Member Info for Robbie11

Unfortunately we are going to have to write a cheque for the windfall tax before year end.

Sorry BTFATH1, but taxes losses cannot be used to set off the windfall tax. So our profits will be taxed at 35%.

The fall is due to the incompetent govt. that we have. There have said that they will massively increase the energy subsidy to households maybe up to £100bn. This will be added to the nations debt and will not be funded by an increased windfall tax. However, until they announce the measures in the House of Commons it is easy to spook the markets into thinking that there will be an increase in the windfall tax and despite the very good results yesterday Enquest falls in value.

Yes.

So what are the prices they are now forecasting in terms of $ per barrel ?

Any one know what Barclay`s assumptions are on the oil price. It very easy to come up with whatever numbers you want especially when interacting with the windfall tax which Rishi has said would go at an unspecified lower oil price.

Lots of market participants have an interest in driving the share price ever lower, especially when the company is so weak on investor relations.

They cannot use 65% because there are 3.0bn of tax losses brought forward to offset against the mainstream 40% corporation tax liability.

From my calculations for there to be $450m of windfall taxes payable there would need to be $1.8bn of taxable profits arising. Not bad for a company capitalized at around at round 500m.

Orban has imposed a 25 % windfall tax on Hungarian energy companies. You are in good company Rishi !

The company is probably content or even wants the share price to drift lower. The detailed legislation concerning the windfall tax has yet to be revealed and the industry will be lobbying the Treasury for some mitigation in the details.

Many thanks for all the comments. To be precise the govt. have not said they will end the tax if the oil price falls. They have said the tax will remain in place until oil and gas prices " return to historically more normal levels " - weasel words indeed. $50/ $80 per barrel who knows. What we do know is that they have put £17.5bn from the tax in their budget plans some 8 times the figure that Labour said they wanted to raise. They have created huge uncertainty in the UK energy sector and Enquest is probably the leading casualty. Investors had every right to expect that its £3bn of tax loses would mean that there was no foreseeable prospect of the company paying tax. As the Chairman has indicated the company`s future now lies beyond the UK.

Rishi Sunak has called his tax on oil companies a windfall tax. A tax that it levied on extraordinary and unforeseen profits? But it is not. The tax is set to run for 3 years and the 25% levy on profits will still apply if oil falls to $60, $50 or even $40 a barrel. As long as a company makes even one $ of taxable profit it will be hit by this tax and of course tax losses brought forward will be ignored. Maybe this explains why the Enquest share price has been so badly hit. If over the next three years the oil price falls to these comparatively low levels, although it was not so long ago that`s exactly where they were., Enquest will be paying this tax.

Only 30 minutes to the close. Where will Brent be by 8.00am on Monday morning ?

Amazing how they are managing to hold it down.

In last Saturday`s Telegraph Bank of America analyst Matthew Smith stated that the windfall tax paid between 2022 and 2024 by Enquest is likely to be £237m. It is almost certain he would have got that precise figure from the company. It is around 43% of the company`s market cap.

61 MILLION SHARES TRADED

49 MILLION SHARES IN THE AUCTION. NOW WE KNOW WHY THE SHARE PRICE IS BEING HELD BACK.

Kraken, this is a political tax. The Tories have stolen Labour`s clothes and now cannot water down their proposals for fear of political ridicule.

January24 thanks for spending your time to produce some meaningful projections. Your tax charge is pretty much in line with the figures quoted in the Telegraph last saturday based on the Bank of America numbers.