Member Info for kld1

At the moment I feel there is one major factor which may make a huge difference to our position going forward

The supposed VACA MUERTA LAW touted by Guillermo Nielsen.
Can VM be developed so as to give Argentina $$$$$$ to pay off debt. The consensus is yes
To do this Argentina needs to ring fence the Oil and gas industry, a level playing field and no moving the goal posts. This needs to be written into law for anyone to show interest
If it is then it takes away almost all the geo-political risk
Then the super majors come with billions of dollars
The 2 billion pipeline will get funding as will
the 5 billion LNG terminal
A lot has been learnt in the fracturing business in the States in the last 10 years. NOT MUCH MONEY HAS BEEN MADE ( actually 250 billion has been blown. However the majors are moving in as they believe they can now make it profitable.
I am lead to believe the quality of geology in VM is better than in the States
So all you want for Christmas is this LAW to be implemented.
Brasso you're going to make yourself ill if you carry on like this!
You have a break even of probably just over 8 pence
It will not take much for the stock to get to that level
Consider how many other investors are sitting here with breakevens at 20 pence plus.

YOU MAY NOT FEEL IT"S THE CASE BUT WE ARE VERY LUCKY TO HAVE PETER LEVINE AS A CHAIRMAN AND MAJOR INVESTOR
He"s down £50m

Sadly unless Pl wants to sell back some shares also a buyback will put him over 30%. At these prices I agree That would be a good idea

Seeing as this is your first post we will forgive you, but going forward try making intelligent posts please.

If my understanding is correct and the above man is indeed in charge of energy in Argentina this is the best Christmas present you are going to get this year.

Not sure what you are trying to achieve on your twitter account but if it is to oust the board of directors you are out to lunch.

Fair point i have used my allowance every year but that still only represents about 15% of my holding. My capital loses are in the hundreds of

Ecclescake I read this this article also and yes makes some interesting points.
However decree 566 which has lapsed was introduced by the outgoing government did not mean that once AF takes over that he will not reimplement it or something akin to. We know nothing of other measures in particular capital controls. If AF goes right oil industry get on with it without government interference then that's good news. Again however given the incoming government and the state of the economy the discount to fair value will remain and in all likelyhood remain wider than it did with the previous government. If news going forward is positive then we may see the stock price move upwards but less than you would expect. Having been invested here for over 7 years I now believe the best hope for a return comes from a dividend. An event id rather avoid as it incurs income tax while I sit on a huge capital gains loss.

For clarity NOTHING has been resolved in Argentina

Fingers crossed but not holding my breath.

Oh and bear in mind for the whole of October the $ has weakened.

A figure to watch if the peso goes to 67/$ then the fracking business closes down.

I don't think anything has been lifted

Brasso is right. There is insignificant day light between opex and oil price for anything but essential capital expenditure. Losing probably $15m of revenue per annum as a result of price paid in argentina.

Getting ever closer to 60 peso/$. Every day we make less money!

yes that's right why?

We are currently making 50% less than the open market for our oil

What has suppressed the share price is that Argentina has gone to hell in a hand basket. Every day the currency weakens with no let up so therefore every day we get paid less for our oil. Hatches are closed no capital expenditure for the foreseeable future. THAT IS THE ANSWER!

That's $15m lost revenue
equivalent to a .01 pence dividend

In the last 10 years Brent has only traded below this price for 11 months.

BA times predicting 65 peso th the dollar by end of year.
This means we will be paid $$$$$$$ 44 per barrel
No wonder we have NO money