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Great rise and hold today for UJO. Good to see some of the old LTHers still about. Our only problem after the years will be remembering which drawer, biscuit tin or floor board the shares certs are in lol.
Strategy playing out nicely. No real news until we got the HC approval. Cracking RNS. We don't need money so we won't place which means no discount available for institutions. They will have to buy on the street which will underpin the price, on the promise of a divi which I'm sure DB engaged them on 6 months ago.
Gaffney Cline is expected in Sept but I'd like to hear about the divi first. Probably doesn't matter either way but promise of a divi gives institutions and us a chance to load up before the GC report.
Lots of operational updates due and I think West Newton will surprise many. Rathlin havnt/won't give it up. They seen something and it was always about gas. Biscathorpe.. Hoping the nail side track after the alluvium skewed the sesimic. I initially invested pre float for Biscathorpe.. Wressle was a wild card lol.. Humdinger now with just 1 well and havnt touched the PennyStones
As for £1.. That's just price correction but seriously undervalued imho at that. It's 50p old money. Company and assets have grown substantially since I was buying at 42p old money.. 84p new.
Well done DB and team and those that held.
As always DYOR Right ;-) Mix
Some spoof on here from the alleged LTH. You think the upcoming resolution is about share buy back. FMP.. how will that impact a sustained SP growth. Imho it about a dividend.. Why.. Because that attracts institutions and that is the only ingredient we are missing. Wressle is nailed on. West Newton was always about the GAS.. Nailed on. Biscathorpe.. Well we hit the wrong direction but I'm confident that will hit trumps. So the assets are in place.. All we are missing is institutions.. They won't invest for a buy back.. Seriously.. Buy give them a dividend and game on..
As always DYOR Right ;-).. Mix
Persimmon.. You call very little here never mind contributing anything of note. So yes.. Let's put up my quote and yours and let's see if the attraction of an institutions is the game plan.
My comment on institutions...
"The only sure fire way of investors getting a certain return for their money is for the investment of Institutions into UJO".
Persimons in depth reply..........
"WHAT UTTER RUBBISH, The market is littered with Institutional Investment companies who have invested money into companies who have gone bust".
What are you smoking?"
So what ar you saying Persimon. We'll never attract them. Institutions won't invest because we might go bust. Institutional investment won't impact SP. What is your point...
Persimmon.. Seems you need a smoke mate.. Chill out.. Relax. As your initial comment ..
"The only sure fire way of investors getting a certain return for their money is either through a dividend or share buy back"
-- well I'm sure you did the maths. Given the cheapest anyones in is around 11p and I'd say most PI have an average of 20p.. And given we should hit 5 Mil soon from Wressle how much of a dividend do you think you would get.. And how many years to cover your average cost.. Lmao. Get a grip. It's all about attracting institutions not drip feeding dividends to shareholders over 10 years so they get a return. I want the SP to bag.. I'm not worried about a dividend.
Institutions bring liquidity and with increased buying the SP rises. Basic fundamentals. But if the company is not underpinned by solid maturing assets and in a decent debt free position. Then like all companies there's a risk. There are few oilers on AIM that are in the same position as UJO.
Now inhale deeply ;-) chill.. Mix
Totally disagree there. The only sure fire way of investors getting a certain return for their money is for the investment of Institutions into UJO. The best mechanism to attract them would be IMHO - no Debt and a dividend with enough assets in potential growth stage and de-risked for further uplift. But please.. read up on Capital Allocations. There are many mechanisms to employ. Giving me a dividend out of Wressle doesn't give me back no where near what I invested here. Give me an institution that will at least bag the SP.. I'm a happy camper.
GLA Mix
So I run a little pole a few weeks ago as to the choice of a Dividend or Buy Back. Fairly neck and neck.
Dividend - 43.5%
Buy Back - 56.5%
Well the good news is…. That is NOT what we are VOTING for in the AGM. If you re-read the RNS from the 23rd Feb 2022 you will see that, due to the Companies excellent current performance, it has a great dilemma in how to utilise all the higher than expected revenue.
So.. What are we VOTING on. We are voting to empower the Board to "adopt a CAPITAL ALLOCATION and DISTRIBUTION POLICY to allow the payment of a dividend OR implement a share repurchase programme."
