Member Info for tuscany1

You were right the first time Davieri...The 16m m$ goes to LBE who then use it to source the JV alongside Japex
.Cenkos have a note out indicating 2023 end year LBE cash, based purely on that initial payment ,of £ 25m.
Thats the House broker BTW so they should know.

https://www.japex.co.jp/en/news/detail/20230502_01/
JAPEX places the acquisition of new oil and gas interests as one of the priority items in the "JAPEX Management Plan 2022-2030" formulated in March 2022, under the expectation that oil and natural gas demand will continue for a certain period even under the way to the carbon-neutrality. Based on this plan, we set the North Sea as one of our main target areas, where infrastructures for production and transportation such as offshore processing facilities and transportation pipelines to onshore are in place. After the consideration* of various possibilities, we decided the capital participation in LBEN.

Please refer to the appendix for the outline of LBEN.

Regarding this transaction, we expect to invest approximately 150 million USD over the course of the next three years at this moment, for the exploration, development, and the acquisition of new interests

This is the kind of stock Simon Thompson in IC would pick up given its value credentials.This is a long hold for me ..great potential metrics at miminal risk.

Cenkos note just out has closing cash end 2023 of £25.7m and then £22.6m end 2024
Thats 45p a share end this year.
Buying at todays price really is a free ride on Velocette..market still not got it!

Cenkos comment

Follow On Financing Commitment to Pursue Growth - As part of the investment, JAPEX will provide the joint venture with a five-year, US$100m acquisition financing facility to finance acquisitions and associated development costs. As a result, Longboat will be able to pursue transactions from a position of strength, with counterparties knowing that Longboat has the sufficient funds with which to transact. The facility will be available for drawing for the first three years and will attract a market rate of interest on an increasing scale over its tenor with an initial rate of 6% in the first year and an all-in-cost over the term of less than 10%.
We believe the acquisition financing facility has been structured in such a way that the JV can bring in additional third part debt. Using the leverage generated by the facility, the JV will be able to unlock significantly more financing capacity, and therefor pursue much larger deals with meaningful growth

https://uk.advfn.com/stock-market/london/longboat-energy-LBE/share-news/Longboat-Energy-PLC-Norwegian-Joint-Venture-with-J/90919574

LONGBOAT ENERGY PLC will be holding a Investor Presentation meeting on 3rd May 2023 at 11:00am BST.

Register with Investor Meet to see..

Agree with all your points and should be nearer 30p than 20p given Q3 cash is going to be approaching £20M ...or over 30p per share,So apart from anything else you have a free ride on Velocette.
I also have to say the Japanese cant have been unimpressed by Kveikje.

More from Auctus..
Near-term news flow includes the drilling of Velocette (3Q23), potential acquisitions in Norway (2023) and in Malaysia (potentially 2H23 or early 2024). Further drilling in Norway and Malaysia is expected in 2H24. • As we incorporate the impact of the transaction, we have changed our target price to £0.90 per share in line with our new RENAV.The transaction values Longboat Energy at US$16-50 mm (£0.22-0.68/sh or 2.2-6.8x the current share price). Our new Core NAV incorporating the cash injection and the reduced WI in Longboat Energy’s various assets is £0.28/sh. Our new RENAV stands at £0.88/sh. Our new Unrisked NAV for Velocette is £0.76/sh.

Auctus comment .
This transaction is very good news for Longboat as it highlights the quality of the portfolio that ist material enough to attract a company with a market cap ~US$1.8 bn. It also addresses investors’ concerns about Longboat’s funding position that has weighted on the company’s share price and allows the company to maximize the value of its assets by being able to fund the concept select development of Kveikje and of the future exploration programme. • This is a new country entry for JAPEX, a company partly held by the government of Japan, which demonstrates the continued strategic importance of Norwegian oil and gas.

Very fair comment ...I will give them another month.

Research Tree that is ... sorry about link .

https://*********************/

Report available here if you register..

We initiate on Longboat with a valuation of 57p/share. We value Longboat using an NPV of forecast field cash flows – as we do for the rest of our E&P research coverage. For each field/prospect we discount our bottom-up forecast free cash flows using a discount rate of 10% commencing in 2023. In our NAV summary below we use the following definitions: ? Core NAV of (4.6p)/share: Net debt/Cash adjusted for recurring G&A costs and the Company’s exploration tax rebate. ? Tangible NAV of 14.8/share: The estimate of the potential value from the Company’s discovered resource but require further work in order to convert the discovered resources into reserves. We apply a commercial risk weighting (ie chance of success) to each discovery. ? Risked Exploration NAV of 56.8p/share: The estimate of the risked exploration value in the as yet undrilled prospects in the Company’

https://*********************/companies/uk/oil-gas-services/longboat-energy-plc/research/cenkos-securities/cenkos-longboat-energy-plc-repeating-a-successful-strategy/39_fe851088-51cc-428c-872e-4b9fe9024958

As I've said before they have to do a raise before the Velocette result is in later in the year .It would be just irreponsible not to do that so I'm not remotely concerned about the addition of Cenkos as a new broker .The issue is can they do that after a monetisation event when they can raise at 20p plus.I trust they are smart enough to do that .

Couldnt agree on the price I imagine..seems to be primarily an oil prospect rather thann gas .Helge talks a lot about value but he has to learn to be a price taker..I dont think that comes easily .Maybe the Lotus drill next door in 2024 is a complication too.

Those Wellesley pickups.

https://login.esgian.com/articles/equinor-increases-interest-in-five-north-sea-discoveries/3475

Equinor has signed an agreement to acquire an equity interest in five discoveries in the Troll, Fram, and Kvitebjørn area in the Norwegian sector of the North Sea from Wellesley Petroleum. Since 2019, Equinor has made seven discoveries in this area.

The transaction adds to Equinor’s equity share in the following discoveries: an additional 18.8% in Grosbeak, 45% in Toppand, 40% in Atlantis, and 20% in Røver Nord and Røver Sør.
Although a mature part of the Norwegian continental shelf, the Troll and Fram area has emerged as an exploration hotspot over the last years, and Equinor has made a number of discoveries in this area, including Swisher, Toppand and Røver Nord and Sør. Equinor has started field developments projects to coordinate the development of these discoveries in collaboration with partners.

The closing of the transaction is subject to customary government and licence approvals and is expected to be completed during the first half of 2023.

Kveikje -Stranded ??
Hardly...look at the map..
https://www.energy-pedia.com/news/norway/equinor-announces-second-discovery-of-the-year-near-the-troll-field-in-the-north-sea-190847

The last thing they want to do is raise at 10p .Quite apart from the fact it would hurt their own pockets and **** off all their shareholders ;it is just not in any way a representative valuation of their prospects as it ignoresnot only a proportion of cash on the balance sheet ,but also the very tradeable value of Kveikje and any risked value from the Velocette drill.
If they can monetise Kveikje for £12m (4m boe at 4$/boe) they then have circa £20m in cash worth circa 35p per share.As soon as they do that the going concern question disappears into thin air and as a minimum they will rerate at 25p plus.Of course they will not want to do a fund raise even then, but equally doing it after a potential Velocette failure would be foolhardy in the extreme.So raise 40m shares pre Velocette at say 25p gets you another £10m at which point you can buy some Malaysian production and you are also set fair for your 2024 drill at Lotus.The issue is can they get the price they want for Kveikje because atm they are and have to be price takers.It must really hurt them to feel like this given how much Faroe was sold for .
Well thats the way I see it and also why I think LBE is such a great risk/reward opportunity .