focusIR May 2024 Investor Webinar: Blue Whale, Kavango, Taseko Mines & CQS Natural Resources. Catch up with the webinar here.
I believe we should start seeing news flow on Lidsey in the coming weeks. Detailed study was initiated on 26th February 2019 so will be interesting to see what unfolds once the transaction is completed. If the BOD get the approach right, they will stagger the updates so that we are receiving updates on multiple plays in a well timed, strategic manner. All eyes on Brockham for now but wouldn't be surprised if we started seeing more news flow on Lidsey in the coming weeks.
Operations and Lidsey Field Interest Update
Tue, 26th Feb 2019 16:45
Lidsey: The Company continues to produce crude oil at a variable self-restricted flowrate due to produced water disposal limitations. Whilst the well remains commercially profitable in spite of these limitations, the Company also continues to explore all water disposal solutions including water injection to aid production.
Additionally, the Company is beginning a detailed study into the potential exploration lead to the west of existing Lidsey producing structure. Further work is required to work up the target and determine risk and viability however indications are it could be drilled from the existing pad and potentially a side track of one of the existing wells greatly reducing costs as well as any environmental impact.
800 Barrels, that's quite reasonable...
Lets not forget, a month ago this was sitting close to 4p. Anyone who would have bought at those levels would be close to 50% in profit. I try and keep a grounded opinion of where the Share price could go but I too have target levels for buys and sells to try and minimise the risk of loss. Unfortunately the AIM market doesn't always align with the 'laws' of logic, or at least, in my experience.
Either way, not long to wait now... I anticipate the next update will be delivered from Tuesday next week, if so, this will act as a reminder that we are well ahead of schedule and Flow tests & Production Results will arrive much sooner rather than later. Until then, its all a waiting game. GLA
With Thursday being the last trading day this week and next week Tuesday market reopening as usual, I would assume that many will take their positions this week in preparation for news.
Thank you for the input Alan, everything appears to be in place. Fully funded for Brockham and ahead of schedule... If all goes as planned we should see a significant retrace in the coming weeks. Might go in for one last top up at these levels in the coming days. On wards and upwards from here! GLA
Thank you for clarifying, complete oversight from my side. Should probably avoid skimming through documentation... As for the incorrect name spelling, autocorrect on my phone, apologies.
Guess I have a bit more reading to do. That being said, the more I learn the more attractive this looks. Especially at these levels.
Mastermaker: Are you referring to the PDF I referenced? It would be appreciated if you could point me to where I could find further clarification on the companies financial position. Having read the document again I stand by what I posted below... Like I said I'm happy to be corrected and I welcome any additional insight, however, what aren't very useful are responses that aren't referenced and/or don't really carry much substance.
If there is any information that I may have missed regarding the companies financial position/plans that anyone is aware of, it would be much appreciated if you could share. I would benefit more from being wrong than being right in this particular case. GLA
Let’s not forget that we have potential news from any one of the below landing at any given time within the next 3 weeks. Focus/priority may be Brockham at the moment, however, I would not be surprised if we saw some updates on any of the below within the next 3 weeks.
Lidsey – 60%
Balcombe – 25%
Brockham – 65%
Holmwood – 12.5%
That being said, I also believe that what’s holding the share price at the moment is the company’s unknown financial situation. Happy to be corrected if I have missed anything here as this would also settle my nerves slightly…
“As of 30th September 2018 the company had cash reserves of £0.846m. The Group generated £0.066m revenue from oil and gas production during the year (2017 £Nil). This was the result of the sale of 1,678 bbls of oil. The Group recorded a loss of £2.790m (2017 a loss of £2.629m) of which £390k relates to the finance costs of the loan notes. For the year under review, the administrative expenses increased to £2.230m (2017: £1.925m).” –
Extract from Angus Annual Report September 2018 v5 [http://www.angusenergy.co.uk/wp-content/uploads/2019/03/13C_Annual-Report-2017-2018website.pdf]
So considering annual administrative costs have remained the same, that would mean the company output is circa £185k (excluding any additional finances). This would indicate that the cash in reserves would last for 4.5 months (give or take) from 30th September 2019, (a conservative 6 months if you include any additional revenue generated i.e. Lidsey). Based on these very high-level calculations, would it be a safe assumption that the company will need funding shortly?
I currently have a holding here knowing the above may be coming due to the prospects/potential the company holds alongside the improvements that have been made within the last 3-6 months, but I would imagine there are others out there taking precautions. Happy to discuss, still building on my research so welcome any additional information.
Educated guess... I was getting a quote of 5.91 to sell before it went through. The trade went through at 6p and after that the sell price ticked up slightly to 5.9155 which indicates it was a buy. Also, its more likely that a discount is offered on a buy for a significant amount of shares than a premium price for a sell.
@6p just went through...
Dorkingham - Agreed, we may see news ahead of schedule but I was going with worst case scenario timeframes. It was refreshing to receive notification that we are ahead of schedule today and hope this continues.
Scallywag - Again agree, also it's easy to lose sight of other projects ongoing in parallel while focus is set on Brockham, we could see news on any of the others during the waiting time frame.
What I would like to see is an update on our current financial position which will help determine whether any fund raising will be required and when to expect it. Other than that I'm happy with the recent news flow and the way Brockham has been handled. Sitting tight for now... GLA
reperforation and recompletion is still 19 days away. I believe this will be the key determination for change in sentient in the coming weeks. Factoring in the upcoming bank holiday weekend and taking into consideration that these are working days, it will be approx. 1 month before we receive news. I expect the SP to fluctuate around the current region over the coming week or two before seeing any significant rises prior to the update on this stage.
Until then, it will most likely be traded and then hopefully creep towards higher levels IMO. Looking forward to the coming weeks as the team have done a great job of keeping the market updated through various streams! GLA
If the image is legit... Then looks like you're right.
Agreed, unfortunately the timetable doesn't specify whether some of the items on the plan can run in parallel to others, furthermore, whether its working days or not. If you total up the days you are looking at just over 2 months, however, I believe it should be before then.
I think they have wisely added some contingencies... Also, with confirmation received that the rig mobilisation date is now confirmed to be from 12th April 2019 (with 3 days anticipated for completion), what does the image of the crane actually tell us? Have they already initiated that particular step or are they prepping for it?
The bitter truth...
Couldn't have said it better myself...
Is there any justification to the recent drop in SP we are currently seeing... Not sure if I missed something. Thanks in advance...
For those who may not have seen it yet, apologies if this has already been posted... http://www.offshoreenergytoday.com/trapoil-buys-more-stake-in-surprisenutmeg-discoveries/
Would I be correct in saying that the company had 9m in the bank December 2012, since then have acquired a further 4.5m totalling to 13.5m combined with a further 2m a month they will be obtaining from ATHENA. TRAP is currently fully funded with many upcoming projects alongside groundbreaking prospects. A steal at this price and a definite strong mid-long term for me, look forward to monitoring the progress of TRAP in the weeks/months to come. GLA and hope everyone has a good weekend Thank you for sharing the link JFord
Not invested here yet but been monitoring TRAP for a while, this looks like a prime oppertunity to buy. Thanks for the info. GLA