Member Info for TerryM1

IFAze

"If you don't understand the story why you all here?"

Which story is that, the one from the IPO until this machine gun acquisitions started, then the one since then. Or perhaps the ones put out buy Rusty, reduce debt, BBs, dividend safe or the one in the last acquisition which did not mention finance had not been sorted which led to a fire sale of DEC shares.

"Been some great opportunities to make money on this share last 12 months and I have"

Well done, so have I by trading these shares which has reduced my average but still in loss, however easy to say in hindsight been great opportunities, but in all DEC have provided investors with great opportunities to loss money and fulfil Rusty dream.

JungleBabbler

"Just cant see anyone buying this story anymore."

That sums it all up, fool me once shame on you, fool me twice shame on me.

You do have to wonder what the IIs are up to, they can change this but they either sell out mostly at a loss or sit and do nothing while their investors suffer. We need an activist investor like the one at BP who has managed to significantly raise the SP by just setting out his stool otherwise Rusty will just keep going with his plan to be the new JR no matter what the cost to shareholders.

EyesOfBlue

“OB has a new piece out, predictably easily countering the moaners here”

You just don’t get it, the only thing to “countering the moaners here” would be to see some profit for the long suffering shareholders, at best most shareholders of DEC are hoping is to break even not taking into account inflation, every time it looks like there might be a chance Rusty has another cunning plan and down the SP goes again. This share is like a snakes and ladder board where Rusty has taken away all the ladders. The truth is this company is just a money pit for most investors.

JCO1

“who wants to keep investing in a business just to average down with no g’tees you’ll ever get out.”

Can’t agree more we are not in DEC in perpetuity, O&G is a mature industry and there is no point in building up for some mythical bright future when soon or latter it will go in serious decline, in the end there is no jam tomorrow for O&G so we need it now and there is a lot of jam around if companies are run well. Bit like buying up every Video tape recorder when there was a high demand in the hope of selling for a profit sometime in the future, better to make money now than keep stock piling for something that one day will go into serious decline.

Oakbloke

Was waiting for “This Time Next Year We'll Be Millionaires” report, unfortunately for shareholders next year never comes.

He said

“The chattersphere is lit up with anger, whinging and harrumphing, but have shareholders actually sat down and considered the news?”

He does not seem to understand that most of the shareholder are IIs and I would be very surprised have if they have not considered the news, a lot and will have been consulted before hand so had plenty of time, they don’t like it as can be seen from SP crashing, who would want an emergency funding by a fire sale of DEC shares.

He said

“So comparing DEC in 2024 vs 2025 we see over $550m more debt, nearly 60% dilution but some higher earnings and reserves. So is a DEC-hand better off or worse off?”

Shareholders are interested in what the company is worth to them, that is the SP and dividends, the NAV may be more per share but that does not put food on the table, you can go through countless ITs/REITS when there are huge discounts but that does not help the shareholder, it is simple how much is my DEC investment worth now (including dividends) against what I paid for it taking into account inflation, if less worse off, more better off simple as that. The things not taken into account are Trust, Confidence, the Future, “Those Who Do Not Learn History Are Doomed To Repeat It” and history tells us we are in a repeating pattern, 8 acquisitions, 8 times SP trashed and add in dividends cut.

He said

Nor do the numbers include the “avoided” interest cost of ~9% which on $130m is an $11.7m avoided cost (or $0.14 per diluted share)”

Nor does his analysis take into account the cost of the raise, increased dividend cost going forward and the loans can be refinanced at a lower rate if/when interest rates drop.

He said

“It’s facile to see a share price that has fallen in the short term - as it always does in response to a secondary fund raising - and to immediately draw a negative conclusion”

The SP has fallen in the short term, long term, more or less any term and will keep falling until Rusty gets a grip, stops buying everything no matter what the cost to shareholder value and stops lying.

Trek have to agree, good summary of the real world.

