The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
My previous post refers. With any mining project you have x product. The NPV then depends on how fast you can extract it. Put simply £1 today is worth much more than £1 in 50 years time. Thus you may have a 100 year mine life if the extraction rate is 1 unit pa. Increase to 10 units pa and the mine life is 10 years but NPV is far higher. Imagine a JV with a £xbn partner who can immediately do all maintenance and do multiple drills with no budget constraints….now you see why the JV is the game changer. I hope this helps.
KNW, fingers crossed for you. People run numbers based on P/E’s etc as if this were a FTSE100 stock. The reality is that sentiment is the biggest single factor at this stage. A JV combined with a production uplift should see a big spike. The reason that a JV is huge is not just because of cash but massive increase in extraction rates.
FWIW, my 2% rule has been one of the best investment decisions I have ever made. Most investors learn the hard way and when I read these boards where people have piled in it reminds me of myself 30 years ago. It normally ends in pain. Luckily I was young but you see people doing it as they approach retirement…. But it’s their money.
Knw, The amount you invest is irrelevant it is more the percentage of your portfolio that counts. I never invest more than 2% in a single stock. If the portfolio is £20m that is 400k , £1m it’s 20k etc. If you invest less than 1% it isn’t really worthwhile but it can mean that a person with a large portfolio ends up making an investment that is sizeable and looks like madness. Always best to talk in terms of a percentage of a portfolio it is less divisive. For all we know your 290k could mean you are balls deep as opposed to being irritated by an affordable loss on a small part of your portfolio.
Pian - I suggest that you take a look at wholesale energy costs. Oil, Gas and electric. Things are about to get better! CSG just do one you shameless shorter. Company results are historic by definition what is happening today is real time. I have invested based on now. GLA and don’t let the intellectually derelict crew screw you over. This is a long term hold from here.
Cs - Let me enlighten you. Jan 2016 oil circa $36 a barrel. It then shot up and our sp fell. The reason for the subsequent fall was Covid. I only invested from earlier this year having personally witnessed the massive surge in bookings. The RI has trimmed the debt and cashflow and margin should both be positives. Also we are getting a tailwind from a weaker $ and weaker oil prices. DYOR and good luck all investors.
A client of mine dumped M&S in the early 90's having walked in the shop and finding nothing that she wanted to buy. She was aged 45 and middle class and reasoned that given she was in their target market , if they couldn't sell to her things were likely to be poor. She saved herself a lot of money! I have purchased 4 holidays this year with TUI and using the same logic bought stock. The travel sector is in post covid recovery mode. When I was trying to book often there was no availability/fully booked. Company accounts are historic, in contrast bookings are in real time to be reported on later. I remain positive about TUI especially now the burden has been reduced post right issue. GLA
I have double the shares in Matad that I have in COPL. Matad B/E under 4p. COPL B/E 20p. I can't believe that Matad now has a higher SP. Unfortunately the amount invested in COPL was far higher and the 70% plus loss is sickening. I still believe in COPL but where is the RBL and where is the JV. Surely the lawyers wouldn't accept shares in payment if the JV was not happening? Surely Art wouldn't have bought 400k worth at circa 20p if he thought COPL was useless. Fingers crossed but hope draining.
The issue is that we have never been given details of the hedge and precisely how it operates. We have essentially sold the gas and need to deliver it. It could have been that we had sold it at a higher rate than current market value but it is the other way round. The 3rd party couldn’t give a flying fig about gas we may supply in future they just want the gas they have paid for by the day they paid for it.
No shares Patel , I am 50% up doh! I don’t need you to wish me luck to break even…
Art spent circa 400k at an average of circa 20p. A substantial sum out of taxed income. I despair at the SP but still believe that ART was not bordering on insanity when he made his purchases and therefore hold in hope.
No Shares Patel, what is your reasoning to encourage people not to buy....shorter!
Big, this is not priced to go bust. It was during Covid when I bought my 1st tranche at 7p though. We are in a far better position now. Commodity prices are falling which will lead to increased industrial activity and oil in particular rising due to increased resultant transport needs. In the words of Catherine Tate "I am not bovered". GLA DYOR
FWIW my B/E was progressively reduced from over 8p to circa 2p. Trading means I hold 20% of what I once held. I am thus very comfortable, yes underwater but believe 3-5 is doable so all good . I am very annoyed with GL, especially the misleading comms and delays. But given the probable 3p plus exit I am relaxed. This is now 0.25% of my portfolio so yes I have skin in the game but am not balls deep and can afford to be neutral here. Looks like the company succeeds despite GL..