Member Info for Robbie11

TheGoldenDragon, the 3 billion of tax credits cannot be set off against the windfall tax as stated in the treasury press release issued last Thursday. Please pay attention. The analysts have calculated the likely tax liability at just under £267m for the next 3 years (see Saturday`s business section of the Telegraph.) This is why the share price has been falling since last Thursday.

BTFAITH1, the windfall tax disallows the utilisation of losses brought forward and a principle of tax law is that general provisions cannot be used to reduce a company tax liability. B OF A has calculated that Enquest will pay nearly £300m in windfall taxes over the next 3 years quite a high figure for a company with a market cap of around £550m.

Sipp, by all means write to your MP. I have already contacted one of the most financially literate, but do not expect anything to change. The Tories want the revenue from the oil industry to bribe the voters with and Labour came up with the idea of a windfall tax in the first place. Sunak topped Labour by coming up with £5bn essentially by striking a line thro` taxes losses brought forward. What a cowboy. He`s completely wreaked the prospects for the North Sea to be a major energy supplier for the UK. Give him back his green card.

You are correct in your belief.

On friday the share price was manipulated downwards which wrong footed most of us as the results and the oil price pointed to much better future. This morning the oil price is down and you might expect enq to be down as well but the extent of the manipulation on Friday means that further downward pressure on enq could not be generated.

In the early stages of his investing career Buffet looked for "cigar butts". Stocks that had been discarded by the market but still had a few puffs left in them. Enquest is a super cigar butt. The net cash flow in the first 2 months of the year of $132m is equivalent to an annualised cash flow per share of 32p. Today`s youthful analysts brought up in the age of Nasdaq find it hard to appreciate the merits of this investment approach.

Romaron, it feels as if the extreme volatility in the share price we have have had to cope with over the last few years is draining away. Maybe we are on a P/E of 1 for 2022. Projecting further out is quite difficult.

vonMoltke
Many thanks for setting out in some detail concerns which I very much share.

There has not been a 10 per cent drop in the gold price in the last 10 days. There has been announcement that the dividend is likely to be 45 per cent lower going forward.

I`m talking about around 20 per cent drop in the share price we`ve seen in the last ten days.

The share price continues to decline in the face of the decision to cut the dividend. There is nothing new that Hogan can say tomorrow to reverse that unless he decides to put his hand in his own deep pockets but knowing him he won`t do that.

This company has over a billion dollars of tax losses brought forward. So I am not sure how Rishi can devise measures to turn it into a taxpaying position in even the medium term.

They have told us that going forward the dividend is likely to be upto 45% lower that`s why the share price is over 10% down !

By cutting the dividend at this stage the directors and their advisers have lowered the takeover price for an acquirer by over $100 million. It was essential the the management maintained the dividend at least until the higher productional levels come through. By cutting the dividend now they have reduced the market cap. by at least $100 million and consequently reduced takeover price which would be paid. Fools or knaves?

View BBC Panorama`s - Roman Abramovich`s Dirty Money.

You cut the dividend if you cannot deliver on your plan. The market has taken that view and marked the shares down accordingly and they will stay down. If the company disagrees with the market it must act to correct that misinterpretation. A meaningful buy by Mr Hogan would send that message and the market would respond accordingly. I think that the market is right and has called Mr. Hogan`s correctly.

The decision of the directors to potentially cut the dividend by 45% although it has ample cash available. has unsurprisingly been very badly received by the market. It has been taken as a tangible loss of confidence by the directors in the future of the company.
Mr. Hogan must immediately make a significant purchase of share. I would suggest 500,000. His current holding of 41,000 shares is derisory.
I believe that Mr. Hogan`s remuneration is in the region of £2,500,000 per annum and he will not be paying PAYE due to the company`s residence in Jersey. He has ample resources to make that commitment and back up his words with a tangible display of confidence.
The Chairman, Mr Rutherford, should convey that message at once. Unfortunately Mr. Rutherford has had to resign as a director of Evraz. A company controlled by the disgraced oligarch Roman Abramovich. Mr. Rutherford`s judgement in ever taking that appointment calls into question whether he continue as Chairmen of this company.

The dividend cut is a major strategic mistake. If the directors are really confident in their projections saving $50m dollars a year is hardly here or there. The 10 per cent drop in the share price makes an opportunistic takeover more likely. Is that the objective?

re IG

That`s been the position for months.