Member Info for Maverick7

as well as targeting the BKR assets as per RNS they should be farming in to other near term appraisals & development projects using their extensive current and future cash resources to truly use the tax incentives e.g:
JOG
I3E
PMG - Skerryvore
DELT etc...

Also, interesting comment from todays RNS about shareholder views at the forthcoming AGM:
" The Company will be holding its Annual General Meeting on 30 June and looks forward to presenting our forward plans in more detail and hearing shareholder views."

Any thoughts, TLWs focus has been on Africa of late

Is anyone able to interpret this statement ? They imply a dividend and creating a merger reserve.

Resolutions 14 and 15 – capital reduction
The Company currently has retained earnings of €23,001,000. Given the Company’s performance and the current market prices of oil and gas, the Directors consider that the Company should be in the best position possible to pay dividends should trading continue at, or close to, current expectations. In order to create additional retained earnings the Company is accordingly putting proposals to Shareholders to allow the crediting of an accounting reserve known as a “Merger Reserve” to retained earnings and to cancel €50m of the balance then standing to the credit of the share premium account – this will increase pro forma retained earnings from €23,001,000 to approximately €73.1m (approximately £62m).
In certain circumstances, such as where shares are issued in consideration for the acquisition of shares in another company, instead of creating share premium, an amount is credited to an accounting reserve known as a Merger Reserve. The Company has €14,734,000 standing to the credit of the Merger Reserve. The merger reserve represents the difference between the value of shares issued as part of the total consideration of the acquisition of Kistos NL1 and the nominal value per share. Kistos plc has paid €15.75MM of the total consideration by issuing 8,742,775 shares to Tulip Oil Holding B.V. at a price of £1.55 per share. This created a merger reserve of €14.7MM.
As in the case of a share premium account, the Merger Reserve can only be used in very limited circumstances. However, unlike the share premium account, the Merger Reserve is a non-statutory reserve and the Court does not have the power to reduce non-statutory reserves.
Therefore, it is proposed that the Company capitalises the amount of €14,734,000 standing to the credit of the Merger Reserve of the Company by applying that sum in paying up special bonus shares. The bonus shares will be issued to Shareholders on the basis of one bonus share for every Ordinary Share held on a specific record date (which the Company will announce by RNS in due course). Shareholders are also being asked to approve the cancellation of the bonus shares issued pursuant to Resolution 15 (Capitalisation of the merger reserve and cancellation of bonus shares) with the sum arising on the cancellation being credited to the Company’s retained earnings reserve. The bonus shares will not be admitted to trading on AIM, or on any other market or stock exchange. It is a condition of issue of the bonus shares that no share certificates will be issued in respect of them. The bonus shares will have extremely limited rights. In particular, the bonus shares will carry no rights to participate in the profits of the Company and no rights to participate in the Company’s assets, save on a winding up. The bonus shares will be transferable, but no market will exist in them and it is anticipate

Funny that KIST has recovered but SQZ hasnt since the WF tax bombshell. I see that KIST has the AGM coming up on the 9th June so that may be driving the share price recovery and possible early debt payment.
Interesting to see what else they will do with their cash hoard, i bet it doesnt sit in the bank account for months

Pretty sure i heard him say that the debt will have been repaid, so if no debt where does that take us

LOL, Market Makers saw an opportunity and took it, BP & SHEL are actually up. Good chance to top up here.
Anyone wanting to complain can do so at the AGM.
SQZ are making massive profits daily despite this extra tax.
Did Rishi also say that any re-investment of profits we can claim 90% back in tax, so does that mean we can claim back 90% of the drill cost for Eigg, even if its a failure, so win-win, if its a gusher we produce and pay 25% profits on the black gold and if its a failure, we claim back 90%, lol

if they can direct some of those big cash balances into my bank account (and others on this board), that would be even better

The share price here is utter madness considering they pay a heft monthly dividend

US driving season almost upon us, another hot summer will have air con on maximum and WTI >Brent

https://www.cnbc.com/2022/05/17/natural-gas-prices-have-already-doubled-this-year-a-hot-summer-could-push-them-even-higher.html

Asides from Harbour energy, I3E hiked up its dividend by 25% today and they pay it monthly and note they say "minimum" dividend in 2022. Come on SQZ you need to follow suit:

"i3 is pleased to announce that due to the ongoing exceptional performance of its production assets, positive results from the initial phase of its 2022 development drilling programme, and continuing commodity price strength and the resultant positive impact on our cash flow projections, the Company has decided to increase the minimum dividend to be paid in 2022 by 25% from £11.827mm to £14.784mm. The increase will be implemented by increasing the monthly dividend."

Still we wait to find out who bought the 4.97% stake. They certainly created a buying opportunity. They can currently buy another 5% at a 7% discount to what they paid last week.
Some more big buys gone through. Feels like someone doesn’t want to reveal their hand just yet - only a matter of time

To find out who bought 5% of SQZ or £53m worth of shares (in less than 12 hours)

Sorry meant to say very good summary to flexmv!!!

Lol Curator - “but we are hunting for bigger multiples (>5x)”

There is a 5 bagger right here, no need to go anywhere
Debt will be paid off, dividends paid out, no dilution, further acquisitions will come and oh i agree cash is king and there is plenty of cash being generated by KIST

Very good summary NewKTOB
Also interesting to note that Bruce is capable of producing more but not at the same time as Rhum currently, future work to do here

It will be interesting to see if
1. Someone approached BP to sell its shares
2. Will all the 5% holding go to one institution
3. Is it an open offer so that multiple parties can buy the shares
4. What price will attract 5% of the company

Interesting development and did SQZ know, certainly Mitch didn’t give anything away, although there was a strong suggestion about M&A

is likely to come, what next - gas?

https://www.zerohedge.com/markets/full-embargo-russian-oil-would-send-brent-185bbl-jpmorgan

No

UK Natural Gas Futures for the summer Q2 & Q3 >220, Oil still over $105
No new hedges since June 2021
BKR 100% since Jan-22
BKR all paid for
Rising dividend
Daily revenue >£5m conservative - lol - is that correct!!!!!!

£6+ by the next interims if gas prices stay high

Are you lying LuckCounts

“Serica has downside protection for over 20% of projected gas volumes in 2022 but has added no gas price hedges since July 2021 due to extreme market volatility.”

Where did you get the increased hedge volumes for 2022, I’m all ears

https://www.energyvoice.com/oilandgas/north-sea/exploration-production/402470/i3-energy-seeks-more-partners-on-company-making-north-sea-field/