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If the board of companies embarking on buyback programs were really confident of future performance they would hold the shares in treasury and then sell them back into the market as and when 'mr market' re-rates them.

I agree with buffa that most buybacks simply increase eps which quite often then enables directors to claim their LTIP awards.

£50m spent 'down here' and sold back into the market for £100m would be better than simply cancelling them. After all, we have 1.39bn shares in issue and they'll probably buyback no more than 75m shares for our £50m.

It's like piddling in a swimming pool

aimo

Production bounced back strongly in March to 8.9k barrels per day, up from 7.4k in February.

The rise was primarily due to production returning to normal in the Netherlands (24m cubic metres in March against 7m cubic metres in February)

Production split evenly across our three jurisdictions and an oil/gas split of roughly 35% oil to 65% gas.

Breakdown.

Netherlands

5253 boepd gross.

60% net to Kistos 3152 boepd.

UK

13843 boepd of gas gross and 656 b/d of oil gross.

20% net to Kistos is 2769 boepd of gas and 131 b/d of oil.

Norway

28,645 barrels of oil per day gross.

10% net to Kistos is 2864 b/d of oil.

aimo

You were right nkotb, It is sad that they didn't disclose the fact that the shares could/ would be used for LTIP's when launching the buyback.

At the time I posted "The cynic in me thinks the shares will be held in treasury and slowly reissued to employees as bonuses."

We know 'our' company so well.

Hi Mommur,

I agree with your post, I just hope common sense prevails.

Labour rowed back on their plan to back date their 'proper windfall tax' to January 2022 so they could row vacant again.

They have been keen to align their windfall tax with taxation in Norway (78%) but still insist they are going to close tax allowance loopholes.

My hope is that they align themselves entirely with Norway's tax regime and sell this to the electorate as being tough, which I suspect will be swallowed.

Studies are showing clearly that to continue with their original plan will result in less investment, leading to lower production and lower tax receipts.

Rachel is surely clever enough to see this?

I did add to my holding this morning, I figured that 163p was too good to miss (177p with a 14p divi in a month)

aimo

aimo

....And Buchan never gaining approval.

Barring a miracle, we are looking at a Labour government in around 6 weeks time....

Unite the union have a 'No ban without a plan' campaign to support the oil and gas industry.

Please sign and share the petition wherever you can.

Labour won't listen to shareholders but they WILL listen to a union.

https://www.unitetheunion.org/campaigns/oil-and-gas-no-ban-without-a-plan

Unite the union have a 'No ban without a plan' campaign to support the oil and gas industry.

Please sign and share the petition wherever you can.

Labour won't listen to shareholders but they WILL listen to a union.

https://www.unitetheunion.org/campaigns/oil-and-gas-no-ban-without-a-plan

Unite the union have a 'No ban without a plan' campaign to support the oil and gas industry.

Please sign and share the petition wherever you can.

Labour won't listen to shareholders but they WILL listen to a union.

https://www.unitetheunion.org/campaigns/oil-and-gas-no-ban-without-a-plan

Unite the union have a 'No ban without a plan' campaign to support the oil and gas industry.

Please sign and share the petition wherever you can.

Labour won't listen to shareholders but they WILL listen to a union.

https://www.unitetheunion.org/campaigns/oil-and-gas-no-ban-without-a-plan

Unite the union have a 'No ban without a plan' campaign to support the oil and gas industry.

Please sign and share the petition wherever you can.

Labour won't listen to shareholders but they WILL listen to a union

https://www.unitetheunion.org/campaigns/oil-and-gas-no-ban-without-a-plan

Unite the union have a 'No ban without a plan' campaign to support the oil and gas industry.

Please sign and share the petition wherever you can.

Labour won't listen to shareholders but they WILL listen to a union.

https://www.unitetheunion.org/campaigns/oil-and-gas-no-ban-without-a-plan

Unite the union have a 'No ban without a plan' campaign to support the oil and gas industry.

Please sign and share the petition wherever you can.

Labour won't listen to shareholders but they WILL listen to a union.

https://www.unitetheunion.org/campaigns/oil-and-gas-no-ban-without-a-plan

Hi Thebold,

You are correct, but does that really benefit shareholders?

I would say not.

To date they've bought back nearly 3.9m, so they must be halfway through that £15m by now.

Has it kept the share price artificially afloat?

If it has we are in for one heck of a fall after x div and the completion of the buyback.....

The cynic in me thinks the shares will be held in treasury and slowly reissued to employees as bonuses.

aimo

Hi Thebold,

Welcome to the board.

You said that the share buy back is adding value to shareholders.... not sure I agree.

If the shares being purchased were cancelled I would agree with you, but they are not.

Shares purchased are being held in treasury....

aimo

I have a gut feeling that the main reason the Serica/Kistos merger stalled was due to a clash of personalities between the respective board of directors.

Now we have a new team, and with Kistos financially squeezed, this would be the ideal time to make an approach. Kistos get the cash they need to continue to fund the Balder X project and we get entry to Norway and The Netherlands.

aimo

I remember him from his time at Centrica backed Spirit Energy. At the time they had assets in Norway, Netherlands and the UK and produced around 100k to 150k boepd. He left in 2022 after they sold their Norwegian assets for just over $1bn to Equinor and Sval Energi in 2022.

He always came across very well and since he left Spirit they seem to have settled for nursing their ageing assets.

I hope he still has the fire in his belly, we need it!

aimo

Netherlands €13m (reserves downgrade)

Norway €0

UK €46m (€33m Benriach, €10m Rosie and Cardhu licence relinquishment, €3m goodwill associated with the licence impairments)

The cumulative impairments in the Netherlands since the acquisition of Tulip Oil in 2021 are €179m.

aimo

Shares now trading at 0.85p, pre consolidation.

I am tempted to dip a toe back in but the price action says the SP has further to fall.

Watching.

Good news!

We have not been offered any licences in tranche 3, presumably because we did not bid.

Not exactly a list of nobodies but there's a definite lack of interest from the big players

https://www.nstauthority.co.uk/media/t40pqogd/tranche-3-awards-by-company.pdf