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Yeah reading the same....where will that leave us tomorrow?
And I thought I was going to have 1 day without any filter boxes appearing
CV is Tsunami in a tea cup...awful in terms human life’s loss but imo has been completely sensationalized by the media .....also I believe the CV is the back drop for certain countries to flex there muscle...is now a game of political chess.
Also thanks squif really informative and logical post !!!!
I guess like most on this board we have to sit this out and wait for the recovery.
I believe oil will go low 30’s until we get some intervention, Enq I hope no lower than 13p.
Who really knows?
Frackers float mortgage bond-like security as capital needs intensify
Desperate for cash, shale companies are banking their capital-raising hopes on a new type of financial instrument that resembles mortgage bonds.
Specifically, it is an asset-back security involving existing oil and gas wells. Producers transfer ownership interests in the wells to special entities that, in turn, issue bonds to be paid off with output revenues over time. Current yields on the highest quality wells are almost 6%, but are higher on riskier assets.
The first offering, by Raisa Energy LLC, closed last month. Several others will follow by year-end.
A range of yield-seeking institutional investors have expressed interest but modeling future production is challenging due to the complex geology of shale basins and large variability between wells according to engineers.
The Wall Street Journal previously reported that thousands of wells drilled in the past five years are less productive that forecast.
Producers have burned through more than $100B since 2014. Existing investors have almost completely cut off the money faucet and banks are expected to lower their credit lines in the coming months.
From seeking alpha.....
Frackers float mortgage bond-like security as capital needs intensify
Desperate for cash, shale companies are banking their capital-raising hopes on a new type of financial instrument that resembles mortgage bonds.
Specifically, it is an asset-back security involving existing oil and gas wells. Producers transfer ownership interests in the wells to special entities that, in turn, issue bonds to be paid off with output revenues over time. Current yields on the highest quality wells are almost 6%, but are higher on riskier assets.
The first offering, by Raisa Energy LLC, closed last month. Several others will follow by year-end.
A range of yield-seeking institutional investors have expressed interest but modeling future production is challenging due to the complex geology of shale basins and large variability between wells according to engineers.
The Wall Street Journal previously reported that thousands of wells drilled in the past five years are less productive that forecast.
Producers have burned through more than $100B since 2014. Existing investors have almost completely cut off the money faucet and banks are expected to lower their credit lines in the coming months.
That’s exactly it Risking it....that want to be the ‘swing’ nation re oil.
That fact is they still have to import 8mbpd to mix with there ‘vinegar’ type oil.
Maybe the world has got man flu ;)
Hi five to that 60:)
Agree squif.....though I’m disappointed with this pull back, its doesn’t feel quite the same as to last year ( so many unknowns compared to now)I’m quite comfortable to let this ride and the fundamentals to take care of business from Q2 and onwards.
And yes, I’m in the F-you camp of seeing these shale companies getting squeezed, let’s see how independent the US are at these oil prices !:)
Finally some useful info....thanks Chilts as always :)
Just saw your post....that’s excellent news
Chilts - What’s your price range re the premium on this low sulphur ?
*chunk
Epip21 -No I stayed the course...Even picked up a few more shares in the low 20’s, now hold a sizable junk 2.5m @ 27p....nearly 3 years Now and starting to make some profit, finally.....at last seeing the sp catching with fundamentals!!
Just picked up the link thanks GKB....
After my wobble and self doubt a month ago.....like you squif I added in the low 20’s.... hold around 2.5m shares now approx 27p....looking forward to my Acc showing green for once!!
Understand K.....I’m like you heavily invested.....and expected more....when I go into reflection mode with this venture, I will
Probably have to admit it was a poor decision to go so deep with it......but I’m young and have very diverse portfolio and thank god is picking up the slack for Enquest poor performance
Another year hold K?....that would mean a 4year hold for potential return 56%.... using the famous 60p guidance.......that’s 14%pa return for the risk involved?.....as I’ve said same investment just don’t work out