Member Info for Mr.Flibbles

"Yes there is, but hardly anyone posts anything" - For me this is a good contrarian indicator that most net-sellers are out. Most investors don't care about fundamentals and simply buy based on last 3-month performance.

I should also add, while high flow rates are nice, it is cheap and fast to drill these so its more about building out the area than a north sea gusher costing tens of millions.

I should add when I say it should cost from £80m I do mean including the loan interest and fees.

The 5,000 boepd via acquisitions target is something I completely missed. Fingure in the air we are looking at over £80m for such an acquisition. I take my comments back regarding organic growth with no acquisition. The next RNS should be a credit facility.

Let's keep those expectations low for now, we want a surprise to the upside.

As UK shareholders here, we would all prefer buybacks as a more tax-efficient way to add value to our holdings instead of dividends. Buybacks are also preferred by institutions for the same reason. However, as mentioned by another there is plenty of cash around for everything.

Jezzoo I don't think that makes sense to acquire new assets, especially when we refer back to the income and growth chart in the presentation. I don't think funds allow for this. It would be cheaper to use the drill and grow organically than make a M&A funded by debt which is quite expensive these days.

Agree. I think they did raise the dividend too much without sufficient hedging, and we can all see that by the share price performances since the announcement of increased divi. However, non of this is a blocker for growth and income as you point out. I would welcome some loan facility to provide working capital and see this as a driver of the share price as it provides certainty.

Hi Hobine

Without crunching numbers (thats another story), if you refer to the video:

https://www.proactiveinvestors.co.uk/companies/news/1011379/i3-energy-reveals-new-cfo-and-2022-year-end-reserve-report-1011379.html

You will see Majid mention that even with high gas prices I3E *revenue* split is 70% oil. This is sufficient with oil prices now and hopefully, into the winter we will get a double whammy of high oil and gas. But the point is this is actually more of an oil play that most think at first glance and unhedged gas into the winter could provide a boost.

Now these dividend sustainability questions you will get at this time of year especially in more gas-heavy players like DEC who pay 15% dividend (but a lot of debt, I3E is net cash). The debt over at DEC forces them to hedge gas extremely aggressively more so than I3E, but they won't benefit from the gas price shocks. We could get a very cold winter next year despite average global temperatures rising. You don't want to be hedged into that. Our oil I suppose is our hedge.

Just to add, Climate Change is not the only factor in the transition. Pollution is detrimental to health.

IF this is the truth it should still not change your investment approach. From an investment perspective, you want to invest with where the investments will be in the future. Natural gas will be part of the transition.

Global natural gas prices are looking in a better curve like possibly soon into a bowl shape, no longer a dangerous ski slope down. As long as it is survivable I love buying into danger as it's the only way to generate real wealth over time. Just like many companies bought gas assets when the market had been blown out.

Annoying warrant holders keeping this share down.

Accounts is very old news. I3E would not be cheap otherwise. When the results finally come out this could provide a step change in share price. There would have been investors de-risking if they hold too much I3E.

I have to agree with this looking at the chart and aircon season. Don't look at the UK natural gas price. focus on the US/Canada. My pound cost average of I3E was targeted to end in August. I have added next month's drip early. We could get a sustained rise from here. Going heavy on I3E, AXL and PTAL.

Agricore, please could you consider joining the Citywire Wire Forum. It is free and full on well-researched individuals who will actually read your post. There is a dedicated listed private equity thread as well as a dedicated RSE thread.

https://moneyforums.citywire.com/

I understand most of you are growth investors and this thread may not apply to you. With special dividends, income seekers like me are finding it hard to see what the base dividend yield would be. Can I presume that *all things being equal* I will be looking at 18p and thus a 6% yield going forward? If someone could help that would be great as I enjoy the distributions even if it does cannibalise the NAV.

The TAX change will have to impact Shell as society demands it for sure. He may change WFT to reflect this. How this impact smaller companies will remain unknown but the chances are it should not be worse imho.

Well cash... certainly if you hold USD has done +20% YTD vd GBP. As gas prices have crashed down from peak the cash buffer protects the downside. This year has not been the time to do deals. Keep the cash and buy low without having to pay higher lending rates. This is the perfect investment and once all the sellers are out I will be buying.

You_Having_a_Laugh your thoughts are true as money flows out of stocks into fixed-interest gilts, bond and cooperate debt. There is a reset in the markets going on that many predicted in December and confirmed in February. Many had sold out then. Where we are now in the cycle is impossible to say and as mentioned interest rates and inflation is hard to predict in the long run. What shoots up always comes down and cycle lengths vary greatly. A long-term diversified portfolio will include some long-duration and for that you may as well take your time and pick the best and GROW today sits at 70% discount to NAV that may well be overblown but only time will tell as private equity M&A can still be attractive. ... see Adobe buying out Figma last month!