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Current market cap = £203m
Consider the company's assets (cash, stock on shelf, buildings etc), its debts and then its commercial worth going forward (future profits, future cashflow and future orders) and its industry leading position and tech which takes years to carve out from nothing...is that worth £203m? Do the maths yourself
Look at the medium term chart over 5 years. The price has hovered strictly around 5p since late 2020 after dropping to below 2p during the pandemic.
So from a tech chart point of view the price looks pretty stable at current prices assuming no internal (loss of contracts which I don't see likely) or external shocks (market collapse etc) unless SEE decide to dilute with another placing, which if they do will surely be the last the company will ever do now they're on the verge of free cash-flow...
I personally don't think there's much downside from here. I believe the risk-on is to the upside but these are weird (some might say realistic) markets so feck knows..
dyor. I've been buying SEE and selling SEE since time immemorial. They've always been a jam tomorrow company in terms of profits and free cashflow but it looks like they're on the cusp of that changing so one might argue that now maybe the time to buy and tuck away
But SEE does need to start releasing contract news with Smarteye landing another hefty contract with either Kia or Hyundai...
you pays your money
We don't need involvement of a creditor on our balance sheet, a recipe for disaster in terms of corporate control. Stick to placings which I believe would be warmly welcomed now commerciality's (partial as we await the 90's flow rates and further fracking) been confirmed.
We don't need debt. No debt. No debt. No debt. Debt is a cancer in small companies. It destroys equity. A small company has no choice but to dilute equity. if it cannot pay its way. Share placing, warrants and selling a further stake in our licences to pay the company bills until cash-flow starts or until monetisation (ie takeover). That's just the way it is when there's zero cash-flow and a diminishing cash in the bank
The size and scale of this contract endorses CPI's liquidity and commercial capabilities. It also cements market confidence in CPI's future and that cannot be underestimated. I reckon more contracts on the back of today's news
SolGold Appoints New Directors
SolGold PLC (LSE & TSX: SOLG) ("SolGold" or the "Company") is pleased to announce the appointment of Mr. Jian (John) Liu and Mr. Charles Joseland to its Board of Directors.
Mr. Jian (John) Liu brings over 30 years of private investment advisory experience to the SolGold board, with a diverse background spanning multiple sectors, including mining, energy, technology, consumer, and healthcare. He previously worked as a partner at Valuestone Advisors for mining investments, as an advisor at Jiangxi Copper Corp for its overseas M&A projects, as a partner at Greenwoods PE Funds, as a director at Mousse Partners and Actis, and as an associate at Merrill Lynch Direct Investment Group. His experience includes assisting portfolio companies in strategy formation, fundraising, investing and corporate governance. Mr. Liu's academic credentials include an MBA from the University of British Columbia in Canada and a B.Sc. in computer science and engineering from Shanghai Jiaotong University in Shanghai, China, underscore his exceptional qualifications and expertise.
Mr. Charles Joseland joins SolGold's board as a highly experienced finance professional with a career focused on the mining, utilities, and energy sectors. With 32 years at PwC and as an audit partner working on large listed international groups, Mr. Joseland brings a wealth of knowledge in financial oversight, governance, and risk management. His extensive career includes working in Spain and the Former Soviet Union and advising many organisations in Africa and North & South America. He currently serves as an independent non-executive director at Kodal Minerals Plc and holds key advisory roles at Southern Housing and Saddle Skedaddle. Mr. Joseland's experience, pragmatic approach and commitment to integrity and teamwork will enhance SolGold's corporate governance practices and strategic decision-making processes.
SolGold's CEO and President of SolGold Ecuador, Scott Caldwell, commented, "We are excited to welcome Mr. Liu and Mr. Joseland to SolGold's Board of Directors. Their wealth of experience and proven leadership in finance, investment advisory, and corporate governance will be instrumental as we pursue our objectives. Both individuals bring unique perspectives and valuable insights that align with SolGold's commitment to excellence and responsible mining practices. We look forward to their contributions as we navigate the dynamic landscape of the mining industry."
