Member Info for Soundingoff

mk- when JP mentioned 4 digits he was talking in pence, so 4 digits is 1000p or £10.

Evidence would suggest companies manage big deals (without leaks) on a daily basis, so I'd have to disagree with your suggestion. One we always compare to is Cove. Have a look at the SP action there despite deals going on behind the scenes.

PW has done very well, but unfortunately the reaction of the SP to the development of the company is abysmal. It was my second largest holding until recently.

There will certainly be new structures to consider, but here's an old one for starters:

'The Company is also considering a re-drill of the TE-2 well (40km north east of the TE-5 Horst), also targeting a TAGI stratigraphic pinch-out play. Â This option is under evaluation as an additional exploration well (with estimated mid case estimated volumes of 1.4 Tcf GOIP (2.7 Tcf GOIP upside case and a 0.7 Tcf GOIP low case).'

Taken from an earlier RNS re our drill options.

A drill already undertaken and new seismic to interpret. What's that worth?

Interesting to see how this pans out...

It's fairly clear they have been stalling for time since the back end of Summer '17. Clearly we want the seismic done before drilling or we just want the seismic done. One or the other IMO.

We have 10 drills on the license and 8 found gas. How much do those drills validate the model so far? And how much further does just one more drill validate the model? The more I think about it, the less it makes sense...

It's called an agreement for a reason. Once signed, Sound is committed to supply the gas to whoever has agreed to buy. If Sound is sold, the new owner is committed to supply that gas per the terms of the agreement. They can't just rip up the agreement and start again.

Correct k3vster. Only what you have in there in cash plus profits less losses.

If you search for a share it gives you a dashboard:

https://www.ig.com/uk/shares/markets-shares/sound-oil-plc-SOU-UK

Yes it's all rather easy to state you meet the professional requirements even if you don't. I can see the spreadbet companies ending up losing out every so often given they won't be able to collect on negative accounts any more...

On IG, between 50 and 250 people have open spreadbet positions on Sound. 93% are long and 7% short.

We'll see PNE. As each day goes by, the chances of a deal grow more likely for me. Either that or we are stalling to complete the seismic before drilling. What is going on simply does not add up. I don't use this an an excuse to validate the 'delays', it simply doesn't feel like the BOD have free rein at the moment. In terms of JP's trading, one the key requirements of getting a good deal is to carry on regardless of what may be in the background. I'm certain something sizable is going on, but whether it directly relates to pounds in our pockets is another matter. Either way, we sit and wait. Or not.

As Mike has said, we learnt relatively recently that the £1.50 per recoverable TCF metric is based on $8 per scuff. So one would hope we're relatively confident of achieving that. That is on an NPV10 (net present value at 10% discount) basis which is the standard O&G metric. Calculating at NPV8 (8%) would increase the metric to £1.80 per recoverable TCF.

The amount of shares I want to hold at the LE. I used the phrase levels as I hold them across ISAs, trading accounts, SIPPs and spread bets. Bit of a strange way of explaining it I'll admit :)

Everyone will have their own decisions to make leading up to the drills. I'd rather make some money leading up to the drills and hold my LE share levels through the drilling. There are a few reasons for that. We may receive an offer (lowball or otherwise) just before drilling starts or during drilling, just when our majority PI base is at its most nervous. Anyone who has derisked will be locked out. We may also have an agreement by then that on a unsuccessful/successful drill an offer will activated. A dual RNS with the drill news and an offer would again lock out those not holding.We simply do not know, but it's very clear to me that there is a lot going on behind the scenes and our news may not be as binary as we may imagine. You make your decisions based on how likely you think those scenarios and of course your view on the drill itself.

https://www.soundenergyplc.com/media/1543/se-unlockbasin-egm.pdf Seismic map is on page 2.

Sound advised that they were looking at providing NPV figures for the TE5 concession. Hopefully they will release these once the GSA is signed off. That will give genuine investors clarity and give the traders/negative posters less ammunition.

I'm struggling to see what the problem is Phoebus? The RNS references to the CPR which has the unrisked $70m NPV noted. This has also been clearly communicated in the Feb 2018 work programme.

Thanks for that.

So we should expect an RNS on Monday morning to allow them to expand on the details within.

I agree there's a lot going on, but given our current Moroccan assets are relatively small and the Egyptian assets have a low value per TCF compared to Morocco, the potential for SDX is considerable in relation to MCap. They may not drill until next year anyway, so outlay/bandwidth may be low for some time yet. Either way, if you don't trust JP, the value proposition is fairly irrelevant...