The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
"This is another piece of good news from JOG who are clearly working extremely hard in order to deliver the GBA in a remarkably short time frame. Firstly it is a really good, young piece of kit, I think that it is a really good boat and has only been operating since 2017 which makes it a perfect fit for Buchan and I’ve seen a few FPSO’s…
Costs will be within the capex as defined in the FEED process which is making ‘good progress’ as is the FDP where the draft and environmental data is expected to be submitted later this year with approval at present hoped for in H2 2024. And of course JOG benefits from triggering of payments following the NEO farm-out, today’s transaction results in a $9.4m credit and another $12.5m on FDP approval.
The company are also in negotiations with regard to further farm-out of the GBA and today’s announcement will surely have accelerated that process, discussions are continuing but there is no formal guidance as to how long it will take. Overall this is a superb result, it gives tangibility to the project both from an investor and an industry perspective and firms up the overall time scale, apart from anything else it proves that electrification and movement towards a low carbon strategy can and will happen and thus this is a leading light project for the whole industry.
I have always said that the value of JOG is significantly above current levels and as progress like this keeps happening that value realisation becomes more visible. The GBA project is of such scale that once it is fully underway my Target Price for JOG of £10 per share could easily be an underestimate….."
https://www.malcysblog.com/2023/11/oil-price-jog-reabold-and-finally-2/
MPO818,
"A bit disappointed at no mention / update regarding the further FO.."
No need to guess why !! .... ;-)
"With a further $9.4m in the bank they remain well financed.."
Oh, the additional $9.4m (£7.6m) is worth circa ~24p/s so would expect that to be factored in, pronto.
Only negative is that massive opening pesky gap, which I hope will be ignored given the gravity of the news and cash boost too.
aimo & dyor
Significance of this 'known' news will take a few days to sink in and the none-followers (believers) to jump aboard. Of course the next major SP driver could drop any time now we have essentially, confirmed route to market.
Once we have that full-flush, extra straps will be required, until then our SP is open to the usual market games. atb
aimo & dyor
Close +0.66p (+4.55%) .. :-)
https://youtu.be/QSLsGRh2AaE?si=Uzvx38DRKqtfi_A_&t=19
Really hope it's not for non-producing CapEx intensive NS asset alone, Canadian side is more interesting :
https://wp-i3energy-2021.s3.eu-west-2.amazonaws.com/media/2023/07/i3-Energy-Corporate-Presentation-July-5-2023.pdf
https://wp-i3energy-2021.s3.eu-west-2.amazonaws.com/media/2023/08/i3-ENERGY-H1-2023-INTERIM-REPORT-to-30-June-2023-F.pdf
aimo & dyor
AS, thanks for the link ...
“PIF is looking at Africa with great interest and I believe they will be in due course making some game-changing announcements about their intent to invest in Africa,” said Saudi Minister of Investment Khalid Al-Falih.
He added that Ma’aden and PIF’s joint venture – announced in January – is going to “invest in the critical minerals in Africa.”
Noises are getting stronger ... just need pen to paper now !
aimo & dyor