British Energy Share Discussion Threads

[sylvesterokojie111] 17/8/2005 15:24

Good buying opportunity! - £5.00 should be soon. Can any Chartist hazzard a guess how far we may be going in the next 6 to 12 months?

[duden1] 17/8/2005 15:23

Good to see that most of today's losses have been recouped. Warrants still down though.

[mozza0508] 15/8/2005 08:37

Thanks call-logger.

[call-logger] 15/8/2005 08:13

About 488.5

[mozza0508] 15/8/2005 08:10

I have a feeling BGY will be chased into FTSE100 and at what price will it be qualified anyone?

[banjo1] 14/8/2005 20:27

BE aims to beat burnout on FTSE

wach out!



Sunday August 14, 2005
The Observer

It is less than a year since nuclear generator British Energy relisted its shares after a traumatic debt-for-equity restructuring that saw previous shareholders' investments all but wiped out.
The company foundered three years ago because it failed to keep its stations up and running and, more critically, because the price of electricity slumped. The upshot was that it was producing less electricity less efficiently and getting paid less for it. In the end, the government had to step in and back a restructuring package by taking BE's nuclear clean-up liabilities off its balance sheet and forcing reprocessor BNFL (which it owns) to offer more generous commercial terms. In return it got a slice of BE's future cashflow.

All of this is now ancient history, for BE's return to the FTSE 100 is being touted as a good bet when the index is rejigged next month. Last week the shares nudged above 450p, on the way to doubling the 238p nadir they fell to in February.

Fuelling its ascent have been the same factors that did for it in 2002, only in reverse. Electricity prices have risen 50 per cent this year, and it has had a surer touch on the operations front, with the appointment of industry veteran Bill Coley as the new chief executive.

The question is, how long will BE keep burning? The reasons for strong electricity prices are the high oil price; gas prices (linked to crude) that have almost doubled in the past year and have seen suppliers hike prices to businesses and domestic consumers several times in the past year; and the introduction of a market in carbon, which has seen the price per ton of emitted CO2 triple.

Nuclear generation benefits from this combination of factors. It does not have to pay high oil or gas input costs, so avoids a squeeze on its margins or loss of market share. And although nuclear power is included in the European Emissions Trading Scheme, the level of CO2 emissions is minimal compared with other fuels such as coal.

Predicting oil and gas prices is hazardous. But as oil pushed through a new high of $64 a barrel last week, commentators were not calling the peak. At the same time the OECD's energy think tank, the International Energy Agency, published a bullish report. BE bears point to a price in the mid-$40s as a more realistic medium-term level and back into the $30s by 2008.

Longer term, gas supply to the UK will increase, both through liquefied petroleum gas supply and new pipeline capacity to continental Europe. A BE share price around 375p is thought to be more realistic long term. All of this implies a cooling of BE.

But here is the crux. If BE makes it into the FTSE 100, its shares will get a further boost as portfolio investors add them to their holdings. The question is, will oil and gas prices hold on until the FTSE reshuffle next month?

[a harris] 12/8/2005 22:17

BGYered. You have stated almost exactly what lloyds TSB told me yesterday. My broker has been slow to respond as they have since i first raised the issue 6 weeks ago. It still looks likely that the mistake was mine however, lloyds say that if the shares were delivered it is because i voted correctly - as you also stated. they said that they would have sent cheque otherwise. Yet the broker paperwork seems to suggest the could and would sell shares if one didnt respond to a secure message in the account.

Here is a general point on interest to all readers that use an online dealing account.

according to brokers secure message system, all mails (sent and received) are deleted automatically if read after 90 days. that means i have no proof of mail received or sent at time or reorg. and that should be a concern to us all so pls check your systems in case this could cause you problems in future.

i will post the outcome of this in due course. best wishes to holders.

[okblue] 11/8/2005 09:38

British Energy may be stock market phoenix

Rising prices could bounce the company into FTSE 100

Mark Milner
Thursday August 11, 2005
The Guardian

British Energy, owner of a clutch of nuclear power stations, could prove to be the phoenix of the FTSE 100 next month.
The company, which was only saved from extinction by a £1bn debt-for-equity swap that left the original shareholders with almost nothing, is now the second-largest company in the FTSE 250 and the next reshuffle of Britain's blue chip stocks could see it making a return to the leading index.

[grippa] 11/8/2005 09:16

From yahoo finance "Nuclear generator British Energy (LSE: BGY.L - news) which was only saved from extinction earlier this year by a one billion pounds debt-for-equity swap that left the original shareholders with virtually nothing, could be set to crash back into the FTSE 100, reports the Guardian"
And the chart is in breakout territory...next stop £5 IMO

[bgyered] 10/8/2005 22:08

Voting forms were for direct submission to British Energy via Lloyds TSB Registrars I believe, not via your broker. Check with British Energy for contact at Lloyds TSB? I also seem to remember that British Energy themselves would have sold your shares & warrants by default and sent you a cheque for the proceeds if they didn't receive your completed form, not your broker. You can check by looking back through the tons of bumff which BGY sent out with the voting forms.

[a harris] 10/8/2005 18:43

can someone offer some guidance for me. I have just found that my broker sold my shares and warrants four days after they were delivered to my account. It seems that they didnt receive my voting form.

Does anyone have any ideas how i can try to get help to discover what happened to the form. Is there a British Energy Investors forum ? So far I cant get reply from BE Investor relations.