With the addition of Mr. Jian (John) Liu and Mr. Charles Joseland, SolGold reinforces its dedication to assembling a diverse and talented board capable of driving sustainable value creation for all stakeholders.
“If we are successful in drilling those wells then some of the biggest companies in the world who are looking for their next growth project will definitely be interested in what we are doing here in the Beetaloo,” Mr Riddle said on a conference call.
Gas flowed in the well test at a normalised rate of 6.4 million cubic feet per day, more than 20 per cent more than expectations and at the highest rate ever recorded in the Beetaloo.
The company is targeting a final investment decision this year on the pilot plant, which would supply 40 million cubic feet a day of gas. A second phase would involve production of up to 1 billion cubic feet a day to the east coast, and involve the construction of a new pipeline. The focus would then switch to supplying a proposed LNG export project in the Northern Territory, targeted at 6.6 million tonnes a year.
Tamboran’s Australian-listed securities initially rose as much as 11 per cent but closed down 13.3 per cent at 19.5¢.
https://www.afr.com/companies/energy/tamboran-records-better-than-expected-fracking-results-at-beetaloo-20240226-p5f7t8
Tamboran records better-than-expected fracking results at Beetaloo
Some of the world’s biggest gas producers may look to the Northern Territory for their next big project after better-than-expected results from fracking in the Beetaloo Basin confirmed the commerciality of the resource, according to Tamboran Resources CEO Joel Riddle.
Mr Riddle said the results of the Shenandoah South well were good enough to fast-track a pilot project at the site, some 500 kilometres south-east of Darwin, with the aim of delivering gas to buyers in early 2026, depending on financing and approvals.
“The industry has really been waiting for this moment where we could see a commercial flow rate,” Mr Riddle said, pointing to the Beetaloo resource as one of the largest undeveloped gas resources in the world.
He added the limited development of large gas reserves in the United States, combined with the Biden administration’s recent pause on export approvals placed Tamboran’s project in a position to draw interest from potential partners in the next 18 months.
“We think this has all the ingredients to provide a lot of interesting strategic opportunities for the company to consider in the months and years ahead,” Mr Riddle said.
But the junior explorer faces an uphill task to secure the environmental approvals it needs and proceed into development amid staunch opposition from green groups and others due to the impact on emissions and worries about damage to land and water.
Tamboran, which switched its primary stock listing to the US last year amid lacklustre interest from domestic investors, has already fended off three legal challenges.
While Tamboran has a target to be net-zero emissions for direct emissions as soon as it starts commercial production of gas, the Environment Centre of NT said Australia’s greenhouse gas emissions could rise by up to 22 per cent if Beetaloo gas was developed.
NT Chief Minister Eva Lawler said the results “paint a prosperous picture for the Territory as we strive towards a $40 billion economy” based on its energy resources.
But that drew condemnation from activist group Central Australian Frack Free Alliance, which said it was “very worrying” to see Ms Lawler openly supporting the fracking plans when it should be impartially assessing whether the project should be approved.
Tamboran raised its estimate of 2C gas resources in the Beetaloo Basin to 2.1 trillion cubic feet after a successful production test over 30 days at Shenandoah South.
It raised its estimate for 1C resources, a more certain category but which still does not qualify as “reserves”, by 33 billion cubic feet to 284 bcf. The estimates have been certified by Netherland, Sewell & Associates. Six more wells are due to be drilled over 18 months.
CONT...........
SE Asia to Facilitate 50% Increase in Global LNG Demand. Shell, in its LNG Outlook 2024, has forecast that global demand for LNG will rise by >50% by 2040 to 625-685mtpa (2023: 404mtpa). This increase will be primarily driven by China’s industrial decarbonisation and strengthening demand in other Asian countries, as several countries transition to LNG importers as domestic production declines. Falcon’s Beetaloo acreage is ideally situated in close proximity to the Darwin LNG hub, providing ready access to the high demand South-East Asian markets.
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