Member Info for January24

No banana,
You need to learn to read. I said that includes a tax reduction clawback due to investments.

Me too !

Just to add Robbie,
That confirms that we will be debt free.

Robbie,
Don't forget that if they are right and Enquest has to have to pay 300m in tax Levy. That would only be true if they had profits of 1.5 billion. I can live with 1.5 billion in profit. Remember they can claw back some tax due to investments in the North Sea.
All this assumes POO remains over 100, which may or may not be the case.

Sadly he is the most stupid poster on LSE.
He some how believes that he can influence the share price by posting "scary" comments. Posting 25p one day, then when he buys he will post 50p the next.
He thinks that his super stupid negative posts will actually cause the share price to fall. lol.
His posts have NO effect on the share price, as my posts don't either !
If they did then the share price would be £3.75 by know with my positive view on Enquest.
Anyway I am filtering him, can't be asked reading utter rubbish ! Not sure he even knows what a P&L is ! Ammu probably thinks that it's the maker of Anusol Hemeroid Cream .

Seav,
Can't see them walking this Levy Tax back. No chance ! Would make them look total idiots !
However they may relax the investment relief criteria. Like include any green,hydro, wind or renewable investment cash. Could help with SVT cash investments. Maybe they add a target price for POO to remove tax. Maybe bring forward end date to end of 2023.

Morning Pelle and everyone.
Thank you for your thoughts.
If you are going to sell , now is the time while Oil is up circa 120 and threatening to go higher.
Just wanted to generate a discussion as I feel that time could be right for a sale.
As romaron would say -
"Built It And They Will Come" , sadly they stole a piece from us when they came !

After supporting the North Sea and British government for more than a decade, will this latest Tax Levy move by the government , cause AB to say to h8mself " time to move on, now is a good time to sell"
What is Enquest worth ?
Tax credits of 3b can save another producer 40% of Tax on their profits, that's worth 1.2b . The next 3 years FCF are likely to be around 2b. The assets are worth ? let's say 800m. Total 4b in value there minus the 1b in debt. Gives 3b sale price.
Let's say that value is split between the buyer and seller (ENQ) at 50/50 reducing any sale price to $1.5b.
I think I have been more than fair here.
$1.5b sale price would give shareholders just over 60p
Unbelievable, yes 60p. Maybe we will get our 60p party yet ! Lol

Welcome Back -
MatrixObserver, MO
Forget Enquest, I am truely pleased to see you back here sounding content and well.
All the best
Jan,

Minus -1 Rig on the week !
Going the wrong way for Biden .
Russian Production falling due to field service issues. Wells will be shut -in.
OPEC Maxed-Out for the forseeable future.
US not getting any meaningful production increase
Oil Demand About to go Bang ! Even I have 5 flights booked for July.
The world has no choice but to kill demand with very high Oil prices ! Eric Nuttall (Nine Point Energy Fund) has $180 POO to kill demand and balance the market ! The summer is going to get hot ! -
Spindok, hold onto your wife, she sounds like a great investor !

Hi Pelle,
Hope you are well.
Yes you are right.
Early September half year results will show the true figures and valuation of Enquest. I think we will get back over 30p very soon. However our big re-rate will happen when Enquest deliver half year results in September showing half year revenue 800m and FCF equivalent to ALL of that in 2021 achieved in just 6 months of 2022.

Your a wise investor Ammu,
Post your Figures please ???

You won't because you don't have any - Grow up Ammu. If you want a debate then post your facts/numbers and stop acting like a spoilt little girl !
maybe copy mine ! lol

True Martinen,
However I don't believe it changes things for Enquest.
1) Revenue is still on track $1.6b +
2) Production still top end of guidance 50k bpd
3) Debt will still fall to 500m
4) Some Funds will be available for dividends (3p divi is only 50m cost)
5) Enquest will invest in future production as per "Times article"

Game still on !

I think we can afford a little Tax Levy - don't you ?

