Member Info for TerryM1

““What do you expect when Rusty wilfully trashed the SP and dividends to fulfil his dream of being the JR of gas“

Your quote from yesterday @ 1504 Terry.

That infers he knew what the outcome would be and made a conscious decision to carry on doing it!”

Perhaps not for the first 2 or 3 (as I have mentioned) but 8 times in a row, if he could not predict what was the very likely outcome after doing the same thing 3rd, 4th, 5th . . . attempts etc producing the same result what else would did he think was going to happen, is that not wilfully. He does not care about the SP as he just gives himself more shares to compensate for the drops.

As far as OB is concerned I agree with you, IMO he lives in his own world of spreadsheets and figures which he pushes around to give him the results he wants and can’t face criticisms as you found out when he banned you. If he is so well informed then he should give us a prediction on future SP, dividends which are what counts to us shareholders (this is not an academic exercise for us, how many DEC shares does he own?) and then we can see if he is right or not.

"suggesting a period of consolidation would help SP"

This is turning into fact, SP always recovers from after crashing from last acquisition, the question is when is the next one and is there time to get out without too much loss.

No BBs announce and past 12 so what was the 164,000 after hours trade?

Pre market at $14.60 with no trades as yet (I don't know what is going on) and dow up 0.4%, going to be interesting today when NY opens.

“I didn’t say what the shares were worth I said I haven’t lost until I sell. This is true for tax reasons and all other reasons.”

Try using the buy figure as surety for a loan, would you use it for IHT, CGT as your sell price. it is simple (especially for shares) they are worth what the market thinks they are worth. This is standard practice for all tax law and accounting. If you tried putting the buy value of shares in IT or UT accounts it would be misleading at best or fraud at worst.

“Your burnt house and car analogies are rubbish as they are not going to increase in value.”

Who says, the land probably will, simple Rusty burnt the SP just like a fire does to a house, the damage is done, large debts, share dilution etc. If Rusty did not burn the SP who did or do we just keep ignoring the current SP (like looking at a pile of rubble and imagining there is still a house there and it’s value has not changed). It is true SP may well go up but I will consider myself very lucky like many others just to break even. Do you really think SP will go up to where it was before this started a couple of years ago which was £22 in any reasonable timescale. Guess the drop in dividends does not count either as they have not dropped until you spend the money.

“Think in reverse”

Getting used to that with DEC SP and dividends. DEC investors need to live in the Red Dwarf episode where time is going backwards to make any money.

“if my house is now worth £50k more than I bought it for have I made money? Nope, not til I sell it. Ditto shares - had we made money when DEC SP was £1.40 - nope, because we didn’t sell”

Why not put that one through HMRC for IHT, I guess they will be very happy.

The thing you forget most people (except yourself it seems) do not buy shares in perpetuity they buy for dividends (DEC dropped those by 2/3s) and to sell.

If I find a better investment I sell out and put the money there, unlike you I have to take the current price. When I value my holdings it is the overall return that counts using MTM values. When I worked of a bank in charge of a system to provide MTM and projected future MTM we based this on current value not some value at sometime in the past. We need to deal with the real world as it is now not as it was years ago.

JC01

WOW, Talk about being misquoted

"According to a commentator in the chattersphere this is a conspiracy to deliberately crash the share price “8 times in a row he did the same thing and 8 times in a row it ended in failure”. The “He” in this context is presumably CEO Rusty Hutson. “Ended in Failure” if the CEO were some kind of 5th columnist as he is portrayed, then that person believes he deliberately tried to crash the share price but it shot up 8 times instead. I think they actually meant to say “Ended in success” and the CEO (in their opinion) managed to crash the share price 8 time"

What an idiot, he can't read or has trouble understanding simple English.

Who said “this is a conspiracy to deliberately crash the share price” only OB.

He seems to have got total confused with the fact that each of the last 8 acquisitions crashed the SP (he thinks it went up) which is not conspiracy but a fact. He ignores the SP is far lower now than when these started and as you say down 23% since start of year, hardly “ended in success” if you are long.

“We scratch our heads wondering if that commentator is cognisant of real-world factors. Are they aware that share prices react to the supply and demand of Natural Gas, the movements in the price of Natural Gas”

Real world really OB is in some sort of fantasy land, HH up, AROs and other ESG issues etc gone for now, LG export terminals ban lifted, more LG terminals being built, more focus on O&G for energy in USA. Also he thinks the short attack were because of the snowy shorters, take a look at the companies doing the attacks, does he really think the snowy shorters were the reason they did this, fantasy. So all in all many factories favourable to DEC SP but still SP crashes, what else can be going on! I would like OB to answer that one or is it just a due to a couple of kids posting in their bedroom (snowy shorter) or a conspiracy to deliberately crash the share price but buy whom.

Lets just hope is is a lot better understanding the figures than he is understanding English. If he is so clever tells us how much he has made out of DEC us mere mortals are losing big time.

