Member Info for TerryM1

Jim

Does not take you long to feed your obsession with me again, looks like the first thing you did today (no doubt you will come back on that).

"I didn’t say they couldn’t buy from other shareholders, they have done this. I said they might not be able to take part in secondary offerings (insider knowledge etc). But I don’t know for certain hence the word “might” - do you have proof they can?"

There was no need for a secondary offering DEC could (and should) have bought these shares direct from the seller, where are the rules that prevent this, show me them but you can’t because there is not any, that is another fact. They did this before not that long ago, if you go thought the RNSs or the posts (as it was discussed here) you will find it, LSE and other companies have done this, another fact.

"No BBs for several days doesn’t mean they have given up - they might just have paused for a period. Read the words. As a simple example for you I haven’t had a drink since Saturday, I haven’t given up, will have one again soon."

So nothing announced so far today so just answer how many days must it go before you say they have given up? I give you some facts just one day without BBs drops the SP and shorts increasing so in a sense one day alone is giving up supporting the SP.

“Narcissism diagnosis for you becoming a worry.”

“Narcissism is a self-centered personality style characterized as having an excessive preoccupation with oneself and one's own needs”

Really because I am concerned that DEC strategy for the last 3 years has dropped the SP to under half and trashed the dividends by 2/3s and call this out. It is you that has an excessive preoccupation with me.

You are becoming GGs alter ego, he became obsessed when I called him out that DEC was not a scam or heading for Chapter 11, he kept posting rubbish and insults so in the end I filtered him. See he is now back by the blank boxes and I assume he has lost his obsession with me but with this type of personality he could still be obsessed, I don't know or care. Now I have your obsession because I call it as it is using facts, maths etc and you can't handle it jumping onto everything you can to feed your obsession, GIVE IT A REST, you will feels better for it.

Jim800

What type of fantasy world are you living in

"You don’t know DEC “chose” not to buy in the secondary offering, it’s more likely they weren’t allowed to"

DEC knew all about this before it happened (they put out the RNS), there are no rules that say they cannot buy shares from other shareholders, they have done this before in the US and so did the LSE on the last sale from Blackstone. So if you think they weren’t allowed show me some facts/rules and then explain how they managed to do this not so long ago.

"You don’t know they have “given up or dropped the BB price”

What else has happened, no BBs for 2 days then how else do you explain the last 2 days after many days when large amounts of shares bought back every day, wake up and smell the coffee or do you think there were BBs and not reported?

"Please try to at least keep your negative, emotional responses factually correct. Ta"

Please keep off my case, these are ridiculous comments which are based on your total desire to put one over on me, no facts ,no rules, no evidence etc, you are total obsessed with me and you just can stop yourself but if it makes you happy just keep going, I find it hilarious I am living in your head rent free.

It has taken the Tories to be kick out of office big time and trailing in the polls to come to their senses and talk (not sure they will act) like Tories, can we believe them, the last time in office they behaved like Tony Blair on steroids.

Have to also remember it was the pressure from Labour that brought the EPL about, Tories they said they would not do this then after a concerted campaign in the press from Labour they gave way, they are weak and will take the path of least resistance, I don't trust them after all the broken promises. I won't be fooled again and will stick to Reform who will bring the NS back to life.

Sorry $3.75 should be $13.75.

As I stated before it was just short for the current BBs round to buy all of the secondary offering shares and they would have got these below the $3.75 price as there would be no costs including underwriting but DEC chose not to do this. There should be plenty of cash as they took out the $300m loan but have so far bought fair number of shares over $3.75.

There were no BBs yesterday so either they have given up or dropped the BB price, perhaps another Trusty Rusty accretive deal on the way to trash the SP again.

"The real asset of oil and gas is still in the ground waiting to be extracted, so its not knackered"

This true but while waiting to be extracted SQZ has costs which include trying to get this pile of junk working again that is until the next breakdown.

The junk they well overpaid for they still can't get to work, another part of the deal where there was no due diligence, one step forward 2 steps back.

By the look of the SP it looks like BBs have been turned on again, find out tomorrow.

