Member Info for ZippyFrood

Good points Romaron.

IT's basic human nature (as per Maslow's hierarchy of needs et al) that is the basic needs are not fulfilled then all higher level ideals go out the window.

It's great that we're focused on transition and clean energy. Wood to Coal to Oil to Gas to renewables/nuclear to.......

However, the funding of this transition is key.

Anders Opedal of Equinor is quite sanguine about it. "we need hydrocarbons to fund the investment in to renewables. Without this, it won't happen".

We need more energy leaders to state these facts and inject some realism in the debate.

Realism is needed. Not punitive tax rates to cover up for the politicians (note I say politicians, not government) being unable to land a coherent energy policy.
Punitive taxes will scare away investment.
Less investment = more imports.
More imports = less energy security and higher price volatility

This is great news Malu, good spot.

How long would it take and what needs to happen to get to investment grade? Looks like we have to climb another five ratings to get to BBB- from B

Thanks

The outlook for oil changes more frequently than UK PMs these days.

Anything over intraday is still bullish for oil.

Good question KO - an all with Brent sitting at $92.50. Which is a lot more in £ terms these days. And Chinese growth "data" has been positive. I give up.

Remember the market can remain irrational longer than we can remain solvent. Luckily the market in this case is very much in demand so we should be fine, even if it means waiting a bit longer.

That’s an interesting issue. I’m not a production chemicals guy but I wonder if it’s due to poorly treated crude added to the SPR itself (as in water not fully separated out) or is it down to poor reservoir management and the allowance of SRBs (sulphate reducing bacteria) to flourish. These nasty little blighters produce the H2S gas in crude but can easily be kept at bay with hypochlorite treatment. I think they are added via produced/injected water so worrying that the SPR is not controlling them.

Feel free any tech people to correct me

Crikey, the SPR won't be refilled for some time then!!

I love it when politicians announce some certainty.
Instantly means it certainly won't happen.

A couple of relatives are interested in O&G exposure but they are somewhat risk averse.
Their pensions are quite heavily weighted to bonds and gilts etc. They bond hold a lot of premium bonds.

I've mentioned ENQ to them before and I think the new bond (and existing) would interest them.

I have zero clue on how to buy/sell these bonds.

Can you do it via your platform of choice?
Any provide a short idiots guide?

Thanks in advance.

Ooops, CAPEX likely to be higher if we’re developing, I meant to say much lower OPEX/boe

Romaron, that’s a nice outlook!

We could be back at the market cap of early 2014, before the Alma Galia disaster, before the shale shambles and the Covid catastrophe.

But, with a much lower CAPEX, two great development assets and a stronger financial outlook.

Any idea what rubbish Hosie has come out with now?

"The recent safety system discoveries on board the Bumi Armada owned and operated Kraken FPSO will likely result in a material downgrade to EnQuest's Magnus and Scolty/Crathes field reserves, free cash flow and ability to continue to pay down debt and ultimately refinance the bonds. Reiterate underweight".

Probably something like that?

But did you guys not see;
Keir said that within a year of a Labour government he’d have set up a national energy company to give UK self sufficiency and end reliance on foreign energy sources.

I’d love to know the detail behind this proposal…obviously there is no detail behind this sound bite, but I imagine many people would fall for it.

It really boils my **** when politicians aren’t harangued by interviewers about the depth and detail of energy proposals. They just seem to take it as gospel and are more interested in chasing gotchas about some unrelated and ultimately unimportant subject.

100% Romaron.

I cannot believe this charade has been allowed to continue for so long.

The £billions wasted on this could have been spent on developing CCS and exhaust scrubbers to make it actually zero carbon as opposed to some net zero guff.

Could have left all coal powered stations open, belting out cheaper power and either removed the nasties from the exhausts or captured it all and packed it away underground.

F sake.

Hopefully common sense prevails....!! ha

Barclays increases target from 26p to 28p, retains underweight rating.

What a plug Hosie is. How to admit you're wrong, without admitting you're wrong....

It was an exciting time - remember all the "where's the Scott Spirit" memes on the iii XEL board.

Then it all went to rat **** and there were the usual calls for Cole's head on a stick.
To think they raise north of $500m, equity and debt? I suspect a lot of people lost a lot of money.

Maybe something can finally come of it? Would be a great reward to the perennial pain of being an ENQ investor - knowing that your holding is worth far, far more than the market values it at.

Auson,

I wonder if the Truss government funds the increase in utility bills a short term stop gap (in conjunction with other short, medium and long term solutions) then the public will be more amiable to the scraping of the EPL on condition that we crack on with more O&G developments and perhaps some rules on how it is sold (i.e. to the UK the products allow) and then everyone's happy and we can have a 60p party?

Jeff,

A guy I used to work with sold all his UK belongings and moved to rural Portugal in 201-something. He was formerly a Subsea Projects guy.

I think he said they bought 50+ acres and an old farmhouse for less than €50,000. Fertile soil, own well but zero utilities.

He was pretty handy so planned to install solar, battery back up, wind, reed bed waste, aquifer pumping system, satellite broadband and powered irrigation.

Sounded pretty cool, fancy that?

https://www.reuters.com/business/energy/us-crude-spr-hits-lowest-level-since-january-1985-2022-08-22/

Including a drawdown of 8.1m barrels last week. So over 1% of world supply has been “artificially” provided. Wonder when this supply gets wound down?

You've also got to wonder what effect the "inflation reduction act" will have on investment in O&G and the subsequent lack of new supply coming on stream in the next 5-10 years.

You've got a decade of massive US subsidies on "renewable" energy coming up, so will investors be even more likely to shun O&G leading to even greater supply shortfall in the short to medium term?

If so, ENQ will be a good place to park our capital.

Would love to see dividends.

Surely even a 5p annual dividend would propel this to 60p+?

So has the volume of posting.

It’s nice not to have the Trolls clogging the board up, but I am missing the well informed musings of everyone.

Maybe the heat has everyone a bit sluggish?