Still not to worry if OB is right “Next time this year will be Millionaires”, just like we would have been if he got it right in the last few years.

PlayingFTSE

Dividend fixed for 3 years, fisted of the reduced fixed dividend paid on 28/6/24 so at a guess around may 2027.

Tend to agree there is not much to bring the SP up unless HH rises but should recover a bit if no more acquisitions.

"Is showing volume of 160,000 shares - it’s normally about 2,000"

There is a trade of 164,900, perhaps this is a BB direct from the sell, no BBs showing up yet but may get something around 12.

Not sure what is going on with the SP, NY closed $14.34 take of the dividend $14.15 UK so around £10.51 but now buy at £10.65 perhaps the large trade had something to do with it but after market latest at $14.34, as it looked high this morning sold a few out at £10.70.

JIM800

"I haven’t lost a penny as I haven’t sold"

For tax reasons this is true but the value of your shares shows a loss and something is only worth what you can sell it for, try borrowing against the amount you paid as opposed to it's current value and see what they say. What happens if you find a great investment opportunity much better than DEC, do you pass it by to avoid a loss with DEC or take it and make money even though it is just on paper. As I have said before if your house burns down without insurance you can say that I have not made a loss until I sell (just like Rusty burnt DEC SP) or if you buy a car and it depreciates, again same is true. Also true for companies, would you buy an IT where NAV went down to half it's value for the old SP because the company said it's only a loss when we sell the assets.

"Rusty isn’t going anywhere so you need to accept that and get over previous tactical decisions you don’t agree with"

Only because I do not have a choice, however I will vote against him on almost every issue and will send my comments to IR. I am also pulling out a few shares as my medium term trades show a decent profit like just now to reduce my risk of another Rusty cunning plan along with trading the volatility this has cause in the SP. DEC is my worst investment but one of my best trading ones so I am reducing my investment and increasing my trading. In a sense I am doing something trying to make best of a bad situation.

“I’m happy to wait and see, you’re resigned to wait with a bit of trading to help out - seems JC thinks moaning repetitively is the best course of action!”

How long, remember dividends fixed at low level (for most of us) for 3 years, every time SP start to recover Rusty trashes it again, best course of action is to get rid of Rusty, put a plan in place to pay off some debt, sell off some none essential assets to reduce debt, stop lying and when cash available increase the dividend and have a decent BB program like most other O&G companies.

Jim800

“It’s nothing like your probability example because you’re talking about immediate action and I’m talking longer term.”

This has been going on for over 2 years (first of the latest set of failed acquisitions Feb 2023) with no signs of showing decent growth just a small recovery from the bottom of the gutter, I would not call this immediate, worst than watching paint dry. SP was £1.10 equivalent to £22 now in Feb 23 and has been downhill ever since with a few dead cat bounces.

“Not all the SP fall is acquisition based, there are wars, ARO scares, legal challenges and short attacks to consider as well.”

The wars put up the price of gas so helped DEC, which will have supported the SP and it would have been lower without them, also other companies much more affected by the Wars like Shell, BP, ENOG etc have not seen this type of SP collapse. As an example I bought more Shell at £11 (went down below £9 at one point) after Ukraine war started and lost a lot of assets in Russia, pipeline etc, Shell up over 2.5 times, DEC down around half therefore Shell SP gain more that 500% against DEC after losing £billions of assets and failed ESG investments.

The ARO scares, legal challenges where mostly before the binge buying started (I remember these were around in 2022 when SP went to £1.40 old money), as these have gone now so this will have supported the SP and it would have been lower if they had not disappeared, remember the Trump bounce for DEC.

The short attacks were the result of these policies so all part of the problem Rusty created.

You can add in the removal of the ban on expanding LG export terminals and again will have supported the SP and it would have been lower without it and also falling interest rates along with an expanded O&G energy policies for the USA.

“I’m not saying he’s perfect but we don’t know what options were available to complete deals at the time and he presumably thought some short term pain was worth it”

Here’s some options, don’t trash the dividend, don’t lie, don’t load up with high priced fix rate long term debt, don’t dilute the shares, don’t forget to get finance in place before you agree to buy more assets, don’t engage in fire sale fund raises, don’t ignore investors no matter how small.

“He may yet be proved correct.”

Who believes this? the markets don’t and if anyone else believes it is makes not a jot of difference. As I am sure you know from your comments about the need for stability I don’t think even you believe it. If this policy was liked the SP would be well over £25, there is a good chance it would be well over £20 if not much had changed.

Jim800

"However, as you say, doing nothing now seems to be working well. Various posters (including the two of us) have been saying for years we need some stability, pay down of debt and ability to compare Q on Q and Y on Y finances and production to justify a higher share price.

It’s looking like that might be where we are now heading so let’s enjoy it!"

This I agree with so in a sense you must see repeating these acquisitions this quickly was a huge mistake and after the first few the results were entirely predictable.

I do know we need acquisitions to offset the gas/oil extracted but not in this order of this magnitude.

