Member Info for Surfit

CNOOC brings online its third oilfield this month
https://www.offshore-energy.biz/cnooc-brings-online-its-third-oilfield-this-month/?utm_source=offshoreenergytoday&utm_medium=email&utm_campaign=newsletter_2021-08-27

As before; if you have the money there are fields to be developed.
Have HBR got the skills set, cash or will to develop a new field or even a new asset.
Their history would not indicate such: left Solan (which was a very good call on their part), buy existing assets and extend / rejuvenate by further drilling.
In their April update on 21 prioritys
" Deliver and progress value accretive projects:
# Execute high return infrastructure-led investments across the portfolio
# Achieve key milestones on growth projects
– Tolmount First Gas, advance Zama towards FID
# Maintain strong balance sheet and liquidity
# Flexibility to take advantage of attractive Merger & acquisitions opportunities"

In HBR June trading update:
"...........As at the end of May, Harbour’s net debt was $2.7bn, reduced from $2.9bn at the end of March, reflecting cash from operations and post-closing adjustments. Available liquidity was around $1bn at the end of May.

In June, Harbour completed the annual redetermination process with its bank syndicate under the Group’s $4.5bn Reserve Based Lending (RBL) facility, incorporating a $1.25bn letter of credit sub-limit. The new borrowing base availability under the facility has been set at $3.3bn, supported by hedging of future volumes at commodity prices above the banks’ commodity price assumptions......."

So in theory they do have the capital...Will it be Zama or Sea Lion.
Zama is at FID according to their own statement, seems they did not have to review PMO FEED analysis for Zama but must for SL
Will Zama apart from Pemex "cartel" asset grab also be a weakness if the Argentinian "cartel" lobby their Mexican cousins.
It's all got to come to a head some time (honest).
Still hope the September Navitas deadline reveals something.
GLA
Rgds Sft

Just a bit of interesting news update for those interested in FPSO development and placement:

https://www.offshore-energy.biz/abs-to-class-buzios-bound-fpso-duo-being-built-for-petrobras/?utm_source=offshoreenergytoday&utm_medium=email&utm_campaign=newsletter_2021-08-23

Big oil is still building and expanding down in the region, so it's all about having the cash, or partners or debt management. Petrobras obviously have the cash, the will and in significantly deepwater too.
GLA
Rgds Sft

What we have to remember is the BoD are making a lot of money, salaries, throughout the years.
Sam's share ownership is predominantly what he has allocated himself, nor has he invested any from his significant of his income. That tells all investor's all they need to know.
If he was to sell out, you can be sure he and the BoD would try and allocate themselves further shares by way of bonuses before doing so, as they would not be employed thereafter. So that's another signal.
They KNOW they have FULL control of the business, wages and bonuses as has been demonstrated at the last AGM voting.
If Glen's proposals could have been included we would have had SOME opportunity or chance at fiscal protection. It was not fully supported, so when / If there is any cash from OM allocated it will be used to continue support the BoD's salaries, governance style and skills. They have handed control of the project to another. They will not relinquish that only when forced too. RKH is a cash cow for them. If anything looks close to being sanctioned ONLY then will we see they start to grab shares again.
All IMO.
In HBR we must hope.
GLA
Rgds Sft
GLA

"UK-based oil and gas company Harbour Energy has hired Maersk Drilling’s jack-up rig Maersk Innovator to drill three subsea development wells in the North Sea.

The development wells are located in Block 28/9 near the Harbour Energy-operated Catcher field, on the UK Continental Shelf................."

Hey Harry, me too. Bit shocked at the current sp status. Took some profit and then reinvested back at 18p and thought that was about right.
Was really surprised when they pulled the share relocation out from nowhere, they talked about dividend potential but not that at all. Which I think very out of order and has undermined trust, especially as dividends are out.
The 20:1 put us too high and allowed this type of creep down.
PoO confidences has been eroded due the evolving variants, and possibley the lack of success with chinese jabs (that have knock on effects world wide).
As said on other posts, securing $58 for 21 (is it 60 for 22??.
But they do not make easy when they write up (oil) hedging in mmboe
Production in kboepd
Operating costs and free cash flow breakeven in boe ...so I get a bit lost?
Still we are the minor party in the whole pie at 5% and PMO and TD took us there.
I do find their comments:
1. Balance sheet strength
Targeting conservative leverage profile
through the cycle
Potential for an investment grade credit
rating.
2. Ensuring a robust and diverse
portfolio of production, reserves
and resources
Invest in the UK to maintain production
and cash flow
*Leverage global footprint and track record
to achieve scale in another region
3. Shareholder returns
Expectation to deliver a sustainable
dividend in the near term
* Big question will that be sealion?????. IMO that comment is most likely Sea Lion, due to the status of FEED I.e. Zama FEED has not even started yet, correct???? and they (for SL) will be the operator, field and region very scaleable.
Rgds Sft

More than Moody apparently. Still could not manage to add his share "weight" to get us across the line. No time for the man or his comments.
Rgds Sft

If you look at trades it has 2x approx +19k down as sells but the price graph, blips up at the same time (only briefly).
Just can't see anyone sell such at this point.
Rgds Sft

I can't remember how much HBR's required contribution to Zama was meant to be but with the Mexicans demanding to be the operator, and % demands without drilling, it may be the best thing to happen they have a clear understand on what they will be getting into if they move forward with that.
Bit difficult to sell though .
BTW thanks to Overts and Much on the FI governor's speech. Some very welcome and reassuring rhetoric.
Rgds Sft

I think though they also have debt reduction /repayment commitments that figure high in their assessments.

