Member Info for RealitBites

Can we have an update on dates for both of these please?

Well I'm not Christian but I am white.
I won't deny there is racism in Scotland. Sadly it lives everywhere, not least in England and Glasgow. I'm sure in Aberdeen also. But that isnt universal and I grew up in a very multicultural society thanks to the oil industry. From primary school to University, my classes and close friends included people of all colours and faiths. In later life at work it was the same.

I think there is a big difference between Scotland and England on this as was highlighted by Brexit, which was my point. This came through when speaking to my friends in North of England. They wanted to close the borders, stop foreigners from taking there jobs. While in Scotland it was about protecting freedom of movement.

Hope so. Just spent most of my new ISA allowance on this and Wood. Kept some powder dry in case Wood results cause a drop before there's news of the asset sale and there's a chance to get in there even cheaper.

Indeed Walt.
Wasn't Scotland the part of the Uk that voted to stay in Europe and keep open borders?
Hardly the actions of a ****** nation.

I know that analysis is old but you miss the point of why I posted. I was using it to show how quickly they were burning through backlog now, so how quick they need to win work to keep that backlog steady or grow it.
They haven't won any work ffom ADNOC yet, and when they do, it will be new backlog, so that wont effect this aspect. It would grow bacog but could be some months away yet depending on current status of tenders.

They predict 2022 revenue of 2 to 3billion.
https://www.petrofac.com/investors/analysts-and-consensus/
So to keep backlog at same size, they have to secure that much new work this year. Preferably more.

Tricky to sum them up as values not always give but looks like over 0.5bn in first quarter from the ones I can think of off top of my head.

Keep them coming guys....hopefully many more over coming months.

So Tony, why so negative on this these days. Is it just that it hasn't made you rich overnight? You used to be quite bullish here. Was your investment timeframe just wrong, thinking you'd get multiples overnight? Granted, some were predicting that, but this was always a long term recovery play with huge upside for anyone willing to go in for a few years. And IMHO, it still is. Evdn more so at these prices and with recent news.

These things take time. You must consider the time taken to award these contracts. It is often a multi-stage process taking 6 months at least, sometimes years! If you got knocked off in first round, which may have been pre SFO resolution, there's no way back.
They say 37bn on the bidding timeline and there's a high chance they'll bag some of that. Even a fraction would see a healthy increase to backlog, a modest up in price followed by a bigger one as they start to bank the income.

There is also going to be a tidal wave of new contracts shortly. So many operators with cash to spend and announcing big investments. Shell alone I think said they were going to spend 25bn! But again, they must first select the projects and go ghrough their own processes for approvals, writing up the tenders, go through the bidding process to award.

It's frustrating that we havent held on to any of the increases to date. But I am still confident that will happen. There's a reason shorts have closed and most analysts have buy or overweight ratings here. The only bad rating is the credit one, which does represent a risk. That cost of capital may hurt margings , but there are ways to minimise that impact and with some careful planning and payment schedules, hopefully it won't be an issue.

Late this year and early next, we should IMHO be in a different place. I will be holding to mid to 2025 to 2030 if I can as the pipeline of projects over this decade is already insanely large. Scotwind awards will be in full swing by then and big oil and gas energy transition scopes also.

That's why next week, I will be pumping my 2022 ISA allowance in here (25%) and to WG (75%).

Actually I need to wait til 6th for ISA allowance.

I hope so. I am already heavily into Petrofac with a small holding in WG. Was planning to do the reverse with my 2022 ISA allowance tomorrow, so the low prices actually aren't a bad thing for me.
I'm hopeful that both will be in a diffefent place in a year or two. Maybe sooner in WG case if the asset sale goes through. The books will look very different is they get the money they want for it. Clear the date before high interest rates kick in and well placed for the big spends predicted for these sectors over coming years.

I did notice this which I don't think anyone shared.
O&M so likely reimbursible cost +, which is always good.

https://www.oedigital.com/news/495196-petrofac-wins-uk-north-sea-contract-extension-with-spirit-energy

Walt. His analysis does take into account the debt and interest.
He comes to the same number stated on simply wall street page for PFC. Fair value today of £2.50.
Inflation isn't necessary as you are trying to work everything back to todays value.

Does anyone know if they have paid it and/or is included in these results?
I was digging to see if it was and found this....
"The penalty is comprised of the following elements: a confiscation order of GBP 22.8 million payable by 3 January 2022; a fine of GBP 47.2 million payable on 14 February 2022; and the Serious Fraud Office’s costs of GBP 7 million payable on 14 February 2022."
But I remember them paying back the COVID loan the minute they refinanced, so not sure and wonder if that is still to come?

Pretty much as expected. No great surprises. Net in line with last year as advised in last update. Would have been nice to see backlog grow a bit more, but still as it was in December which isn't a bad thing given Russia etc.
Treading water for another quarter or two or til we see some big awards.

Disappointed but not surprised given the recent performance of this share.
Still awaiting results and there could still be a quarter or two of dodgy ones before we see that the orders are filling up, return to decent profits and confidence in the recovery grows properly.
They still have a poor credit rating also, which evidence of the above will sort and big II will pile in. Especially if back in FTSE250 and divi's return.
Hopefully I'm wrong but not expecting the really big moves until next year. Hopefully a steady creep in the right direction til then.

I'm kinda hoping he sold out already :D
Great news and bodes well for 2023!
Congrats to all the patient ones and those who bought the dips.

Selfishly wish we'd had this news in a couple as I hoped to use my next ISA allowance to get some more.
Not to worry, back to black and this has now covered my current paper losses on Wood. Yey!

These hydrogen scopes are tiny. Early stage feasibility studies that will only be in the tens (maybe hundreds) of thousands in value. What makes me laugh is they have very little knowledge in it and it isn't very feasible, except in niche areas. Bandwagon jump with that endevour.

Both are equally important to our survival!
Are lithium mines or slave labour putting our eco system at risk? Perhaps the former, but not at the point we are at woth carbon.

And yes, we do need global agreement which is why stuff like COP happens! Have you actually looked into who is investing most to reduce emissions. It's China by a long way!

If we are importing dirtier atuff, tax that route and use the proceeds to speed up roll out of alternatices. Dont remove taxes and make it cheaper for everyone to make the problem worse. The economics are such thay we are incentivised to be wasteful and pollute. That has to stop!
And yes, that means energy getting more expensive and so it should be!

Oh cpme on Brochrock. Do you think there's no problem with CO2/CH4 despite all the scientific evidence? Is your head that far in the broch beach?
In fact, having spent a lot of time there, can see why you'd welcome global warming but still!

Should we just let people dump a hazardous gas into the air as we can't see it?
They are try to incentivise people to change their ways. You got a better way?

Broch, penalised oil companies? Please expend. What do you mean by that.