"Hindsight eh"

Yep would have the winning lottery numbers every week. I had no idea of the offer price at that time so would not be happy if all agreed behind the scenes at say £13.20 (below US close) and also SP was not moving at this point, suspected all done and dusted as it usually is but this time who knows what was going on, this is DEC. However head was telling me get out quick, decided to sell a chunk. Then the market started to move down, the more the priced dropped before offer price announced the lower it had to go. I don’t think they set the offer price until after COB in NY, this whole thing seems a panic move.

However I think you got this wrong

"I wish you sold the lot as well"

should be

"I wish you sold the ******* lot as well."

which sums up how I now feel about this company.

From RNS

"Diversified intends to grant the underwriters an option to purchase up to an additional 850,000 ordinary shares at the public offering price, less underwriting discount."

So it is an option which no doubt will only be exercised if there is profit for the underwriters, also they get an option on these shares below the $14.50 placing price.

I have seen placing where more shares are released if high demand but none with share options granted to the underwriters. Not sure how this can stabilise the price, if SP is below options price they won't take them but in a sense it might stabilise the SP if above options price as they will feed these shares in to the market in tranches when SP is stronger therefore keeping it down but not below he offer price.

Savage_KeyboardR

The only thing relevant here is there any money in road charging for CPI, it is not CPIs decision it is the government, if it goes ahead it makes no difference if CPI or another company implement it.

However we do not Sneeky Khan loves the idea and has been planning for this for a time, another thing we do know that no matter what happens this government will mess it up and it is the people not working for government and pensioners that will suffer, government workers will just stay at home as they do now.

" Diversified has granted the underwriters a 30-day option to purchase up to an additional 850,000 ordinary shares at the public offering price"

Saw this in the RNS when first put out. This means free option on 850,000 shares at price of $14.50, so if price goes up they get these and make a profit and can sell quick on the market, if shares go down no problem just don't take them up. This is disgraceful at best neutral to current shareholders if price below offer, if above more dilution and more shares to dump on the market helping keep the SP down.

As I said before where did Rusty go the college, the Donald Duck school of Finance or was it the Mick Mouse business school.

TREK

"This placing was telegraphed"

I think there was some leak as price was not moving as I expected stuck around £13.10 even thought closing US price a lot higher, as soon as I got the news of the placing sold a chuck out for £13.016 (which I posted here at the time), obviously wish I had sold the ******* lot but at that stage no placing price.

Difficult to know where it goes once placing finished, as I said suspect it will rise slowly but who knows, seen a number of placing recently where SPs fell below placing price after placing and stayed there. If it does fall below placing price before close we are in a lot of trouble as underwriters take the shares and will put them on the market in tranches until all sold, lot of shares to mop up.

Any one know when placing will end by the look of the price they will get the divi otherwise old shares would be around placing price + divi.

All in all what a mess.

"US down to match the offer price"

I would expect this to be just above the offer price until offer closes, most are IIs and they can sell on the markets and buy back in the offer so a no brainer, MMs know this and will set the price accordingly. SP will be stuck around this price until offer closes (if no mishaps) and probably slow rise but IMO will take a long time to get up to $17s again. Well done Trusty Rusty.

A few years ago there were a lot of REITS when SP above NAV doing similar raises, would sell out and buy on the placing, managed this a number of times.

JC01

"sadly investor relations at dec are utter **** and i haven’t had a single reply ever from them. waste of time."

I agree they are utter **** but I have got replies before from them after I sent another message asking why they did not reply, unfortunately reply was useless company speak. However I really don't care if they reply as that will be useless but I am sure they read these and I would like to fill up their mail box with investors telling them what they think of how the company is being run.

Just sent my questions to Tennyson Securities, hope they pass this to DEC HQ.

"There are some serial whingers"

I don't know about serial whingers but I do know there are some serious losers on here with every right to express their opinions given how this company is being run.

Https://oilprice.com/Energy/Crude-Oil/Trump-Promises-Tax-Cuts-for-Oil-and-Gas-Producers.html

Hopefully good news but it does say

"prices are first more likely to go down as Trump pushes for an end of the war in the Ukraine—a development that, according to Secretary of State Marco Rubio, will result in the lifting of sanctions on Russia."

But from other news he will be tightening sanctions on IRAN and if Russian sanctions lifted I can't see Russia objecting especially if it helps hold up the price of O&G.

