Member Info for Infor

On the 20th Jan 2022, SQZ published quite a useful update including such information as Production (which we've had), Financial - Not had, and Outlook (had - lol). The elephant in the room is the financials. If I saw the trashing of the SP as is happening I would assure the market that, yes we do still have the cash as was promised so we cold carry forward some confidence in this deal. The sceptic in me thinks that now is not a good time to declare their cash position.

Looks like there's a bit more dumping going on by PMG/IOG - soon be over

Posted this on 31st October:

'At this price SQZ will have more cash than their market cap by the end of February.'

Mitch has yet again absolutely smashed it out the park with his 'Operations Update', wiping £70m off the market cap since the announcement of which £10m was today! Way to go Mitch!

~45m shares washing through from the sell off. Approaching 100m shares traded today. Nearly over! Get them cheap while you can!

Their shares are being mopped up, the question is what's a fair price for IOG?

While you're waiting here for the spread to reduce, IOG is cheap.

Will this have an impact?
'Upstream oil and gas company Serica Energy PLC expects net production this year to range between 40,000 and 47,000 of barrels of oil per day (boe/d).
That is almost double the output for 2022, which averaged 26,182 boe/d. The company said early production in 2023 was slightly lower than the average due to maintenance work on a gas compressor, but it has now been returned to service.
At 9.07 am, the shares were trading sideways at 242.17p.
City broker Peel Hunt reiterated its ‘buy’ advice and 437p a share price target following Serica’s update.
“The near-term tie-in of the GE-04 [well] will boost this further and underpin a meaningful increase to [more than] 45,000 boe/d,” it told investors.'
https://www.proactiveinvestors.co.uk/companies/news/1005397/serica-energy-confirms-production-guidance-broker-sees-significant-upside-to-current-share-price-1005397.html

I'm sort of thinking that this the calm before some good news. They haven't disclosed any thing new, but hopefully preparing for a big announcement that might acknowledge our existence. Other majors put a big emphasis on returning value to shareholders and it's almost ridiculous that Serica, in their position, have not done the same. We can only hope!

2023 could be:
27.4mmscf/d = 282,439 Therms x 300 days? = 84,731,700 Therms x £0.139 = £84,521,700 operating income, which is ok.

2022 Financial Overview:
Cash at 31 December 2022 was £32.4 million, of which £5.7 million was restricted
Total revenue before sales deductions was £79.6 million
Cash opex was 13.9 p/therm, in line with guidance of 10-20 p/therm
Cash capex net to IOG (including long-term lease payments) was £61.2 million, below the £70-85 million guidance range due to slower than planned drilling progress

It's not a complete disaster:
'Gross production in 2022, our first year as a producer, averaged 27.4 mmscf/d from First Gas in March, with total IOG revenue of £79.6 million and cash opex of 13.9 p/therm. We ended the year with £32.4 million in cash, of which £5.7 million is restricted.'

Crazy spread.

For Capricorn read Serica in a couple of months time!
https://www.rigzone.com/news/capricorn_reshapes_its_board_of_directors-03-feb-2023-171963-article/

Big after hour trades - things looking up?

Do it all over again tomorrow! No short squeeze tonight, higher or lower in the morning?

Do we have to wait in the queue behind the big boys before announcing the totally irresistible reasons for investing in SQZ? They must acknowledge that there are other peeps with an interest in this apart from themselves.

Yeah, 6p per share is only £16.4m, they can afford double this considering the last 12 months of fingers up to the shareholder. Time to start delivering Mitch!

As has been said before I don't think this SP is going anywhere until Mitch starts delivering some good news like:
1. £70m share buyback
2. 6p per share dividend
3. 4th quarterly results

Good decision.