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Hi Chri, As I posted the other day the tax losses related to Tapia, which is where most of the Ellerton era losses accrued, rested with TEG Oil and Gas USA which as you know is now owned by Hawker. Any tax losses related to Kansas will undoubtedly be part of the sale of those assets. In any event for Sefton to use them they would need to be developing oil/gas assets in the US since that is the territory in which the historic trading losses took place. Sefton itself is a BVI corporation which therefore has a corporation tax rate of zero. There may be losses related to expenditure since the administrative office was brought back to London and related to the Indonesian asset investigations but you would have to get clarity from the company as to the status of those but I would not expect them to represent material value in any case that could be made for what Sefton could bring to any future opportunity. As you indicate it would seem that Sefton's attractions for any such future opportunity begin and end with whatever is left in terms of the cash available. They have no worthwhile assets and no expertise to offer.
Hi Buller, Re: the "bright thing" in your fourth paragraph. There are no significant tax losses in the company unfortunately. Those losses relating to Tapia went with TEG OIL & Gas USA to Hawker and it very much looks like if there are any relating to Kansas they will go with the auctioneer's lots. They wouldn't have been available to use against profits from Bahamian (were they mentioned yesterday?) or Indonesian assets anyway. The company would have had to find assets in the US to operate profitably in order to make use of those losses were they to have been available anyway This is one of the reasons why in the Final Results for the year to December 2013 (when they expected/knew that Tapia was going to Hawker) the following statement appeared: "The Group provided a valuation allowance against its deferred tax assets as of 31 December 2013 and 2012 since it is uncertain whether net deferred tax assets will be fully utilised on future income tax returns." See note 3 on pages 23 and 24 of the 2013 Results. The valuation allowance was for 100% of the deferred tax asset.
I have my doubts that you will but I hope you get something worthwhile out of today. Not that I think you necessarily "deserve a break", after all you placed a bet on a long shot when it was clear to all and sundry that there was little substance to the business itself. We rarely say punters at the race courses who back a clapped out nag deserve a break so I don't see why that should apply here. But it's clear that many of you are decent people who simply believed the stable boy and the trainer when they said she had more to her than meets the eye. Depending on when you bought you were conned by someone whether it be JE, BMD, CJ/KK/ST or CO. So good luck to you, I'll be hoping (but not expecting) on your behalf that Clem has some miracle he's going to pull out the bag to suddenly make Sefton into the thoroughbred you all believe lies in the future.
You'll have noted that I encourage voting yes in my sign off to the 09:37 post so your I'm not sure why you say you're "afraid" that your votes have already been cast in the affirmative. Personally I think the resolutions being passed will make a significant difference to the timing of when the company is wound up with no return to shareholders. I may be a brand new poster to you here but I have been active on ADVFN's SER board for a number of years and as for no posts on any other share, well, how could I have - I only registered on LSE last night. As for my motives, well I'm certainly not publicly spirited in contributing to the debate here. When I decided to discontinue betting on SER share price movements (like everyone else here I never invested in the company) my interest in the company did not cease, why would it? I continued to contribute sporadically on ADVFN and through reading there discovered that there was active debate on this forum. I've been astounded at some of the claptrap that's been spouted here but never bothered entering into the discussion. Last night however I spotted the word for word repetition in JAS123456's post from one that I'd read by c a l i f o r n i a j o e elsewhere and thought it warranted pointing out given that on a number of occasions JAS has linked to CJ's material and has lauded him, in his Simon Templar incarnation, as helpful contributor. If he is the same person then it has implications for the reliability of some of the stuff that he has posted. If he isn't then he should be brought to book for passing off the material as his own.
Oh and I forgot to mention Hereshopin, in order to use those tax losses from Kansas they would need to be finding new assets to operate in the US since that's where those losses reside. Sefton being a BVI corporation (zero corporate tax rate in BVI), had no tax losses in the parent company. I have no idea about the tax status of any losses incurred in the operations in Indonesia this year and head office costs since they relocated the administration to UK though I cannot imasgine that they would have significant value for a potential acquirer whatever structure was used.