It is the lack of BBs that caused the SP to fall, this leads to the question has this been stopped to save cash for another deal, did they just run out of cash, thrown in the towel, or is this a pause, there was a 1 day pause before in this current session of BBs.

Whatever the reason it is clear without significant BBs the SP will fall as too many sellers compared to buyers.

"Worya"

"I just hope we can maintain the price about £10, as that's my average entry point here"

Unfortunately GBP equivalent of closing US SP is now below £10 so looks like you are joining the DEC losers club like most of us. The question is what has caused this (at least in the short term), it has the smell of another Trusty Rusty accretive deal, perhaps they just run out of fire power for BBs, more share dumping by companies who got the shares as part of a deal or there is some sort of panic set in. The panic may be caused by the Stags who did not sell quickly deciding to get out at any cost before SP drops further so have stop losses.

The volume is not that high so this is a sign there is a lack of buyers even at this reduced price.

Continued

“DEC from an operational & financial perspective are showing that their business models works irrespective of the interest cycle.”

This is not being born out in the accounts, as stated by AceofClubs who seems very knowable.

“Cash from Operations per weighted average share: 2022 - $9.19, 2023 - $8.69, 2024 - $7.20.

MarketScreener is showing 3 year to date total return of -35%.”

"head winds from funds not purchasing due to sustainability targets etc."

That is not so much the case now as it was during Biden's times, a lot of companies/funds are reversing the ESG targets so this is a positive for the SP now not a negative.

"The US is short of energy generation capacity to meet AI demand etc. Increased gas consumption is the only real answer in the US under the Trump presidency."

This could well be the case but Trump will do all he can to keep energy prices low to expand US industry and encourage more oil drilling and the by product of oil is gas which will help to hold the price back. Saying that I believe we will be in for rise in price but nothing spectacular.

“Rusty’s main wealth as founder & CEO is tied up in shares of DEC so he has plenty of skin in the game. He has not sold any of his shares. While we cannot be certain, on balance I would say it is more likely that the shares would have held up better short term if acquisitions were paused at the expense of longer term performance. My take is that Rusty is playing the long game but is clearly super frustrated that the share price does not better reflect underlying company strength.”

I am reminded of

"In the short run, the market is a voting machine, but in the long run, it is a weighing machine"

The SP has been in decline for 3 years now so I think we are in the long game or “weighing machine." phase, the market can get it wrong in the short term but not in the long term.

Asp1

I take your points and can only hope that it all works out OK but at best I think it will be a struggle to even get back half way from where we were.

I very much appreciate you comment on keeping it civil, I think it is very important, once insults, sarcasm and misquotes are used it degrades into pointless arguments. When I am under attack I will respond as I will not be a punch bag just because someone disagrees with me. It is always good to hear the other view point otherwise no matter how much you disagree with them otherwise it just becomes an echo chamber. An expression I like is to disagree agreeably.

My points on your reply are

"Under this scenario production volumes would have declined (due to the 10% decline rate), the dividend would be maintained or reduced slightly (due to declining volumes) and the debt reduced"

I do think there is a case for some acquisitions during these times to replenish the reserves paid for mostly by FCF but it is the scale that is the issue especially with the Maverick deal, this should have been a time of consolidation not huge expansion and a time to keep borrowing under control.

“I think the implicit assumption with this view is that the DEC business model does not work or work as well in a higher interest rate environment. In effect DEC would enter into some kind of run-off mode while interest rates are high and only resume purchasing when interest rates went back to lower levels.”

I believe DEC is like so many companies that rely on debt it works best when interest rates are low which the time for expansion and is during high interest rate times it is better to scale back new asset purchases, it works for other companies far more successful than DEC. The result as we all know has been a large reduction in SP and as shares have been used to pay for part payment of new assets this is not accretive but dilutes current shareholders and make these deals more expensive.

"I think Rusty firmly believes (btw my view as well) that the DEC business model works well across the business cycle and actually the best time to be buying assets is when interest rates are high."

I believe the best time for buying assets are when the interest rate is low so debt can be fixed at a low rate for a time and when HH prices are low to get the assets cheap.

“Once you acquire lots of assets on the cheap and the interest rate cycle turns after a few years, you can re-finance the debt at lower interest rates.”

