Member Info for kign

Https://www.bbc.co.uk/news/uk-65730950

WFT likely to increase to 78% like Norway but without all the investment allowances. I'm thinking if they are aiming to get a piece of BP/Shell's profits they will likely need to tax overseas profits as well so the only way is to exit the UK completely. I hope Wael will lead the way first before the change in government is upon us.

I suspect HBR has won the licenses next to Viking block they have now.

Waiting on announcements to see if they decide to accept or decline due to the EPL. Hopefully the latter.

Stevo that's skkmigas's production entitlement from the PSC, you should use the taxation numbers for comparison.

Yes I agree Megla, there is also no financial incentive to continue with CCS either in the UK...

what are your assumptions on the upcoming redetermination of the borrowing base? FT speculated a 50% cut so it's going to reduce HBR's capability to buy international production significantly!

But you will have almost zero uk capex right?

Good results, good to see some mention of M&A

The real profiteers:

https://www.thetimes.co.uk/article/orsted-delays-cheap-energy-contract-hsztcrg28

UK taxpayers paid for their construction, yet they refuse to supply to the public when it's completed....

sell in may and go away :D

note Chrysaor initial funding was only $50M from EIG and $150M from Noble. EIG's 16% of HBR is worth £309M = $387M!

They are still in profit whereas the LTH, with quite a lot of bitter legacy PMO shareholders here are in a big loss! The government should re-open the case of ARCM's illegal shorting that led to PMO's demise.

Imagine the PMO portfolio without HBR's: Sea Lion, Zama, Timpan and now Kan + Ix! What a shame!

https://www.energyvoice.com/oilandgas/north-sea/497746/inaccurate-uk-government-figures-on-uplift-north-sea-oil-spills-report/

The UK Government has now confirmed that the freedom of information (FOI) statistics supplied to Uplift by the regulator OPRED (Offshore Petroleum Regulator for Environment & Decommissioning) were not accurate.
That’s in part due to clerical errors in FOI figures it supplied for Dana Petroleum, which were recorded as showing over 5,000 tonnes of oil spilled due to an inaccurate data set from OPRED. It should have instead shown 0.5 tonnes.

...OPRED fit for purpose?

You can use tax credits & deduct financing costs on PRT but not EPL I think...

bofa and ml just selling to each other at every low.... they are the same bank!

how is this legal? do they handle the buybacks as well?

https://watt-logic.com/2023/04/26/impact-of-windfall-tax/

Headline-grabbing “excess” profits were largely earned by oil and gas majors – large multi-national operators with assets round the globe. However, in recent years, these companies reduced their North Sea activities, being replaced by smaller, specialist operators such as Harbour Energy and Ithaca Energy. In addition, large companies such as Shell and BP have accumulated tax losses in the UKCS due to de-commissioning activities, meaning the windfall tax is having a lower impact on them.

nice, 300mmboe stoiip. Almost a carbon copy of Zama, so 40% rf = 36mmboe to hbr

Ix would be 24mmboe, total 50mmboe!

no price support at all with buybacks, should put that 200m into dividends!

no news but Borr Ran just signed up to a new contract starting only in Oct-23 in Mexico with Fieldwood Energy.

Recent statements in Mar-23 from WintershallDEA still show Kan and Ix as part of their portfolio.

so fingers crossed...

socialism works until you run out of other people's money...

I hope BP paid for this...

whatever the case, next government in waiting already announced they'll implement a "proper" windfall tax!

cancel CCS now so they'll never achieve their green targets

I think it's clear the carbon capture side of things requires government funding. Endurance was meant to target both Teesside and Humber but only Teesside + Liverpool bay got the go ahead this time. It's also likely that Endurance will be able to handle some Humber capacity.

I think Viking is at risk if you look at some of the other plans that might take precedence over industrial carbon capture like hydrogen. Acorn is a shoo in unless Scotland breaks free.

Look at NSTA website and you can see a strong emphasis on the Bacton hydrogen hub. Location wise, it seems ideal as it lies between Humber and London and there's this pretty big depleted gas field operated by Eni that is really close to shore, which they are already thinking of converting into carbon storage.

I would say if HBR thinks there's any value in CCS, try and divest it now when it's still popular.