In have sent my questions to investor relations at DEC, don't expect any meaningful replies.

I would urge other concerned shareholders to do the same, address is IR@dgoc.com.

Won't change this acquisition/fund raise but just might make DEC think long and hard about doing this again if enough investors show concern.

This has got to stop otherwise we all lose more money.

Jim800

I agree with you but

"Then upwards if forecasts were correct"

Only if Rusty does not come up with another deal and another crackpot way to finance it.

"downwards if all these new equity holders want to make quick sells."

There will be a number of the new equity holders who want to make quick profit, a lot will buy just to do this, much less risky than holding especially if a new deal comes along.

There are still a lot of shares in the hands of companies as part of previous recent aqucitsions, this fiasco must have increased their appetite to sell.

Well one thing Rusty has done is to increase the yield so sit tight option may be best approach and hope this is the end to the chaos.

£11.52 the price, £0.576 old money, shares were trading at £1.10 and 3 times the dividend before the acquisition fest started, this in the time of the democrats, ARO issues and not many people thought Trump had much chance to be elected. For those who believe these acquisitions are good these are hard facts.

The questions that Rusty should answer on this acquisition are

What is the NAV of DEC per share based on an SP of $14.50 compared to the NAV of the acquisition per share?

What is the cost in dividends per share on the new shares when the cost of the fund raise is taken into account, without costs 8% yield so will be higher with costs?

How does it make sense to be paying out over 8% pa to pay off debt which is below 8% pa and a decent chance of refinancing lower as interest rates drop.

Why was this deal announced before the price was set? Looks like this caused the SP to tank so the deal price ended up lower.

What happened to get DEC into this mess, did you commit to pay out money for this acquisition before you sorted out the finances? You did say "it was a deal that took multiple years to negotiate and take hold" so why the fire sale of DEC shares? Why no mention of this when the acquisition was announced? Is this pure incompetence of a deliberate act to keep the shareholder in the dark?

Why are UK investors being excluded from buying the new shares? Remember we own a large part of the company.

When do we the shareholders get a vote on this deal which includes the fund raise?

When are you going to bring some stability to DEC and the SP?

How can you be trusted to run this company given you recent track record and lies?

When are you going to resign? Not only have you been proved to be The Destroy of Wealth for DEC investors you are a proven liar. Give the long suffering shareholders one good reason not to resign?

Trump says Drill Baby Drill, for DEC it is Dig Baby Dig yourself deeper into the hole you created.

"terry. don’t engage with idiots."

i not intending too just wanted comment on his reappearance not engage with him.

must admit had some fun winding him up/outing him for what he is when he got so wound up he called me a ****** pos, could hear the steam coming out of his ears.

still enough said about gg.

will be interesting tomorrow, hopefully the worst is over and sp managed to hold $15 at close after dipping into the £14s, perhaps $15 a support point. uk will no doubt take a hit before ny opens but should steady after that. now we need the details of the offer asap as market does not like uncertainty.

"Not even ENOG??"

For now no, however made good money so far from ENOG and will get a large payback soon as they sold a lot of O&G assets, think it is around £2.30 per share, also yield is over 11% on what I paid and they have not been dropping dividends.

BP does look interesting after new activist investor stopping renewable investments and also a possible takeover target. Not sure where things stand but BP and Shell might be able to get to some of their Russian assets if peace deal, especially good for BP which had 25bn and Solidcore (was Polymetal) looks interesting. I hold some of these on the AIX exchange and if they could start dividends and relist back on a western exchange probably NY would get very interesting.

Jim800

"HH looks like it’s only going one way now"

Not convinced of this, if Ukraine peace deal that would no doubt include Russian gas being again suppled to the west who knows where this will go. Apart from some small dealing I will not add to O&G until dust settles.

Gerry557

It is the IIs that make up most of the market, individuals are unfortunately insignificant.

The main factors that/determine the SP are/will be general ones like interest rates, gilt prices, inflation, economy and specific ones like Government policies to water companies and Ofwat.

One interesting factor is companies like Glencore, Shell and more exit the UK as they are considering then trackers will have to buy more of other companies.