Member Info for PRDaynes

I understand the frustration but I am confident they will be met in full, probably by a new Bond that you will have choice of taking up or taking your cash. If you are not confident do you realise you can always sell your PIK anything over 73p will give you your expected 5% return when you purchased them. You get the 7% when they mature or when oil is over $65.
Gritted teeth required I think when they get to 90p we will be near the finishing post.

You should have ordered from China they would have arrived no problem. EU bureaucracy combined with the European song contest mentality. They came from Britain was basically the problem.

On listening to presentation my gut feeling on finance director saying how much new combined loan would be required he seemed not very rehearsed on the figures? I got feeling there is more too come in the way of plans perhaps another deal? or more likely a drilling campaign in the offering perhaps our own Eagle field or something else. I got impression he was looking to justify the present RCF + new deal + tydy up Sculpture loan and BP as well in excess of $700m at Jan 1st. But that is leaving out the FCF we are producing. Would have been good to have seen body language but the voice said I don't want to answer this question at this time.

I am not sure of how right downs on tax credits work but this deal opens up the use of them so together with the rises in oil, it may put more on our book value than just the deal value? perhaps any accountants may wish to comment on this.

Suncor 26% not 100% of Golden Eagle. In 2020 it was worth 7.8k bpd but we are half way through 4 well upgrade so it is projected as 10k bpd I am hoping that means we will get a bit more for a while when the other two well come online, but too early to know

Magnus will and so will Golden Eagle If oil recovers, if oil drops to $30 Golden Eagle will not lose money but will only generate more than hopping along money, that is investing in oil. we need $70-$80 and we will repay all and have our rewards in double quick time.
We have a start date on Golden Eagle of Jan 1st and a $50 oil figure for deal projections 10000bpd we have already seen 36 days of production above that $50, the deal is looking good so I would wait for the prospectus before deciding to vote against, we are being held back at £200m market cap by the right downs on the balance sheet last year much of those may be written back on next accounts and oil is looking good so share price may be held back a little longer but Fundamentals will prevail.

I am up to stand correction but does the start date of Jan 21 mean we are already having the purchase price repaid from revenue? it sounds like AB has paid his $3m deposit and likes to tie up the deal from the start much like the Magnus deal.
All assumptions are based on $50 oil we could have a fair chuck repaid before completion at $60 oil?
I initially thought this would hold back share price while we wait the open offer but that will probably be a few months away and rising oil will set the share price hopefully.

Thanks for correction I see it an open offer, should have read all detail without presuming.

Unfair comments on Magnus? their is very little Debt on Magnus it has been repaid from revenue and will produce for years to come just a shame that our drills produced oil at a time when oil was being given away, next drilling may increase oil that sells for $100 and we will all be shouting AB's a hero.

WE have bombed out market cap mainly due to oil price giving negative book value, I presume we will get an updated book value reflecting higher oil and the new asset purchase, this seems to be, at $50 oil giving a + $100m value to Enquest.
So the rights issue price is the question will it be at discount or at a premium as the last one was?
If AB is underpinning it himself and does have aspirations on taking it private will he use this opportunity to increase his holding? It will be up to the other shareholder taking up their rights or not, waiting for the detail. But thank goodness the Bonds like the deal. As an equity holder as well I am waiting on the new interest rate on new loan? and the net value of enlarged company reflecting oil price to make my decision on taking up rights.

worth a watch

https://www.youtube.com/watch?v=cmrbbfdvnGU&ab_channel=CNOOCInternational

Hi Tarmak
I see OZ loan outstanding Dec 20 at $65m and was projecting $30m at Oct 21, but my comment that it could be cleared at about same time as RCF is at the prospect of the sustained premium on Kraken and a healthy summer oil price. On a tanker full of 500k oil OZ get the free cash flow on 75k barrels with $27 costs and a realised price of $70 that equates to $3m repaid at each fill up. I will be happy with $30 outstanding in Oct but a soaring oil price could make it possible?

One thing for sure is the OZ loan will be coming down fast. and the lenders will be at front of queue if we need a a top up.
It is looking like OZ will be repaid at about same time as RCF if oil performs during the summer?

Hi HMHn I agree with much you say especially our FPSO in dock potential as Farm in. If we use the gas cap at Bressay that I would have thought would give us much data on the performance of the aquifer that Bressay has for future oil recovery plans.

Hi romaron & hitman my thoughts on Bressay are that in the short term if oil price rises then we may drill for the gas cap, and that will mean we can sell more of Krakens production. Then hitman's plan will follow.
Update would like to see 65m OZ and 320 RCF and plans to drill magnus for 2022 production.

I think Boris is referring to the citizens of Europe not the EU our friends in Europe are queuing up to rebel against the EU and that is why they are panicking by trying to blame the UK when it only highlights their failure, they have to answer why did they not order the non profit dirt cheap British vaccine earlier, and why have they not approved it yet!
Their answer has been to claim they were negotiating a better deal and claim its not up to the standard of the German one but demand we send them supplies from the UK factories that were upgraded to meet the confirmed UK orders, If they really think it doesn't work they wont approve it and will not purchase the ordered 400m
ITV a safe hold, and look forward to Tom's 50p to reload fully.

260p NAV As they move forward with buying properties and selling Equities they have plenty of fire power to Keep buy back up to enhance dividends per share. If you want out you may well get a lot closer to NAV soon. And if you hold for dividend it will be sustained. 11% mortgage will be repaid in March so properties will get an uplift in returns as well.

For Cairn it sounds pretty upbeat, they only actually said Kraken would move into a decline during 2021 anytime between now and December 21 and they will be correct. At least they accept western flank has the potential to offset that and we all know more drilling will be planned either before or after RCF is repaid.

romaron And I agree tax losses are very much an asset that is not valued, we need the right deal, assets that benefit quickly. But it needs to be SP beneficial as well. Magnus I believe still has much potential and a drilling campaign may unlock more of those tax losses. Just need $60 oil

RCF is repayable by Oct 21 OZ loan will be down to $30m outstanding by then with 2 year to repay do Banks really want to be repaid? their profits are made by lending to people who can repay. I suspect OZ like the deal they have had with us and RCF lenders feel we have fulfilled obligations and will be more than happy to give a new longer term deal. Enquest if they feel confident in higher oil prices will be looking to drill to increase production so will completely change late 21 and early 22 plans they will borrow anything required to drill and lenders will be more than happy to oblige.
If not confidant in oil price they will continue to sit on hands.