Member Info for Lochnagary

Stereo - you mention Solan in your post. Are you sure that is correct?

As far I am aware, Solan was developed by Chrysor and Premier Oil (and is now owned by Harbour). I don’t think Enquest were involved in Solan.

It’s all happening in the UK O&G sector….Harbour yesterday and Enquest today. What do we thing about the Bressay RNS?

The EPL only applies to UK production. Production in other countries is taxed in accordance with the tax regime in each of the other countries, which may be more, or less than the UK.

I don’t cover EnQuest for historical reasons and rarely comment on board appointments either but I have always had a lot of time for Jonathan Copus and followed him at Getech, a company that he did great things for. Who knows, I might just start casting an eye over EnQuest again…

I have no inside knowledge, however I wouldn’t be surprised if the partner was Ithaca. Orcadians development scheme proposes to use a polymer flood scheme to improve oil recovery. Polymer flood is a new technology that was pioneered by Chevron in the Captain Field. Ithaca bought Captain from Chevron, and their expertise would be beneficial to Orcadian.

Just joining the dots…and could be completely wrong.

I previously posted this on the HBR board….

The hedging profile is shown on the presentation from the H1 results.

I have no inside knowledge, however I wouldn’t be surprised if the partner was Ithaca. Orcadians development scheme proposes to use a polymer flood scheme to improve oil recovery. Polymer flood is a new technology that was pioneered by Chevron in the Captain Field. Ithaca bought Captain from Chevron, and their expertise would be beneficial to Orcadian.

Just joining the dots…and could be completely wrong.

I’m hoping that next week’s statement by the Chancellor will support UK O&G. The government are presiding over the demise of O&G production from the UKCS, however their recent words suggest they appreciate the importance of the UK producing our own O&G. Production from the UKCS is declining faster than anyone could have foreseen, therefore the pressure is on the government to do something tangible to make it more attractive for companies to invest in the UKCS. With a GE expected next year, next week is an opportunity for the Chancellor to incentivise production from the UKCS. If he does, this will boost Harbour’s SP. I have averaged down (yet again) in anticipation he says / does something positive,

Apollo’s RNS on 15 May said they were not going to make a formal bid for Wood, in accordance with Rule 2.8 of the Takeover Code, unless certain prescribed events happened…like someone else bidding for Wood. This constraint on Apollo making another approach lasts for six months.

So, Apollo would be free to approach Wood again after 15 Nov (15 May + 6months).

I think Apollo backed out in May, because, at that time the American banking sector was in turmoil, and some regional banks were in danger of going bust. My guess is that Apollo thought it would be unwise to spend £1.6B in a cash takeover with such a precarious banking environment.

Six months on, the banking risks appear to have diminished. So, given that Apollo spent a long time courting Wood, it is possible that Apollo will try to finish what they started, and make a formal offer for Wood. Does anyone else think this might happen?

Eric Updike bought 100,000 shares @ 97p

Https://cdn.ftspecialist.exponea.com/investors-chronicle1/e/.eJxtkDtLJEEUhUEQZVSEFoQ10EnEqLv6Mc7QDYKiwoiiIBPIyqDVVVe7nO6qpqq0R9A_MAYmGms6f0DMDDQyNBAMNllYEMFUU0vdbDe4cL_D4T6OVe60jy-6kyPjv2qdq_fXx-R5o3v7cLYy8eNkfWPmoXM6tptonasIoaIoHMYPQGkhFUmk4Iyk4BDh7LcQh0Ih3_UD5LnIDZHKmQSu7ViKFnA7lyJjCpStEqw1SDvDsgXaJoLvMAqcAPLu717O3-pPc9FQqWdfWX3QzgUHHNkGiTW1NF-2y40Eyg2JKUgDq2ZnCp_jDPjTjhs6fhANGHtm9UKGWRqNlkqfq8UWERSs_rWg2lifW1j8yRCKBT1EGscpIP3dS6Tpt7I53fxX_I_Na_5Fyg6-Kt8Mmkhpk82uiQBzhOM6hJTGge9WKpTQqkuPvk7bYjQqWJoycGLMJA3D2Vgzbp7hoE2o2RGlFY9UarUAsOcHVbw3uN1O_1wPXz797twsfwAs057j.92LUjOSqIL2kAQ/click

You need to own them at COB on the day BEFORE the Ex Date. So GFRD go Ex Div on Thursday 5 th Oct. You need to hold the shares at COB on Wednesday 4th Oct.

Do peeps think we might loose our CEO to Bp? She has the pedigree…( ex Shell) and the political profile (think energy committee). I hope she isn’t on the the shortlist, as I think she is doing a good job at HBR in difficult circumstances….BUT…she has qualities that bp might appreciate…and as a happily married woman, she’s unlikely to have an affair with one of her staff.

