Ryan Mee, CEO of Fulcrum Metals, reviews FY23 and progress on the Gold Tailings Hub in Canada. Watch the video here.
Anyway is that not why there are hedges - take the bad enjoy the good
We have a company trading at 40% of book - close enough
We have a company trading at a 3.4 price earnings - per yahoo
This is cheap, has always been cheap, may always be cheap - who knows
Commodity prices are high, these specific commodity prices will probably stay reasonably high, a recession may change that, but probably not greatly.
We are basically debt free so cannot go broke unless we do something stupid.
Buffet compares the market to a sckiczo who is high one day and down in the dumps the next. You decide what you want to do and hopefully the market or a competitor agrees with you one day and you get what you want.
All in all i think we should continue doing the business we are doing, bring in the cash, pay it out to shareholders and relax.
Take the cash. Be happy to get out. The Board have no interest in maximising shareholder returns. Consider yourself lucky and look for another investment. Every decision made in the last 2 years was bad.
Last set pf accounts to June 22 shows a cash balance of Usd 809 Million and an accounting net worth of Usd 1.3Bn.
Again nac any one tell me what value is being put on the Egyptian assets in the proposed deal?
What monetary value is being put on the non cash assets of Capricorn?
The reality is we have a company throwing off huge amounts of cash
If we do nothing stupid (M&E) the share price will eventually reflect the value in the company
If you believe that, at the start of what is looking like a crazy winter, we have a company producing a lot of gas (most important) and oil, sitting on a lot of low risk and low cost potential in addition to a longer term major (zuma & related) opportunity and producing huge cashflow then why worry. If you do not see an opportunity then sell. But for gods sake lets not do anything stupid.
If we only do that we will all be happy
The UK government is taking a huge risk on its approach to making energy costs more palatable to the uk people. Perhaps they. Could consider the following.
The financial community are making a huge return on hedges with the likes of harbour. Bring in a windfall tax on those specific profits. If they cancel the hedges for transfer to the government then that can be facilitated if the following paragraph is implimented..
Offer the likes of harbour a government hedge at roughly the current prices for the bulk of their north sea production for say 18 months. In return cancel the windfall taxes on any company taking up the offer.
This would tie in the bulk of uk production for uk use and set a fixed and certain price for this and next winter for business and individuals.
Harbour got a bargain basement deal on premier with oil on its knees and premier over borrowed. Oil is relativly highly priced now and few oil companies over borrowed.
A descent board of directors would put the shareholders return first. I agree with you in that the jury is out on that one.
We can only pray that shareholder return is high on the list of priorities and a christmas card from goldman is not.
I do not understand the logic of buying assets
1. Harbour have a large mix of assets that can be enhanced through low risk capital spend
2. If you believe that the price of oil will go up you have plenty opportunity to develop production and add huge value through cash flow to the company. Happy days.
3. If you believe that the price of oil will go down why spend money now
Why buy assets now?
Makes no sense to do m&a in a high price/market with an undervalued share
If you do n0t see value you sell. If you do you hold and take the dividend.
Why all the panic.The price of oil is down. The price of gas has fallen for the last few weeks. We are heading into winter. Use your brain.
Unless we do an idiot M & A deal we have no downside.
Cash is flowing in. Who gives a crap what Bank of America does. If they use the buyout to sell undervalued shares who cares.
Do no - zero M&A, run the business efficiently, collect the cash, invest only in our own projects that make sense and take the cash out in dividend and share buyback. If you believe there is value here you take the dividend, if you do not believe there is value here you take the share buyback.
What is the problem?
I used to own cne
They sold assets in the north sea to buy assets in egypt
Every valuation i have seen since then puts those assets at zero value
Why not just manage the assets we have, run the business properly, take in the cash, pay out dividends, buy in shares and enjoy life?
Why do m & a at high oil and gas prices?
Not sure of that. Normally storage is pretty full before winter. Gas flows into europe during the winter. Come early summer storage is a good deal lower. Will there be the same level of gas flowing in this year euring winter?
Better buy backs and dividends than M & A
They are generating the cash, the share is undervalued so not a bad idea
Share buybacks and dividends - better than m&a
Hope not - crap idea
Correction rise that payout to usd 750 million
There is not the same level of belief in the future worth snd profitability of our industry as there was at that time. There is not the same interest in the pension fund and general investment funders there was at that time to invest in our industry. Governments have shown their willingness to cave to the mob and put super taxes on oil/gas regardless of the impact on future investment and therefore supply. Lets be honest we are in an unloved and in some cases hated industry (cigarettes)
The price of gas in particular and oil less so are at very high levels.
Not a good case for m&a in my opinion.
As a shareholder i would rather invest some of the positive cash flow in developing the many low risk low infrastructure spend required opportunities we have and increase the dividend/buyback mix to usd 500 million per annum.
Why not develop the many opportunities we have with limited risk and infrastructure in place, strengthen the team and legals to avoid another Tolmont type failure to execute correctly and repay the shareholder who ultimatly take the risk and own the company. M&Avwhen oil prices are high is bad business.