Member Info for oxygen

The reality is other than Institutional support, secondary Shareholders aren’t important. This BOD are no different from many others, in not bothering to provide shareholders with regular progress reports, and the late production of Report & Accounts is rather telling, irrespective of geopolitics in this modern age.
One can only hope that investor faith is rewarded but such faith can only last so long.

Guess its no surprise if the ‘M&A Strategy’ previously announced is now all about swapping Russian assets for those externally located. At least it allows Messrs Schaffalitzky & Nieuwenhuys to continue drawing decent remuneration, the real question being what, if anything, will be left over for Shareholders ! Pays to always expect the unexpected !

Yep that nasty word ‘inflation’ which is seemingly only going one way. See the Federal Reserve Bank of Dallas recently calculated that if Crude Oil prices were $100 a barrel for three months, it would add 3 percentage points to the US annual inflation rate. Well they need to get their calculators out again as Oil is already 10% over that figure ! Heat, Eat or buy Clothes……hmmm !

I’m sure James Hosie / Barclays is a great bloke but so were the guys in our Actuary Team who were forever predicting pending disasters, preferring negativity whenever unsure. At the sharp end we paid little attention ….the world never did end midnight 31/12/2000 , nor will Enquest not deliver !

those caught out by a ‘stop loss’ may count themselves lucky in due course !

Would just be careful in what you wish for in replacing AB. Looney ( Mr BP’s Cash Machine ) is unavailable, given he’s now elevated their SP above what it was before the Levy was imposed and his benefit package would require another Rights Issue. Anyway suspect AB remains fairly calm and enjoys the support of Institutional Shareholders, so I’d just relax and see how the Half Yr results
look .

We just have to accept that Investor sentiment is currently shot here ( thanks to the UK Gov.) and Barclays are merely following upon that. It will change once we’ve had our good kicking ( that a few others are no doubt enjoying ! ).

Interesting how Kwasi Kwarteng ( UK Secretary of State for Business & Energy ) and an opponent of the WT, quickly moved to see Shell’s ‘Jackdaw’ Gas Field get approval this week ( following an earlier rejection ) thus seizing the best part of half a billion pounds of Capex spend from the Treasuries jaws. The Chancellor is politically a weakened man, so will be looking to make new friends !

Hopefully the Levy cut-off point will be stated within the legislation together with a firm Sunset Clause that prevents any possibility of this Levy being extended /reinstated under a different guise . That said, for Enq. we still retain 75% of profit ( wish I retained 75% of my Gross Income ! ) and have a Capex offset, so I’ll only start to get concerned should we see a significant fall in Oil price ( unlikely anytime soon) before we have removed a decent chunk of debt. My holding horizon is still 18/24 months away irrespective, so not at all worried.

We may get some clarity at the AGM, but otherwise silence from AB would suggest he’s not that concerned, annoyed yes but not concerned !

At least lets all be positive, those May to Decembers hedges on 4.7 MMbbls of Oil at between $65/bbl -$76/bbl will sharply reduce our Tax liabilities !! Anyway the Market will get over itself once it sees the Half Year position. No concerns here.

“As quoted within the YE Accounts “With a focus on short-cycle projects, EnQuest can adjust its capital allocation decisions to match the prevailing oil demand and price environment”….well we can now add Tax to that Statement, so we can Tax management / Capex to be quite a feature from now on !

Yes disappointing the Levy doesn’t allow for previous Tax losses, but irrespective we keep 75% of Profits !. As Sunak was clearly still working on this idea as he walked into the Commons, we can expect clarification & some tweaking of the Levy, as it’s properly thought thro. As it stands this Levy ( and thus it’s tax breaks ) could be withdrawn at any time should Oil prices drop to a yet unknown figure. A 25% Levy may be find when Brent’s over $110 , not so at $55 , so let’s await further clarity. Currently this seems an incentive for short term Capex only , which probably wasn’t the plan !

The Treasury must be scratching their heads wondering how best they can level up this Levy given the publics anger , over excessive profits , was largely against BP & Shell whose Market Capitalisations remain largely intact due to their global diversity.. Expect some tweaking !

You would have thought Sunak learn’t his lesson with his various Covid bailout schemes, in that he’s not dealing with an honest Nation ! Anyway like others suspect this poorly thought thro ‘ windfall tax’ will see modifications albeit will likely be hidden within his Autumn Statement ! . Still a buyer.

This was via Reuters earlier ….Analysts at Jefferies said they expect the new levy to add $107 million to Harbour's tax bill in 2022 and $268 million next year, including tax relief for its investment budget. EnQuest, which ended Thursday's session 7% down, dropped a further 9% on Friday morning to lows last seen in late March. It is expected to pay an extra $14 million this year and $73 million next year, Jefferies said.

Agree . Wasn’t long ago we were all ecstatic that Brent had topped $65 !!

Yes would be good to get AB’s take on this although suspect he’s busily trying to reinforce the team currently looking at the Field Development Plans for Bressey !

Likewise followed you. Typical over reaction and will likely be largely mitigated by Brent’s continuing progress. Just hope our new CFO is up to the task !

Think we can expect an amended Capex target this year !. Just need Brent to stay firm as suspect this levy won’t be withdrawn unless/until it drops quite significantly !