Amedeo Res Share Discussion Threads

[dosser2] 05/11/2015 14:49

Cant wait..

[dosser2] 05/11/2015 14:49

Cant wait..

[davethechef] 05/11/2015 14:03

Looks like we may hear news on possible clean energy vessels(whilst oil rig demand poor) for our offshore yard, as indicated by Exec Chairman Ren Yuanlan of our JV partner Yangzijang Shipbuilding, back in August.

hxxp://www.nextinsight.biz/index.php/story-archive-mainmenu-60/927-2015/10190-yangzijiang-defies-headwinds-to-grow-capacity-orders-and-output

Taken from above,
"We expect to deliver our one and only offshore engineering structure --- the Super 116E jackup platform on schedule by this year. We have established a reputation for our capability in offshore engineering.

"Construction of oil rigs is a viable business only if oil price is at US$70 a barrel or more. In the meantime, clean energy vessels will replace our offshore engineering business," said Executive Chairman Ren Yuanlin.

[davethechef] 24/10/2015 16:44

SUPER 116E Jack-up platform(Rig) pictures 'seaborne', very recently uploaded on Yangzijiang Shipbuilding site.
as for the SP- it s@@ks!!!
hxxp://www.yzjship.com/en/product_show.asp?cid=30

[davethechef] 11/10/2015 13:57

The latter link(not allowed) is from proactiveinvestors.com, titled 'Oil market boosted as OPEC see light at the end of the tunnel'.

The former article from Mineweb; one could say the same for the huge up-take of car consumption form a burgeoning middle-classes of the billion populated Indian nation too.

[davethechef] 11/10/2015 13:48

Lots of recent articles on increasing demand & long term recovery for oil consumption.
Below are a couple of very recent articles.




[...]

Is this what Glen Lau means by a pick-up in demand for rigs in the medium term?

We live in hope!?!

[the stigologist] 07/10/2015 13:27

dead cat bounce

[dosser2] 07/10/2015 13:17

Up a bit. At last!!

[howdlep] 07/10/2015 12:51

papillon,

best you stay clear then or better still, short if you can.

Try buying/accumulating/closing shorts when a good RNS comes out.

Let's see where we are at year end. In the meantime, I will continue to add slowly

[papillon] 02/10/2015 16:22

"Amedeo Resources.Undervalued stoclk going places (AMED)"

It sure is, howdlep. It's been going down! Their broker (who they pay) rates it a speculative buy. Well they would, wouldn't they!

[howdlep] 29/9/2015 09:58

AMED holds a 47.5% stake in YZJOE SingCo, a JV between Amedeo Resources and Yangzijiang Shipbuilding, which in turn owns a 40% stake in YZJ Offshore China, providing Amedeo with an indirect 19% stake in the yard.

CSBC, Yangzijiang join hands to compete for newbuilding orders

(article first reproduced by akramms on the LSE board)

[howdlep] 29/9/2015 09:02

Beaufort speculative buy note:-

Amedeo Resources (AMED.L, 23.0p) - Speculative Buy
Yesterday, Amedeo Resources announced its interim results for the six months ended 30th June 2015. During the period, the company’s revenues advanced to US$65,000 from US$36,000 in H1 2014 mainly due to the contract with MGR for business development and marketing services. Amedeo holds a 49% stake in MGR. The company’s administrative costs were reduced to US$338,000 from US$453,000 in H12014. Pre-tax loss narrowed to US$683,000 from US$815,000 leading to loss per share of US$2.09c against US$2.65c in H1 2014. Cash at the end of period stood at US$3.3m (H1 2014: US$1.7m). On the operational front, the company continued to progress at the Jiangsu Yangzijiang (YZJ) Offshore Engineering and remains on track to complete the first order, Explorer 1 by the end of this year.

Our view: Amedeo delivered solid first half performance despite difficult trading conditions. The company made significant progress in the YZJ offshore and is all set to finish Explorer 1 by the end of 2015. Amedeo has a 19.0% stake in YZJ Offshore which it holds through 47.5% stake in the joint venture company, YZJ Offshore Engineering. The company’s YZJ offshore has the potential to build innovative and specialized rigs for shallow and mid waters and also develop a variety of vessels including semi submersibles and accommodation units. Going forward, Amedeo plans to look for purchasers to place new orders. Given the steady progress of various assets across global network covering East, South East Asia and the Middle East and Amedeo’s strong cash position, we believe the company would continue its growth momentum throughout the year. Therefore, we maintain a Speculative Buy rating on the stock.

[the stigologist] 28/9/2015 14:06

yup thanks dave

[davethechef] 28/9/2015 13:38

Stigologist,

You post on masses of shares, trashing every single one, LOL!!!

[davethechef] 28/9/2015 13:21

Today's Proactiveinvestors.com report,
pretty much the same as a few months ago.
Nice cash position and reduced costs good news, but difficult conditions continue; still, for me a continued long term hold, optimistic AMED will pick up some attractive deal, with their contacts and huge multi-million £ strong shareholders.
Tempted to top-up, but no spare cash.