The issue with this is that the debt taken on is high rate, fixed and long term, some up to 9 years so if/when interest rates drop DEC would need to pay well over par for the it’s debt so all in all refinancing would not reduce the cost, not matter where interest rate go the current debt (which is huge) is stuck at the rate it was issued at.

Asp1

I can give my view point.

From 2017 to 2022 we were in a completely different market, interest rates were low and there was a good appetite for high yielding companies but this changed in 2022 around the start of the Ukrainian war and not long after the lockdowns came to an end. We were and are now in a completely different financial world. Since then interest rates have risen and there is far more concern about company debt.

The last public raise for acquisition (not counting the Maverick fire sale) was Feb 2022 at £1.05p old money, at the time I bought more shares but the market did not like it very much probably because of the debt and changing times, I was seeing some comments on this board against it, the SP went down but not a huge drop. The next acquisition was from just debt and I was not sure about it but prepared to give it the benefit of the doubt but the markets disliked it, SP went down. The next one it was plain to most people including myself this was not going to end well (as noted on this board), more debt at higher interest rate but at least we had an excellent divided. After that more and more deals, more and more high priced debt and dividend reduced to 1/3 to help pay for deals and frozen for 3 years, add in the share dilution on the last set of deals.

In short the market and environment changed but Rusty did not, of the 23 acquisitions 14 before market/interest rates changes were successful for SP, last 9 a disaster as Rusty did not change with the times. Since 2022 to present it would have been far better to batten down the hatches and wait for better times, perhaps we are on the cusp of that with Trump and interest rates dropping but the damage is done as the debt is huge, high priced, fixed rate and long term as well as DECs reputation.

An example of 2 similar companies (REITs) in a completely different market palace which took different approaches are SUPR and SREI, SUPR expanded as much as it could (but not much compared to DEC) and SREI kept it the same. SUPR down over 25%, SREI up 10%, add in dividends so probably more. DEC increased debt far more than SUPR in this time frame so if SUPR had increased to the same % it does not take a genius to predict where the SP would be.

Compare this to other O&G companies which in general have been decreasing the number of shares through BBs with no new offers while DEC has substantially increased theirs. Rusty went against the markets and this is the result.

AceofClubs

I think you summarise it well.

The ARO issues have been postponed for a time which is dependent on how long the Republicans can stay in power, I would like to be out of DEC before a Democrat government or the threat of one.

"I have never believed the message Rusty could always buy assets at an undervalued price or that other operators practiced Dumb Asset Management. Maybe, just maybe, he is not as smart as he would like investors to believe. If you want to back gas/oil producers, plenty more fish in that sea."

The situation is that the market does not believed Rusty either or the companies who took the shares as part of the deals and they know more than anyone else about these assets, the result is high debt, share dumps and share dilution. This was all part of an acceptable risk when the dividend was 3 times what it is now and interest rates were lower but with these deals the risks has increased significantly without a large enough dividend to compensate for this. It is clear these deals have not been accretive to the SP (or accounts for what can be seen) and spooked the market, even with HH on the rise the SP falls with huge BBs. I guess the big question is does Rusty know this and just does more deals so no one can get a clear view in the accounts, does he believe it or because he wants to be in charge of as big a company as he can as fast as he can.

For GG he will call gloom and doom not matter what and stated a number of times DEC is going into Chapter 11, which it has never been close, I assume he is still doing (filtered, the only one) it as he can't stop and let it go even when he has not had an interest in DEC for years and just wants to see the shareholders burned so someone else loses more money than him to make himself fell better.

Jim800

I said you will be back, you can't let it go due to your obsession with me.

“Look at the speed and number of words in your responses compared to mine - see who’s obsessed 😀”

You may not have noticed being clouded by your obsession that I rarely reply to any of you posts now that do not mention me, perhaps one in a long time where I stated you probably will make money on these buys. You can now spend your afternoon trolling through my post to try to catch me out, go ahead if it makes you happy. This is to try to prevent this stupid ping pong of post but you can’t stop, I only reply to put the record straight on your incorrect comments about me, which I have the right to do, this is why I want you to FILTER me to put an end to this ridicules situation, stay away from me and I will stay away from you. How’s that or are you after GG's job.

