BIG ...on Global scale17 Mar 2022 11:10
Morning again...
I believe that Lonny is a VERY wealthy man
But I am not referring to his financial wealth ...far from it
So...my conclusion :
He will probably have discussed the investment with his family
And let’s face it...
£50,000 is a NON TRIVIAL amount for anyone to invest
IMO...It displays enormous confidence...
not 'only' in terms of it being invested at a substantial premium to the price of his Options
but also in terms of ‘time/money at risk’
Let me explain:
Anyone on here can buy or sell shares on an anonymous basis...
subject only to not holding/controlling shares that total above the notification limits then in force
But...for Directors and some others...of a quoted company ...the rules are VERY different
For Lonny to sell those shares,
he would need to notify the Company
and the Company would have to notify the London Stock Exchange via its NOMAD
An RNS would be required
It could be problematic
UNLESS it was accompanied by some major and highly favourable piece of news ..
JV or sale or big farm in ...etc...they would all qualify
((When I sold down shares in my FULLY Listed company, it made the front page of the FT... it’s not easy)
The money invested by Lonny shows HUGE commitment
Whilst I am here...
Anyone knows that E&P is a capital intensive business
Of course...when it is undertaken by tiny companies, fund raises are often needed
But ...and THIS IS THE THING:
Whilst many many companies ‘issue shares like confetti’....
(I coined that phrase in 2010 and referred to it in my lengthy tech based post of 20 DEC 2011)...
PRD is completely at the other end of the issuance scale...
as today evidences... yet again
The trick when running small E&Ps?
1...Make sure you have pregnant acreage...do so BEFORE taking the licences...HOW do you do that?...LOL
2...Identify the sweetest locations commensurate with costs...Seismic alone cannot do that for you..LOL.
3...Drill once and drill right...create huge capital wealth
4... Repeat 3 as required
Of course most outfits do not take great acreages (they are often pretty blind when taking licences...many folk here would be staggered)
and consequently they fail to hit big...
as (A TOP TIP HERE)
you cannot hit big... if BIG is not there to be hit!!!
PRD took fabulous licences
BIG really is here to be hit
They hit first time
And it’s BIG
With the correct application, they will do so again I believe
All the rest ??
JUST NOISE and TIMING
BTW Keith has mentioned VUGS
he is... as is often the case...spot on the money
If anyone fancies trawling back through an old boy's posts, they will find references to VUGS LOL
Funny old World
Chores and coffee beckon...
well, the coffee does!
Regards
GRH
Sign In
Follow the stocks
