Member Info for Mirasol

"Excuse my ignorance, but does this tax apply to EDR with their assets on land?"

yes it does - it's a sector wide tax

However EDR have Biscathorpe, and other onshore opportunities as well as Resolution offshore so they should be able to minimise the new tax paid

There is no need to panic but it really focuses attention on what do the company do next. So far CA etc have not really said anything about plans after the bond holders are paid off. It now is a matter of urgency to come up with a decent plan.

And that should not involve just drilling anything left in the portfolio. It's an old O&G truism that tax driven drilling is almost always a disaster. Better they think this through, and maybe get a substantial non-operated position in a currently producing operation .

"Am I glad I no longer live in UK...oh Yeah:)"

I'll bet you take advantage of the NHS , bus passes etc etc when you come home.............

"The question that springs to my mind is does M&A qualify for 90% windfall tax relief ?"

The answer is simple - NO - only investment in operations etc will qualify - corporate activity will be outside the ring fence

https://www.building.co.uk/features/whatever-happened-to-those-radical-planning-reforms/5117090.article

" it will become cheap and quick when our government as always takes the easy quick way out i.e. by forcing the issue of planning."

type Tory Party and Planning reform into google and see what you get

they've been running scared since they lost Beaconsfield and its interesting NO planning reform was promised in the Energy Road map - there are ZERO votes in planning reform in the UK

"2 substantial strategic investors have arrived: Forum and the investor group associated with Aleph."

ARRIVED? So they haven't been hand in glove with the BoD for the last couple of years Ocelot?

i'm beginning to think BV is a bot - single line replies with abuse and insert name here

no arguments, no numbers, just rubbishes everyone automatically.

"Outrageous cash grab, "

Someone has to pay - and the Chancellors job is to get the most milk for the least moo. O&G companies are used to it - happens everywhere all the time. Risk of being in a high profile, cash generative business with few employees (comparatively), largely owned by foreigners - same everywhere

"North Sea development costs more and takes considerably longer than onshore investment and development. "
Correct on costs but wrong on timing - almost all onshore efforts for the last 15 years have taken years due to planning, greens etc. Plus of course you get a dribble of energy at the end of it

Onshore made sense when it was cheap and quick - it's not been like that for years

"Short term pain massive gain imho gla"

its years and years of pain in here

And I'm still fretting about what they're up to on the Corporate front - why do they need all that extra cash?

Maybe to pay the hedge while the drill the sidetrack?

" but, as far as I am aware, provided no indication as to what that might mean."

After the next election I'd guess :((((((((

"Why it’s not profit, if it was a dividend then it would be profit"

You clearly don't understand - profit is what is left after you pay your costs - what you decide to do with it after that doesn't matter to the new levy - it's taxed unless you reinvest in other exploration etc

"3. The share buy back scheme will be pushed forward"

but the Govt will take 65% of that cash -

Adrain - we're a long way from the 2p you were peddling earlier this year.................

HITS - something isn't right here.

None of the numbers make sense - I 'm starting to suspect they've been told by the HSE they have to shut the field in to drill the sidetrack (!!)

Yes - it probably enhances the possibility of them continuing with Resolution...............

"I wonder if any UK firms could take or try to buy stakes in Rockhopper. The windfall tax makes any investments 80% cheaper... assuming they are making profits."

Sorry - UK only -

"to encourage this, a 'super-deduction' style investment allowance will be introduced within the levy to provide an immediate incentive for the oil and gas sector to invest in UK extraction."

"If ANGS infers they 'suddenly' realise they don't have the funds to establish the sidetrack etc then I will find that incredible."

Remember the famous Brockham test programme................... pulled a few days before it was due to start

"Angus is an expanding company needing authority to buy future assets. "

Seems to be mainly expanding the amount of shares in circulation BV - something is starting to smell around these smoke and mirror deals IMHO