Sdx Energy Share Discussion Threads

[neo26] 25/4/2017 09:03

NickI think what spooked investors today was that there was no mention of SD update, it was rather strange to release this RNs considering when they applied for extension on SD it wasn't RNs'd.I think sdx will be successful this year even if no oil is found at SD.

[nick2412] 25/4/2017 08:55

neo, as you'll know nothing goes up in a straight line and there are always profit takers who will look at the rsi which had become a tad toppy. There was also a fairly significant pullback prior to the successful gas find. SDX run a tight ship and the drop is just a technical pullback and not indicative of whether oil is found or not.

With gas and no oil I would expect a gradual re-rate upwards over the coming months to 100p plus given the other already identified and de-risked gas prospects and the fact that only 25% of the block has been covered by 3d seismology. With an oil discovery.. well let's wait and see. I think based on PW's interview we are looking at around 2nd May for the result.

[deltrotter] 25/4/2017 08:47

Ha ha - my thinking exactly HAF....

[haideralifool] 25/4/2017 08:45

millie since there may be a gap between the Egypt results and any further news, wouldn't it make sense to have had the morocco update follow after news of any duster? (That's assuming timing is within the gift the of the company).

[petergennery] 25/4/2017 08:43

Was too slow to get in at -4.9% :(. Been in since the early 30's, it'll take more than that!

[soulsauce] 25/4/2017 08:37

Quite a shake that one.

[milliecusto] 25/4/2017 08:36

I did say yesterday that this would happen,potentially no news till next week or bad news this week hence the upbeat rns this morning

[neo26] 25/4/2017 08:30

Wtf, why the big drop, news shud arrive soon..

[deltrotter] 25/4/2017 08:10

lol soulsauce

[soulsauce] 25/4/2017 08:09

From Malcy, hope tournesol doesn't mind me posting:-

A Morocco update today from SDX, with so much exciting news from Egypt it is easy to forget that particularly since the Circle deal SDX has significant exposure to exciting production and exploration in country. The Lalla Mimounia Nord and Sud permits have been extended to March 2018 with drilling on two exploration wells planned for 2H 2017. At Sebou several extensions for production and exploration have been granted over the next eight years with a number of wells planned this year which, if successful are close to pipeline infrastructure. Overall these developments provide significant potential to increase both production and reserves with plenty of exploration upside. Things at SDX are still going from strength to strength.

[griffin81] 25/4/2017 07:50

Someuwin, thank you for posting.

It's important to remember SDX owns the pipeline at Sebou which is currently carrying 6MMscf yet has capacity to carry 24MMscf. The margin is currently over 90% with a cost of gas at c.$1.0 being sold for $9.90 per unit in 2017 which increases to $12 per unit in 2018.

The cash generation here based on existing production is significant ($31 million net cash in 2017 and $42 million net cash in 2018). Any additional gas production in Sebou goes straight into the existing pipeline and straight to the bottom line at almost obscene levels of margin.

Based on existing cash generation alone this year and next the M.Cap should be double the existing level. Which is before considering additional generation potential in Sebou, the material gas find announced at SD last week and the potential for oil, and the exploration of the remaining 75% of SD in future. The M.Cap is currently disconnected from reality and as the market wakes up to this the share price will naturally appreciate to the correct level. SDX is now my biggest holding and I expect this to be a star performer in my portfolio this year and next.

Griffin

[bountyhunter] 25/4/2017 07:47

tournesol - usually I do but am restricted to my mobile this morning, key points and a link may have been better I but somuwin post was useful to me this morning and I'm sure to some others too;too busy right now to argue further!

[deltrotter] 25/4/2017 07:45

Yup, investegate for me every morning....

Great news today - SDX is far from a one trick pony. The cash flow they are and will generate in Morocco is fantastic.

[tournesol] 25/4/2017 07:42

Bountyhunter

every serious investor checks the RNS feed at 7 every morning

and of course it's available on your mobile device

just check Investegate.co.uk or any of the many other services that stream RNSs

[bountyhunter] 25/4/2017 07:35

Thanks for posting the rns someuwin, it was very useful as bought it to my attention and the rns was not directly accessible on my mobile device.

[pauliewonder] 25/4/2017 07:31

Agree Peter, today's announcement gives a reminder that SDX is not a one trick pony. It's going to be a busy year for SDX and hopefully they will be successful in the 7 drills as Morocco is clearly a good, stable place to be operating. Again de risks the overall company rather than relying solely on Egypt.

[petergennery] 25/4/2017 07:25

Logically there's no sustained reason why it should drift down, all this talk of oil is a relatively new thing, many on here believe the price doesn't even reflect the current gas status

[tournesol] 25/4/2017 07:24

For goodness sake, SOMEUWIN, it's utterly pointless to cut and paste RNS announcements. By all means give us the headlines but not the full text. But that said, You should at least say what you think about them.

I think the Morocco news underlines

1) the scope and scale of SDX's portfolio
2) the richness of the short-medium term opportunities at SDX
3) the determination of the management to drive ahead at full speed

and consequently implies further share price strength in both short and medium term.

[soulsauce] 25/4/2017 07:23

Nice update. Confirmation of 7 wells in Morocco this year.
At first I thought it was an SD update.

[milliecusto] 25/4/2017 07:22

So no clear news on the oil,maybe drift down a little till we get news next week..

[petergennery] 25/4/2017 07:20

Nice proactive update from PW, perhaps not the one some were hoping for but it's looking very bright over the next few years

[lauders] 25/4/2017 02:24

I am with milliecusto. Not sure why sensible posts are voted down LOL. If there is a bigger dip here those with confidence should welcome the chance to top-up. I certainly will if I have funds available at the time, so personally I would like the share price to remain around these levels or shock/horror even go down (queue the down vote LOL) so that I can take advantage. Probably will not have the opportunity to do so but watching with great interest!