Cobus Loots, CEO of Pan African Resources, on delivering sector-leading returns for shareholders. Watch the video here.
As noted elsewhere, until we know the gas and revenue flow it is hard to assess the true value or potential. Obviously the long delay in getting to first gas adds to the debt. Most of my holding is from a few years back and my pre-gas-crisis target was 45p. I am going to wait and see what the figures come out at.
Why has TRIN suspended drilling for six months? Even the Caribbean needs to do its part in this war. They should RNS to explain why they are against producing oil.
We are all frustrated at the delay in first gas. I wonder if there is more to this statement in the RNS "as a result of a planned inspection the UK Health and Safety Executive have raised a number of clarifications required to be resolved ahead of start-up and this is being addressed".
Dunno, maybe just a panic market reaction to the end of the COVID plastic boom. Hmmm?
Great interim results today
Every project I have worked on has had chatter from doomsayers. That applies to monster projects like BP Quad as well as modest field extensions. When they eventually go live it all gets forgotten. As long as IOG can find the cash to keep ops going until revenue comes it will all come good.
Are we sure that IOG can achieve the gas price? I would not be surprised if the price was hedged long ago and for a lot less than the market rate now. Does anyone know?
New onshore acreage PS-4 acreage acquired. Matching seismic data acquired last summer. Lots of cash in bank. Oil approaching all time high .... but TRIN suspends planned drilling. No reason given. They raised 20M at 150p almost 4 years ago with stated aim of achieving 10% production growth year on year. Actual growth is 3%. Share price is below fund raise price. How can they raise money for a big offshore development if they can't do easy onshore drills?
GXO is on a 60x P/E ratio. CLG is 40x P/E. That makes GXO expensive and CLG a bargain! There is an obvious synergy between the two businesses but it doesn't seem a great price deal for us.
Citizen, according the 25th Jan RNS: "back-gassing in mid-February". The facilities weren't ready on 14th Feb despite the generally good weather up to that point. The storms came later. I am sure the storms are affecting work since mid Feb. Hopefully we will see first gas sometime in March. (I used to work a lot out in the fields West of Shetland - waiting on weather had a whole new meaning out there!).
That's what I thought after the Jan 25th RNS. The stuff about the weather delay is just further excuses: the bad weather came after the delay. (I wish they would be more direct and just say where they are with things but hubris knows no bounds until the date isn't met!)
Not impressed with the offer. Only the same overall value 901p as last summer. We lose UK registered shares in exchange for some USA shares and current price in cash. Rather humdrum offer for a fast growing, profitable, low debt, dividend paying UK business.
I thought this could be 5x or 10x over the years. Now it is sell out .... groan. I bought at 300p so I am not out of pocket but it seems a shame when such a great business can't survive.
Mid Feb is passed and no back gassing start. Just silence. Last RNS "We will keep shareholders regularly updated through these important final steps in bringing Phase 1 onstream". I am more concerned about the current cash burn rate - that extra 5M facility doesn't buy many days of operation.
Yeah well it doesn't count unless they are in production. The taps aren't turned on yet and we don't know if it is going to be a trickle or a flood of revenue. My bet is it will be next month before we know.
A few lines on there and we see a jump. But it could be a takeover bid coming again.....
While James Bond doesn't have to deal withe laws of physics or even chemistry of explosions, it is entertaining stuff. I can recommend the technically curious on pipelines take a Masters Degree in Offshore Engineering at Aberdeen, Cranfield or Herriot Watt. It really isn't that simple and intelligent pigs aren't an answer in themselves but they are a great tool. (It is quite exciting when pigs get stuck because the numptie that sent them down the line hadn't done their homework! )
A course in gas field development and the management of installed pipelines is a bit beyond an LSE chat board. After 50 years of North Sea gas it is safe to say it is all well understood! IOG are only using the lines because they are in good condition. (They were extensively checked earlier in the project)
Luck, I would love TRIN to do what they say then we would all see the benefits in the SP. As they won't pay dividends (except to themselves as " incentives") then the SP is the only way the punters can get some value out. EV is great but it doesn't mean the SP value will rise. Increased production might help interest in the SP but not much happening on that this year. Galeota might be great but until financing is settled we do not know how much the shareholders will get diluted by (convertible loans are the norm - why should TRIN be different). I think it might recover to 2018 levels eventually but it sure is a loooooonnnnnng wait.
Q3 update "Onshore, the Company expects to finalise a drilling programme during Q4 2021 to commence early in 2022. ". Not happening now. Hmmmm