RE: The Significance of Share Options.8 Sep 2019 21:30
One of the key areas PIs go wrong when investing in oil companies is believing they can value the entity. On every bb the expected value compared to reality is always miles apart. Currently you are looking at a NAV30% for starters given current oil price for uncertainty, throwing out revenue figures is pointless as it’s profit that has value, Gkp does not own the oil, the PSC is a fixed term deal, so SH delivering for 100 years does not add any value, remember in the CPR the barrels attributed to outside the PSC, that grows each year with low production.
As for my long post dividend given share buy back - 218 to 242 can’t complain, target 250 plus, leave the pot at the end of the rainbow for next guy.