Pontys: I don’t know if this would work, but there is still a market in the US for the ADR’s, which are, essentially, shares in the company in a form that allows them to be traded in the US. You could ask your broker if you might close your short position by buying an equivalent amount of these ADRs. I don’t know if they are convertible into shares but it might be worth a try?
Pontys: you must have had a very good profit. This is the trouble when listed companies go bust before you close your position. In a properly organised market, you should have been paid the proceeds of a very successful investment as soon as they were taken over without compensation. Now, with the ADR owners finally smelling the coffee, there’s a reasonable valuation yardstick there.
How do you expect things to develop? I wish you luck with it.
It seems to me that if 100% of the shares have been sold for £1, then the company has new owners and shareholders on the register when this blew up have been disenfranchised without compensation. You’d think the LSE would have clarified the position, wouldn’t you? Any money that is recovered from the alleged miscreants is likely to go to the company’s creditors, mainly banks.
Ozzy: it’s nice of you to include me in your short list of clued-up posters. Thanks.
I started looking at this just a few months ago. April, I think, though it seems longer. It was at .29-.30p. And an outstanding sell, as I remarked at the time. And they had the prospect then of oil in Turkey and the money to drill for it! Well, it’s down about 60% since then and as an investment it looks just as bad now. The only justification people on here are able to put forward for continuing to hold it is the fact it’s fallen so far and must be reaching a floor! Tell that to AAOG shareholders.
Ozzy: you’re still here! A quick look across at the AAOG bb would prove educational for you, I think. The UKOG management have chucked their shareholders’ few remaining eggs, and their own threadbare reputation, into a Turkish basket and it’s proved a disaster, in common with their efforts elsewhere. How many more billions of shares will the bulls of this turkey be prepared to buy? More and more placings are coming and the management are still observing their (presumed) Trappist vows. The moving finger appears to have writ here.
HITS: re Anguish, they haven’t even finished the design work yet! I can’t understand what they intend to do about the sidetrack. Will it be drilled in the winter, while they're building the bits of the plant that have arrived? Or will it be drilled after the plant is finished? If the latter, how are they going to get the field producing on time to meet the requirements of the hedge contracts? They may well end up hoping for a collapse in the gas price.
These UK oil assets are just a distraction. UKOG can’t afford to do the work at Loxley. At Anguish, Lidsey and Brockham were written off and an abandonment reserve planned in October 2019. Their sudden re- appearance “Back in the Frame” in February this year, just before the annual accounts were due, was clearly designed to avoid making those write-offs, which would have made it clear that they needed more cash. Angus isn’t serious about developing them. They’re a smokescreen. Like Loxley and Arreton. Turkey was the future for UKOG. Oops.
It seems to me that these two companies resemble a thing known on the Anguish site as Tids3some. It’s a race to the bottom.
Didn’t Mr. Sanderson describe Turkey as “a roll of the dice” well, he’s rolled them and it’s turned out worse than even the pessimists expected. Shareholders keeping faith with UKOG are like gamblers at the roulette table. “Keep your money on 36. It hasn't come up yet but by the law of averages it will at some stage. You don’t want to be out of it when it does and remember, you haven’t lost any money until you sell. I’m topping up”.
WG818: I think Gazprom was finding its investment at Saltfleetby too expensive in terms of management time. They couldn’t make the sums work on carrying on and they couldn't find any way to use the UK tax losses. The £12.8mm of estimated abandonment liabilities in the balance sheet seem to have been balanced with assets (the plant) to a similar value. Offsetting these sums against each other leaves you with little more in SEL’s accounts than there is in Forum’s.
We knew that SEL was responsible for £8mm. of pipeline abandonment costs. Is it the case that SEL actually owns all the plant and that Anguish’s 51% is its share only of the anticipated gas? If that’s the case, perhaps there really is only a very small abandonment liability in Anguish? But if this is so, why has the Anguish Board not shared this information with its shareholders?
WG818: yes, an interesting post and amusing, as long as one is not a shareholder in any of these.
I doubt that Angus will survive for long enough to render them liable for abandonment costs. I think that’s going to be left to the taxpayer. However, the Lenders would not have given Anguish £12mm. if they hadn’t worked out that they will make money whatever happens. The “hedges” starting next July should make them a lot of money and they may thereafter have a view on using Poundland for hydrogen storage, which, if it happens, will push back the abandonment liability into the distant future. And they may in the process be able to use the losses to defray their future tax bills. It’s a murky business, isn't it? Will any of the investor protection bodies start an inquiry? I doubt it, unless enough people rattle each of the respective FCA/AIM/SFO cages
WG818: why not legal? It seemed very odd that they weren’t there months ago. In the light of Forum’s Accounts, there’s a surprising amount of assets in SEL’s accounts. Maybe explained by their treatment of abandonment reserving. Angus meanwhile is involved in a court case now with Gneiss.
Ozzy: that’s naughty of you. You don’t have to do everything Ocelot suggests, you know? I wrote “unless they’re about to change”. Seems reasonable to me. Can you see any sign that anything’s changing? And please don’t list their “assets” in Southern England, which are the reason they decided a “roll of the dice” in Turkey was their best option. By far.
Ozzy: what an excitable character you are. It’s not all about you, you know? I was merely pointing out that UKOG has a remarkably consistent record wherever it operates. Unfortunately. And no sign of anything changing. None of which has escaped the attention of its Directors, apparently.
Ozzy::the reasons for UKOG’s failure to make any money are unimportant, unless they’re about to change. They were pinning their hopes on a “roll of the dice” in Turkey, the failure of which is nothing to do with nimbys. They’re left with a lot of failed projects and no net income or realistic prospect of any. And little money left. And the bulls on here wonder why the architects of this situation are not buying shares in it! It’s quite funny really.