Member Info for itsawrap

https://www.youtube.com/watch?v=6c-WCg2Y7sE

a very interesting video about DECs thousands of gas wells in Appalachia, many of which are leaking

the 2021 accounts state 'This transaction has generated an accrued income of more than £170'000 to date' yet the P&L shows 'Royalty Income' of £149,771
"to date" refers to the reporting date not the publication date so can anyone explain this or is it more Smoke & Mirrors?

the appeal date has been set for the 11th October according to LCC website

http://lincolnshire.planning-register.co.uk/Planning/Display?applicationNumber=PL%2F0037%2F21

Application Number - PL/0037/21
Appeal Number - N/059/00510/21
Inquiry Date - 11/10/2022
PI Ref - APP/Q2500/W/22/3296831
Start Date - 04/07/2022

Bought for £93,610 including accrual of £124'316

Accounts 31.12.21 - 'Royalty Income' £149,771 (including the purchased accrual of £124,316)

Loss for the year of £853,013 - strip out Royalty accrual and you have a loss of £1,002,784

Why is this important you ask??

Simple. If DB had purchased the other 25% of the Royalty pre year-end as planned, I have no doubt the same accounting practice would have allowed a HUGE accrual to be included in the P&L therefore creating a PROFIT for 2021

Smoke & mirrors? You decide

RNS 21.10.21 'Daybreak is required to raise a minimum of US$2.5 million via an equity raise; the proceeds of which will be used to grow production across Daybreak's enhanced portfolio.'

SEC filing states cash as at 31.05.22 of $1.16m (5 days after completion)

it doesn't seem to be a lot of cash to "grow production"

Surely it would be daft to sell it without permits and planning permissions for a pipeline in place? it would be like selling a derelict building without planning permission for demolition or building houses, you get your ducks in a row and then sell.

tac I'm a little fuzzy on what the plan is for the gas, does Rathlin have a detailed plan for a pipeline with all the required permits and planning permissions, or is all that in the pipeline? I suspect it's more likely they'll "do a Wressle" and initially transport oil by tanker and flare the gas, what do you think?

the rise coincides with the appointment of Shore Capital as joint broker who seem far more likely to engage with II's than SPangel, it feels like a promotion from the 1st Division to the Championship League. I'm not sure why we need 2 brokers, perhaps it's just a matter of time before ujo drops spangel?

H1 update was Wednesday 18th Aug last year so could be less than 3 weeks away

personally I would rather be a realist than a ramping junkie. Kissing DB's ring all day every day isn't objective imo. UJO does have a very good future mainly due to Wressle, anything else is just an asset with potential until it actually delivers. Take the Royalty for example, sold to shareholders as the best thing since sliced bread but hasnt paid a penny to the investors since 2016, in my book an investment that has a 5.5 year accrual is borderline non-performing.

from drillordrop for April
1. Wytch farm 45,592 tonnes, 2. Welton 1,755 tonnes

google - "In the U.K., there are 7.56 barrels per metric ton," (Is this the correct conversion rate for Wressle?)
so, 30 x 800 /7.56 =3,200 tonnes which will put Wressle straight in at no. 2

https://drillordrop.com/2022/07/28/latest-uk-onshore-oil-production-data-april-2022/

"In about a month, we expect to report on production data from Wressle, in North Lincolnshire, which got formal approval for production in May 2022, and Brockham in Surrey, where production resumed."

Could Wressle go straight to the no. 2 slot?

yes absolutely right. fyi as at 31.12.20 (19 months ago) Rathlin had £12.2m cash, I think it's likely they will need a lot more to develop WN, hopefully they wont be held back by Rbd's inability to sell any of their assets!

Herbert, RBD like UJO is on the hook for 1/6 of WN direct costs, the other 4/6 are Rathlin which appears to be cash-rich.
Rathlin filed their 2019 accounts on 30.04.20 and their 2020 accounts on 30.06.21, it appears that the 2021 accounts have yet to be filed, hopefully they are still cash-rich and can proceed with further wells asap.

it's good to hear she's pro domestic gas production but I'm not sure how more UK gas would lower prices as the price of gas is set internationally, is it not? It would only help if production was taxed more (windfall tax?) or if the UK was self-sufficient in which case the gov. could set a price cap. any thoughts?

Miss Truss insisted it was “not time for another windfall tax"

"What we also need to do is make sure we produce more domestically produced gas, so that we are able to increase supply and keep prices as low as possible, and that's really important as we head to net zero, using gas for our transition."

"He is pretty clued up on stuff relevant to them, hence it is likely he is close. " - tac, imo this statement is far more likely to apply to you than rnst (you do love to dish out the insults when a poster doesn't kiss DB's ring! )

I seem to recall that EDR claimed that some vital equipment for Wressle was held up in Canada due to covid, I always suspected it was because EDR was seriously short of cash hence the emergency bailout from UJO

it's possible edr is up due to another TR1 yesterday, one holding up from 5% to 6% plus of course an earlier TR1 declaring a 46% position, hence now 52% of the shares held by 2 parties, interesting...