Brent price remains high. So if well is showing no signs of deterioration , production will ensure market capitalisation at current SP is covered by when…. 10 months from now?
I do not see any reason for 35% SP fall.
Please enlighten if I am missing something.
Tree shake?
There is now a clear arbitrage opportunity in Logp versus PVR.
There are a few oil and gas producers who at current prices will cover their market capitalisations in a couple of years.
IOG seems to be one such .
Good find. Good news.
Natural gas supply is becoming a national priority. Can a foreign corporation acquire IOG and sell the gas to their own country. I suppose there is nothing to stop it.
Pipelines from the U.K. supply the majority of gas for power generation. In these uncertain times is that wise, when Macron has threatened the U.K. with power cuts.
Selling family silver? Perhaps escaping legacy millstone.
Historical accounts will mean little as this is a new vehicle, debt free with a growing laser business which has a increasing order backlog.
Concentrating on the larger custom built product, designed for client needs is proving successful.
Forward looking P/e of less than 5, suggests substantial re rate is due.
Semiconductor issue notwithstanding.
Positive news is Egdon’s extensive fracking acreage sharply resurgent value.