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Gas up +15% over last two sessions, +7% today.

Brent up too !!

NI a few questions;
- when do these obligations have to be met?
- can these obligations be reduced based on production levels
- is it possible that if production is low enough we will not have these obligation at all
- are these obligations written in stone or are they just an estimate based on strong production volumes of what was set at the time of 24000 bopd

Or will you not answer these you misleading mischevious shorter

*** Re-posted from JAdam ***

Lets see if you every get any form of a direct answer from NI for any question, my guess is NO.

ATB

To end this charade, show me where these $430m are fixed amounts to be paid and are non-variable within the BKR transaction document ..... they arn't and you know this and no doubt will continue to peddle false idea that they are !!

You are just spouting rubbish in trying to hoodwink investors into thinking SQZ do not have sufficient cast to cover their obligation, where as both you and I know that will never be the case with the BKR deal as laid out in the BKR PSA

YOU CLEARLY ARE AVOIDING ANSWERING MY QUESTION ABOVE..

Non current are to be paid out of BKR future revenue and as such the higher the liabilities the higher the revenue and profits for SQZ. All current are fully covered with cash.

I would like to see over a billion in liabilities as this would mean massive profits being realized via our BKR assets. So the higher the liabilities the better for SQZ, SIMPLE is it not !!!!

We DO NOT need to find any cash, as ALL liabilities ARE to be paid from Production Sharing Agreement over the next 3 years, as per the very innovative deal that our board pulled off to turn SQZ into a multi billion dollar company. May be this is why NI is having trouble seeing that SQZ are an extremely positive cash generating company. Operating profits are expected to be up +1000% for 2019 too imo

NI,

You really are having to earn your crust here at SQZ, not unlike the BIDS bb, you trolled.

" Serica will have to find just over $430m in cash to meet these obligations......."

READ THE BKR deal documentation to see how these 'obilgations' will be easily meet.

Also how they are NOT fixed, but just there as estimates, and are legally required for the companies

NI, see you boss is loading up atm

"There isn't any debate on whether there is $430m in liabilities or not...."

That's where you are totally wrong ... do a bit of reading up on how non-current liabilities are handled in accounts and what they actually are in SQZ CASE.....

THEY ARE NOT FIXED ........

God you really do have a learning issue don't you !!

Darn me !!

"There isn't any debate on whether there is $430m in liabilities or not...."

That's where you are totally wrong ... do a bit of reading up on how non-current liabilities are handled in accounts and what they actually are in SQZ CASE.....

THEY ARE NOT FIXED ........

God you really do have a learning issue don't you !!

JAdam,

"..when NI try's to discuss liabilities he does not discuss timing for payment of those liabilities, he seems to leave it open as if to imply that they are this years..."

This is so true, the liabilities are ESTIMATES and based on our PSA over the next 3 years. So for purely accounting SQZ have to show the ESTIMATED amount.

Financial liabilities due to the deferred structure of the BKR deal, (note the word DEFERRED) to be paid from receivables leaving a net positive cash flow over the NEXT 3 YEARS. Note, the payment is from receivables so no risk at all is attached to the deal in real terms. Please remember we have no debt, no bondholders and no real CapEx for 2019. So we only need to buy tea and biscuits for the boardroom. Our liabilities are just estimates at time of account and will vary according to income, ie low income less liabilities we pay (as per BKR deal), simple really but clearly NI struggles with the concept. The figure quoted by NI is NOT FIXED.

As already mentioned we could end up with BP et al paying SQZ so our liabilities suddenly become ZERO, and instead the liability is transferred to BP el al.

GLA

Oh, yes, so my estimate of +1000% increase in operating profit is now looking a little conservative..... looking at +$103m for 2019 and then also $124m for 2020 and set to be greater still in 2021.

As you say sasa43, that's on current production ONLY.

