Member Info for Krakenoil

Afternoon Jan,

Hope this is the bottom and the market turns around for us over the coming months.

I was looking at Chevron buying PDC energy, the valuation of US oil companies compared to ours is laughable. PDC has a production rate of around 77k bpd and gas production of 253k Boe, Chevron bought the company with a all share buy out worth $7.6b. We are valued at a dismal £300m. (Cheers Hunt ) !

Hope we get a good update and I'm Looking forward to the AGM,.

Did you sell out lol

When the tide turns it’s going to be rapid. I don’t see a recession coming, we might see stretched home owners tightening up next year due to cheap mortgages coming to an end. But things out there from where I see it is everyone is flat out still, we can’t handle the work coming in and neither can all my other acquaintances. This is not a sign of recession from a layman’s point of view.

If you look at the 6 month chart, we have followed the same pattern as both HBR and Tullow, So I would just put it down to a bearish market expecting world wide recession, Some saying that we hit the highest oil demand ever in March this year, So who knows !

Qatar's Kaabi says we need to stop demonizing oil and gas companies because oil is not only about transport its in almost every component that we use in our daily lives(Make up included). He went on to say due to the lack of investment we are going to see a large shortage in both oil and Gas.

Someone doesn't want us moving up from 16p do they.

-3% down against the other mid cappers who haven't moved.

Why ?

I see we are going the opposite way to the oil price again.

Wholesale diesel prices have come right down from last years highs so that will help our BE costs.

We just need market settlement to change and 36p may not be to far away.

Let’s hope James gets it right again.

Specially with Brent almost touching $77

The good thing about CC is basically we can charge good money for it, it’s not susceptible to oil prices and its volatility and it’s not windfall taxable

Volume is terrible today but that could pick up this afternoon if oil carries on ticking up.

When we get shareholder returns or a bid for the company

China isn’t going into recession look at their daily imports of oil, record highs. They ain’t buying just to store it especially at current prices, they must believe oil will be going far higher later this year

Most of those are in government Spin.

Feels like a game of snakes and ladders

Just filled out the forms to attend the AGM,

Hopefully I wont have to shoot off straight after this year.

Jan, R are you still going to attend ?

I have replied to her pointing out the obvious, its not a incentive and the oil price is now significantly lower than pre war and I also asked will the government hand back the profits to cover any losses going forward especially the interest on debts incurred from the past 7 years of losses due to lower than normal oil prices.

I also asked if she had noticed the 350 jobs that have been lost due to the EPL charge.

Thank you for your email.

I understand your concerns, and before the levy was introduced, I too raised my concerns about the potential consequences in the House of Commons, and in particular the potential risk to investment and growth. https://hansard.parliament.uk/commons/2022-05-17/debates/66D4E191-DD58-4477-B533-D90BC3348D06/TacklingShort-TermAndLong-TermCostOfLivingIncreases

However, the headline 75 per cent tax rate that has since been set is comparable with other North Sea tax regimes including Norway, and strikes a balance between funding cost of living support while encouraging investment in order to bolster the UK energy security. The Treasury have also built investment incentives into the new Levy to avoid risk. For example, a new Investment Allowance will double the overall investment relief for oil and gas companies, so companies will have a significant incentive to reinvest their profits.

I do hope this provides some reassurance and please let me know if I can be of further assistance.

With best wishes,

Laura

We won't be going anywhere until we receive shareholder returns.

Currently the risk isn't worth the reward.

Fingers crossed settlement will change over the next 6 months

Value is determined by the buyer not the seller.

Enquest could be paying a dividend of 50% of the market cap but unless demand to own the stock outweighs the sellers the price won’t move.

Currently no one want to own filthy environmental damaging oil stocks !

Oil prices still falling, We'll going to have to ask for the windfall Tax to be given back to cover our losses soon.