Member Info for Soundingoff

As confirmed previously, OGIF could not sell without informing the market.

It was myself Longwait. Of course it was a little bit silly as it ignores the time value of money. And of course there is risk inherent in the NPV10 calculation. But it does provide some perspective.

Table- Usually the premium on the sale of a company is anything between nil and north of 50%. But the vast majority of businesses can be valued fairly easily. Where there is a disconnect is when this valuation is not so easy to calculate and is far more prevalent with new technologies and O&G. The market cannot value Sound at the moment, and together with that, the short term realisation of the Horst is down to the sale rather than development of the asset.

Logically the asset (ignoring selling Sound as a company) will be sold based on the value of the Horst and a risked value of the appraisal and exploration assets. It's fairly easy to get to 50p from a percentage perspective, you just have to allow shareholders to receive a small portion of reward from the assets noted. Obviously no one knows what the real value held vs transferred to the new owner will be.

Alternatively, if the new owner paid us the full net present value of the Horst (not NPV10) as we know it and we threw in all the appraisal and exploration for free, that would equate to around 50p per share.

Have you never renegotiated a loan Jones? Incredibly simple stuff and a multitude of options open to Sound if it went into production. Which is very unlikely IMO.

Like I say, if you're not interested in engaging and really using your brain, what's the point.

So you're not interested in actually discussing the point you made then wh0s? Another postage stamp opinion, backed up by nothing. Why are you here? On second thoughts, there really is no need to answer this one.

You're missing the driver in the value increase. Why did the example increase? Be specific otherwise your argument isn't valid.

'What would be interesting is if anyone can find an O&G company that sold an asset at a 500% premium to their share price at the time.... Good luck finding that :)'

That's because they all increase by 'magic' before the sale is announced. A pointless argument.

Cove was in discussion with various parties before they announced. Given the timescales and the announcement of the first offer, the numbers being discussed were around 500% of the SP (cash ignored) at the time.

Hang on, an hour ago you were telling us this is the right time to buy. I think you used the wrong ID.

No problem wh0s, we must be looking in a different place for our facts ;)

I'd like to think Rothschild & Co (the M&A specialists) will have some input too.

'Waiting upon the result of the exploration of the marketing of the Eastern Morocco portfolio is going to be the same as waiting for the result of the Te10 drill result. If there is an acceptable offer, an offer that is recommended by the company, then that is success. All else is failure.'

We have a few options open to us. Suggesting that anything other than the immediate sale of Eastern Tendrara is failure, is frankly misleading. Admittedly those options won't be the quickest route to monetising the assets, but they are options nonetheless.

That's your explanation wh0s, and isn't what is seen time and again on the stock market. You keep cracking on with the same agenda though.

'I have put the cash into something that worst case will make sure that cash is doubled in short order'

mrcautious- Loving the irony!

Thanks for clarifying. I see zero chance of further drilling beyond another drill, but we'll see what happens. Marketing first.

Jones- Can you let me know your calculations on how you got to the opinion that we need to raise for TE11? This would of course also qualify your statement that any dilution would be harsh.

And it's now been filled.

The 350K can put a floor on the price stopping it dropping any further as there is no requirement for the order to be filled, it's just a request. Someone will need to sell 350k at that price via the order book to clear it, otherwise the bid price often builds from this and rises.

Though at the moment there are all sorts of games with ALGO trading, so who knows.

Swindon's post suggest Marco may have sold again since the redistribution. As Jobbs states, this is not possible.

Trellis- Your assertion regarding declaration thresholds does not apply to directors and PDMR transactions. Therefore it is wrong.

Are you planning to be here long Foxy? You might still be undesirable, but at least some of your jokes raise a chuckle. Unlike our resident jokers who are about as funny as a dose of syphilis.