Member Info for StoneFold

cperkin,
Revenue to SOLO of euro 20.0 m in 2020 is possible.

Using a production rise from now 1,750 to 2,100 boepd.
And a gas price rise from now 10.5 to 14.97 euro per MWh.

The extra cash knocking about for a while would also give a bit of extra flexibility regarding possible cash calls from Tanz projects.

* Useless lse message board software, states that there are 40 characters left, but still crops 4 off the end of my post.

The link is up for the proposed RTO presentation.
http://www.solooil.co.uk/investors/presentations/2019.aspx
---

Net average production in H1 2019 from the ONE-Dyas Assets was approximately 1,750boepd
Would 100% of that go to SOLO or only part, as ONE-Dyas are retaining some part of their assets?

If all of it would belong to SOLO then.
Ignoring the condensate, 1,750boepd is about 10,151,121 cu ft d of gas

Taking the average gas price for H1 2019 as 17 euro per MWh then that gives gross revenue to SOLO of approx. £8.489 m

Assuming production remains the same at 1,750boepd for the rest of this year.
Taking the average gas price for H2 2019 as 10.5 euro per MWh then that gives gross revenue to SOLO of approx. £5.243 m

Or a total gross revenue for the year 2019 for SOLO of £13.732 m

The gas price could be different, but there has been a down trend for a while.

https://www.cegh.at/en/exchange-market/market-data/
I have used prices from the Central European Gas Hub as I don't know what the Netherland's TTF prices were.

From the gross revenue of £13.732 m they would have subtracted the operation costs, royalties, taxes etc.

After they cover the cost of servicing the loan and advisors fees there is not going to be much free cash flow, at least for the first three years.

Libor is currently about 2%
So the first loan euro 14m is 7% + 2% = 9%
Needs yearly interest repayment of £1.1m + loan repayment £3.14 = £4.24 total in the first year

So the second loan euro 4m is 12% + 2% = 14%
Needs yearly interest repayment of £0.5m + loan repayment £0.71 = £1.22 total in the first year

Total of £5.46 m in interest and loan repayments in the first year.

Paying euro 30.1 m, (plus euro 2 m), plus decommissioning cost, plus drilling costs, to acquire assets with NPV10 of euro 40 m for the net 2P reserves is a bit pricey.
If production remained at 1,750 boed, then the 2P reserves would run out in 5.6 years. Just enough time to repay the loans.

Any spare cash from the loan and production cash flow would be spent on new drilling to attempt to convert the 2c resources into reserves.

If the drilling is successful then the NPV10 gains an extra euro 60 m and the project would be worth euro 100 m
Total purchase + decommissioning + loan interest + drilling cost could come to euro 50 m
This leaves a profit for the project of euro 50 m.

It would take about 10 years of (gas production at 1,750boepd) cash flow to realise that euro 50 m.

To compare the company to how it is now they would need to use some of that money to buy back the £20 m placing and open offer shares.
And reverse the consolidation.
That would result in the company having the same number of shares in issue as today, but with an extra £24.87 m
That would cause the share price to rise from 2.42p up to 6.34p.

The extra cash knocking about for a while would also give a bit of extra flexibility regarding possible cash calls from Tanz proje

The signposts are there, if the path is followed then there will be reward.

The company will borrow money.
Will buy equipment. Better drills and cutting tools to allow finer targeting of ore bodies to increase the average grade of material mined. More loaders and trucks to increase the volume moved from the mine to the processing plant.
Will expand production.
Will increase operating profit, from ticking over to worthwhile.
Will pay back loans.
Will be seen to be meeting production targets and progressing to implement the development model for the mine.
And if all goes to plan the value of the company will increase from:
Now with a share-price of 0.65p, mcap £16.8m or $20.5m
In theory up to somewhere nearer to the NPV of $415.4m, which gives a Mcap of £340m and a share-price of 13.17p

Then on top of that there is Teren-Sai. If the pending CPR indicates a commercial value, could soon provide a low cost to access, open pit containing a high volume of ore only 2.7 Km from the existing processing plant.

Nickel_investor,
You stated exactly the same de-ramp on 09-09-2019 so I have copied my previous reply to you.

ALTN produce gold and silver doré , for which there is a strong market demand.

The product accumulates each production day and is accounted for as a part of "Inventories".

It is periodically sold to the National Bank/refinery where it is accounted for as part of "Trade and other receivables".

When payment is received into the bank it is accounted for as part of "Cash and cash equivalents".

These figures vary from day to day. On the record date for the interim accounts 30-06-2019 the figures were:

Current assets Inventories $2,017,000
Trade and other receivables $3,829,000
Cash and cash equivalents $50,000

Possibly a week later it might have been:
Inventories $2,270,000
Trade and other receivables $1,829,000
Cash and cash equivalents $2,050,000

If you are nervously focused on only part of the picture and are not comfortable in considering the value of its other parts, then you should look elsewhere for something that better suits you.

If in a months time you post the same statement then its into the Filter box.

