Member Info for JoeSoap

Somm says, " 5 months they've had to use the new G70 rig to drill the A5/A7".

In line with my May 15th post, have they got the G70?

Dec22,2022 Operational Update

"A new G70 rig, on which we expected to complete the purchase in the next few weeks, will be

used to resume drilling at Deep Well A7, which was paused at a depth of 2,150 meters."

tells us that, for whatever reason, the 'expectation' is thwarted. But as it 'will' be used on A7 a new delivery date is awaited or A7 will not proceed in the absence of delivery of a G70.

Of course, the use of the past tense of 'expect' could just be a typo..., but they would still need another crew with all the other work scheduled.

wrt 2022AR, it is no more than a historical document now as H1 2023 draws to a close and its update is issued, but it will be interesting to see whether the borrowings from KO continued throughout the year or were actually repaid and what drawdowns there have been this year as production shrank.

The last update shows no progress at all on the wells but does confirm the continuing decline in production from the MJF shallows, particularly if 300 is still coming from Yelemes.

142 only produced for a very short time last summer before rising water cuts forced its (and 145) closure.

141 has not produced since 2021.

The crews have been busy, to and fro and fro and to whilst waiting for something to turn up.

BICO is full of their good intent, they just need to shake a six.

Interest in the purchase of the CE had been mentioned, but the sale method is opaque. And whilst we know that mods are being paid for, we do not know if the CE was 'drill ready' or needed some 'maintainance' to be completed before setting sail. But the cash will not help with Divis until completion, and there was no mention of a longstop date.

jimo,

joe

@X2 2021AR

Our shareholders

A large proportion of the Company's shares are held by a relatively

small group, namely: The Oraziman family (48%); other Kazakh

shareholders (5%); Korean shareholders (10%); shareholders in the

UAE (10)%; with the remaining (27)% being principally UK based

investors.

AlMari are not in the WCP, and 5% held by Kazkhs individuals are not subject to reporting, are able to trade and 5+27=32.

HTH

Aiui a lot of their wells are shut in during the June turnaround, resulting in much lower income for the month and with the lower commodity prices the remaining production may not cover outgoings.

jimo

joe

It seems that there is still a bit of housekeeping to do:

https://ceo.ca/@accesswire/i3-energy-ordinary-share-cancellation

and

SEDAR yesterday, Annual General Meeting June 30, 2023 - AMENDED.

HTH

joe

Wow, that sure is a lot of tenders.

With the publication of the RNS, the Auditors will have confirmation that the funding for the next twelve months is now assured and they can ink their prepared letter removing the blocker to the publication of the 2022 Results.

It is interesting that the funding has come from Canada, given the number of times that Majid had spoken of London as the place for capital. Perhaps the ESG pressure is having an effect. The rate is less than i3E had been paying for the pik option, so should be affordable although the details of the 'oil production contract' are not disclosed.

Also of note is financial engineering that has gone on with the fact that the loan originally raised by i3E NS with i3E plc as chargor has now been transferred to i3E Canada, leaving i3E NS now debt-free and, no longer encumbered by the Loan Note covenants, able to do their own thing whatever that may be.

It would also mean that i3E Canada could be sold leaving plc with that capital for NS, or perhaps even floated off separately on the Canadian market.

jimo

joe

Anyone expecting an update tomorrow detailing how they have discharged their Loan Note obligations?

As per SEDAR posting:

Meeting Type: Annual General Meeting

Meeting Date: June 29, 2023

At least they are not holding onto the results until the ultimate deadline ...

Aiui, Clive had to report the open hole oil flow because it was a serious volume and therefore a 'material' amount.

They also listed the planned activities to bring the well under control, which would mean that the production would stop.

There has been no remedial news on 141/2, or 145. DYOC.

There is no update on 155. DYOC.

Dec:"A new G70 rig, on which we expected to complete the purchase in the next few weeks, will be

used to resume drilling at Deep Well A7, which was paused at a depth of 2,150 meters." and

Nov:"Work is also planned to resume drilling at Deep Well A7 from a depth of 2,175 meters as rigs and

crews become available."

Note 'expected' and 'crews available' for the new rig.

Next edition of Carverspeak awaited...

jimo

joe

No-one asked you to buy my theory, I'm not Eric!
It was simply my suggestion as to why they have purposely delayed releasing the results, results which could easily carry a qualification of the going concern status by the auditor, that they would then be able to clarify.
Do you have an alternative view to offer?

re Secondly, well that makes no sense, as I do not think that they are sitting on that much cash. They have to pay up or default at the end of May, not December.

re 3) you have to hope so...

As ever, time will tell.

Question is why are the results later than last year. (It's also holding up the full NI 51-101 Reserves disclosure for the Canadian market, but they must be known internally and I don't buy the idea that the new cfo wants to review them first. He is not an Exec and will not be signing them off.)
So, looking for some other cause and imo this is the Loan Notes. They have signalled a YE Net Debt of US$3--8.8M, which suggests that they need an extension period or a new, perhaps alternative, arrangement. We are not privy to all the covenants that exist, but we know they were originally taken out against the NS properties, and amended to allow the Canadian purchase, including the Warrants at par. The grant of more Warrants for an extension beyond end of May would not be a total surprise. The surprise, perhaps, was that all the past dividends were eschewed on the 9+M rump, for less than the cost of one months income.
It is not too late for a TR 1 yet as they only hit the market on Friday, but if adding 9M shares does not require a TR 1, it suggests some particularly judicious trading ahead of the take up.
I also expect disclosure of the "Additional 15 gross sections", and still withheld for competitive reasons in the April presentation(s), and then how they plan to monetise all these assets.
Not forgetting the early vesting terms for the cfo and the current tax-paying status, of course.

jimo
joe

simon, peak is in September according to the January presentation...

iirc, the NS employees options had a 2500boepd acquisition triggering clause, but that was nearly 3 years ago.

