Let's get to the bottom of this as they won't tell us on Thursday!!25 Mar 2025 21:53
Hi,
I'm just trying to understand and have DmyOR.
So how many boepd does Enquest actually claim for 2025 in Vietnam? Comments please:
The "Effective Date" is Jan 1st 2025
Completion is "expected second quarter 2025", so in theory lets say the end of Q2 so approx 180 days apart
The Headline value is $84 million and consideration to be paid on completion by Enquest is expected to be $35 million. So we have a variance of $49million.
Is the expected, but not confirmed, $49 million the estimate of what Harbour would earn in the gap between the Effective date and the Completion Date and therefore gets subtracted from the Headline Price as that value can no longer be derived from the asset? Could have been ours but it's yours so we'll charge you for it via lower Completion Price. Makes sense that this is an unknown amount as we don't know what will happen in that interim period.
If that is the case do Enquest predict:
5,300 boepd for 2025 - so from the Effective Date - but they don't get the value of that for the first (theoretical 180 days) six months, but they do because it comes off the Headline Price so legitimate to claim it.
Or
5,300boepd for 2025 - but they are only getting a half year of that so effectively 2,650 boepd would be claimed
or
something entirely different?
The answer to that defines what the full production estimate of 40-45k boepb including Vietnam would be without Vietnam and therefore how worried one should be about decline elsewhere.
I think I've made my point, now over to those at the front of the classroom.
GLAXXX
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