Member Info for surprised

No problem as far as I see, production expected to increase, all funded, divi all in place and secure and if planned drills go well all figures could increase substantially, as they have learned under promise and over deliver.

'Following very successful initiatives in the first half of the year to increase our balance sheet strength and liquidity, i3 is extremely pleased to announce a substantial USD 51 million capital programme for the remainder of the year, which will drill a diverse group of oil and gas wells across our portfolio in Canada. The majority of wells will be drilled in the second half of the year, with the high-volume Central Alberta gas wells producing into a forecast strong winter pricing environment and pad drilling of our exciting Montney acreage expected to commence early in Q1 2025. The programme is designed to deliver production growth and support our dividend programme, whilst maintaining liquidity and a conservative leverage position to maximise flexibility to deal with volatile market conditions and opportunities as they arise."

From my reading it looks like a number of folk are misjudging the projected (guessed) figures made in 2022/23 with the ACTUAL production results achieved and cash flow, divi etc, markets always throw up the odd moment.

Https://www.investormeetcompany.com/meetings/full-year-results-139

Meeting over .

Mercuria are very supportive and welcome shareholder who operaste globally and can provide help with M&A and provide opportunity if it suits SQZ business model and are in place to help grow SQZ

Question re dividend payment for future ? Bod respond with , clealry depends on cash flow, however, we are far from a oil/gas price that means divi is likley to be impacted.

Mich left as all agreed SQZ is on verge of growing bigger and likely beyond the UK and time to refresh the board ready for the new ventures etc

Meeting notes (wrote as the spoke, so forgive any spell errors)

''Performance so good against backdrop of lower gas prices and high tax, however, we can pay 14p final divi (4% increase) and share buy back, displays confidence in expected cash flow for 2024.

Tailwind brought in oil , essential for keeping cash generation as gas prices plumetted, Oil a great addition

Reserves grown

Production ytd 45000 - guidance 41000 -46000

Well drill programme 2024 expected to be short pay back times

Tax will be less as investment programme covered by offsets.

lower gas and oil prices for 2023

$19 dollar a barrell average cost and under the target of $20 achieved

Tax rate effective of 48% for year (afdter off sets etc)

Bank facilities allow growth etc

decommisioning cost less than peers and advantageous in current tax regime

Dividend cover and cash flow meet current levels

Capex expected to qualify for full tax relief in 2024

Expect to see more benefits of Tailwind tax losses through 2024

Windfall tax is not reflective of oil/gas prices as far from windfall prices

Investing in UK is not for now unless right opportunity arrives, looking outside UK for the right opportunity, will not rush, Norway in focus currently but will take time.

Business in good shape and aim to continue to offer good share holder returns ''

These guys know their business, better than many of us posters imo and sp does not reflect the sp metrics imo and clearly Oil has been a major benefit rather than remaining as just a gas company

Broker note -

The Company announced an inaugural £15m share buyback in addition to the final FY23 dividend of 14p/sh, which combines for a total implied annual shareholder return of ~13%.

Cash resources more likely to be redeployed out of the UK.

We think Serica’s strategy has changed following the merger with Tailwindnd and the new management team are more comfortable investing in larger more long-term development projects to make use of EPL offsets for new investments.

SEPL goes ex divi with added special 25.04.24 -

cash at bank 31.12.23 = $450m (2022: $404m),

Revenue $1,061.3 million up 12%,

Production averaged 47,758 boepd, up 8%,

special dividend of US 2.4p, in addition to Q4 23 declared dividend of 2.4p, confident will acquire transformational Exxon Mobil's (MPNU)

'Seplat are the role model of the Nigerian oil industry, Mr. Heineken (Oil Minister) assures that the MPNU acquisition will be sealed within a short time...

initial target 260p+

https://twitter.com/surprised_trade/status/1780971881551532044

Kist sp down 49 percent last 52 weeks

Sqz sp down 22 perc ent in last 52 weeks

I own both and currenly SQZ has the more optimistic outlook, provides a very healthy dividend (14p final), Kist no divi, share buybacks starting that will improve eps and SQZ exploring opportunities beyond the UK tax grab whilst they can also use tax losses and their short term business model to maximise existing North Sea assets. A new CEO expected to be announced shortly, a new direction in addition to UK and importantly SQZ has oil. It provides an optimistic outlook imo and SQZ metrics look very attractive too.....we all have different takes, it's what makes a market, however, despite the negativity noise by some and forecasts of doom, SQZ finds itself in a decent position providing very decent divis with the prospect of an increasing sp moving forward. Cash in the bank is handy, generating cash and providing returns with plans for growth is also attractive.

