The latest Investing Matters Podcast with Jean Roche, Co-Manager of Schroder UK Mid Cap Investment Trust has just been released. Listen here.
I think you have to register to access
https://www.investormeetcompany.com/investor/meeting/investor-presentation-68
I think the fact the article is 2 years old shows that the impact here is negligible.
James Campbell of Botswana Diamonds (BOD) gave a good overview of the diamond market in a recent interview:
https://www.youtube.com/watch?v=zxq_AisToFE&t=214s
Bullet point from the slide:
Lab Grown Diamonds (LGDs) prices are falling and not directly competitive with natural diamonds as consumers increasingly view LGDs as fashion jewellery
I hold both shares. BOD is a very strong buy for me, but not going to be suitable for most (microcap, primarily exploration)
One more Q&A quote, this time about new Jurassic prospect MOU-NE:
“I have worked in the Sirte Basin Libya for the Libyan National Oil Corporation many years ago when the Americans were in Libya. The new prospect reminds me of the prolific Zelten carbonate reservoirs.“
from Q&A just published we have these comments from PG on T&T EOR:
“We will divest as soon as the opportunity arises and we are working on this at present. We will still retain an equity in the business and an advisory role. Current circumstances mean that gas offers greater potential near-term returns and can replace coal and oil for greener energy. CO2 EOR is incredibly labour intensive for our small team. We are not abandoning it but just re-positioning it in our order of priorities.“
“We are working as a priority with Lease Operators to design the next CO2 EOR project for them on a risk-reward sharing basis.
I don't expect this to be finalised until later in the year.
There are several other parties requesting engagement with Predator. We are focussed on those with production and sound finances.“
Just to reiterate that statement from JC, because it's huge. I've been holding here mainly in the hope that Thorny River might 'possibly' be another Marsfontein, and the newsflow has been converging on this hope. To now hear that the main main thinks this is 'likely' the case? Wow.
Marsfontein case study for the benefit of any new passers-by:
https://www.thediamondloupe.com/sites/awdcnewswall/files/attachments/marsfonteincasehistppt2005-190228162000.pdf
some highlights:
* 3.5 day payback
* Value of first months production $23mm (at 1998 diamond prices)
* total revenue $246mm (again, historic prices) and took 10 months
*average margin 91%
BOD market cap ~£9mm (NINE)
Then you've got all the other projects on top (Ghaghoo, KX36, etc.)
Bring it on
I would say minimal impact. More or less tracking the Sandfire price.
Reposting the link from below. Just finished first read of it, outstanding stuff.
https://wp-predatoroilandgas-2020.s3.eu-west-2.amazonaws.com/media/2021/09/28070152/Webinar-Presentation-website-Version-28092021.pdf
it sounds to me like the drills are to be funded by Moroccan industry partners through exclusivity and/or preferential prices, not a % share. So no dilution. Must be confident of commercial gas to have those discussions.
Hi WM,
Looks like Jorf Lasfar is not in disputed Western Sahara (per google maps and https://en.wikipedia.org/wiki/Jorf_Lasfar)?
I also can't see that PRD have specifically mentioned that site - the CEI listed Nador West Med, Kenitra Atlantique, Jorf Lasfar and Mohammedia as possible sites (all in Morocco proper).
Still, if we're the only company to submit a bid so far that must improve our chances
"Preliminary seismic re-correlation of the TGB-2 objective to the MOU-4 Target confirms that MOU-1 successfully proved up and substantially de-risked the MOU-4 Target."
- PRD RNS, 19th July 2021
https://www.lse.co.uk/rns/PRD/operational-highlights-and-placing-3n4acjtqzj8qpcf.html
The new CPR that is being produced for MOU-4 ought to be a stonker.
Why sell below placing? In case the share price goes down further. They placees (at least the ones used by PRD) don't take a view over the prospects of the company. They are risk averse and want to sell their shares in the short- to medium-term in as orderly way as possible. There isn't enough volume for the whole placing to be forward sold, their shares need to be dripped into the market over weeks/months to avoid a crash in the price. This is why these kind of placings are usually at a discount to current price, to encourage the placees to take on this price risk. Makes timing of RP's sales particularly controversial.
Placing overhangs often suppress the share price and keep it artificially low, which can present an opportunity for PIs to pick up cheap shares when fundamentals have improved but not yet been reflected.