RE: Why won't Scot126 respond to my question?17 Feb 2023 06:53
There’s no need to get emotional Scot; it’s best to stay rational when speculating. The fact that you’re childishly spamming bb’s with half-baked nonsense tells me more about you than anything you claim. There’s a pungent stench of desperation in your posts...
You didn’t answer my question yet again… “Scot126, are you paid/reimbursed/in contact with Pantheon resources?”
It’s obvious your green to the oil and gas market, and that’s OK; everyone learns somewhere, but you would most likely do a lot better if you accepted your limitations, reality, and the full facts of a possible sinking ship that you’re on. Imagine the real possibility of PANR under 10p. Fact. More later.
You call yourself a ´ fundamental investor’. These companies aren’t investments; there´re speculative assets - with huge potential upside no doubt, but Investments -no. Although 88e does have a producing asset, so is more legitimate than PANR.
Why did I choose 88e over PANR? That’s easy. You answered it yourself.
“Why do you think it is a good idea to buy 88E at 22p per recoverable barrel in the ground v's PANR at 18p?” - The more obvious question is why are PANR ´reserves´ priced so low NOT vs 88E but the whole market?
PANR reserves would be priced higher if they had a more viable chance to recover them, such as 88e has.
As you state, what’s the ‘RECOVERABLE barrel in the ground’ – The market is pricing into PANR, the more likely possibility that it can’t recover the reserves from a troublesome well and will have to obliterate shareholder value to drill another. Unfortunate but true.
It’s not looking good, 500 bopd over that size pay zone is not promising, especially with a 40% clean-up already done.
That’s why people who understand the problems a bad drill creates have started to go for the door (Some big names confident enough to short the stock).
The acreage is excellent, so if they get another well drilled, I’d say the chances are good to produce from it- But the company's financial position should it not flow - not promising. This leads onto…
DEBT. What smacks one in the face (You don’t mention this in your ‘analysis’) when looking at PANR is the convertible bonds… the conversion price, and the clauses. As a shareholder, it must be highly worrisome.
Any realist can see that if they don’t get significantly better flow rates, which in my experience is now unlikely, then those convertible bonds will be called… and PANR will have to pay with a share raise…below the conversion price of 10p (83m MACP for PANR and $55m to raise to pay). PANR shareholders will be obliterated. Then PANR will have to raise on top of that to drill another well!…
Stop and seriously think about that. A problematic well will most like remain so- You can’t polish a t*** they say. If PANR had the cash, I bet they’d go to drill a new well now.
88E on the other hand, is that new well. Debt-free, fully funded and with lessons learnt from PANR, no doubt.
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