Member Info for tonynorstrom1

One cost you probably missed out on in your calculation and it is significant - i3e's losses on risk management contracts (hedges). Go take a look at these on the income statement in the H1 report.

With the benefit of hindsight - i3e's hedges have not been very cost effective. This was one of the items in their report that didnt get an A+ from me.

I run my own spreadsheet, however, putting that aside for now and using I3e numbers - go to page 3 from the H1 interims:

FCF = £24.9m
H1 Dividends = £6.853m
6.853/24.9 = 27.5%

H2 dividends are higher and H2 revenues are currently lower so the payout ratio will increase.

On the positive side production is rising to offset the lower POO.

I think your wrong Gusto - remember that I3E calculate FCF after Capex spend so by my calculations they have already paid out a significant portion of the 30%.

Isdeer,

Revenue = Total cost of sales which using Mcfishy’s numbers is $9m - $10m

Cash which everyone was talking about is cash at the start of the period ($0.8m) approx plus the free cash flow over the period - so somewhere in the range $3.5m to $4.0. This is not semantics and a gross misrepresentation of EOG’s cash position if someone is highlighting revenue in response to another’s posters question on cash.

It doesn’t really matter if they haven’t published the number yet - it can be approximated - how do you think Brokers and Analysts work ?

And for you Information - I probably now have one of the lowest cost averages in EOG.

A couple of video's worth a listen - the 1st talks about valuations & the Oil Price. The second talks about his top picks - 2 out of the 3 are either totally Clearwater Focused or have a major holding in the acreage. i3e has a large land position which it really hasn't tapped yet.

Remember what WHI said very recently - "Watch out for Clearwater!"

https://www.bnnbloomberg.ca/video/eric-nuttall-s-market-outlook~2500942

https://www.bnnbloomberg.ca/video/eric-nuttall-s-top-picks~2336311

if this site has x'd out his surname - you will have to re-type nuttall in the attached links.

is this the same isdeer that jumped on the bandwagon with the bully boy ramp brigade this afternoon to highlight that the distinction between revenue and free cash flow is pedantic (which it is not - THERE miles apart as anyone who can remember the downfall of Conviviality Retail can attest to) but thought it relevant to highlight the difference between "they're" and "there" on an investment BB ??? Hmmm - dont get all sensitive on me now.

isdeer - is this relevant to i3e in any way? I think you're on the wrong board.

Agreed Aimster - a particular vote of confidence from EOG as they are staking so much more relative to their Market Cap. Have a good weekend also.

Hope that Mcfishy enjoyed his beer !

Thank you - I went through the actual Interim report and could not find the number - but its in the RNS as per your post below.

Its not clear though what this number includes / excludes. Some companies report this as operational break even - i.e. covers opex and transportation only i.e. may excluded SG&A, Finance etc but I dont know this - will find out when these issue their next results.

1.2m

Stas,

I'm not sure that the April accounts represent a full half year of production - production at Wressle started relatively recently. Another source of data is the Tennyson Brokers note on the EOG Website - they have forecast revenues and profit - you can take those numbers an play around with them and make your own forecast.

ANATROB,

Where do you get the $17 break even if you dont mind me asking?

Well I think that leaves me - according to Simon Oddie (and I have no reason to doubt him) - he says that i3e have relocated slightly after input from his Geologists. Its in a recent fairly interview.

Facts First Bunny - I know you're not always keen to discuss them.

Selfish,

What a stupid post - of course "Revenue" is not banned - I was just wondering why you keep highlighting it when it is completely irrelevant to the discussion in hand. Its probably an attempt to mislead fellow posters by implying cash generation is higher than it it.

Free cash flow (Cash Generation) is closer to 35-40% of your "REVENUE " number or $3.8m - $4m a year.

I think i'll join you at the pub - only a different one about 6,000 miles away !

I'm not interested in Revenue - the discussion by everyone else was available cash to fund a side track or whatever. Revenue is irrelevant or rather is only relevant as the starting point for calculating how much cash is generated and available for other purposes

Please explain to this board what revenue has to with anything - your going to have to learn a few other definitions such as Cash Flow and Free Cash Flow.

Your very good at dishing it out yourself Selfish which is why I have no problem sinking to your level once in a while !

You don't know what your talking about - that's the problem.

This is the definition of Revenue from Investopedia to help you out:

"Revenue is the money generated from normal business operations, calculated as the average sales price times the number of units sold. It is the top line (or gross income) figure from which costs are subtracted to determine net income."

So to get to cash (Which is what everyone else was talking about) - you need to deduct the following from Revenue:

1) SG&A
2) Opex
3) Capex
4) Tax
5) Finance Charges.

hope that helps

just noticed the typo - I was obviously referring to EOG cash resources - that was the context of the thread.

There is no issue with i3e's cash as I have already mentioned.

Not revenue dumb nuts - cash or rather Free Cash Flow - look up the meaning.

I did not mention i3e's cash resources of lack thereof - I think the're pretty healthy - you can check it out for yourself - they released their Interim results only a few weeks ago.