By my calculations they drilled the first 2,019 ft at 17ft per hour.

If the activity today included 0.5 hours of drilling then they are down to about 2,030 ft.

I assume that they will start the coring tomorrow, and plucking a figure out of the air it will take twice as long per ft as the previous rate of drilling. So each 60ft section would take approx. 7 hours (there are three sections to be cored).

So they might finish coring by mid-day 10-10-2019, that would take them to approx. 2,210ft.

I assume that they will start the final vertical drilling stage at mid-day on 11-10-2019. Although it is a narrower diameter then the first stage and so should proceed at a faster rate, for simplicity I'll stick to 17ft per hour.
Therefore the remaining 790ft to TD (which is just below the top three Kim layers) would take approx. 46.6 hours to drill, round that up for tidiness to 48 hours.

So vertical drilling would stop about mid-day on 13-10-2019.

There is electric logging - of the Kim and maybe also the Portland.
And then plugging the bottom approx. 790ft
And analysing the core and logging data to update the model for where best to drill the horizontal section.

I would guess that drilling of the horizontal section would start at mid-day on 23-10-2019. Again sticking with the rate of 17ft per hour, that would mean that to drill 1,000m (3,333ft) would take 196 hours. So the drilling of the horizontal would finish at approx. 16:00 hours on 31-10-2019. (Just before Brexit).

So between 22nd and 31st an RNS confirming hydrocarbons found, (and no pocket of water met).

Then clean up, running in the pre-slotted liner, other completion stuff and isolating section(s) to test or exclude.

That gives a start date for the beginning of the EWT (and a little bit of extra gas to warm the flare-stack) of about 12-11-2019.

I suspect that Ibug's "Contacts" are like Gary Numan's "Friends"

https://www.youtube.com/watch?v=ZF4Z6smOrZw

Non-Human.

This was mentioned on ADVFN on 03-10-2019. But for those that like a puzzle that possibly defines the "ears" or "local contacts" try:

"They are buried in shallow holes and by day are trickle charged by solar cells so that they might always find strength to sing out through the air at the speed of light, borne upon radio waves to a distant destination, thence those that chose to glance might glean, from the black, the red, the blue, the green, gossamer traces on charts, some short period parts of the surface sighs and far deeper Earthly whisperings."

https://www.dailynews.co.tz/news/2019-10-035d962d0e0f064.aspx
04-10-2019

Tanzania temporarily suspends HGA negotiations with companies regarding development of the proposed Lindi LNG project.
In order to harmonise the Host Government Agreements HGA with existing Product Sharing Agreements PSA.
They wish to finish the current on-going PSA reviews before continuing with the HGA talks.

The TPDC Managing Director said.
"... It won't take long because for the time being they are wrapping up the (PSA) review.."
"... There are some issues which need to be resolved but without going into details, we hope to wrap up the review any time from now. ..."

I noticed in ANGS's RNS today:

".....Investors also asked what the Company's intentions were as to the Brockham Licence. The Company has applied to the OGA for an extension to the Licence at Brockham with a view to developing the Portland Reservoir - an option explicitly contemplated by RNS release of 28 June 2019. Additionally the Company clarified that although interest has been expressed by a third party in purchasing the Company's share in this Licence, these discussions have not as yet progressed any further....."

Any "third party" would have to find a solution to the water issue.

Answer to the question on how many news announcements this year.

https://www.investegate.co.uk/Index.aspx?searchtype=3&words=alba

Well most people including me didn't know either, the price list is not openly displayed on their website..
This will be my last RNS pricing post on this board ;-)

The minimum cost for a company per year might be £1,000:
2 x £360
4 x £70

If in addition they had 33 x £205 news announcements , that would add £6,765 taking it up to £7,765 p.a.

There is a maximum annual charge for electronically uploaded UK regulatory disclosures of £7,800 for companies per year.

So their 34th news announcement onward would be free.

What are the chances of ALBA publishing 34 news announcements this year?

RNS pricing.

Questions about the London Stock Exchange's RNS service (including price list) can be obtained via their contact page.

https://www.lseg.com/markets-products-and-services/market-information/regulatory-news-service/contact-rns-team

"RNS Submit" is the name of the web-based client interface used by Private Investors, Companies or Advisers to upload announcements that will be published as RNSs.

Currently there is no charge for registering with "RNS Submit" and no annual fee.

There is a pay as you go charge for each document uploaded, for UK listed shares the pricing of documents is split into three categories.

1) Standard Forms £70 each :

Once registered you can download template documents formatted for the frequently used announcement categories including:
Annual Report& Accounts, Blocklisting Interim Review, Director/PDMR Shareholding,
Form 8s, Circ/Doc re, TR-1 Shareholding(s), Net Asset Value(s), Notice of Results,
Stabilisation Notice, Total Voting Rights and Transaction in Own Shares...

However it is free for private investors to upload a holdings disclosure form to comply with Takeover Panel rules.

2) News £205 each:

Other announcements that are more variable in size and layout, (e.g. M&A news, Joint Ventures, Contracts, Trading Statements)
Excluding Forms and Results.

