I think they need to market the company better, sell the story, promote the upside. If you look at the website and find the latest presentation it isn't too bad as at least is compartmentalises PI, II, III & IV, but if anyone new just looks under 'Projects' it's likely to be pretty confusing. There's also only so many investors looking at this sector and we have competition for interest, look at MATD with over 300 posts today. Sure posts on a bulletin board are far from the most important thing but it illustrates the point, even when we were getting the big daily rises we weren't attracting that sort of interest. Must admit I know very little about MATD but a quick scan suggests they don't have the gas prospects of BLOE.
...... and nothing. For the record I don't think they're all suddenly on sabbatical but however industrious they are behind the scenes bad comms can give the impression of being asleep at the wheel. That always gets punished on AIM and for me is why we're seeing recent gains seep away.
While I wonder if we'll finally be updated today it's interesting to note that the SP is pretty much where it was at the start of December. That's obviously before the success of WR-B01Za, completion of farmout, termination of shares for salary and signing of MOU with Georgian Ministry. Illustrates the point that the stock market is far from being the perfect weighing machine for a company's value, if it was there would never be undervaluations for investors or indeed overvaluations for the shorter to exploit. So are we undervalued? Well I think so for what it's worth, a detailed update across all projects would be a start to putting that right.
I suppose they've got to dismantle the thing, transport it 1K or so and put it back up but it would still be nice to know that's what happened. Ever since WR-B01Za proved challenging (but ultimately successful) they seem less keen to Tweet operational matters.
Given that they said this after announcing the loan facility "The funds raised provide the Company with additional headroom to accelerate its Project I development programme. This includes additional wells and side-tracks, following completion of well WR-B01Za, which is currently being drilled". Either they have just knocked off for three weeks :) or could they still be learning from WR-B01Za before committing to a well design for KRT-45_ST? That might explain PI but how you account for the apparent inaction at PII is beyond me.
The market will catch up eventually but in the meantime it would really help if they made more of an effort to sell the story. Since late Feb when there was a vague reference to pushing on with the KRT-45_ST drilling programme on PI we've heard nothing about how they're going to advance the project. PII is even more of a head scratcher, best part of 5 months since JSR-01 DEEP should have given them the data on how best to progress and nothing. It's like there's all these open goals ready to be scored and they're not willing to take them. Okay I don't really believe there's nothing going on in the background but ffs communicate, instead after a series of cracking RNS's they've allowed it to drift into a vacuum, so frustrating.
Expecting a good week. Top of my wishlist is a comprehensive update on planned work streams across all projects. I'm a share holder, I want to know exactly what's going on, at the minute I don't. I feel they need to get the market looking forward and energise comms, if not general sector malaise and geopolitics could drag this lower. Having said that I believe we're being valued almost as if we're a pure exploration play, production if not going through the roof is becoming ever more diverse and for me de-risked.
I noticed that Adam Habib 'liked' the last LinkedIn post. Wonder if he's possibly back in the picture, now works for Capstan Capital Partners. Didn't achieve anything last time around but he represents an investment bank now so one to watch perhaps?
Just my thoughts but it feels like momentum has needlessly faltered because there is no specific information on next op's. If they are preparing an update to show that a full program is unfolding on multiple fronts I'll be forgiving but for now I'm guessing new investors want more detail on the strategy on the ground. We know that production should grow in Q2 (almost a certainty with the $1m in storage) but who knows what impact maintenance could have again. Just as an example take JSR-01 DEEP from PII - this from Dec 22, "The results of the testing programme have demonstrated that there is unswept commercial oil in the Middle Eocene of the Patardzeuli field. The Company is now in a position to advance Project II, from both a subsurface and operational perspective". Anyone know what's happened since?
This is why I'm frustrated bedex, they knew they had a good run of RNS's to put out and I'm sure they must have known for a long time that Q1 results would underwhelm despite the promising prospects for Q2. To press home the advantage of the positive RNS's and to counter the moderate negative of Q1 production we need to know how they're going to set about exploiting the upside. The successful PII appraisal well JSR-01 DEEP was completed in Nov 22 with low production but the data to theoretically launch a series of producing wells yet we've heard nothing since. WR-B01Za was only handed over to the production team early this month but the fund raise to accelerate that project was completed early Feb and yet they apparently have nothing specific to say about next steps there. P IV is down to GOGC so I guess we're in their hands and we await news of how the gas plays bundled into PIII are going to be tackled. Unless there's a big announcement on PIII coming I just find it baffling why they are holding back on simply explaining a strategy to build on the recent milestones.
Seems to be coming back a bit now which is encouraging. As I said earlier, for me the results were a little disappointing with production being 20% down on 12 months earlier, I'd hoped we wouldn't be so impacted by shut-ins again but this is a complex business and I guess ongoing maintenance is inevitable, it's just the extent of it that is hurting us. What I'm more dismayed about is the poor comms on next steps - we've had a good run of RNS's but have lost momentum when the company should be creating anticipation of the next targets. PH mentioned work on "Many fronts" today, perhaps they're preparing a comprehensive update on all future workflows and wanted to keep it separate from the production and sales results.
I agree that we're not valued fairly and should be higher but it's difficult not to be a little disappointed that we produced 112 boepd average less than for the same period 2022. Revenue is less than half Q1 2022 though of course we had the crazy oil prices last year. Still a strong footing particularly with the reserves and the market should become more forward looking if the strategy is better communicated, just my thoughts not wanting to vex anyone.