Results, cash position, dividend increase, share buy backs started, tax loss from Tailwind a bonus as was Oil addition and the forward look with opportunities outside UK being explored are far better than many suggested and the business is ideally placed to grow again with both Uk and outside opportunities going forward. 😉

The new financing facility brings increased capacity with duration extended to end 2029, strengthening Serica's capability to pursue further growth.

The acquisition of Tailwind Energy Investments Ltd, was completed in March 2023 and has provided operational diversity and scale for Serica. The net proforma production from the combined portfolio for 2023 was 40,121 boe/d, which was split 56% gas and 44% oil. This split between oil and gas is far more balanced than in 2022 when Serica's production was 91% gas

The Tailwind assets have therefore provided Serica with substantial protection against the significant fall in gas prices. 86% of Serica's production is operated and the Bruce, Keith and Rhum contribution is now around 50% of net production rather than 80% prior to the Tailwind transaction.

Serica has maintained its record of more than replacing reserves since 2018 with net Proved plus Probable ("2P") reserves on 31 December 2023 of 140 million boe, up 10 million boe from 130 million boe at 31 December 2022 despite producing 14.6 million boe in 2023 on a proforma combined Serica and Tailwind basis. This addition of 24 million boe during 2023 represents a reserves replacement ratio of 179% with over 90% of the 2P reserves in fields that are already in production.

The Company is therefore continuing with its growth strategy of investment in projects designed to enhance and extend future production profiles. The Tailwind portfolio came with several short-cycle, highly value-adding opportunities which were matured in 2023 and will be exploited by our ongoing four well drilling programme which is also being undertaken with the benefit of the current capital allowances and with the resultant production sheltered by the ring-fence tax losses we acquired with Tailwind

''If good opportunities for increased value should arise in the UK of course we will not ignore them, but in the current circumstances we must consider other alternatives. Hence the Board has now refocused and increased its search for projects outside the UK where we believe we can deploy our skillsets to deliver increased shareholder value. We are currently focussed on identifying attractive opportunities in the broader North Sea region beyond the UK. However, we will remain disciplined and will only invest in projects or make acquisitions where we are confident that they will deliver increased value and returns for shareholders.''....

A lot to like, divi increased, buy backs announced and a new CEO to be appointed shortly who is very likley to start to aim SQZ's business away from UK tax 👍

Final dividend of 14p per share increasing total dividend for 2023 to 23p & start a £15m share buyback

https://twitter.com/surprised_trade/status/1783018560522014853

.''Seplat are the role model of the Nigerian oil industry, Mr. Heineken (Oil Minister) assures that the MPNU acquisition will be sealed within a short time''

(Speech by Oil minister link in tweet)

https://twitter.com/surprised_trade/status/1780971881551532044

"The increased liquidity on the company's balance sheet combined with its stable cash flows, will support both its organic and inorganic initiatives, as we actively look towards a dynamic 2024

https://www.proactiveinvestors.co.uk/companies/news/1045520/i3-energy-clears-debt-with-canada-royalty-sale-1045520.html

Sale of certain of royalty assets for a total gross cash consideration of $24.81 million, proceeds from the sale of an estimated 388 barrels of oil equivalent per day ("boe/d") translates to 6.9 times 2024 forecasted cash flow and approximately USD 63,960 per flowing boe/d, which represents a significant premium to the Company's current market valuations. Proceeds will fully eliminate #i3E's outstanding bank indebtedness and establish a working capital surplus

https://twitter.com/surprised_trade/status/1780563931884335442

Here's the original motion from October 2023 re WFT in Canada based upon the same rules applied to Banks and Insurance companies ........................

Canada Recovery Dividend to Fossil Fuel Companies

'' Motion M-92 proposes to extend the Canada Recovery Dividend to include fossil fuel companies operating in Canada. The Canada Recovery Dividend applied on banking and life insurance groups is a one-time tax calculated as 15 per cent of the average Canadian-based taxable income over 2020 and 2021 in excess of $1 billion. As per the intention of the Motion, it is assumed that the one‑time tax will be levied on taxable income above $1 billion that is earned by a fossil fuel company. The tax will be paid in equal installments over the subsequent five years

The revenue impact of applying the Canada Recovery Dividend to corporations in the fossil fuel sector was estimated by subtracting $1 billion from the taxable income of each company and applying a 15 per cent tax rate to remaining income. Estimated tax payable was divided in equal installments over the five-year projection period''

The motion is being discussed again as a consideration for the 2024/2025 budget in Autumn 2024, It's nowhere near as onerous as the UK tax, sets a profit level much higher than many smaller companies achieve and should not be a major issue for I3E on the basis of the above details.