3) Results £360 each:

Quarterly, Half-Year and Preliminary/Final-Results.

There are additional charges for optional services such as:

£100 per PDF document hosted on RNS servers for PDF's linked from within an RNS document. (No charge if you link to PDFs that you host elsewhere i.e. on your own website).

£50 per document if Saved in the National Storage Mechanism.

£235 UK Financial Media (£335 outside office hours)
For use by listed/unlisted companies to deliver news to UK’s national and regional print and broadcast media.

Varying cost from £50 to £500 to publish announcements for shares listed on other Stock Exchanges, may also include media distribution. I.e. NEX £120, Irish SE £120, TSX £350. France Euronext £500 ...

Price list subject to revision usually in January each year.

KuroMaou,
I think that pricing document is for people receiving/downloading/reading/using/redistributing information from/by the RNS service.

"... 4.3 Supply of information by the Exchange.
via XML feed £5,000 per annum ..."

I can't see the fees for sending/uploading/submitting documents to be published on the RNS service.

poortrader,
"as each RNS costs about 5k to send "

Please provide a link to verify that costing.
Thanks

"...The Loan also includes a provision which prevents the Investors, or any of their affiliates, from holding any net short position with respect to UKOG's equity and, with full disclosure to UKOG, restricts the Investors' trades, on any given day, to no more than 15% of the number of UKOG shares traded that day. ..."

"...The Loan has 0% interest and is payable at the term end of 16 August 2021. ..."

If all investors stop buying or selling any shares in UKOG until 17 August 2021, then until then the number of shares traded daily will be zero.
15% of zero is zero.
So Riverfort/YA will not be able to sell any shares. That will take away the incentive to convert any more debt into shares.
No further dilution and UKOG will get a 0% interest loan, to be repaid on 16 August 2021 or earlier with cash from oil sales.

alph,

https://www.londonstockexchange.com/exchange/news/market-news/market-news-home.html

There is looping banner towards the top of the page called

scroll back arrow: pause/play: scroll forward arrow: "Most read news"

When you load or refresh the page it shows a link to the 1st most read RNS then the 2nd, 3rd .... 10th and starts again with the 1st
The pause/play button toggles the automatic scrolling on/off.

---------

The ? for UKOG's planning meeting is upgraded to a +ve as they have released a second RNS

https://www.londonstockexchange.com/exchange/news/market-news/market-news-detail/UKOG/14222753.html

"Horse Hill Oil Field Granted Long-term Production Consent by Surrey County Council"

This second UKOG RNS may nudge its way onto the top list if enough people check for it during their lunch break.

UKOG has now been knocked off top spot by - Hong Kong's bid to merge with London Stock Exchange.

1st place) UKOG
-ve Tellurian sale concluded meaning 275,988,960 new shares at 1.09p each may start to hit the market tomorrow depressing the share-price.
? Planning meeting should approve four proposed production wells this morning.
+ve Rig due to start drilling before end of month.

4th place) SOLO
+ve Bolted on low cost service and advisory companies in advance of new investment in producing licences.
They have already been looking at a few swimming pools and now they have the flippers and snorkel. Splash pending.

Lesser read RNSs

WEN
+ve Wentworth are still waiting for the PSA review to finish but have made progress on their sales agreement- volumes, prices and payments.

https://www.londonstockexchange.com/exchange/news/market-news/market-news-detail/WEN/14221575.html

"..The agreement on declaration of COD also includes treatment of the outstanding invoices in accordance with GSA payment arrangements, such that any outstanding arrears are cleared by 30 June 2020..."

".Following the ongoing Production Sharing Agreement ("PSA") reviews, the Partners will look to secure a licence extension beyond 2031 to allow the joint venture to unlock the material prospective resources remaining in the concession......"

ALTN
+ve Got a project development loan of $17 million, to be repaid over 7 years at an interest rate of 6%.

6% !
Well done to Altyn’s board of directors. That is a keenly competitive interest rate, the sort of rate that is issued to solid, low risk businesses with a credible development plan.

The ALTN vehicle has just officially flicked on the indicator which means it is moving into a faster lane.

That Google maps link requires all three lines to be copy and pasted into a browser.
The satellite view shows the existing mine and processing plant. Whether the topsoil marks in fields to the west or shallow pits to the north-west are exploration surveying I don't know.

"There’s too much shares in issue here"

The correct grammar would be:

"There are too many shares in issue here".

"There Are" rather than "There Is" because you are referring to the word "Shares" which is plural.

"Many" rather than "Much" because the noun "Shares" is countable.

The number of shares in issue did not stop the share price doubling since you previously tried to de-ramp in May, so perhaps there are just the right quantity of shares available.

Most of the shares in issue are tightly held by a small number of large shareholders, who will not sell below 3p per share. This may result in swift share price movements if trading volumes rise.

If you choose not to look for yourself for the potential investment case at ALTN, like you did in May, then you will continue to be un-troubled by any changes in perceived value and share-prices.