Member Info for stockdale

I am sceptical about any takeover. COP has been down for over a year now. The oil price has halved but COP is less than 20% of it's value in September 2014. It has fallen disproportionally compared to the oil price fall. It has been a bargain for a year already. The latest company strategy was known before the results were published on 1st June but were perfectly clear after that time. Gas production has improved in Morocco and oil production is still reasonable in Egypt. Farm out possibilities are significant in Tunisia. The company is in a much better position and yet the share price has fallen below 5p. Other companies should be interested in Circle. They would be getting a bargain. The price? The share price has been around 13.5p in May, 2015 in the current oil price environment. Circle have gas contracts at around $10 and their oil production costs are onshore and lower than most other producers, especially offshore producers. 15p is not an unreasonable figure considering all of that, especially if the interested company had the ability and financing to ensure Circle's assets are optimized. The share price would then rise from that up to previous figures in the 20's and 30's prevalent between 2005 and 2012. Sceptical I am but it would be a catch for an experienced company with money to invest.

Correct elland (don't you hate autocorrect :-) ). However those in the know with his share know that. The rest of the market can only see the low oil and gas price. Mitch needs to do a lot more educating so the rest of the market knows.

Stockbuyer, you will not get your money back by continually emphasising the problems from the past as Delano47 points out. You are correct in what you say but the current direction of the company is away from that. The current share price reflects the poor management from the past. The current management is putting in place a completely different strategy. Maybe others are like you. Maybe they are also stuck in the past management behaviour. Maybe that is why they are not now investing in COP. Maybe they need to change that view based on current strategy and potential and not be stuck in the past. If you want to see some of your money back you also need to change to what the company is doing now. If everyone did that this share price will at least get back to double figures.

There is this: http://shorttracker.co.uk/ But there is no apparent interest in Circle Oil. Premier Oil, Tullow Oil and Petrofac do show up.

There is good news coming out from Morocco and Mitch Flegg about Circle Oil in general. The share price is not reacting but hopefully confidence will return with the good news. Unfortunately we have had many months of no news or not so good news and that has to be overcome for confidence to return.

No effect on the share price. It's still sitting at just 5p. The oil price should have little effect on Circle Oil as their production costs are low. The gas price should have little effect as well as they are contracted at around $10 regardless of the current market price. Not sure why this share price is remaining stubbornly low. Only 3 trade so far this morning, all showing as sells but we know how inaccurate that is. Only one is of any substantive amount. Market confidence for COP is still very poor.

I can't tell whether it is an acquisition or a disposal. It doesn't say which it is.

However the share price is still stuck at 5p or below.

Not a lot of questions asked as Mitch was very keen to explain in some detail the current thinking of Circle Oil. The important point for me was the assurance that he was dealing with the previous inefficient expenditure with current and future expenditure being tightly controlled from now on. He was careful with the words he used as he didn't want to be rude about the previous management but it was clear he was not impressed with the way things had been done. Stockbuyer definitely has a point about that. And it's good that Mitch felt like that as not to do so would be concerning.

Welcome Robbie. Long term share holder? You poor chap. :-)

Looks like Mitch is upping the company profile. Can only be a good thing. The share price is way down on where it should be.

Indeed it is excellent news. Just nobody knows about it.

Even more reason for Circle Oil to get the message out. And somewhat more than just 'all good'.

I wouldn't be looking for any new report. They need to get hold of a number of business and oil journalists and provide interviews for publication in various journals, magazines and online with information about how well the company is doing and the state of its gas finds in Morocco and other gas and oil locations in Egypt, Tunisia, etc.. They need to get out there to inform the market to get interest restored in this company. Just sitting in their offices is not going to get the profile of this company raised. They need to get new investors to replace the ones that have sold up and maybe even attract the old ones back.

Into another week and still no reaction from COP management. Clearly they are happy with such a low share price.

Unfortunately investors have now lost confidence in this stock. After LAM-1 success the share price popped to 13.5p. Since then we have had two failures in Morocco and a complete lack of public relations from management. When KSR-A success was announced in an RNS the share price had fallen to a third of what it had been after LAM-1 success. The result of KSR-A success was a tiny rise in the share price to 5.45p and, with no further public relations articles from management, the share price sank back down to below 5p. It is now going to take a major attack from management with positive articles in the business news to get confidence back. The key statements you refer to may have little effect on the share price without positive PR from management. KSR-A should have had that effect. It didn't happen.

Thanks for that. A very useful phone call. I appreciate the difficulties with the low oil price and the multiple negotiations required for contract renewals. This is clearly a difficult time for Circle Oil. Out of my two main concerns of the lack of PR and director share buys the greatest one is the lack of PR. Therefore it is good to hear that Circle Oil is going to increase its positive profile in the business press. If that had happened immediately after the KSR-A result the share price may well have popped up to somewhere near where it was after the LAM-1 result in May. Since then the situation has improved rather than got worse and yet the share price has fallen to a third of what is was in May.

By the way I would have thought Mitch Flegg would be reading this forum. My experience is that companies trawl the internet for any reference to their company. This company has little exposure anyway and this forum is one of the few that has any interest in COP. This forum has to be one of the better references for COP investor views. There aren't any others.

Mitch Flegg is good at replying to emails to info@circleoil.net. I am sure we are not the only two he has been replying to. I would prefer he was more proactive at dealing with the situation. He needs to be actively dealing with the business and markets press to get the message out there so that the market can see the potential of this company. I would also like to see confidence placed in this company by the directors by director buying of the shares. If they had confidence in the company then there is surely no better time to buy than at the current price. I commented to him on the lack of director share buying in the last year except for his modest amount of under £10,000 and his reply to that was: "I’m disappointed that you feel that my purchase of shares should be described as modest (it seemed like a lot of money to me) but I understand your frustration". When you see the amount of shares owned by directors of other companies I was a bit surprised to read that. The tone of the reply also shows an apparent lack of confidence in the company. At the current price if the company is viable it is surely not a difficult decision to buy in? He should know.

I would agree with you that director buys and PR only have a limited effect. But they are useful when combined with good results as they show confidence in the company and inform the market. The KSR-A drill was an excellent result which had no backup from the BOD and therefore went largely unnoticed by the market. The share price went to 5.45p, still a very low price for COP, and then slid back to 5p and below on the same day with no PR or director buys to bolster the price.