Member Info for highlandmatt

Can we keep it civil, please? Disagreement in a debate is fine, name calling is not. Cheers.

I had another read of the CPR last night. I won't pretend that I understood it all. The upshot appears to be that there is gas there somewhere, that is migrating upward, but it's a question of finding traps and therefore reservoirs. What struck me is how little drilling has been done in the area for hydrocarbons.

'No Net Debt' would be more accurate.
I'll repeat the numbers if Scott won't. Coho will be $6m net on 10mcfd. Casca at 50mcfd initially will be $30m net. That's mcap of £200m on its own. Rising to 200mcfd capacity, well, you can all multiply by 4....

That's mine done on iWeb. 90 days at 1000p.

Yep, had another top up, but missed the dip by 20mins. Well done to those that got it. I was having breakfast. This extended delay has allowed me to increase my holding by 25%. I get paid tomorrow, so if it stays sub 80p, I'll have another tranche.

EAG maybe private (i.e. not listed) but it is still a limited company, so has to post accounts.
https://find-and-update.company-information.service.gov.uk/company/NI665002/filing-history
The Greenan plant 'commenced operations in Jan 2016' and 'Plant construction was funded by existing debt provider'. As EAG was only incorporated in Oct 2019, so it cannot be the existing debt holder.

I stand corrected. SCIR is funding EAG by equity purchase (quantum unknown?) and shareholder loan (slide 7 does state this to be the bulk). I would agree it could be clearer.

MRC - I'll have another look when I'm on the PC rather than my phone, as I see there is mention of shares as well as the loan.

SHS - Limited companies have to file accounts with Companies House, so their financials are in the public domain. Although some use a 'small company' exemption to only file a balance sheet and no P&L. I'm sure there will be someone on here who is better qualified than me to explain.

https://d1ssu070pg2v9i.cloudfront.net/pex/scirocco/2021/06/13223309/Scirocco-Energy-Deal-Presentation-June-2021.pdf

We appear to have differing interpretations of slide 8?

SHS - I'm afraid I'm not getting the issue. What is it about the deal which is not transparent? I thought the slide pack explained, and the balance sheet for Greenan is in the public domain. Of course, I could be missing something, but it seems quite straightforward (and dare I say, clever?). SCIR is forming a 50/50 JV with EAG. SCIR lends money to EAG, which buys Greenan. EAG pays SCIR 10% on the loan. If Greenan turns a profit, dividends can be paid to EAG. If EAG turns a profit, SCIR can get dividends.

SHS- Not quite. If you look at Companies House, Greenan has an existing loan of £1.9m on its balance sheet. EAG has agreed to buy Greenan for £700k. SCIR is loaning EAG £1.2m for the deal. £300k will be used to reduce the Greenan debt.

From memory Greenan is £450k EBIT per annum.

Ok, thanks.

Any thoughts on who is dumping 10k blocks? North again?

Recovered a bit in to the close across the pond.

Simply WallSt has published a particularly uninformed piece, stating warning flags. It has been repeated by Yahoo Finance.

https://youtu.be/Sd5ZLJWQmss

The market likes it. Had to pay 17.5p for my monthly top-up.

It's not a crazy suggestion Frank, and not dissimilar to the AEX deal. There are many ways of structuring a deal depending upon what each party wants/needs at the time. IIRC AEX has stated its 25% is worth up to $40m net per annum. I would be keen for us to hang on to some future revenue from Ruvuma, so $20m pa without any dev costs would be ideal. For Wentworth, $35m capex to get $20m pa would be a good rate of return. I would be against a complete sale, as future revenues are massive and company changing. Sell 15% for $12m, leaving 10% holding and total of $14m capex? Would give $16m pa income and mcap £100m? We should at least retain a royalty payment if nothing else. Crazy to surrender all interest/progress for a measly $20m one-off.

MRC - the BOD has a clearer line of sight to the cash calls than we do, so one has to assume this is in hand. I suspect the fees are more to do with setting up the JV than the acquisition, although I would agree that £80k of due diligence on that seems a lot. However, we complained the BOD were not progressing the strategy, and now they are, you are not happy?