Amerisur Resources Share Discussion Threads

[danieldruff2] 13/4/2019 14:47

The glacial pace is due to the situation on the ground IMO - it's washed away with one liners about the difficulties of operating in the country - but effectively stalling or stopping progress in parts of their portfolio. Overall though, things are moving in the right direction - if they can average 7000bpd for the calendar year, that would be pretty good. Maybe 9000bpd next year, no fireworks though.

[thevaluehunter] 13/4/2019 11:50

I’m all for getting the 10 wells drilled done in 2019 but it does seem a tad optimistic.

[squibno1] 13/4/2019 10:56

Remember what they said in April 2017,in the Final results for 2016
"Outlook -
Targeting sustainable net production of 20,000 BOPD by the end of 2019"

Well that worked well !

[wskill] 13/4/2019 10:02

Come on guys Rome was not built in just one day ,its not a get rich quick scheme it will take time to get the bopd up .

[jp2011] 13/4/2019 09:14

It's John Wardle. I don't doubt his integrity, his knowledge and expertise or even how hard he works but he lacks charisma, and there appears little pressure to deliver and get things done. What's really done the damage is the inability to grow bopd and how two years on the trot the drill programmes are a croc of s...As it happens 3-4 drills in 2019 looks likely to double bopd if anyone is listening.

[the drewster] 13/4/2019 08:09

"What has changed is that The City dont appear to agree."

More importantly, the City don't appear to believe.

[underhill2] 12/4/2019 18:00

Correct - Nothing has changed with the fundamentals of Amerisur. What has changed is that The City dont appear to agree.

[underhill2] 12/4/2019 16:53

Im afraid this now looks like a very long term hold. The share price seems to only know one way and thats down. Im a modest holder here but it would not suprise me if we go down further towards 10p. At that price I will be adding.It would not suprise me if we soon see a low offer by one of the majors. Like others here Im fed up with the poor share price performance over a long time. Maybe the Management puppet Malcy will ask real questions to Management when he next interviews them.

[rollthedice] 12/4/2019 16:38

13.5 close... well that's cr4p :(

[knackers] 12/4/2019 16:18

Tish-tish deano you do better than that. Onshore 300ft columns of oil don’t exactly grow on trees these days, and we landed one, lest we forget!! albeit 30pc and a nice chunk of P2. That’s worth a shed load more than shared cost (30%)of a speculative duster, disappointing though it was, you know the drill (cough) “...if you don’t shoot you don’t score!”

Very poor sector sentiment just now, but AMER will be shovelling a lot of jam come Interims that will concentrate minds. Happy to hold and continue building my position. Am on a 5 year hold. Should that be possible, of course...

[deanroberthunt] 12/4/2019 16:01

must be time to drill the next duster, err, I mean well...

[thegreatgeraldo] 12/4/2019 15:43

Maybe a bit more headscratching before committing to a second rig at CPO-5?

[knackers] 12/4/2019 14:07

Given today’s POO and that steady upward trend based on S&D fundamentals (unlike the speculative pump-dump last year) we should be absolutely flying...

Could see ~4.5k through the OBA end of next week should the Plat-2 T sand perforation be completed. That’s a lot of gravy given the super low X factor on Plat and evac cost per barrel.

Fully expect news with AGM.
Take your pick...

1. Plat w/o and production update
2. OBA Crude export go-ahead
3. Put8 intentions
4. Spud Indico 1st appraisal well
5. Confirmation of 2nd CPO5 rig

[moneylender] 12/4/2019 13:28

Knackers I agree about CPO unless an 'absurdly high value' comes along, GC's remark in an interview lat year.

[knackers] 12/4/2019 13:11

Given production over the next 6-12 months will very likely push through 10kbopd and costs v manageable I’d certainly expect a dividend and soon. But can’t see AMER surrending CPO5 until all NW prospects, those in the SE and the infill to the NWly Llanos field have been explored, ie. another 2 years; when I expect the share price to be significantly higher than 50p.

There’s been huge t/o of stock in the past 6 months and yet a dearth of disclosures. Anyone else find that odd..?

