Member Info for hitman1a

I agree Squif. Magnus should be fixed this month, and we should be near your estimate of 58k/day.. If the risers in Malaysia had been attached, we would be near 60k.. Not too concerned about the extra 3k from Malaysia as this will come in time. Be nice if IR let people know, so I guess I will be emailing them in early December if someone else hasn't already received an update.

Pelle, your correct.. best avoid longer term hedging at lower prices and pay off the RBL as a priority.. at current spot prices on the balance that is unhedged ..

Remaining 2m barrels in 2021 hedged at ceiling of $74. so with Brent as it is , we should be near $76 average for final 2 months.. We looked so good post GE RNS , so good.. so good. but sweet caroline , we didn't expect these production issues.. Hopefully all resolved over next 2 weeks..

Hedging $76 ceiling for 2022 but should get average of say $78 with all the other unhedged barrels. Much better than the average of $66 achieved so far.. I'm confident the $50m penciled in to repay part of the RBL is achievable in the next 6 weeks.

I'm glad they haven't hedged any more.. the forward contracts to Dec 2023 are all above $70. If your paying down the RBL, the need to hedge more also reduces imv. Amrita Sen said we need to look past the US SPR news weeks . It might take another 2 weeks , but after that, oil is going up.. Not saying we will see $120/b like BofA said by mid 2022, but these new Covid tablets seems to work and bring forward the date the rest of the world can get back to normal.. It was always on the cards as a cheaper and faster delivery route. Let's see how fast they can make them..

I think we had some II buying pushing the price up from 19p to 19.82p today in the afternoon, but can't understand the dip back down to 19p late towards the close..

I think we need another RNS when Magnus is fixed and the daily production number to restore confidence in the SP.

Seems like we made a cake, but added salt rather than sugar.. but still want to eat it... maybe we can add some cod to it and call it a fish cake... GL.

We also are expecting a very positive deferred tax adjustment now GE has completed. so balance sheet at 31 Dec 2021 should look prettier. You could get to 24p by March 2022, 30p by June and 40p by Dec 2022.

If only Enquest loved Milk Tray instead of oil.. I guess Brent $80 plus average in 2022 will have to do.. $100 and it's Roses. $120 and it's Ferrari Roches.

I just checked my car.. managed to get some change and buy 10585 shares just now.

I already know there's nothing left in the G Plan settee.

We are still producing 55k /day according to the RNS and Brent is still $80.. plus a bit more production to come from Magnus and later Malaysia in Q2 2022. So perhaps total of 60k in early 2022 and some low cost drilling in 2022 to alleviate the decline rates.

A bad November production wise meant we got 45k annual production, rather than 48k (46k plus 2k from GE).. 3k/day in lost production cost us say $82m in delayed revenue.. ( at $75 gross). So our net debt is expected to be $1280m at year end rather than $1200m. No bid deal, but worth say 3p in SP which is the similar as our reduction today.. In many ways it shows how sensitive our SP is to debt reduction.. How much debt can we pay off in 2022 perhaps also determines our SP growth.

Will it be $300m ($25m/mth) (old business excluding GE) or $600m ($50m/mth)(new business with GE).. either way it's very positive for the SP once achieved.. I still think in 2022 Enq will trade in the 30p to 40p range. Not much extra hedging but the current Brent price of $80 is about what is expected for 2022 which is higher than what we get via hedging. Think the brokers will just leave the targets as they are.

Gutted really for all of us. I also thought we would trend to 30p by this Xmas, but it looks like we will need to wait another 6 months. GL

Roll forward 3mths, 6mths etc. Haven't seen anything yet from GS regarding 2022 oil price predictions to give credence to the BofA $120 mid 2022 prediction.. but it seems to stack up on it's own.. plenty of good reasons..

I'd like to aim for net debt zero by Oct 2023..
Think a dividend might be penciled in for Q1 2024 of 3.5p . 8% yield so SP 43.75p.

Don't think anyone at Enquest is worried about a Kraken maintenance week or two... or waiting for a diver to attach the new risers in Malaysia. It all eventually gets done.

GL.

no movement.. very surprising.. not even half a penny .

Guess it's all in the price at the moment.. sit back and wait another 6 mths.