SQZ's current liabilities as detailed in our recent accounts comprises of JUST $20.2m, so SQZ have these covered by 6 times cash atm and adding $11m per month our CASH to liabilities ratio is improving daily. Remember, SQZ have no real CapEX for 2019. All non-current liabilities are fully covered as per BKR production sharing agreement.

Alessandro,

All the links can be found in my posts. The document really shows what an innovative and groundbreaking deal our board pulled off . The great thing is they are already looking at repeating the deal in terms of size and I would guess on same financial basis. Imagine what that would do for the SP ..... +180p in a flash imo .... probably get suspended on opening, as before, so need to be in beforehand to reap the rewards.

Regards

Absolutely fabulous EoY Results ...... just need to read it and will open your eyes to the transformational deal our board pulled off:

https://www.serica-energy.com/downloads/reports/annual/Serica-Annual-Report-2018.pdf

And recent ops update at AGM ... likewise.

https://www.serica-energy.com/downloads/presentations/Serica-AGM-Presentation.pdf

Try and show me another AIM Oil stock as good ..... !!!

atb

To end this charade, show me where these $430m are fixed amounts to be paid and are non-variable within the BKR transaction document ..... they arn't and you know this and no doubt will continue to peddle false idea that they are !!

Non current are to be paid out of BKR future revenue and as such the higher the liabilities the higher the revenue and profits for SQZ. All current are fully covered with cash.

I would like to see over a billion in liabilities as this would mean massive profits being realized via our BKR assets. So the higher the liabilities the better for SQZ, SIMPLE is it not !!!!

We DO NOT need to find any cash, as ALL liabilities ARE to be paid from Production Sharing Agreement as per the very innovative deal that our board pulled off to turn SQZ into a multi billion dollar company. May be this is why NI is having trouble seeing that SQZ are an extremely positive cash generating company. Operating profits are expected to be up +1000% for 2019 too imo

SQZ have hedge at 35p/therm on 60 % of BKR for whole of 2019

Here we go again .....

Non current are to be paid out of BKR future revenue and as such the higher the liabilities the higher the revenue and profits for SQZ. All current are fully covered with cash.

I would like to see over a billion in liabilities as this would mean massive profits being realized via our BKR assets. So the higher the liabilities the better for SQZ, SIMPLE is it not !!!!

Once again, you fail to recognize that the non-current are purely forecasts ( for accounting purposes only) and not set in stone, but are performance drive via our assets. The better the performance the greater the profits and hence the share of revenue to BP as our future liabilities. Likewise lower revenue lower liabilities. Swings and roundabouts, all covered by the production sharing agreement which dictates our liabilities.

You should take some time to understand the BKR deal structure, it's all there in the documents I have linked for you on numerous occasions, but once again fail to accept, even though it's a legally binding document.

Once your trading desk has had it's fill you will disappear until the next time spouting the same rubbish over and over again.

To end this charade, show me where these $430m are fixed amounts to be paid and are non-variable within the BKR transaction document ..... they arn't and you know this and no doubt will continue to peddle false idea that they are !!

They are off on one today by the look of it.

Alessandro, please read all my posts of the last week to see EXACTLY what you are asking for and please do not ask NI for any information as this will always be negatively skewed of the facts.

Gas finished up +9% today and Brent up over 100pts atm.

Gas up today, Oil up today ..... SQZ down on tiny volume.

Pro Trading house are after shares and being very aggressive atm and the only reason for this is they know a deal is coming, one that will double the size of our company. Imagine what that would do for our SP.

Buy on weakness.

imo

IMO, that deal may be closer than we think given NI's upping of negativity against SQZ board.

See that NI's is now pushing, that taking on debt and increased liabilities over on the RPT board, is a GOOD IDEA .... lol

NI's post "Regal is the stronger business with a far less complicated structure and able to execute a large acquisition - either outright or going even bigger by financing some with debt ....."

Now, remind me how SQZ made their transformational BKR deal work !!!

SHUFF05,

good point, and yesterday too.

UP 8.7% atm