper given that remark!

You can analyse this deal into you're blue in the face, but going forward, if oil is in uptrend it will be masterstroke, if it drops, medium term its a horrid deal.

If you look at macros Global economy is forecast to grow 5% in 2021 and 2022. Oil demand will grow at a similar pace. Oil market goes into deficit H2 this year at which time around an extra 7-8 million barrels per day over the next 18 months.

IMHO this acquisition is for exposure to this. Given ENQ leverage to oil, if oil does head over $70 you can double or treble the share price from here with circa $500m fcf per annum. All imho!

If you are bullish oil this will go much higher..

Looks like acquisition was strategic as much for the production and reserves....

Big squeeze coming for brent. Huge deficit forecast for H2 globally. Oil will trade $70 later this year