UPDATE- Amedeo Resources says first rig remains on schedule


Share
















[...]





12:31 28 Sep 2015

Amedeo doesn't expect the current weakness in rig markets to continue through the medium term

UPDATE- Amedeo Resources says first rig remains on schedule

YZJ Offshore's first rig is on schedule to be complete before the year's end


--ADDS BROKER COMMENT--

Amedeo Resources (LON:AMED) told investors that the first order for a mobile jack-up drilling rig remains on schedule to be completed by the end of this year.

The investment company, with a stake in a Chinese rig building venture, this morning revealed first half losses narrowed considerably to US$15,000 from US$271,000. It comes as cash administration costs reduced to US$248,000 from US$453,000.

Amedeo ended the period, to June 30, with cash of US$3.28mln.

Amid weak international oil prices, the company says the rig market remains difficult. Talks with several potential purchasers of new rigs continue, though no new orders have yet been obtained.

The company describes the situation as disappointing, though it highlighted that the facilities have the capability to build many different types of vessels and, at the same, time it does not expect weakness in the rig market to continue in the medium term.

Amedeo says it remains focussed on a long term strategy of building a vertically integrated business in the resource and energy related infrastructure sectors.

“With the current difficulties with the rig market, winning new orders at YZJ Offshore has been difficult,” the company said.

“We do not expect this situation to continue in the medium term, and when the recovery does come, YZJ Offshore, having proved itself with Explorer 1 and with its capability to produce advanced, specialised and localised rigs as well as a range of other vessels, is well placed to take advantage of it.”

Amedeo also reported that its part-owned iron ore trading business has been responding to the reduced demand by continuing to monitor the market and also explore opportunities among other commodities, including ‘soft’ commodities long the East and South East Asia, South Asia, Middle East and Africa corridors. It added that ‘actual broking activities’ during the period were minimal.

John Cummins, analyst at broker WH Ireland, says Amedeo’s results demonstrate a tight control of costs against the challenging market backdrop.

“Whilst end markets are likely to remain challenging for some time, we believe that Amedeo remains well positioned to benefit when the cycle turns,” he said in a note.

[howdlep] 28/9/2015 08:24

WH Ireland note just out:-

Amedeo Resources* (AMED) – Speculative Buy – Interims – costs reduced in a challenging market

Market Cap £8.2m Price 25p Target 75p
​

Amedeo Resources is a resource and energy related infrastructure and asset investment company. This morning, the Group has reported interim results, which demonstrate a tight control of costs against the challenging market backdrops in which Amedeo’s investment companies operate. Administrative costs declined by 25.4% to $0.3m, with cash administrative costs down 45.3% to $0.2m as a result of fees associated with the investment made in the YZJ JV and non-recoverable VAT in the prior year. The overall loss on ordinary activities stood at $0.6m (H1 2014A $0.8m), with the loss per share at 2.09c. Net cash increased to $3.3m (FY 2014A $1.7m), benefitting from the repayment from MGR of the $2.0m convertible loan (with the $1.9m loan outstanding to Amedeo still remaining). As at 30 June, the carrying value of investments in associates stood at $18.6m (H1 2014A $19.7m).
​

The first rig order, for a Le Tourneau Super 116E Class design, self-elevating mobile offshore jack up drilling rig, is reported to have continued to quality and is on schedule to be completed by the end of this year, and ahead of commissioning during 2016. Against the current market backdrop, no further orders have been obtained but the New Yard is absorbing container block overspill from Yangzijiang Shipbuilding’s yards. MGR scaled back its iron ore operations given the price declines, and is currently exploring other broking opportunities, including in soft commodities.
​

We make no changes to our estimates following the results (FY 2015E EPS -4.1c, FY 2016E EPS 1.9c). The potential for the Group is significant given the backing provided by operating partners, majority shareholder, track record of management and proven ability to keep costs to a minimum. Set against these positives, this remains an early stage investment in a Group whose principal investment has a limited track record in an extremely challenging market. However, given the significant potential when the cycle turns, we maintain our 75p share price target and Speculative Buy stance.

*WH Ireland acts as NOMAD and/or Broker to this company

[davethechef] 25/9/2015 14:54

Interim Results are to be expected early next week, just been informed having rang Amedeo Resources London telephone number. Re my query: P.I's having been starved of positive news, was told "no news is good news".

[howdlep] 09/9/2015 14:10

Indeed, with the top 4 shareholders accounting for 80.76% of the shares, this will move very, very quickly. That is why you need to be holding when the rig completion RNS arrives.

Management options at £1

[mach100] 09/9/2015 13:51

Yes Howdlep. This one is due a spike even if there is no substance behind it. Will need to see a step up in volume but when this moves it moves in bounds!

[howdlep] 09/9/2015 12:20

Delivery of that drill rig getting closer and closer. So maybe the time is right to review Proactive's article from back in June:-