Amjad Bseisu, CEO of EnQuest, commented:

"We are delighted to have completed the acquisition of a material interest in the high-quality, low-cost Golden Eagle development. As a highly cash generative asset, delivering material incremental production, reserves and resources, Golden Eagle is a great addition to our portfolio, further strengthening the Company.

"We look forward to a productive partnership with the operator, CNOOC and our joint venture partners, NEO Energy and ONE DYAS."

Is EnQuest a good investment?
The consensus among Wall Street equities research analysts is that investors should "buy" EnQuest stock.

At least I can understand this RNS.. how they got 3% so easily is a mystery, but at least this just looks like a straightforward holding without the complexity of Hellikon.

The type of Large II expected so many years ago has been replaced by the smaller more agile funds that know a good deal when they see one.. Be good to get one or two more of these to soak up the float. Really positive sign which I wasn't expecting at all.

Dr. Amjad Bseisu Ph.D. serves as Chief Executive, Executive Director of the Company. Mr. Amjad worked for the Atlantic Richfield Company (‘ARCO’) from 1984 to 1998, eventually becoming president of ARCO Petroleum Ventures. In 1998, he founded and was the chief executive of Petrofac Resources International Limited which merged into Petrofac PLC in 2003. In 2010, Amjad formed EnQuest PLC, having previously been a founding non-executive chairman of Serica Energy plc and a founding partner of Stratic Energy Corporation. Amjad was chairman of Enviromena Ltd., the largest solar power engineering company in the MENA region, until its sale in 2017 and was British Business Ambassador for Energy from 2013 to 2015.

I could go on..

Next week should be the conclusion of GE.. I noticed almost 100% of turnover (oil sales) were specified going to China.. at very cheap price in Q1 2021..

Morgan Stanley's analysts, who this week predicted Brent would hit $95 in the first 2022 quarter, argue that as investment in new production falls, 'peak oil supply' may actually arrive before peak demand. ..we already have 6m barrels hedged in 2022 at say ceiling of $75, but $95 will help the average. Guess I would leave the hedged barrels for 2H 2022.

Revenue is predominantly derived from oil sales. For the three months ended 31 March
2021, oil sales were $50.7 million compared with $35.7 million in the three months ended
31 March 2020. The increase was driven by an increase of production. The Golden Eagle
Asset's average realised oil price for three months ended 31 March 2021 was $50.8/Boe
compared to $56.8/Boe for three months ended 31 March 2020. Over the period price has
decreased by 10.7 per cent.

The Golden Eagle Asset's North Sea production, on a working interest basis, increased by
3,242 boepd, or 38.3 per cent., to 11,717 boepd for the three months ended 31 March 2021
from 8,475 boepd for the three months ended 31 March 2020. This increase was primarily
driven by the impact of infill drilling completed in the period, partially offset by natural
reservoir decline.

If we can get $75 from GE in Q4, then the monthly profit including the extra 2 infill wells from Q2/Q3, must be nearer $15m/mth pre tax. ?

Section 1.2.. page 4

They made 68% in 2020..

I'd like to follow a fund that makes 15% every year.. something I don't have to watch every day.. Cathy Wood from Ark Investments gets a lot of Bloomberg TV time, but hasn't done well this year so far.. but there must be others out there..

At the moment , I'm sticking with Enquest . everything in one basket, so that's why I watch it everyday.. ( as per W Buffett's instructions). I also watch the Goldman Sachs share price.. There is nothing special about any share.. you just get rewarded if your doing well.

That's 24% over the first 9 mths over 2021.

Bloomberg just reported Hellikon made 24% on its long /short fund based on undervalued equities. Still can't say I fully understand the whole scheme, but if they average a cost of say 20p, then selling at 26p makes them the returns they need.

More shares allotted on 15th and notified to Companies House yesterday. Guess progress in small steps.. albeit I don't understand why more were needed. If each is worth £1, then perhaps 1300100 shares are being sold at £X/share. eg: £140/share.( £182m/$250m ( $325m less $75m 10m adjustment)

https://find-and-update.company-information.service.gov.uk/company/13148646/filing-history

before the end of October 2021 ? could be tomorrow .. (Thursday)..
only 7 working days left.

This news has prevented the SP falling below 25p today.