focusIR May 2024 Investor Webinar: Blue Whale, Kavango, Taseko Mines & CQS Natural Resources. Catch up with the webinar here.
You can be too greedy with shares, The whole project was financed with equity set at 7p unless project falter's anything below that is getting a better opportunity than those that put up the money! we just had a chance for some to get in at 5p hoping for lower is just greedy but if it comes I am greedy and will take it. The options for management on the delivery of project look encouraging to all that put up the money we will all be in profit if they get them and make a profit from them.
Next stop is anyone's guess, majority of share were issued at 7p and are held, but up for loan so don't see a big sell off by anyone! but price can be played with by that loan stock but not many real holders will sell, till this story is played out. As a PI am happy to buy any new low upped today so now hold below 6p in real money and hope to add again as funds allow
If you look at the world as it is desperately in need of increased Gas and oil production and very real worries of Fuel poverty by the public. I have to say bar a few details to be clarified, like is all of the 91% tax immediately allowable against the new 25% Tax I have to come down on it is a way to get projects moving ASP and should oil price fall back will not have cost oil companies anything, if oil does go mad and hit $180 and more then 65% Tax would be fair anyway, 1 year of that with 60kbpd after investment and we will be papering the walls with £20 notes.
Mind boggling that is for sure, we just need to remember what we know, net debt in Feb was stated at $1022m we also know $1083m of Bond debt has increased by the retail bond new issue of $70m so we have repaid all the RBL or have a huge cash pile the HYN are $827m and we have until summer 23 to repay cash to do that is almost a cert. Why not repay some of them early and not bother to refinance them. Or use RBL to repay all this summer?
From the graph we are just about right Disinterested a good description of traders at the moment, I have doubled my small stake but am looking to double that should they retreat further this is one for a year or two's time but will be hard to time for cheapest entry point could be now. But not for widows and orphans as they say.
http://www.24hgold.com/english/news-gold-silver-the-second-best-time-to-buy-mining-stocks.aspx?article=994240570G10020&contributor=Investing+in+Mining+Stocks
On top of supply shortage, I read they have woken up to fact it is madness to grow bio fuel to drive while the world starves, we could be back to good old petrol instead of E10
all that investment wasted, it was only grant money from taxpayers so no problem!
Ammu123
65% reduction in profits..?
Please get facts right a potential 25% could be conceived as fact but an offset of that Tax by investment will lead to increased production to offset our tax losses against.
Hi epiphany121
In end of May update there was no net debt update, last one I can find was 24th March were it was stated as $1090 net at end of Feb so for some reason that being the stated aim for Enquest to reduce, they did not put it in the May update.
One reason why I was convinced we would get an update today how can they answer questions at AGM when the main one is what is the net debt situation! unless we get one just before the meeting.
Bressay & Bentley were thought to be connected and may well be? much data is known about them and development of one could well lead to both, and the difference in stakes will need to be negotiated, a joint project would make sense. Bressay gas cap first timing is right.
On a Bressay project we got a 40% stake for $17.5m and if we have a development plan to tie back to AK or to use EP for say $500m our share $200m we are going to have to pay that much in Tax at the 25% anyway so it is an opportunity to put a $17.5m investment into production. Take it.
It surly makes sense to invest in UK even more if you have $3bn in Tax credits, those credits being on the 40% standard Tax if you can claim back most of that investment against the new 25% Tax you can still use up the $3bn quicker after that.
What we know, 31st Dec RBL outstanding stood at $415m by end of Feb Debt had dropped by $132m so RBL $283m then we raised $70m from RB so RBL $213m production has been steady and prices better than Jan-Feb so we had $132m with those prices so by my reckoning RBL should be clear about now. Bonds next?
AGM is looking like a turning point, plans on the table?
Barclay's $450m Tax is not the contentious part of the broker's note it is that Enquest now have problems with re finance. They have not given note to the obvious fact that $450m means we will be awash with the other 75% of FCF! and should we mitigate that Tax with investment we will be increasing production and have more revenue. In fact $450m Tax over 3-4 years seemed on low side.
We now have $450m to invest without any borrowing is one conclusion of Barclay's note.