Rainbow Rare Earths Phalaborwa project shaping up to be one of the lowest cost producers globally. Watch the video here.
Well tomorrow could define the perception of the new CEO.
You got to deliver what you say to be taken seriously.
"...The Company is on track to close the financing prior to 6th October 2023.."
RNS in the morning or he has got off to an uninspiring start.
Like most explorer/ early production oilers COPL is highly risky.
It will either crash and burn, OR, do VERY well.
Early investors are sometimes lucky and get in cheap, but other times suffer huge dilution in the pursuit of profitability.
But, we are clearly on the cusp of something, 2p does seem basement level SP to me.
Shaa, I don't think the JV will fall through, BUT, it is a possibility.
They are clearly arguing about the price now.
From the mouth of our new CEO
" if the interest being shown by certain third parties in joint venturing with us matches our own views on value, we will seek to further scale through partnership."
Yes, I think the scope of the proposed JV project has increased as the understanding of the nature of the prospect has evolved.
I think it with either fall through because terms/price can't be agreed, OR, it will be a MEGA deal !
Hey Pilot, lol, yes that is probably the way it will be....... Death or Glory!!
BUT, I actually feel quite confident the JV WILL happen.
AND, even if the current negotiations fall through, there is so much happening in Wyoming and the PBR that someone else will come along. Lets face it the current market cap does NOT reflect the untapped value.
I am hoping for 1500bopd in August just because all the GGS upgrade disruption has stopped.
The re pressurising of the field takes time. I am hoping for:
Sept 1800 bopd
Oct 2000 bopd
Nov 2200 bopd
Dec 2500 bopd
JV announced late in the year. Bonds paid off shortly after. Oil price buoyant, no hedge.
This time next year Rodney.....!!
I don't think ANY warrants have been exercised or sold.
I do think some bondholders have been selling down from 4p. Remember they were getting a discount price to that so making money down to 3.2p, but even easier money to then short from 4p. Then flood the market by selling all their shares down to their shorting price. Self fulfilling trade. Can't lose.
I do think Arthur and Ryan were totally financially naive thinking the bonds were a great deal. Destroyed shareholder value and cause gigantic dilution more like.
No wonder he is no longer in charge.
Yes , exactly Shouston.
The timing is starting to work in our favour. Production up, oil price buoyant, unhedged...
AND, that creates a MUCH stronger negotiating position to get a good deal from the JV.
Remember Denbury rejected several offers from Exxon before that deal finally went through.
Actually I meant Aug 2021
http://pipeline.wyo.gov/AllOpcoProd.cfm?oops=ID48157&RequestTimeOut=65000&nOpco=1769
For those that don't know Denbury are market leaders in Enhanced oil recovery(EOR), Carbon capture(CC), and CO2 pipeline distribution across the USA.
Exxon are pursuing this bigtime. This is the playing field we are playing on........Bit more patience it will all come good!
Hey tsbs1, unfortunately secrecy seems to be how big companies work.
I repeat my post from the weekend for anyone who missed it:
Some are bemoaning the fact that it is a year since the JV approached COPL.
Things take a while. Big players play hard ball, but eventually get what they want.
"....Denbury Inc. held talks with more than two dozen potential buyers and rejected two offers from Exxon Mobil Corp. before finally agreeing to sell itself to the Texas oil giant for $4.9 billion in stock last month.
Executives and their advisers spoke with more than 28 parties, from international oil majors to pipeline operators, signing confidentiality agreements with 17 of them over a two-and-a-half year period..."
https://www.bloomberg.com/news/articles/2023-08-29/denbury-held-talks-with-28-potential-buyers-prior-to-exxon-deal?leadSource=uverify%20wall#xj4y7vzkg
Hey zeros, even better then, no tax to pay for a while !
BUT just to get the ball rolling, lets say at 3000bopd and oil at $80 revenue of $87m.....We make $43m(ish) Pre tax (I am guessing here and am happy to be corrected)
So that is ..very roughly $43 Pretax profit. x 10 (as per Exxon ) =$430m
Possibly 800m share in issue by then gives an SP of 53.75p
Yes terrible board this afternoon. Can we stick to COPL?
Here is a hypothetical question. We know oil price will be buoyant for the foreseeable.....Great.
Let's suppose COPL with the upgrades can get to 3000 bopd next year.
With WTI at $80 that would be revenue of of $87m per year.
And it seems most if not all will be unhedged
Anyone have an idea what our Pre-tax profit would be on that revenue?
I notice that someone like Exxon are currently trading at 10 x Pre-tax profits.
Yes, WTI trading at $89.39
But what is even better Oil futures are all well over $80 for at least another year !!
https://www.cmegroup.com/markets/energy/crude-oil/light-sweet-crude.quotes.html#venue=globex
COPL's Increased production, unhedged, ALL well over $80 for next year will be transformational.