[sharesure4] 12/4/2019 12:57

re Pipeline having paid for itself so quickly according to the company I would be more interested in whether it has paid for itself in actual savings on oil transported through it. I suspect that even if that has happened by now it took a whole lot longer to achieve. Plenty of opportunity to ask them now that going to the AGM is easier for those in the South-East.
It would be great to believe that the current plans are going to produce some dividends and/or corporate activity. Languishing at 13/14p is getting boring.

[davwal] 12/4/2019 12:47

Would that course of action re dividends also tidy the ship in readiness of a full disposal/sale..?

[foiledagain] 12/4/2019 12:45

Ace. YES normally

In this case it is not suggested to lead to a substantial movement in price of it.

As it reports that it is not for any 'imminent' dividend payment but a precaution to allow such future payments to occur if possible I think it's ok.

It does though suggest strongly that they are taking these step in anticipation of either dividends, or as someone else suggested perhaps a special dividend.

Interesting as this could have been done ages ago so something in the offing imo

[lauders] 12/4/2019 12:11

With the BOD shareholdings their dividend payments would be rather lucrative too depending on the payout rate so a lot of incentive to pay sooner rather than later?

[aceuk] 12/4/2019 12:11

Not a big fan of this question BUT isn't this material and therefor should have been RNS first?

[moneylender] 12/4/2019 12:03

Ace, it looks to me that GC is getting ready to sell off something like CPO in the future and return the cash to the shareholders. Obviously with CPO sold and GTE and OXY very active in Puntumayo the OBA is able to produce vast profits should it ever get anywhere near its capacity of 50k bopd!!

From the AGM notice

"The Board does not currently have any plans to pay any dividends; however, the Board is of the view that it is now an appropriate time
to restructure the Company’s balance sheet so that the Company will have the flexibility to pay dividends in the future, should the
Board consider it to be appropriate."

[aceuk] 12/4/2019 12:00

Thanks Eddie_Yates :-)

3.3 Resolution 12 (Capital reduction) As many shareholders will be aware, the Company’s early years were largely focused on oil exploration and development. The level of oil production is now greater than in the early years and the Company and its subsidiaries on a consolidated basis (the “Group”) has been profitable since 2017. However, as would be expected given the Company’s historical operations, the balance sheet of Amerisur Resources plc on a standalone basis continues to show an accumulated negative retained earnings position of $76.1m and share premium of $144.9m as at 31 December 2018.

For technical reasons under the Companies Act 2006, the Company would be unable to pay dividends until such time as the retained earnings were positive and showed sufficient distributable reserves to permit such payment.

The majority of the Group’s trading has historically taken place in the Company’s subsidiary companies and, whilst the consolidated accounts of the Group show positive distributable reserves, it is the reserves of Amerisur Resources plc (i.e. the parent company of the Group) on a standalone basis that determines its ability to pay a dividend.

The Board does not currently have any plans to pay any dividends; however, the Board is of the view that it is now an appropriate time to restructure the Company’s balance sheet so that the Company will have the flexibility to pay dividends in the future, should the Board consider it to be appropriate.

Accordingly, resolution 12 is proposed as a Special Resolution to approve the cancellation of the amounts standing to the credit of the Company’s share premium account (the “Capital Reduction”). Such amounts, once cancelled, would create retained earnings, thereby eliminating the accrued deficit in the Company’s retained earnings and creating positive distributable reserves.

The Capital Reduction itself will not involve any distribution or repayment of capital or share premium by the Company and will not reduce the underlying net assets of the Company. The distributable reserves arising on the Capital Reduction will support the Company’s ability to pay dividends, should circumstances in the future make it desirable to do so.

The Capital Reduction is subject to the approval of the High Court of England and Wales (the “Court”). Application will be made to the Court following the passing of resolution 12 at the Annual General Meeting. An announcement will be made once the Capital Reduction has become effective.

The Board reserves the right to abandon or to discontinue (in whole or in part) the application to the Court in the event that the Board considers that the terms on which the Capital Reduction would be (or would be likely to be) confirmed by the Court would not be in the best interests of the Company and/or its shareholders as a whole.

[westmoreland lad] 12/4/2019 11:57

Toon -- re. AGM. I'm back in the UK on 14th. Could meet up on Virgin train ?

[eddie_yates] 12/4/2019 11:50

NOTICE OF ANNUAL GENERAL MEETING AND
PROPOSED CAPITAL REDUCTION TO FACILITATE FUTURE DIVIDEND PAYMENTS