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Central banks may be regaining their appetite for buying gold after staying on the sidelines for the past year.

Central banks from Serbia to Thailand have been adding to gold holdings and Ghana recently announced plans for purchases, as the specter of accelerating inflation looms and a recovery in global trade provides the firepower to make purchases. A rebound in buying -- which had dropped to the lowest in a decade -- would bolster the prospects for gold prices as some other sources of demand falter.

“Long term, gold is the most significant guardian and guarantor of protection against inflationary and other forms of financial risks,” said the National Bank of Serbia. Serbian President Aleksandar Vucic recently announced the central bank intends to boost holdings of the precious metal to 50 tons from 36.3 tons...

In a bullish scenario, as the global economy rebounds, central bank buying could reach about 1,000 tons, Aakash Doshi and other Citigroup Inc. analysts wrote in a report. The bank’s forecast is for purchases to climb to 500 tons in 2021 and 540 tons next year. That’s below the twin peaks above 600 tons in 2018 and 2019, but a significant advance on the 326.3 tons purchased last year, according to World Gold Council data...

https://www.bloomberg.com/news/articles/2021-07-04/gold-regains-shine-after-central-bank-buying-drops-to-decade-low?cmpid=BBD070621_OEU&utm_medium=email&utm_source=newsletter&utm_term=210706&utm_campaign=openeurope&sref=Em01M8Hr

AME’s E. Sadak field in production within 1 month of well finish, official production consent in 7 months (yesterday's presentation)

There are no guarantees, but should Basur-3 prove successful, the oil produced is heading to be highly profitable oil.

Anticipated operating margin at the the time of the first Turkey RNS of 23/07/20, when Brent was $40: ($40-$15=) $25.

Now: $77-$15 = $62, an increase of $37 or 148%.

... “Growing differences of opinion over foreign, economic and security policies between Riyadh and Abu Dhabi, as well as over oil policy itself, will complicate future OPEC discussions,” said Amrita Sen at consultant Energy Aspects Ltd. in London. “No additional oil in August, at a time when the physical market is incredibly tight, can easily lead to prices overshooting above $90 a barrel,”

OPEC+ abandoned its meeting without a deal, tipping the cartel into crisis and leaving the oil market facing tight supplies and rising prices.

Several days of tense talks failed to resolve a bitter dispute between Saudi Arabia and the United Arab Emirates, delegates said, asking not to be named because the information wasn’t public. The group didn’t agree on a date for its next meeting, according to a statement from OPEC Secretary-General Mohammad Barkindo.

The most immediate effect of the breakdown is that, unless an agreement can be salvaged, the Organization of Petroleum Exporting Countries and its allies won’t increase production for August. That will deprive the global economy of vital extra supplies as demand recovers rapidly from the coronavirus pandemic.

However, the situation is fluid and the group could reactivate talks at any moment. With prices up about 50% this year and climbing toward $80 a barrel, the producers’ group may feel extra pressure from consuming countries concerned about rising inflation.

“Oil prices will pop if no deal means current production levels continue,” said Jason Bordoff, director of the Center on Global Energy Policy at Columbia University. “But that’s also not tenable because a price spike actually undermines the interests of the UAE, Russia and Saudi Arabia.” ...

https://www.bloomberg.com/news/articles/2021-07-05/opec-talks-abandoned-without-a-deal-sending-oil-prices-higher?sref=Em01M8Hr

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Given how long we have all been waiting for this placing, I hadn't been expecting the share price to come off as much as it did today, so got that wrong.

Nevertheless, at long last the placing is now behind us and we can turn our heads towards the future, towards Basur-3 and the Loxley appeal inquiry.

Note that nothing has happened since the RNS of 23/07/20 to make SS change his opinion:

“We remain committed to growing our core UK business, but this
was an irresistible opportunity to expand our horizons and to expose
the company to potentially transformational recoverable oil reserves
that can be rapidly monetised. The quality of the geological address
and opportunity is undeniable.”

(from the RNS of 23/07/20 and the presentation of 04/07/21)

Volume of 1.512bn so far.

The share price has taken a knock, but there's certainly no shortage of buying at these reduced levels.

It shouldn't be forgotten that the open offer is something PIs themselves asked for, by failing to provide the support required for resolution 6 at the AGM.

The original SE Turkey RNS was on 23/07/20, more than 11 months ago.

With this morning's placing, the funding of UKOG's financial commitments to Basur-3 and seismic costs has been settled.

Basur-3, the start of the Loxley inquiry later this month, time for shareholders to relax (hopefully!).

Largely agreed, Ibug, helps to explain why this morning's placing was larger than some of us (including myself) had anticipated.

Basur-3 appraisal well summer 2021 $3.4 million gross
2D seismic programme autumn 2021 $2.1 million gross

So $5.5m in all

From page 4 of Sunday's presentation: https://www.ukogplc.com/ul/UKOG%20Corporate%20Presentation%20WEBSITE%20020721.pdf

Sando just mugged punters with a placing again!!!!!!
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Not sure that's the best way to seek to recruit further support.

so today's placing completes UKOG's funding of its purchase of 50% of the Basur-Resan licence.

UKOG's sole financing of Basur-3 and seismic was capped at $5m.

Above $5m, financing falls 50:50 on the 2 partners.

Who is selling?

The knee-jerk reaction should be limited, given that a placing has been flagged for ages.

Placees looking to fund their participation in the placing won't be making much of a turn with the share at its current level.

They're sitting on a gold mine!

The stock remains very substantially undervalued.

A side-effect of the placing is to bring down Rodders Jones's 7.15% of support to 5.91%.

A further announcement will be made upon posting of the Open Offer circular to shareholders.
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Could well be tomorrow with the record date for registered shareholders being today.

Placees excluded from the open offer, so any non-shareholders may have today in which to buy in if they wish to participate in the open offer.