Member Info for liquid1

Dropped to satisfy ASX drop! Sorted ! Will be blue by 4:30pm

Consolidation coming to an end!

OILEX COURT RULING – “HEADS WE WIN, TAILS YOU LOSE” SITUATION RE JUDGEMENT

One very important point likely not understood by many is that in relation to the lodgement of the $4.1m sum with the Indian court it is our understanding that 90% of the $3m element relating to the defaulted sum is actually cashable by Oilex following a relatively straight forward application to the court.

Looked at another way, it does appear that Oilex shareholders are now in a “heads we win, tails you lose” situation. That being that if the conditions of the Stay extension are met by GSPC, Oilex will move to receive the sum of $2.7m per the application to receive 90% of the bank guarantee. Set against the current market cap of £5.87m, this is a material amount accounting for near 50% of the current market cap. In the alternate, should the Stay conditions not be met by GSPC within 30 days then the EOD (Event of Default) process will proceed and the expectation is that the residual 55% will be passed to Oilex.

By any stretch, we believe the stock to be woefully undervalued as we value the Cambay full interest at approx US$221.m on an NPV(10) basis – nearly 30 times the current market cap.

Align Research
‏

@AlignResearch
2h2 hours ago
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Good two way trade in Oilex #OEX again & looks like another 10%+ of the float to be turned over. Consolidation name of the game now before, we suspect, another leg higher on approach to 15th taking us up to 0.60's.

https://twitter.com/alignresearch?lang=enevent%20tyres

Currently 10m Mcap! May be 50m Mcap by next week or 2p

Align Research
‏

@AlignResearch
3h3 hours ago
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Key resistance on Oilex #OEX from a technical basis is 0.42/44p per here - https://on.mktw.net/2Qt29n6 A decisive break here will move us some way towards our base target price of 0.93p under Scenario 1 here -

https://twitter.com/AlignResearch?lang=en

Gujarat State Petroleum Corporation sank Rs 17,000 crore of public money TNN | Sep 20, 2018, 04:14 IST GANDHINAGAR: State-run public sector undertakings (SPSUs) took a heavy toll on the exchequer with 14 companies incurring losses of Rs 18,214 crore in 2016-2017, largely due to the bleeding Gujarat State Petroleum Corporation (GSPC). This was revealed in the report of the Comptroller and Auditor General (CAG) tabled in the state assembly on Wednesday. There are 77 SPUS in the state. With its Rs 17,061.20 crore loss, GSPC was the biggest contributor to the Rs 18,412 crore total losses of 14 SPSUS. The losses of these 14 SPSUs was five times the profits (Rs 3,647 crore) of 54 SPSUS. “The profit of Rs 1,633.12 crore earned in 2015-16 turned into aggregate losses of Rs 14,764.43 crore in 2016-17 due to exceptional losses incurred by GSPC,” the report noted. https://m.timesofindia.com/city/ahmedabad/gspc-sank-rs-17000-crore-of-public-money/articleshow/65878429.cms

We initiated coverage on Oilex in November 2017 with a target price of 1.60p and a Conviction Buy stance. Given the events of recent weeks and the points highlighted here where the base value is near 3 times the stock price and the “blue sky” multiples of this, we believe that the current price now provides an even more attractive risk/reward entry than when coverage was initiated. Accordingly we remain resolute buyers at this level. http://www.alignresearch.co.uk/oilex/oilex-court-ruling-update/

After hours 30m buy just showed up

3m paid Or 100% Heads we win, tails you lose! Not long to go!

Nice

In 30 minutes

Scenario Two – Per share valuations


10% discount rate
12% discount rate
Valuation

£ million
Per share
Valuation

£ million
Per share
Currently in issue (2,265.4m)
76.93
3.40
68.27
3.01
Fully diluted basis (2,520.1m)
76.93
3.05
68.27
2.71

These potential target prices may look high compared to the current market price, but that is largely, in our view, due to the shares being tremendously oversold and that fears over a drawn out litigation/arbitration process have held the stock back. As per the RNS yesterday, it seems to us that Oilex are now in a strong position and that there will very likely to be political pressure within India to come to a resolution, finally.

Nice!

Currently up 26.41% not 21% according to LSX

Price (GBX) 0.34 Var % (+/-) +26.41% (Up +0.07)
High 0.36 Low 0.23
Volume 181,442,758 Last close 0.27 on 01-Nov-2018
Bid 0.32 Offer 0.35

https://www.londonstockexchange.com/exchange/prices-and-markets/stocks/summary/company-summary/AU000000OEX8GBGBXASX1.html

The order stipulates GSPC to deposit INR82.5 million - approximately USD1.1 million - as well as a INR217.5 million bank guarantee, before the Gujarat High Court in the name of its registrar by November 15.

Furthermore, GSPC has also been ordered to pay its current and ongoing 55% share of the Cambay joint venture expenditure while it seeks to maintain its interest in Cambay field.

Should GSPC fail to meet all conditions of the Gujarat High Court ruling, the stay order will no longer prevent Oilex from assuming entire ownership of Cambay field, Oilex said.

"We are pleased that the court has reached a decision representing a step forward...The company will shortly engage with the [government of India] to seek the approval of revised work programmes with the aim of progressing with an active drill programme," said Oilex Managing Director Joe Salomon.

"Notwithstanding recent events, the company will continue to seek an amicable solution in good faith for all parties provided that any path forward meets our obligations to the [government of India] to develop Cambay," Salomon added.

Oilex said it is considering the court's order and "will advise of any further actions that it may choose to take, if any".

https://www.morningstar.co.uk/uk/news/AN_1541421051586183600/oilex-joint-venture-stands-pending-arbitration-aim-trading-resumes-(alliss).aspx

So that’s 12 x current so, or 4p Hopefully by 15th Nov

So ASX will show 100% up tonight with just a couple of 0.60 buys!

MM’s just cancelled the 3m sell from 11:30:21

Advfn showing correct blue price!