Member Info for pauldrayton

I wonder what the multitude of small trades was about today. Quite unusual.

There will always be some people searching for the next quick buck/jam tomorrow. I think that decision depends on your personal risk appetite. I agree with whoever said that some of the Israeli investors have switched to ECO in recent weeks and I suspect there also may be a bit of institutional profit taking as well (let’s see).

I would say, however, that RKH are probably the least risky they’ve ever been now that FID has made, finance approved and the project sanctioned.

There are always risks with every company but should Navitas pull off the development as planned and RKH get to first oil then the share price should be multiples of where it sits today. Admittedly that’s a couple of years away at least but 70p today seems to undervalue the company significantly and that’s probably as a result of people searching for quicker wins elsewhere.

Perhaps that in itself is an opportunity.

Pretty sure Great Western Mining is a scam by the same people who brought you USOP, Teknomining and various others from the upstairs of Niall Ring’s pub.

Malcy’s take:

https://www.malcysblog.com/2026/01/oil-price-seascape-energy-asia/

And an independent resource analysis was probably a prerequisite for any farm out as well so this is a (very positive) stepping stone.

Looks very encouraging indeed with more high CoS prospects. Show the value of securing that block and management’s excitement.

Let’s see what happens with the awards in February and hopefully a farm out to follow.

Offwork, it would make sense for any farm out deal to come after the awards have been announced in February (assuming SEA are bidding on those close to Temaris).

I suspect the award announcement will come first if they are successful.

“Just a quick note to encourage fellow posters to drop the occasional share tip here”.

I’ve always been a bit reticent to do that because firstly I don’t like telling other people what to do with their money in case it goes wrong(!) and this is the RKH board not a general investment forum.

But as you’ve asked, if you want to stay in the energy sector then one company that I think might be worth researching is Seascape Energy (SEA).

They started out as Longboat Energy (IPO at £1) with Helge Hammer (ex Faroe Petroleum) at the helm. The pandemic scuppered their plans to acquire producing assets in Norway and they never really found a way forward after that so they ended up splitting off their Norwegian business and focusing on gas in Malaysia (transforming into Seascape Energy).

They now have the impressive James Menzies (Salamander Energy founder) heading it up and seem to have built an excellent relationship with the Malaysia’s state-owned O&G company (PETRONAS). As a result they have been awarded (for free) a share of 12 gas discoveries (DEWA cluster) where Enquest are also involved (as Operator).

They were also awarded Operatorship of the sought-after Temaris cluster (2 gas discoveries plus additional exploration potential), where they are working on a FDP and farm down.

In addition to that they farmed down their interest in Block 2A offshore Sarawak to Inpex (now Operator) for an uncapped free carry on an exploration well and appraisal well on Kertang (should the exploration well be successful). They have retained 10% which doesn’t sound much but Kertang is a truly enormous gas prospect and Inpex are looking to drill late this year or early next (TBC).

I think they are currently under the radar with 63million shares in issue and a low market cap (£43m).

One drawback is they don’t currently have any revenue or producing assets, and whilst they received cash from Inpex for the 2A farmout, it won’t last forever so they will need to get some cash from the Temaris farm down or raise equity at some point.

This really isn’t a ramp but if you’re interested it’s worth watching the last few Investor Meet presentations that they’ve done to get a feel for the company and where they want to go.

I’m not saying the share price will take off in the next few days, but medium term they look undervalued to me on the assets they have and I’m sure Kertang will draw a lot of interest when the drillbit starts turning (it really is a mammoth prospect).

Anyway DYOR and I would appreciate other people’s opinions on it too if there is anybody who looks into it (maybe on their forum rather than this one).

Confirmed as the rig for the NFB. 11 well contract starting next December. That’s the number of wells required for Sea Lion Phase 1.

Nik/ZYX/Others,

Out of interest what are your thoughts on execution risk from here?

Clearly the Falkland Islands are remote with little to no infrastructure at present and Navitas have never been Operators of a project like this before. Also we all know geology throws up surprises even when you least expect it to.

It seems to me that Navitas have hired some very experienced hands to work on this, and everywhere starts off as remote before the infrastructure arrives! Sea Lion also has a lot of wells drilled and cores taken from what is a ‘relatively’ simple reservoir.

Do you think the biggest risks now lie in the team handling it (inexperience), equipment and execution (delays etc), reservoirs not performing as expected (geology) or something else?

I think we all realise that delays can (often do) happen in the oil patch, but do you perceive any genuine chance of major difficulties getting to first oil or do you see it as quite straightforward?

Agreed. I think Navitas are the more obvious takeover (buy out) target as operator.

I personally think we will see a partner come in for 10-25% pre first oil and there won’t be any hostile takeover attempt until well after first oil (possibly even Phase 2). There is still a lot for Navitas/RKH to prove before the big guns start circling.

On the whole I think that’s a good thing for RKH shareholders because if Navitas execute the development as planned then a final takeover share price would be multiples of what it might be today.

Serica did release an RNS earlier in the week stating this LTT. I’m pretty sure I posted it at the time.

BigRed, Alma was just using the female term because his username is a female singer!

Anybody who used to post on Interactive Investor wil know who he is/was and if not just check the twigs.

No, Alma is/was a man. Unless he has transitioned recently.

Alma has said goodbye on here a few times. He might be back, if only to ramp his book sales ;-).

So Sam knows his allocation but none of the rest of us do! Which broker does he use?!

Certainly seems to have stimulated some action this morning.

2.35m shares traded in the first hour.

Thanks - do you have the write up?

West of Shetland, the Lancaster field (Serica 100% and operator) is producing at levels of around 6,000 boepd. The field is expected to remain around this level until production ceases, which is expected to be in Q2 2026. Bluewater, the FPSO operator, has advised Serica that the FPSO will leave the field in that period

Looks like Shenandoah refinancing (which they said they were going to do once in production).