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No surprise bounced back up over the placing price, won’t be many sellers under 11p.
It's been fairly toxic in here since the announcement. I've been invested since IPO so well placed to see the ups and downs. Hopefully the ii's involved are here for the dividend and will not sell, but assume some will. I feel this transaction will help to make i3e a very stable mid-cap producer, where as before with the 9000k (a lot of gas) still put us in the juniors camp. I appreciate both points of view but for me, we are on a clear trajectory up to the 20-30p range. If it takes a year to get there then that's a good return. I've added at 11.3p and again yesterday at 10.40p. Got a bit left in the tank and will continue to top up if it falls further.
Thanks Kane, interesting. Good line - "This was undertaken with a view to extending the life of the fields and giving the opportunity to fully deliver other discovered hydrocarbons in the area."
Any sniff from anyone or leads on the Oil and Gas website from Tain development etc? It seemed to be building momentum a few months ago but went rather quiet. I know latest presentation says H2 2021 but I thought it was "with the lawyers". Not overly concerned, just interested.
Positive update - 2 clearwater wells with horizontals completed ready for tie in, production by end of July.
I thought it was interesting that Majid and Graham had slightly different answers to the growth question. Majid was quite clear in saying they are actively going to grow and want to be much larger and will take advantage of the current prices in Canadian assets. However, when Graham was asked, he said that they can now organically expand through cash flow to a larger entity. I'd hope for the latter but it seems the driving factor is to bump the divi payouts and the quickest way to do this is through acquisitions.
It's taken two days, but I have increased my holding by 50% at 11.6p average. Ultimately the diluted mcap at this price is only £125m. A few days ago, i3e was valued at over £100m with only 9k boepd. When it has 18k boepd I am very confident it will go back to or around previous metrics very quickly. Best way to make the most of this is to buy more.
G_G_G - I don’t disagree with your sentiments but this isn’t unusual and I do think it is the best for I3e. If it is such a steal for the ii’s then the normal pi can also buy in open market at not much above.
Also pi’s have been able to buy in at under 5p for months and months, under 10p for a good while as well. II’s couldn’t buy a substantial amount in open market due to liquidity, raising is the only way really for them to get on board.
What I find most of note, is that the predicted development model for Simonette requires $45m initial investment (not much less than the $53m for this acquisition) but will take 3 years to get to the 9k boepd. So for only an extra $8m, we are getting that production, plus all the pipelines back dated to April. In the first 18 months it will provide the $45m in net income to 'flywheel' South Simonette to 18k bopd. This is a good piece of business and mid-term investors will benefit.
If you can’t beat them, join them. Anyone who participated at the last 5p placing has done very well and I see this as the same. Can buy in open market for only a bit above price of placing. I’ve added today and will take the gains that are on offer, however I do agree for existing shareholders it would of been better short - medium term to just develop what we have organically. Board isn’t aligned close enough to shareholders since the Gain acquisition changed everything.
From these levels is there gains? The answer is yes, therefore I buy. Could my shares of made more money as it was anyway? Yes but this is aim and it’s never a breeze or else everyone would win.
Poor WHIreland - will their target ever be able to be updated before the posts are moved again!
360m shares - 50% dilution. Bit frustrating but let’s see how it plays out.
One thing to remember is we now have some big ii’s involved and they won’t let their existing shares be too heavily diluted. I think it will be a good deal.
All depends on the price, if raised above 12p I think it’s very good business. To be honest, the amount of production and reserves adding, the placing could be 40% of the company and long term would still be beneficial to existing shareholders. My main issue is that whatever gets placed, effectively reduces Serenity impact to current shareholders by that amount.
Hopefully here soon the price. Will reserve judgement until confirmed.
"which may take several months"....
Interesting Jamie Strauss only received 88% and special resolution 77%. Need more to vote no if want to see off Ganfeng.
The mix of growth and dividend in the current climate must be a very attractive proposition to institutions.
Long term I think 50p is very realistic based on current developments, taking risk into account (that's around £400m mcap). If they develop Canada to the heights they present, including other acquisitions and Serenity comes in well, then 60-80p and above is more than possible.
Sold 25% of a long term holding to add in here last week - glad I did! Everything is falling nicely into place.
He's made a couple posts on twitter but nothing on bcn. Nothing he said about the company was incorrect, it was all just referencing RNS's with a little touch of fag packet calculations on the side. It does seem strange he has went from constantly posting to nothing. Perhaps given up?
I posted on twitter I sold out 25% last week. It was a bit of a hedge in case deal falls through and price drops or deal gets announced but price only hits 63p due to inevitable delays. That money has gone into a stock which has since risen 20%. I'm starting to think taking the money and moving on isn't such a bad thing... although of course I still want to see the offer rejected by shareholders.