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But that’s ok if they start paying dividends

If they don’t pay a divi now, when they have a $70mn cash pile, gas prices likely to stay reasonably high in 2021 and drilling ambitions being pretty moderate, then we can forget about it

On the existing fields, what the have drilled in the last couple of years just replenished the depletion, the production is flat as a result. It will likely continue this way in the observable future

Re Arkona, it will take time, effort and money to put on production. I do not think there will be any meaningful production from Arkona in the next two years. Reserves - definitely, production - unlikely

And risks are substantial. Every well is $10-12 mn You miss the target and a significant part of your annual cash flow evaporates immediately

Even if you are successful, it remains to be seen whether a well pays pack. Too deep, too expensive, takes almost a year to complete

I think this explains why ENW is so conservative with new drilling

gotabesirius, there is no material growth in production in the next 2-3 years. Growth in cashflow will depend on gas prices. Currently, we are very lucky but that can obviously change pretty quickly

In the absence of production growth, Dividend is a game changer

Whether there is a divi or not - we will soon find out. But who would waste time eliminating the share premium “just in case”

Who is Sid, who reposted this topic on twitter? He usually posts a lot of drivel on ENW and JKX but doesnt have a clue whatsoever. Mate, you should try much better

Sid, JKX is in a big ****, mind you.

Read my first post in this topic. I mentioned it - it is still a big issue but not relevant in the next 2-3 months. And most people dont get it anyway

Enw’s latest update was a disappointment and I clearly said so

But then, a few days later, JKX issued its own update, which turned out to be a disaster. People on twitter continue posting various drivel nonetheless

But I changed my mind. Based solely on facts. In early January I thought JKX will perform better than ENW. Now I definitely prefer ENW

For the record, I still own both

gotabesirius, I only write what is relevant under the circumstances at any given point of time. And accounting for the prevailing share price

There were times when I said buy as much Regal as you can get. And there were times when I said sell by all means

Being realistic is vital to make profit on stocks like ENW

I do not hold it for years, I am not a happy holder but I made a lot of money on RPT in the past. Planning to repeat it in 2021, at least partially

You can scroll down for my posts dated 2018-2019, when everybody on this board put a lot of hatred into my face. Back then, I was right in pretty much everything. And most of happy holders lost a lot of money

Listen to me and I will make you rich, boy, lol)))

I don’t remember if Regal had ever paid dividends in the past, it probably hadn’t

But JKX definitely had. And its share price at a time was a multiple of the current levels

Announcing any meaningful dividend will by itself be sufficient for the stock to re-rate

Russian VGAS doubled on divi announcement in 2018. We can expect a similar performance

3p per share is a mere $13 mn in total, of which $10.8 mn goes to Novinsky. Peanut for ENW

After the latest operating update, which was clearly a disappointment, the following developments can help ENW to re-rate

1) Results of the latest SV-25 well. Anything above 500-600 boepd should add a few pennies to the share price. Timing - early March

2) Reserves update. Following the completion of the Arkona legal case, I reckon ENW shall prepare a new assessment. Arkona’s 38 mmboe of C1+C2 reserves would likely convert to 20-25 mmboe of 2P reserves. This is a 40-50% increase to the previous assessment. Timing - tbd, depending on when they started/start

3) 1Q cash pile. I reckon ENW will have earned $10+ mn in 1Q. As a result, the cash balance should exceed $70 mn. They will spend it later on on their next well but who cares in the short-term, most people don’t get it anyway

4) VAS-10 well workover. Should minimize production decline at VAS field. Better still, increase it back to 2019 levels. Timing - May

5) VAS license resolution. Unlikely, given no developments for almost two years. Just for completeness sake

6) Last but definitely not least, divi announcement. 2-3p would be great. Depends on how tax efficient it is for Novinsky and whether he is willing to share the cash pile with minority shareholders. Can easily afford it from financial perspective. Timing - hopefully, April

All-in-all, we can expect to hear quite a lot of news in the next couple of months. Fingers crossed, we make a decent profit out of it. Including happy holders and unhappy dreamers))

Never understood over-optimistic idiots who invest in extremely high risk stocks without having a clue on what’s going on

There are ways to make money on this stock without holding this **** for years, like many people here do

Waiting for dividends. Should be the same thing as Volgagas a couple of years ago. Will then sell to idiots believing in long-term value, lol))) plenty of them, fortunately

Doesn't care much about short-term ****ty operational performance as long as there are happy holders who think it is great))

Does it make sense, mate?))

Oldholder can count the trees but can’t see the forest))

Production was 4444 in Q4, on average, now it is likely around 4300

Even if the new well brings in 600 boepd, the production will be 4900 but it will then decline below 4500 by year end. I.e. no production growth YoY

Now about economics. The well is deeper than 5000 m. The cost is $10-12 mn. What is the pay back period for this well? No, wrong question. What to do with the well which never pays back?

Now imagine the new well’s initial flow rate is only 300 boepd. Follow the same logic. Do you still like it? Are you still happy holders?))

Continue dreaming, guys. Sweet dreams, so sweet))

You don’t necessarily have to be too bullish to be able to make money

You need to be realistic. See both pros and cons. Buy and sell when it makes sense

Dreaming and being “a happy holder” is only needed when you’re stuck with a wrong stock purchased at a wrong price

You will not see anything above 30p in the coming months unless there is some form of cash distribution or a really good flow from the latest well

2021 will be another year lost for ENW - no production growth and no cash growth

But continue dreaming

Ahaha, we’ll see in a few months who is right and who is wrong

I made a lot if money on this stock and was right in pretty much each and every forecast

Idiots dreaming of 60-80p are definitely better than those who dreamed of 1+ pound but are idiots nonetheless))

Ahahah, we have a fresh inflow of worshippers of Enwell the great sect here, the previous ones were put to shame

I don’t need any entry price here, I am in already. For the modest amount compared to JKX though and not planning to increase the exposure. Males little sense at above 20p

I am just being realistic. Operationally this company is crap as it is. Looking for dividends (or hint thereof) and then will sell. As simple as that

They will earn another $6 mn in Q1 and spend what they earned during the winter period on their next well. Result - cash unchanged, production flat (if they are lucky) or down

In 2020, they lost $2 mn despite an inflow of $6 mn in Q4. Drilled just one well. Production is down 7%, as a result

Because they spent this $10 mn before 4Q. My friend:))

It took them almost a year to drill it

Nonsense is all this positive bull**** from people who are heavily in the red but still “happy holders”

Production is down by 332 boepd

Their latest well gave them 565 boepd

Without this well, the decline would have been 897 boepd. That’s almost 20% decline from natural depletion! Extremely high for gas wells!

People on twitter saying production will undoubtedly go higher are idiots

ENW needs two wells per year just to maintain production. That’s $20-25 mn in capex - more than the company earns

Good thing is that we are back to the 60+ mn territory in terms of cash

Bad thing is production decline - 7% is a lot, given they had a new well in May

Their wells are so deep and therefore expensive that basically they need to spend a major part of cash they earn simply to maintain production

If there is no dividend, then there is little hope it will grow much further than 30p

Hope we have a dividend announced soon and the stock re-rates like it was with Volga Gas back in 2019, when it doubled