In fact if you have quick look at what Capital Allocation is on the link below you will see that it's just not a Dividend or buy back but employs other levers like re-Investment in projects. This is what was all called out in the RNS
https://www.investopedia.com/terms/c/capital_allocation.asp
Once the resolution is passed, the UJO Board can decide to allocate or redistribute the revenues that the company has earned through the mechanics of Capital allocation. This simply means "distributing and investing a company's financial resources in ways that will increase its efficiency, and maximize its profits". Basically allocation of its capital in ways that will generate as much wealth as possible for its shareholders
Each allocation method, will I'm sure be evaluated, risks assessed and uplift measured before its employed.
"Some options for allocating capital could include returning cash to shareholders via dividends, repurchasing shares of stock, issuing a special dividend, or increasing a research and development (R&D) budget. Alternatively, the company may opt to invest in growth initiatives, which could include acquisitions and organic growth expenditures." This is what was mentioned in the RNS.
So what's the upshot here. Well, right now we still have a fantastic portfolio with projects yet to mature like Biscathorpe and West Newton, others that require investment like Keddington and North Kersley and indeed all underpinned with the gift that keeps giving, Wressle. Bramhill has strategically increased the % ownership in some key projects over the years. Wressle started at 8.33% now at 40%. We did well in Biscathorpe also.
Ok ok.. I'll get to the point ;-). The only other ingredient we are missing here is Institutional Investment. That is the catalyst IMHO to this SP greatly multi bagging over the next year or two and Bramhill and the board know it, hence the proposal for Capital Allocation. Field of Dreams stuff. Bramhill built it… he just needs to sell the tickets now and it’s the institutions he wants to sell to. They love a dividend or anything that de-risks clients investments. The Shares will stay in sticky hands like the Institutions, for as long as the revenue and dividends are coming in. No big sell off.
Continued below in Part 2 - Mix
Continued ..
Always remember.. Bramhill and the board, don’t dream this up. They are 3 steps ahead like I always said. Are they talking to Institutions.. I don’t know.. But I wouldn’t be surprised if this move on Capital Allocation isn't tied to an institution or two coming on board.
So I encourage you all.. Get your votes in for the Capital Allocation policy and trust Bramhill and the board to implement the right mechanisms at the appropriate times. Right now… I would love to see strong Institutional Investment. Its key to our Success
All in my humble opinion of course… but as always… DYOR - Right ;-) Mixster
Bramhil has kept his word. Dividend or repurchase announced.
Great news for shareholders. Might attract institutions
https://www.londonstockexchange.com/news-article/UJO/proposed-future-distributions-to-shareholders/15338978
Nah mate.. I put up a forecasted revenue and profit for UJO based on Brent at $120 per barrel and current exchange rate.
What have you ever posted here of use Knoboboy. Full of BS mate, no creditably and what a waste of a life.. Moaning here on a share you're allegedly invested in. Sell your 2k worth and slide on..
Jazuz.. Moany FW lmao ;-)
Ah Roboroy.. Still an unresearched numpty I see and behind the times..
If you had an investment like some Lthers you'd be constantly scanning for updates. In this case if you look at my RETWEET .. David Burton from TMS was helping out socialising the new UJO twitter account which I retweeted. Get your facts right mate.. keep up or slide on.. Gla Mix
Great photo on the new @UnionJackOilPlc of a tanker leaving the site today with 3 having left in total generating a nice 15k to UJO.
I've updated my projects on Wressle based on the last RNS of 950 boepd, increased oil price and conversion rate, with an assumed $8.80 breakeven (50% of $17.62) given that the capex costs should be covered by now...
Giving to UJO (40%)
£8 MILL Revenue
£7 MILL PROFIT
Not bad considering we haven't got stuck into Wingfield and indeed P.e.n.i.s.t.o.n.e FDP needs to complete. I've flagged Broughton North also... drill ready and 2km from Wressle.
We only needed one throw of the dice.. and Wressle hit a massive 6.. West Newton and Biscathorpe still in play.
https://twitter.com/MightyBelle68/status/1442620573754953739?s=20
Night all .. Mix
@UnionJackOilplc is the New legit twitter account so worth a follow.
