Global Energy Development Share Discussion Threads

[neo26] 24/8/2016 12:08

At these levels your investment is safe. Too much money in the bank, once oil surpasses $60 are assets come into play again.Who knows everest might come in again with a farm out deal.

[betelgeuse1] 24/8/2016 11:03

Im sensing a spike coming to 65p

[neo26] 24/8/2016 00:33

Anangf

Not really, call it a Buyback of shares, the company that we loaned to hold 9.3m shares in our company. The loan is guaranteed against their shares they hold in our company.

Total share in GED is 31.1m

[neo26] 23/8/2016 23:10

reading up more, ged lent further 2m to everest, the loan guaranteed against everest 9.3m shares in GED. Total shares in ged are 31m.

If everest dont pay back the $10m, their shares are cancelled in ged. Then at current share price mkt cap will be around 5.7m. With cash around $23.5m in bank the value of the company will be 3 times less than cash in bank.

I hope everest dont pay back next month....

easy 3 bagger...

At these levels this company is cheap, anyone else feel same.. :)

[neo26] 23/8/2016 22:29

like HugePants stated they had to fully impair $22m for the asset as oil price was average of 38.21/bbl in 2015 and 57.33/bbl in 2014, both were uneconomical. They are our assets maybe in the future if price go over $60/bbl then they may write that back in accs. Its just a waiting game..

This from the final results

"Low benchmark oil prices of $38.21/bbl as at 31 December 2015 caused the proved and probable oil reserves within the Bolivar Contract area to be uneconomic. Global was required to fully impair the $22.2 million of capitalised costs associated with its Bolivar Association Contract. Proved and probable oil reserves within the Bocachico Contract area were uneconomic at oil benchmark prices of $57.33 per bbl as at 31 December 2014, and Bocachico's proved and probable reserves continued to be uneconomic at the lower oil prices as at 31 December 2015."

[anangf] 23/8/2016 20:27

So in addition to cash this is a call option on oil. Didn't realise their assets had value at 57$....is that right?

[neo26] 23/8/2016 20:11

Apart from this high cash pile they also have a decent asset in Bolivar Contract area but for it to be economical price of barrel needs to be over $57.33. We're nearly there $48.10!!!

Maybe this will further our aims, come on get oil above 60 dollars

hxxp://www.wsj.com/articles/oil-prices-slide-as-hopes-of-opec-production-agreement-fade-1471940816

[betelgeuse1] 23/8/2016 16:11

wow, maybe they will plan a bid, can have mine for 50p

[neo26] 23/8/2016 14:34

Can't understand why someone will sell at this level.

Company has $26m in the bank, will receive their $10m back in sept 2016 which they loaned out. Damn $36m cash... MKT cap is only 9.93m. Its crazy....

Maybe return $26m back to shareholders and keep $8m-$10m for working capital...

[neo26] 23/8/2016 11:11

betelgeuse1

mkt cap 9.93m its due a re-rate.

[betelgeuse1] 23/8/2016 10:27

Im sensing a spike coming to 65p

[betelgeuse1] 23/8/2016 10:10

Going up. All aboard. Ding ding.

[neo26] 23/8/2016 09:41

charts looking like a rerate very soon.

[dlku] 22/8/2016 23:58

Results soon

[neo26] 22/8/2016 21:35

hugepants

what are the directors doing currently, apart from taking a wage?

[hugepants] 22/8/2016 21:04

Due to the collapsing oil price property was written down to almost zero at the last results. However if the oil price rises back up to over $60 they'll probably need to start writing it back. They have some good on-shore assets.
They should definetly be buying back shares at this price, especially with the sterling weakness. Or a tender offer.

[neo26] 22/8/2016 17:31

Note receivable $8,040
Cash and cash equivalents $25,608

Convert this this to pounds £25.5m, just in cash. Mkt cap currently 9.75m, share price currently discounted by 2.62 time by cash, this not including other assets ie machinery, property and equipment

[neo26] 22/8/2016 13:40

MKT has really been tough on this one.

Board and company brokers need to take their fingers out and promote this to the MKT.

If not, they rather return the money back to shareholders and close shop.

Must say old investors must be really annoyed.

Fantastic opportunity for new holders.

[neo26] 22/8/2016 13:35

i think at these levels, this company is a safe bet, better than putting them in a savings acc.

NET ASSET value is four times the current share price FFS aim market is really blind.

[neo26] 22/8/2016 13:16

Spread is crazy, but this has over 63p per share in bank. Add equipment, machinery its well over 80p.Damn. House broker needs to do their work and spread the word around.

[duxy786_2] 20/8/2016 09:09

InvestorDace, why does the spread matter at this stage or is the you saying you plan to hold for 17 days on a T20?

[investordave] 19/8/2016 12:14

Tempted to buy at these levels but the spread is huge.

[1birddog] 19/8/2016 11:25

GED on the up investors beginning to realise how cheap this is

As Simon Thompson in IC noted


"However, with shareholders losing patience, the shares have drifted to such an extent that the cash pile is now almost three times the company's market value. In addition, the company owns property, plant and equipment valued at $22.3m on its balance sheet, so after deducting liabilities net asset value of $54.3m equates to £37.2m at current exchange rates, or FOUR TIMES times the company's current market value."
That's cash 67p a share plus assets.Share price 28p !!!!

[1birddog] 19/8/2016 08:22

Results soon