Member Info for mrc_mrc_mrc_mrd

Romaron

Lots of people will know the status of Magnus. Probably several companies involved in the repair, plus the onshore and offshore Teams. As you say, wouldn’t look great to be posting confidential info about your client or employer if it got traced back to someone.

I’m glad ENQ are tight lipped. I don’t think people on here could handle the unvarnished truth. At the end of the day things get fixed. Short delays are immaterial.

We will find out in the update if there are any lingering issues / longer term fixes needed. I take it from the lack of an update that things are back to normal.

Thanks Romaron - a very sensible and balanced article.

Off topic - I disagree with some of the Art Berman views - one of his posts was about how long it took for coal to displace other forms of energy in the 1600s (300 years). The difference now is that once you have clean generation and storage you just need to electrify everything (not easy but can be done over the next 50 - 100 years IMHO). Many of his charts are very good though.

Chemical Products is where we will really struggle I think.

It’s going to be very interesting to follow how it all develops.

The game changer in terms of emissions is going to be CCUS (another thing the green lobby is against!!).

I expect in 2050 we will look back on this like we do now on the hole in the ozone layer or acid rain. This is obviously a much bigger challenge, but the rewards are also huge if we can work towards a cheaper, cleaner, and more abundant energy network.

I think you are in a minority of 1 in your view of Cambo.

Your green friends have certainly been very pleased with themselves.

Shell will go and extract oil in friendlier jurisdictions that is for sure (jurisdictions that don’t give a toss about the environment).

We now have this knee jerk policy of a net zero checkpoint for new developments. You can be sure that any developments approaching the checkpoint will be all over the news. As an Enquest investor I now have my doubts about BBK getting the go ahead when it comes up in a year or 2’s time. It should be a commercial decision IMHO. If the asset is stranded then it is our problem.

It’s all part of this foolish attack on supply rather than demand. The sooner leaders get a grip and put in place clear long term policies, investment will suffer, and the capacity within the U.K. will disappear.

Chilts - you don’t think the Shell ruling was damaging? Or the pressure on Cambo in the U.K. that has more or less condemned new field developments?

Nicola Sturgeon said publicly that she didn’t think Cambo should go ahead. The U.K. government visibly squirmed whenever it was brought up.

These things are definitely playing into investment decisions across the North Sea.

Beyond that it is now a real no-no to invest in fossil fuel companies. Yes it’s market led but it’s a panic response and not healthy IMHO. The market is being led by consumers and not by returns. It’s fine for tobacco but very dangerous with THE commodity.

Also that article is taking aim at politicians. We need strong media support to give the politicians confidence to make the right decisions.

As he says, at the moment they have been bullied into making bad decisions by a small green lobby that has the support of a lazy and poorly informed public.

On the news the other night when hunterston B closure was reported, the newsreader finished with a comment that environmental groups welcomed the news. Zero comment about how the lights are going to be kept on, and at what price. Closure of our nuclear power plants without replacements being built is bad news.

Chilting - a firm stance is required with the dreamers.

It’s easy for them to say that everything is bad except their way of life. And easy to convince joe public that oil, gas, nuclear, meat, and foreign holidays are all evil.

These people and their ideologies need to be robustly challenged. They are well meaning but blinded to the consequences of what they propose (I.e only eating organic which is about as far as you can get from sustainable). Don’t get me started on the mess they have got us in by opposing nuclear power for the last 60 years.

After a decade of being told about the crisis I think it’s time the grown ups start presenting practical solutions.

As Romaron says,we are staring to see this much more in the media, and personally in the conversations that I have it feels like many people are moving to a more nuanced view of what is possible and desirable.

My personal feeling is that technology is always the answer. Any restrictions on people should be kept to a minimum.

Frank - modus operandi seems to be to buy a stake in the target business to gain influence on the board, then sling a load of work to his other company.

I personally think it is a big conflict of interest. The money made in fees likely covers the shareholding cost many times over.

Yeah they saddled SCIR with this great death spiral deal. Did a similar number on BPC as I recall.

Be interesting to look at the SP performance of all these companies they have “helped”. Guessing they don’t put that stat in the sales pitch.

They are vampires IMHO

“Restrictions agreed by the Company

For the duration of the Subscription Deed, the Company has agreed not to undertake certain actions without the Subscriber's written approval (e.g. to change the nature of its business or to incur indebtedness that ranks senior to or pari passu with the present financing).”

Looks like there might indeed be some issues getting new financing.

I guess my concern is the drill part of your options.

Might be worth asking the BOD whether they can get a placing away while prolific loan is still outstanding. I assume nobody will touch it unless Prolific conversion happens as prt of the new placing.

It’s all a bit of a mess.

Hi Chris - what is your timeline for a sale? You’ve been indicating it is imminent for some time now.

Care to have another charity wager?

No deal before the end of Jan?

Hotman- opec are due to be maxed out by middle of this year so the writing will be on the wall at that point I think.

My estimate is on the basis that,

1. We still have a risk premium due to high debt and near term maturity. Remove this risk and the price should rise.

2. The sector is out of favour and trading at historically low valuations. I believe this will change.

I’m not sure what made Barclays move from 30p in October 2021 to 39p a month later, but expect they will tweak their model again throughout this year.

I am predicting 56p.

Refinance is important, as is sector sentiment /ESG.

Go and buy crypto or something BTFATH - sounds like that is more your speed.

Well we all have opinions.

I wouldn’t pay much attention to stale bulls and BOD lovers. Been wrong for 3 years. Even getting back to day 1 of this BOD is a big ask!!

Frank - are you aware that we still owe Prolific Basins £1 million worth of shares? All getting rather desperate IMHO

Frank, there comes a point where rinse and repeat stops working. At that point it becomes a fire sale.

We need this asset sold ASAP. I personally don’t think funding to drill is an option that is available to the BOD. It would certainly be career ending for the BODs if they try it IMHO.

Trust is earned. This mob have squandered any trust I had in them.

Failed deals, expensive deals, bad deals.

Bottom line is that all the cash seems to be used to pay salries and fees to a select crew.

The Gneiss boys can scarcely believe their luck IMHO. SCIR SHs are so beaten down they’ve actually started to enjoy the pain IMHO!!!

Self funding would certainly not be a win for existing holders. The dilution At 0.75p would be horrendous!!

Pray for a sale IMHO. Will anyone be charitable to take it off our hands? Probably fire sale prices now, so might get a bargain hunter paying a few million?

Aimster - well it happens all the time. If someone can’t afford to pay the bills then the asset is confiscated.

The BOD have had over 3 years to raise money from this asset and there have been no serious buyers.

Maybe the asset is not as desirable as you think? The BOD say it’s great, but they have said a lot of things that we have been let down on.

44 - I’m not sure on what basis you think the scenario is unlikely.

I believe it has already happened to one of the small operators that used to own a slice of Ruvuma.

Who is going to give SCIR funds to meet these cash calls? Would you plough more money in?

Sticking with your mortgage analogy. If you had no savings and no income then I suggest it is very likely you would default and lose our house.