They need another investor or/and one that can take over RKH and ALSO financially contribute.

Is Navitas's potential contributing investment enough?

I think they (HBR) still need something/someone else, the UK funding would have been ideal, but Boris and the Torys agreeing to that is obviously "a bridge too far"
They will get a significant amount of flack just for supporting the project (diplomatic, climate and environmentalists which is would play into the London champagne socialist /London vote)

But HBR need SL to happen, Zama is a real but probably anticipated disappointment, what do they have left buy more old oil or gas assets in the North Sea again? Or increase their play in Asia.
All very interesting.
Rgds Sft

Thank you
Rgds Sft

Very informative post. Thank you for posting Malvolio
Do you have a link for the info?
Rgds Sft

Now that would be a dream come true.
Rgds Sft

Older info from HBR April, still worth a read: if you look at the pie chart produced for "a platform for future growth" you can see how large the Falklands could be to HBR, if they pull the trigger, compared to their existing North Sea and Norway assets.BUT I am still struggling to see where HBR are going to get the cash to pay for their and RKH part of the project.Is taking on more debt, what they are going to do. I do not think so, not for a while.Our next big milestone, SL project wise, will be what HBR do with Navitas.When is that decision, September?Link below courtesy of shal1000 post HBR LSEhxxps://www.harbourenergy.com/media/qqcfslt1/210401-a-new-global-independent-oil-and-gas-company-april-2021-final1.pdfRgds Sft

Hey Shal, good news on getting ommited into the 250.
That should help.
Rgds Sft

Hey Shal, good point. I have seen this clarification RNS before. In the last case it was a before a company was bought. Obviously NOT saying that is the case this time..but it "could" mean something is a foot. Although they did not produce such an RNS when HBR done the recent share consolidation so it maybe nothing.
Just trying to understand why do this RNS.
Time will tell of course.
Rgds sft

Clarification to the market. Not sure but why post this RNS, but is this a prelude to some bigger / more meaningful announcement?
Maybe reading tea leaves that are not there. But this RNS interests me.
Rgds Sft

Hi Mogger, I take it you disagree with the attempts to reduce salaries then?
Which of course is fair enough.
I see this as a better option than removing BoD members, that is a bit more difficult.
Maybe Sam would not want to work for a 100k and then resign, hopefully he would have saved a bit of his salary and his pension will be well topped up.
Then the appointment of a share holder representative to the BoD may be a bit more important and a decent advertisement in the Aberdeen press and journal for a retired Shell or BP CEO that wants a 100k a year should fill that post.

I am not sure most find it difficult to vote on the basic agm, just may not agree with the supplied options.

All the best Sft

Okay twice the size and has large LNG potential but what is Senegal doing to attract investment and multi company involvement on a "frontier" development (s) that the Falklands can not?

Is it really the Argentinian issue that is putting investors of? Or do companies not want invest in crude? LNG get all the big investment.
SL has good grade crude oil and at shallower depths.

After PMO work on Solan, the issues with Zama, the current issues with Tolmount, the 88e fail all PMO, HBR will MUST be wondering how much of PMO's FEED work the can trust.
Can any one remind me the exact spend cost of SL FEED to date?
Rgds Sft

LaticR, they know that and the recent attempt to add resolutions to vote on curbing the directors salarys is obviously an attempt at fiscal prudence.
Why they would object to just the opportunity to vote on the issue tells its own obvious story to who these new "investors" are.
If you consider and belive Nigoils comments that he has 12.5million shares at 8.75 ( I think they were his last figures), that the cash comes from those he has sold the "absolute" certainty of success of their investments (Moody does not even say that when you write to him) to, add this coupled with the style, tone of their messages/ comments itsnot difficult to see where the "pop ups" come from.
I think we definitely need to consider how we can secure more votes to try and restrict the unchecked wages drain that the BoD continue to feel they are entitled to, even more so should we hopefully win any cash from OM.
We must of course be careful not to let this bb decend into one-sided disgruntled long term holder investors, barking at the moon. But as we (lth's) know real, substantiated positive news has yet to be announced.
An OM pay out will keep us afloat longer, but Moody and the BoD has sold us to PMO, failed in any subsequent investments to generate a sustained income for the company.
I continue to post the video clip that details the cash that RKH recieved, its all detailed on it just add it all up then look at the current bank balance.
The video is fact, the current bank balance is fact.
https://youtu.be/J685wm4Ewjc

In Harbour Engery we must hope, because in Moody and the RKH BoD you can not. They are inept.
Rgds Sft

Who would be so foolish? I mean reallllly.
https://www.offshore-energy.biz/greenland-says-no-to-further-oil-exploration-focus-on-renewable-energy/?utm_source=offshoreenergytoday&utm_medium=email&utm_campaign=newsletter_2021-07-19

Rgds Sft