You can unfollow @UnionJackOil...
https://twitter.com/MightyBelle68/status/1442598205607141376?s=20
Night All.. Mix
Hey phoo. Got some good snaps last time but video was **** TBH. Heard some **** alright about fake videos and I laughed my ass off as it was from people posting the snaps.. Jeezaz.
Those not know me will know I don't comment much on operations nor will I interfere. Doesn't matter what people perceive to be happening upstairs, it's what's going on downstairs that counts. Unfortunately that type of drone is called a wireline which only the operators have :-)
I'll leave it to them and wait on the RNS. I'll get some video soon with Roofers and share as always.
Ignore the spoof. Let the operators do their job.
ATB Mix
Ps focus this week is Wressle proppant squeeze MOBILISATION as per RNS. Pure oil. No water. 200 boopd net to UJO
Hi all. Hope you are keeping well.
Please ignore the spoof rumours from Mingey Mangle.. More than likely DaveTheDilldo or a chum.
Proppant squeeze has not commenced yet. I'm hoping it happens before end of month. It will only take a few days.
Of note, no water has been encountered so each lorry load is pure oil.
As for West Newton, I do sit back and have a laugh as to the comments on it perfed or not perfed. Why be bothered. As investors, we are only interested in the outcome. Let the operators operate.
One thing I will say is that on WN A2, B1, and B1Z, we all had a crack at guessing where the drill was at. Me included. In fact the operators where always further down the track than we where.
Wait for that RNS.. and we might be surprised as to how far on they are.. Then you'll know who the spoofers are.
Trust your research. I'm still holding after 10 years and pre IPO. Trust the RNS.. GLA .. Mix
Good question periSimon.
If there was doubt.. They wouldn't be ripping into B1Z EWT. They wouldn't have planning for WN B2, WN C, WN D, A3 TO A8 or plans to produce the CPR right after EWT.
RBD directors looked like the cat that got the cream on the last interview. They know where to target. Gas is nailed but the big question is.. Oil was always a bonus but could it be as big as the gas.. No one knows.. And here we are..
I'm hanging tight.. And letting the operators get on with.. GLA Mix
Note.. If you look at that link it says...
" Planning consent and an Environmental Permit are in place to undertake the proposed work at site."
If you go back to the Planning decision we have 4 techniques to stimulate the flow which are..
. Drilling of a short side-track well
. Radial Drilling
' Proppant Squeeze
. Acidisation
Egdon and UJO opted for proppant over acidisation as it's more environmentally friendly, effective and cheaper.
The decision says.
."The variation will involve adding the following permitted activities:
I. Increasing permitted site area by O.12 hectares.
ii . A Mining Waste Operation, as defined by the Mining Waste Directive and Schedule 20 of the Environmental Permitting (England and Wales) Regulations 2016, relating to the management ot extractive waste.
The Waste Management Plan (WMP) is being varied to include management of extractive mining wastes from side-track drilling, radial drilling and near well-bore treatments. The near well-bore treatments will include an acid-squeeze, hot oil wash, solvent treatment, nitrogen injection; and a proppant squeeze. Waste gas will be flared through an enclosed ground flare, at low volumes well below the 10 tonnes per day Industrial Emissions Directive threshold."
So planning in place for the techniques but my understanding is that approval would be required for some of them if the operators wanted to execute a particular technique such is the case with proppant squeeze.
All imho.. As always DYOR Right.. Good luck all Mix
Hey phoo and Roganjt. Only looking in. Expecting a few few updates soon and can't wait for EWT mobilisation on West Newton.
On Wressle.. Yes there is two approvals in play
Proppant squeeze from the OGA which should be close to completion and is long overdue but out of Egdon’s control. NLC have no say in that process.
Then there is the additional storage which goes through the NLC process as its the hazardous substances approval. Afaik the HSE who have an input into the approval have given this the green light. Storage tanks are in place so approval is to store oil in them. Just need an update from NLC now so shouldn't be long.
In the mean time you'll see a crane in every now and again for some slickline work and routine maintainance.
All just down to patience.
Hope this helps.. Mix