JIM800

“Or …. He might have done the same thing 8 times in a row thinking it was the best course of action for the long term”

Do your really believe this, just on the grounds of probability let’s say a probability of ½ chance of success (should be better than this if you making decisions with other people money) from one event, for 2, ¼, for 8 it is 1 over 2 to the 8 i.e. 1/256. So either Rusty is very unlucky (and so are we) or this clearly is the wrong course of action, you don’t need to try this 8 times to prove it. Just like any gambler Rusty only stopped when he ran out of money and had to go to the markets to bail him out. Any sane person would not keep repeating this unless there are other motives.

As has been said “Insanity: doing the same thing over and over again and expecting different results”.

“PS - if it’s a doom loop it can’t reverse. If it’s a drop in share price due to risk it can 😀”

A doom loop can be reversed when you change the conditions that cause it, in this case it is Rusty doing nothing is the change that was required.

AimMaster2018

Well done, as I said the SP can go down, it can go up or stay where it is but you don't go hungry by taking a profit.

JIM800

"He didn’t “wilfully trash” the share price, he made some poor decisions which resulted in that - I very much doubt it was intentional!"

8 times in a row he did the same thing and 8 times in a row it ended in failure, you maybe able to say perhaps 2 or 3 times was poor decisions but to carry on doing this 8 times looks wilfully to me, this can only be deliberate or total incompetence either way he should not be CEO. The last and biggest one he was so desperate to get it through he forgot to put the finance in place first or just perhaps he knew this and did not care, where was the CFO who should have told him but either way he went ahead anyway wilfully causing the chaos and share dilution of the fund raise so he could add this to his collection.

Rusty IMO wilfully created this doom loop and when he takes a pause it reverses, says it all.

MrG123

Good luck with the £11 sell target, not far off and a good chance to get there this week, perhaps even today.

JIM800

"Sorry I meant JC - you’re merging into one grey cloud of doom - like Eeyore"

What do you expect when Rusty wilfully trashed the SP and dividends to fulfil his dream of being the JR of gas and thinks he is doing such a good job he gives himself more shares. My losses on DEC were recently into 6 figures (including dividends) and I would say that justifies a cloud of doom, this did not need to happen it is Rusty's choice to push us into this hole and keep digging, 8 times he bought more gas wells in a short period of time and like clockwork every time the SP crashed but that was not good enough so for good measure completely messed up the finance of the last deal, had to have a fire sale of new shares and crashed the SP to I believe an all time low, that takes some doing when AROs kicked into the long grass and HH up a lot. The best thing Rusty has done since his last fiasco is nothing so the SP has recovered a little, remember this was £28 in old money at it's peak.

Fortunately not all my investments are run as bad as DEC so overall I am in profit but even now DEC is one huge one grey cloud of doom over my investments.

JC01

"EIG must be delighted with the Non Exec Randy Wade for pulling that one off"

And Randy Wade delighted he is getting salary paid for by DEC shareholders for doing this, jobs for the boys.

JC01

Could not agree more, since Rusty went on this binge buying spree he has proved he does give a hoot about the shareholders, dividends or the SP, it is all about Rusty becoming the Big I Am. This should have been stopped by the IIs if they were properly representing there investors interests but they are just far too lazy. Perhaps this time even Rusty knows he has gone too far or IIs acting behind the scenes hence BBs, time will tell.

What this company need is an activist shareholder big enough to put pressure on the BOD, once they are in fear of losing there jobs on the gravy train this will change.

JC01

You are no doubt right for East Texas deal, I have not checked the info (partly because there are so many) but from memory all the shares issued as part of the deals where issued before the big crash that happened when the fire sale fund raise was announced and the SP was around £13. Also have you taken dividends into account with these calcs.

As far as BBs go I agree with you there is very little choice otherwise the shares from the deals will be dumped on the market and the SP will tank, for once Rusty is doing the right thing but only because he has been forced into it or face a crashing SP but he has borrowed money at 9.75% to do to this.

The companies that got the shares as part of the deals have been selling these on the open market at a loss when out of lock in or DEC has to buy the shares to prevent these being dumped on the market, again at a loss to the company selling, this tells you that these companies never wanted the shares in the first place but had to take them to get the deals done which in turn shows how keen they were to get rid of these assets. This does not put these deals in a good light, the only positive is the new shares issued were at a higher price than DEC is paying to buy them back but is a reflection on how poor this company has been run and Rusty should resign for causing this mess not give himself more shares. One thing that will come from this is any companies taking DEC shares as part of a deal in the future will be very wary.

We have ended up with a BOD member approving the purchase of shares from another company where he is on the BOD and DEC having to pay a third party to get legitimacy for this, well done Trusty Rusty.

Https://www.marketbeat.com/instant-alerts/filing-quantinno-capital-management-lp-acquires-29084-shares-of-diversified-energy-company-plc-nysedec-2025-05-24/

Look like a number of other IIs increasing stake as well.

Gotnorolex

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