Since the timeline is price sensitive information, it should be issued via RNS, so that everyone has the same information. Once published via RNS, it can then be freely stated at the AGM.

I think the SP is drifting for 2 reasons:

1) The BOD have not given any further formal guidance (via RNS) on the expected timeline for closing a deal with a partner. Using words like, imminently, shortly or soon at an AGM do not carry the same weight as a date in an RNS, even if it is a conservative date…like end H2 2023 or Q2 2024.

The market makers know that O&G deals often take a long time to finalise, even those between major companies, so the initial slippage is probably not a surprise, however the BOD need to manage expectations and communicate a revised timeline formally. Radio silence fuels uncertainty and reduces the SP.

2) The second issue is the earthquake, which obviously wasn’t known at the AGM. I think the earthquake will delay any partnering agreement further, as the prospective parters will need to satisfy themselves that they have quantified the earthquake risk for the Anchois development, before the proceed. If you were the CEO of a major oil company, you would make sure that your M&A team had fully understood the geology from an earthquake risk perspective, and adjusted the terms of their offer (if required) before signing up to develop the field. This will likely delay the partnering process.

Don’t get me wrong…I hope that the earthquake risk to the Anchois development hasn’t changed because of last weeks events, but I’m sure any partner will want to reassess the risk before farming into Anchois.

It would have been better if the BOD had issued an RNS after the earthquake to address the issue of earthquake risk to the development, based on their understanding of the Anchois geology, to allay investors fears.

That is my conclusion also. The cost saving surely cannot be significant, compared to the impact on the sentiment of the Swedish shareholders, and the resultant drop in SP. It looks like we are simplifying our share structure in preparation for us to be bought by, or merge with, another company

No apology required Klein57.

I thought the ADVFN information had a grain of credibility to it, as the person who posted it said he was speaking to “chariot staff”, who appeared to be more forthcoming than the BOD could be. I don’t think any BOD would provide this type of information, as it is commercially sensitive, and ought to be issued via an RNS, but other members aren’t bound by the same rules, and were perhaps just trying to be helpful to a shareholders question.

Your post provides a different insight of the AGM, so many thanks for posting in the interests of balance.

There was some useful information posted on ADVFN last week by someone who went to the AGM. Credit HSFinch.

I think what he is saying explains the pickle that our BOD find themselves in, through their inexperience and, dare I say it, greed. Any comments are welcome.

hsfinch8 Sep '23 - 14:55 - 12374 of 12392

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I went and it was depressing. I got my questions answered off the record and neatly choked on my nibbles. I spoke with 3 staff in the know and ghis is what I pieced together.

Partnering. Complicated. 2 maybe 3 companies left in. All offering different deals. All share and cash. One wants to test. One wants to drill more exploration wells. One is happy to push the button now. None are offering big numbers. They know Chariot can’t move without em and they aint over-paying. Main problem us the seniors trying to get the deal done ate unrealistic and inexperienced. Proper oilie commercial fellas would have had it done by now.

Gas price. Government bureaucrats are scared of doing a deal. They’ve recently signed up with Shell and Anchois price need to be 25% below.

hsfinch8 Sep '23 - 15:04 - 12375 of 12392

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Gas price continued. They think the Shell deal is good because it helps to set a price. But same as partnering management doesnt know what its doing. The pierre fella is living the expat dream and will string it out.

More to follow.

hsfinch8 Sep '23 - 15:22 - 12376 of 12392

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Bonuses. Other attendees covered this in Q&A. No point in me digging.

Overall impression. Second division team spending our money. Or rather wasting it. Essential that a half decent partner comes in quick on ok terms. Or this is not going to deliver us anything

I am as disappointed as everyone else about the partnering timeline slipping from the BOD previously advised. It is quite common for M&A in the O&G space to take longer than people might think, so we shouldn’t be surprised that things are slipping. The BOD were naive in publishing an end of H1 date, as failure to meet it suggests their inexperience etc. They should have published a date with sufficient float, so their timeline was deliverable.

One thing that gives me some comfort that the BOD are not just stringing the process out to line their pockets, is that we know the Moroccan government want 1st gas as quickly as possibly to support their economy. I’m sure that if the Moroccan government thought that Chariot were taking an unnecessarily long time to select a partner, because of their inexperience, or their unrealistic commercial expectations, then pressure would be brought to bear to speed things up. After all, the Moroccan government can’t allow their economy and energy security to suffer because a small company like Chariot are being greedy. So, I think the BOD will be fully aware of the need to bring the field to production asap, and this may mean they will have accept a slightly suboptimal deal.

Better to get a deal that meets 90% of you requirements in an acceptable timescale, than string it out, and run the risk that the Moroccan government rescinds the licence and gives it to a larger company. Chariot are a small company, who need to keep the Government happy.

Https://www.investorschronicle.co.uk/news/2023/08/23/costain-is-set-to-restart-dividend-payments/