"You brought up your private life in yet another pathetic attempt to impress people with your wealth and wisdom!"

To put the record straight I only mentioned my private life in response to someone else bringing it up as stupid and total misinformed attack on me but of course you have to jump on it to make stupid comments, expect nothing less, mental issues.

"There’s little point responding to your repetitive posts"

Quite simple then STOP RESPONDING, please give it a REST.

"Carry on being miserable if it makes you happy 😀"

Again you are making assumptions on what you think is the case, get your facts straight, I am not miserable as I have told you before, most of my other investments are doing well especially the Uranium ones but I do not like the way Rusty has trashed an investment I have with lies etc. and have a right to say so no matter what you wish.

End of message got cut off so for the record the F means nothing before you jump on that, it should say

FILLTER ME! We will be both be better off and perhaps the rest of the board as well.

Jim800

See you can't get over your obsession, only takes a few minutes to have to feed it again. Guess you will be back after this post.

"- correct your constant mis use of words?"

No you just don't understand what they mean or you deliberately misinterpreted them as I have explained many times and you know this or at least should know as I have proved this many times.

"- point out your continued mis representation of your opinions as facts?"

As proved many times they are all facts you have not refuted a single one and being proved right by current SP, so go on give some of your facts why the SP is so low? You seem to think it will recover, say how long and by how much! Bet you won't!

"- Correct your overly emotional negativity because you didn’t time your buying and selling very well?"

Pot and kettle, I am not emotional, I deal in facts, I trade successfully using those facts, emotion cost money, how are you doing with your emotional hold and hope strategy?

"To illustrate - ENOG, another of our holdings is down almost 50% from May 22 highs. Yet you’re not on there every day repeating your emotional negativity on that board. Think the case is more that Rusty’s in your head"

I am in profit with ENOG, ENOG have not dropped their dividends, did not mess up the finance on the biggest deal ever, not issuing shares all the time to dumped on the market or lied. ENOGs issues are not the fault of the BOD but circumstances beyond their control which you seem to have missed, strange that given the political situation is in the news many times a day.

Rusty is not in my head, I use the information I get from him in my head to plan my future investments and to try and trade my way out of the mess he has created, so far very successfully but given the damage a long way to go.

"Life’s too short, let it go 😀😀"

Same could be said with your obsession with me, filter me it will help your mental state, as you say my posts have nothing to add so why read them and spend your time trying without any success to prove me wrong jumping on the slightest bit of trivia to try to attack me using lies i.e. just a few days ago you said

“I know you like to find the negatives but a minute late is hardly worth mentioning.”

But the trouble is I never said it was negative as you well know, I did not give an opinion on the timing but you choose as usual to misquote me.

"If you focus on getting married, selling your house and moving to Dubai you might be much happier."

See you are now obsessed with my private life (which was brought up by someone else who thinks he knows all about me) but thanks for your advice, since you are so interested this will happen in due course and at present waiting for the planning laws to change before I go forward.

Now give it up stop trying to score cheap shots on me, it is very boring this repetitive obsessive behaviour, just like GG. Try living your own life without me in your head, F

Https://finance.yahoo.com/news/uk-business-chiefs-urge-government-170000164.html

No chance, Labour are addicted to high taxes and high regulation but at least more are telling them to change in order to make life better for all of us in the UK.

"Get Milliband down the pub with the oil workers coming off shift and let them give him an alternative view."

Not many of those left and fewer still soon, perhaps he can go with the ones laid off.

Jim800

Thanks Jim, still living in your head rent free, posting useless sarcastic comments about what I say, instead of being obsessed with me how about explaining why the SP is dropping with massive BBs, as you think Rusty has done such a good job and why so many shares are being dumped on the market. The truth is you can’t without accepting reality so you go after me to make yourself fell good. keep it up if it helps.

The green boxes are mostly GG, the other chuckle brother as you like to say only posted once in the last few days, how about filtering me as you dislike and disagree with my posts so much and having nothing to refute the facts in them but instead turn to insults and sarcasm. I very much encourage you to do this as I will not have to be dealing with you emotional attacks and it will do you good as you can start to get over your obsession with me just like GG.