Scancell founder says the company is ready to commercialise novel medicines to counteract cancer. Watch the video here.
Btw if Buffalo drill is successful you’ve got to think it makes a lot of sense for Jadestone to farm in here and use it’s balance sheet for the development - ADV then have limited exposure to financial risk of the development and would have a less leveraged balance sheet allowing more flexibility for other opportunities.
“ Looks like everything is running ontime for an early November spud so hopefully only 5 weeks away.
Also worth noting JSE has an Mcap of £400m and targeting 20,000bpd for the end of year, with an early production system and another deal before the end of the year ADV will not be far of that Mcap also.”
Jadestone has about £70million in cash and no debt so the enterprise value is nearer £330million, has a 2P reserve base of approx 50million barrels across multiple developments and substantial additional contingent resource.
If Buffalo-10 is successful with net to ADV is 12.5million 2P and there is around £50million debt needed to bring it to production, although hopefully an accelerated cash flow plan can phase that.
This won’t get to a market cap of £400million - which would be an EV of nearer £450million on 12.5 of 2P even if production does hit 20,000bopd - apart from anything else that would drain all reserves in less than 2 years (it wouldn’t as production will decline).
I’d be looking here for $10 per barrel of 2P if this is proven up - always a decent benchmark, which is giving a market cap of just about £90million, although some market exuberance to push it beyond that would be nice.
“its always been about wressle for me.west newton is a bonus and i can wait for the appeal.”
This is nonsense - regardless of initial flow rates there simply isn’t anywhere near enough oil contained at Wressle to support the current SP.
Even the house broker who is paid to ramp only values total Wressle at 11p per share thats before recent dilution.
Thanks Bald_eagle, the current investor presentation was in my view pretty clear that there remain plans for just one new plant and that was now being planned at Teren Sai.
As I say what’s important now though is fully utilizing the one they have.
"And so your point is??"
What you just said
"@spike501 you talking nonsense. I can tell you want a lower entry. Buffalo 10 is gonna be great, even if they need to raise funds, it will be very profitable and mCap could be x5 or x10 in a few years if not earlier...."
What nonsense am I talking - this well does not deliver 20,000bopd, true or false?
To deliver 20,000bopd requires substantial further development investment, true or false?
If either of those statements are false I'll admit i'm talking nonsense.
Actually took a nice position yesterday - I'm in Jadestone, had taken a look at this before, but hadn't realised the rig goes from Skua directly here, kindly highlighted by saint-tropez.
Don't see any reason for this board to tolerate misleading stuff though, positive or negative
"With an 85% redevelopment that will deliver ADV with 20,000bpd only weeks out"
It won't though - this drill is to prove that a 20,000bopd development is viable, but development of that is still going to take many tens of millions of dollars that ADV are responsible for.
Bald_Eagle - the investor presentation released in mid September had a forecast of 30,000oz produced this year - given they produced about 13,000oz in the first half that means 17,000oz second half, so 8500oz per quarter. 2022 and 2023 forcecast is for 38000oz each year which is then stable quarterly production of 9500oz. So I think for Q3 I'm expecting at least 8000oz.
They have mined more than they milled over the last 18months so they must have a stockpile or ore and I wonder now if they start to work through some of that.
This is the money needed to increase the current plant to 1MMTPA and acheive production of 57,000oz per year in 2024. The recent presentation showed they need CAPEX of around $60million next year, so the amount proposed covers the shortfall from cashflow - if this can be raised its another big step and I think the SP will respond strongly.
It says its planned for listing in October, I'd expect strong Q3 production report in mid October.
That would certainly be nice and together with operational cashflow would leave the company fully funded for the next stage of development so there would be no need for any substantial equity raise and 5 year bonds also mean there is no refinancing risk for sometime.
I'm not surprised, at 37,000oz per year as planned for next year that can comfortably support the debt.
As I said before I tend to side with bald_eagle on this one that the company has current defined plans for two plants each of 1MTPA and the location of the second plant has been shifted from Sekisovkoye to Teren-Sai. Which isn’t to say longer term they can’t / won’t increase that to three plants with a second at Sekisovskoye but I don’t yet see that on the current roadmap despite what the previous CPR and previous results say.
It is all a bit academic though - I think we’ll be delighted here when Altyn can fully utilize the existing 850ktpa plant that they have.
“Never in the field of Oil Exploration Ramping has so much been written by one person about one company“
Let’s be fair, this isn’t the Gatwick Gusher.
Wressle is a decent little development, I think from an operational perspective the group have done pretty well.
Unfortunately it’s overall far to small to support the current UJO SP, so West Newton needs to be a success.
I do like all these posters doing PE type calculations. If I had £40 and promised to give someone £10 in the first year then they’d be willing to buy the £40 off me for £100 cos that’s a PE of ten innit
"So how come UKOG, I3e and numerous other shares I follow manage to place without leaks?"
UKOG - are you kidding?
I3E doesn't leak as it doesn't fund by rattling the tin at bucket shops and flippers, it actually targets institutions.
"I tell you something that has really annoyed and saddened me..so much for those that have tweeted in the past 'in David Bramhill we trust '"
How many did that other than Heid? Its a ridiculous statement for a PI to make. Trust has to be earned and trust has to be maintained. Generally I quite like the guy, he's a good stock promoter and decent deal maker which is what you need as a speculative AIM oiler CEO, but there is enough in his history of other AIM stocks such as Nighthawk to show that his interests are only minimally aligned with private investors.
Speculative companies doing placings to provide loans to other speculative companies is really nothing short of ridiculous as is a placing now to finance royalty units which have no possibility of the upside needed to cover the dilution for private investors. Its awful management and use of cash, which should have solely been used to develop the assets out, where if they are as good as the company maintains is where the value is going to be realised.
I tend to side with Bald_Eagle on this - I believe the intention has always been 2MTPA of processing, originally both at Sekisovskoye with material trucked in from Teren-Sai, but I think recently they have decided to switch the location of the second plant over to Teren-Sai, which has caused the confusion.