Member Info for thehickster

Too much credit to politicians I think. They would rather decimate tax receipts and have us in rolling blackouts than admit they got something wrong.
Really does feel like there's a bunch of 5th columnists in charge at the moment.

Oil price must be getting close now to the level where the windfall tax can go. Didn't Rishi say something about when it gets to between 70 and 80$ ? Look at that pig flying past over there.

At least production in the USA is actually valued at something without ridiculous tax rates like the UK.

Itsaponzi exactly. NS oilies are only really valued at cash at the mo. Nothing is given for production. Serica enterprise value barely a couple of hundred million for almost 30k boepd. Double that and you get Ithaca's production which suggests 400 million would be a fair shout. That doesn't even take into consideration the debt here.

What happened at 3pm today? Seemed to be going ok even after comrade Hunt delivered the expected increase in the WFT.
News on the drill leaked ?

Flabby that is correct. Labour did indeed call for an extra 10%. The most insane thing after Rishi actually added an extra 25% instead, was that Labour then started calling for a windfall tax. It then got reported in the left wing press that Rishi was refusing to put a windfall tax on profits. I sometimes can't believe what I'm hearing/seeing sometimes. Are politicians really that stupid or just evil? The IQ levels on some of them must be so low that it wouldn't even register.

Why would any sane company develop in the North Sea any more ? How could Cambo be worthwhile at 75% tax or whatever rate the chancellor feels like on a particular day?

I think there will be a move to buy shares in companies listed in the USA and Canada etc as Thursday's budget will pretty much render the North Sea uninvestable. Should hopefully be good for DEC.

Seems a terrible time to be a producer in the North Sea. Most assets soon to be rendered worthless with increases to the already eye watering windfall tax.
I guess the idea will be to totally destroy North Sea production so that the Scots won't go for independence. Will also move production away from the UK to other countries so we can destroy our own industry just to virtue signal with net zero. What wonderful politicians we have!

Just reading about this and they produce approx 66,700boepd, mostly oil and they're saying it could be valued at 2 - 3 billion dollars. Who in their right mind would pay pay that much for a company when Serica produces about half that (mostly gas too which goes for more than oil) and has an enterprise value of about 300 mil or so ?
Ithaca has quite a bit of debt as well so it's even worse. Did they not get the memo or something?
With North Sea reserves about to become almost worthless with relentless windfall taxes, Ithaca has to be the most nailed on short on the market at the mo surely ?

The way things are going with windfall taxes we'll have to pay someone to take the North Sea assets of our hands.

It's the threat of an even higher windfall tax. If the government increases it from the already ridiculous 65% then North Sea producers will effectively only be allowed to keep nominal profits. They'll be complaining next that nobody wants to invest in the North Sea to help with energy security after that.

They are even more insane that I thought if they raise the windfall tax. That was brought in when oil was about $40 a barrel higher and gas was higher too. At the time I thought Rishi said he'd look at it again once oil was back down to more normal levels. Once again it looks like there is nothing so permanent as a temporary government program.

It says i3e was actually up today. Is that for real or a glitch ?

Seeing as oil is about $40 dollars off the recent highs when the Ukraine war started, shouldn't they be looking to reduce the windfall tax or abolishing it altogether? Next day gas pricing has dropped like a stone too. Politicians act like they've just come back from a lobotomy operation.

If the market is putting an enterprise value on Serica of around £250 million for 30k boepd then why don't they go looking for deals? If that's all the North Sea is worth there should be bargains galore to be had.

The market doesn't think so though. 2 quid off recent highs.
Is the market saying it just doesn't think there's any profit in oil and gas anymore ?

Can't be that much longer till the market cap is covered by cash in hand now surely?
Is this capital reduction thing going to be about a big special dividend? Fingers crossed.

There was nothing in the price for Serenity anyway and we're massively undervalued for the Canadian assets...... so all being said, I would say a lot further to drop. Cashflow and reserves don't seem to count for anything anymore so it does beg the question, why bother going into oil and gas production, even when the prices are sky high?

Approx how many days profit are we being valued at now ? Can't be many.