I have production Figures @ 50k bpd = 18.25 mbls (within Enquest guidance)

8.60 mbls @ $78 = 670 mil (actual hedged data Enquest)
9.65 mbls @ $103.07 = 994 mil (using POO actual annual average year todate of $103.07)

Revenue Total = $ 1,664 mil

Opex = 430 mil
Capex = 165 mil
Interest = 100 mil
Decom = 75 mil
Other = 80 mil (lease)

TOTAL = $850 mil

Free Cash Flow = $1,664 mil - $850 mil = FCF of $ 814 mil

Yes free cash flow $814m

Now I am sure my forecast is not 100%, however I have taken Enquest's figures where given and actual POO average year todate. So I feel confident it is not far out !

Best you go learn some maths my boy ! , oh and Tax rates payable and applicable to Enquest.

You add nothing to this board and just post absolute rubbish like a child ! You try to bully people into selling - nasty piece of work !

Actual 2021 - ($) Pre Tax Profit was $352.44m with earnings per share of $12.50
Actual 2021 - (£) Pre Tax Profit was £279.41m with earnings per share of 10p ( I have used current exchang rate)

Jan Forecast 2022 - ($) Pre Tax Profit forecasted $750m with earnings per share $30.00
Jan Forecast 2022 - (£) Pre Tax Profit forecasted £600m with earnings per share 23.5p

forecast certainly achievable with current high POO and revenue on target for $1.6 billion.
Earnings per share for 2021/22 could be 33.5p added to value of shares - That's higher than todays share price ! CRAZY

PYUECK,
Pleased your back-in !
According to "Jeffries" and my calculations Tax Levy for 2022 will be around $14m (jeffries) $20m- $40m (Me) so not a big issue for 2022. Debt will still come down substantially . I see debt down to circa 500m at end of 2022. Remember the tax is from 26 May so only 7 months in this year qualifies for the Tax Levy.
For 2023 Jeffries have just $73m tax levy. Now we don't know Enquest's development plans for 2023. However i am sure that they will do their best to reduce this figure further ! I expect that there would still be money for dividends should Enquest wish to pay them !
Should POO go to $150 or more and stay up there for months then I think that the profits made, even with paying a Tax Levy, will be so huge that the total debt will soon be wiped out. Remember our hedges are falling away.
The last 48 hours have been fuelled by panic and a lack of understanding of Enquest's numbers. Some fool today even posted on this board that Enquest's tax would be 65%, not understanding or doind simple research. The share price has reacted to a "knee jerk reaction" which will calm down in the coming days as common sense prevails !
Although the Tax Levy is unlikely to be withdrawn, it could still be "adjusted" before it goes "live" and is ratified. AB and the other CEO's should pick up the phone to Kwasi Kwarteng the business secretary (who they have all met) and threaten to stop investing in the North Sea unless certain changes are made to the investment tax relief side of things. Include ALL capex and maybe some special Opex costs etc etc.

Martinen,
The actual to be paid is sub (much lower) than 25% of profits - Jeffries have calculated it at $14m for 2022 after investment clawbacks.
They have better data than we do. Indeed I would not be surprised if Enquest have helped them with numbers.
I am relaxed !

You belle end !
Learn the facts. You do not know what tax ENQ pays Ammu, lol
Great trader/investor - can't read or be bothered to research ! says it all - NOB

Thank you for that post Mrc,
It confirms my numbers yesterday, which some like L3 tried to undermine !
I will repeat the words of "Jefferies" who clearly have calculated the effect.
“EnQuest, which ended Thursday's session 7% down, dropped a further 9% on Friday morning to lows last seen in late March. It is expected to pay an extra $14 million this year and $73 million next year, Jefferies said.“

Therefore this huge drop is well overdone and is due basically to MM's making some trades/money. So a pathetic $14 m extra tax for 2022. Maybe I should pay it for them ! That would get the SP back to 37p sharpish !