The link removed from that second post was to the Google Finance page for Hawker Energy Inc Go to Google and search for: OTCMKTS:HWKR
Wierd board you have here. It removes links and replaces the name of c a l i f o r n i a j o e with *********** and it limits the length anyway post continues The Hawker shares – Hawker Energy has a market cap of $2,070,000 although it is unclear if shares have traded for many months https://www.google.co.uk/finance?q=hwkr&ei=OP0kVsmmFYWNULXWs7AG As far as can be ascertained they hold 150,000 post consolidation shares out of 8.32m in issue or 1.8% so it’s possible that the Hawker holding is worth $37k. However that in itself is not clear since RNS’s were clear that the shares issued to Sefton were in Hawker Energy LLC which is a subsidiary of the listed entity Hawker Energy Inc. In any event they may not find a ready market for the holding should they decide to sell. It’s certainly one to ask Clem for clarity on. koolisland, Back when BMD was trying to bring Ellerton down and coincidently WTI prices were hovering around in the 90's he described the Kansas assets as stripper wells (ones that were nearing or past the end of their economic life). Now after 2 years of minimal, cash-strapped maintenance and with WTI prices a fraction what they were then we are asked to believe that he considers them a valuable asset? Methinks that either he is a fool or he thinks his audience is comprised of such. Everyone, Have fun at that AGM and make sure you vote for all the resolutions. You may as well since in all but the wildest imaginable scenarios you lost anything you gambled on this ‘investment’ a long time back.
Disclosure, I have traded shares in Sefton and held shares at various points between 2011 and early 2014 closing my last position just before the end of the 2014 tax year. If you think there’s no value in reading the opinions of those that don’t accord with your own please don’t bother reading this. JAS123456, Are you an alternate username for **************, or are you simply plagiarising him? Your latest post reads: "Kansas - What the assets are worth now is questionable, as the pipeline, which required major work due to corrosion has sat there not being used or maintained for some considerable time so further rot is likely. Added to the fact the price of gas is so low it would never pay to utilise it, as things stand, with the low oil production that was declared and the substantial drop in oil prices, the assets can no longer have much value. It may well be that selling the flow meter, which is probably worth about $50k and the pipeline for scrap would return the most value. There are a few prime leases that may be worth something, providing they were renewed under Raylene’s rule but I would think right now, they are pretty worthless ..all imo" hTTp://www.lse.co.uk/ShareChat.asp?ShareTicker=SER&share=sefton_res On CJ & Partners new Talk About Shares forum is a post 4 days ago by the man himself, **************, that reads: "What the assets are worth now is questionable, as the pipeline, which required major work due to corrosion has sat there not being used or maintained for some considerable time so further rot is likely. Added to the fact the price of gas is so low it would never pay to utilise it, as things stand, with the low oil production that was declared and the substantial drop in oil prices, the assets can no longer have much value. It may well be that selling the flow meter, which is probably worth about $50k and the pipeline for scrap would return the most value. There are a few prime leases that may be worth something, providing they were renewed under Raylene’s rule but I would think right now, they are pretty worthless. Maybe JE will buy them for a song, he is the only one that knows whats what with them!" hTTp://www.talkaboutshares.co.uk/forums/topic/kansas-assets-a-lifeline-or-a-liability/ HeresHopin, There is very little value in whatever tax losses might remain within Sefton. Most of the historic losses were accrued within TEG USA and were sold with that entity to Hawker. Were they to find a buyer for Kansas the losses related to that operation would be sold with them. If they keep Kansas on in order to make use of the tax losses they would be committing themselves either to the decommissioning costs, endless care and maintenance costs to avoid decommissioning or significant investment to try to render Kansas economic to operate and I don’t see them doing any of those in return for a bit of tax relief. The Hawker shares – Hawker Energy