Tony, you need to rework point 4, RE: Listing.
Smallcaps is not 'another listing', but a migration from AIM to the Main Market.
It requires more stringent governance, and will cost more money to do and to upkeep.
Both factors seem to be on shortage.
HTH

"I think your right Tiptop - except its tracking on lower FCF / CF multiples than peers and lower quality small cap oilers. So I3e were to do nothing else but trade in line with comparable Companies - the SP should be higher. So what is the missing ingredient - what are they missing ?"

Maybe they are not missing ingredients but have extra ingredients.
The NS arm has to be funded by Canada.
The London market listing has to be funded by Canada.
Several have suggested binning these.
When the commodity price reduces, these extra fixed costs become more significant leading to a reduced overall profit.
Perhaps WHI were signalling this in their unscheduled update, and as a portent of 2022FY results.

WRT missing though, probably confidence.
How about a CFO? The last one left due to work issues taking priority over his health; ironically we don't need one to oversee the 2022FY and 2023 Capex.
How about laxity in checking RNSs? Last two had to be reissued.
How about keeping Companies House updated wrt Directors?
What is missing for the employees not to take up the vested Options?
Why are there still 9M 0.01p Warrants to take up before they expire in May?
What is their plan with Debt? Loan notes due in May but projected as "Net Debt (8) USD 8.8 million - 3.0 million" at end of 2023? Note 'NET'.

How is your list doing??

They had three "company makers" in their early presentations. In the NS Liberator was dropped as non commercial. Serenity now "has" a smaller amount than Liberator but a plan is being developed.
How attractive are the two Canadian assets or is their some PR contagion?

HTH

I am amused that yet again the algo is having its own fun at 16:29:58 with its descending volume trades, each subsequent trade being 10% of the previous.
:-))

Smarty says "Still can’t get away from the the 3000nopd+ statement for BNG. You wouldn’t state that surely unless you were very confident of producing from this interval (s) but this is Caspian !"

imo it was not about the confidence of production, but a statement of instantaneous fact.
A statement that exposes the fact that not only are the shallows no longer producing at previously guided 2400bopd, but that the Q1 work plan for 141 and 142 may be continuing but has yet to restore the previous 4000bopd, or maybe the work has concluded and failed to restore the previous 4000bopd.

The work at A5 was to start after 802 finished, originally expected at the end of January, but most likely still on hold.

Plus ca change.

jimo
joe

The monthly payment route was the only way to get a payment in the 2022 FY for KO to compensate for the interest reduction. jimo
And,
Can production continue whilst this is ongoing?
"Work continues with Baker Hughes to stabilise the well. Once the well is completed it will be perforated with the prospect of potentially higher flow rates." Asking for a friend ;-)

G_G_G this was in the Dec22nd '2023 Capital Budget'RNS:-
Next Twelve-Month Net Operating Income Sensitivity (10)
Next twelve months' sensitivity. ..Estimated change to net operating income
Change in WTI USD 1.00/bbl. ..USD 2.48 million
Change in AECO CAD 0.10/GJ. ..USD 2.49 million
Change in CDN/US exchange rate CAD 0.01. ..USD 2.51 million

As the 2022 Capex came in underbudget, and the i3E NS drill was cheaper than they had budgetted for as it didn't take as long as scheduled and there was no sidetrack, so smaller borrowings from parent plc, both of these should be positive for the 2022FY balance sheet.
But then there was the curved ball, "The [2023] drilling programme was accelerated and commenced in December 2022 with 3 gross operated (1.77 net) 1.5 mile horizontal Cardium oil wells and one gross (0.22 net) non-operated Dunvegan oil well drilled in Wapiti / Elmworth, a 100% working interest, 1.5 mile, Cardium oil well in Carnwood (Central Alberta), and 3 gross (2.5 net) Clearwater wells being drilled in Dawson and Marten Creek - the Company's two largest contiguous Clearwater land positions. These wells are either being flowed back for clean-up or being tied-in to production facilities to commence clean-up.", which must have some drawdown in 2022FY, even if the bigger bills are pushed into 2023FY.
It should also mean more production in Q1/H1 than mere PIs expected but didn't i3E already know this work was starting when setting the 2023 Budget and preparing the Jan2023 Presentation, and anticipated this in their figures?
It is 8 for of the 23 planned 2023 wells. Might there be more to come?

wrt Debt, maybe they will...

2023 guidance and assumptions:-
.
Net Debt (8) USD 8.8 million - 3.0 million

jimo
joe

TT lol.
This evening we have :
24-Feb-23...13:54:57...7.82...500,000...Unknown*...7.80...7.90...39.10k O
Whereas on Friday at that time we had:
24-Feb-23...13:54:24...7.82...-50,000...Unknown...7.70...8.00...-3,910 O
24-Feb-23...13:54:24...7.82... 50,000...Sell*.____..7.70...8.00...3,910 O
So, the declared trade entered incorrectly was rightly corrected but the actual trade, rather than the MM/Broker c()ckup, was then held over.

Perhaps that trade was the sell to cover this deal, also appearing tonight
24-Feb-23...11:47:45...8.00...485,000...Unknown*...7.80...7.90...38.80k O

Who knows the secret of the black magic box?

bluemango, try opening Page 2 and then change the '2' in your browser address bar to something much bigger and see where that takes you.
If you have 25 posts per page as your setting, I'd try '1000' as a starting point.
HTH.

And that shows how important selection and timing is ...
60% of that 100% is needed to get back to 'what you could have won'.
"Sell half on a double"?