Anyone any ideas. It looks like I wont be able to rectify situation but any comments would be appreciated.

[hightech] 10/8/2005 10:00

No lmit after £5 imo

[grippa] 03/8/2005 14:21

Carer...fully agree, but think short term over next few days, that the share price could fall to the £4.05-£4.10 region which will present a very good buying oppurtunity. and then we will have to break through what looks like heavy resistence at £4.50ish. IMO

[carer] 03/8/2005 13:28

British Energy produce 25% of all the energy used in U.K. , with energy price increase every so often, there is no doubt it will make a lot of profit from now on. Never believe what the brokers say as most of them have vetted interest in shares. they are there to make money from private investors. My instinct is good on this company in the medium term. It seems to have turned around immediately after restructuring. i guess this new regime of management should be more alert in adapting change than the one who ruined this flagship company.
evrything goes in cycles, at the moment, it is in a positive cycle. Good time to top up if the share falls in the short term.

[grippa] 03/8/2005 10:53

Any comments on BGY's chart. Chart looks to have stalled in the £4.50 region again! And heading south once more...might be able to get back on board at £4.00.

[teej] 02/8/2005 10:24

Anyone following the Railtrack court case? Where 'it is suggested' that the government artificially engineered the collapse ? Sound familiar?

[bgyered] 01/8/2005 22:55

Interesting view:

British Energy walking on air

BP has made a mint out of soaring gas prices, as its half-year results this week show. BGshould follow suit, after this issue goes to press. British Energy also reports soon and it, too, will have gas to thank for an improvement in its performance. Gas-fuelled leaps in wholesale power prices have improved the margins for nuclear and helped the old warhorse get back on to its feet. But how long can it last? Its latest chief executive, Bill Coley, told us last week how proud he was that the company was fixing the defects in its ageing fleet. That should plug the annual drain on profits caused by breakdowns and improve the picture still more. But the mainstay of British Energy's recovery has been high gas prices, and that is not a solid basis for long-term survival. In fact it's gaseous. The UK is heading for a gas glut once the LNG, storage and undersea pipeline infrastructures are in place. Power prices revisiting £16/MWh are not out of the question.

If British Energy, indeed nuclear power, is to achieve its rightful place as a source of low emissions supply, then the unfettered market is not the place for it. Could another government-leapfrogs-regulator story be on the horizon?

Trevor Loveday

[choppa] 31/7/2005 19:36

Gets a mention in the financial mail. All based on leccy prices staying high blah blah blah...

[grippa] 28/7/2005 10:02

pc....thanks for the info.

[hightech] 27/7/2005 08:18

collapse, posted full year underlying earnings in
line with expectations, albeit below year-earlier levels.
The company, which produces around 20 pct of Britain's annual energy output,
posted earnings before interest, depreciation and goodwill amortisation of 105
mln stg in the year to March 31, compared with a prior year loss of 107 mln.
Turnover was 1.68 bln stg against 1.52 bln a year earlier.
Before exceptional items, EBITDA came in at 94 mln stg.
Analysts had been expecting profit of 90-100 mln stg.
The company, which re-listed in January following a debt-for-equity
restructuring, said it expects the impact of accounting changes and other
commercial arrangements due to the restructuring to increase EBITDA by around
250 mln stg in the coming year.
Output during the year was hit by unplanned outages at its power stations,
it said.
Total output was 67.4 TWh, compared to 72.6 a year earlier, although this
was somewhat offset by increasing electricity prices.
"This has been a testing year, with output well below the level we have the
potential to deliver. Nuclear output was adversely affected by unplanned
outages, the electricity market was volatile and we completed a lengthy
restructuring," the company said.
Nuclear output for the year was 59.8 TWh.
It added though that about three quarters of planned output for the year
ending March 31 2006 has been fixed at an average contracted price of 29.8
stg/MWh.
It also said it expects output for year ending March 31 2006 to be in a
range of 62-64 TWh, while its expected average annual nuclear output over the
next two years remains at 63 TWh.
"One of our main operational challenges is to reduce the level of unplanned
losses," the company said, adding that investment will bring improvements but
the full extent will not be seen until completion of the investment phase in
2007/08.
"Our plan for the year ending March 31 2006 for investment....is unchanged
at 230-250 mln stg," it said.
"We will continue to pursue life extensions for our nuclear power stations.
The first of these decisions is with respect to Dungeness B. The technical and
commercial work is progressing well and a decision is expected to be made in the autumn."

[chelle] 22/7/2005 14:59

YUP - closed position as away, will look for re-entry after summer.

[pineapple1] 22/7/2005 08:54

Looks to me like down 2% a day at the moment.

[bgyered] 21/7/2005 23:16

I think I've had this feeling of deja vu before...
___________________________________________________________________________

Last Tuesday, Jarvis asked investors to approve a GBP 350m debt-for-equity swap to try and stave off the shadow of liquidation hanging over the company. That deal is bound to be unpopular because it leaves the creditor banks with 95 per cent control of the group and the remaining shareholders with next to no financial compensation or influence over its direction.

But Jarvis talked tough on Tuesday. It said that if it did not get shareholder approval for the debt-for-equity plan it would de-list from the Stock Exchange and implement the plan without them - in which case they would get nothing. Failing that, the company would enter insolvency proceedings. Now along come harsh, worrying losses - and news that Jarvis's revenues halved to GBP 586m last year from GBP 1.1 billion in the previous year - to add numerical force to the rhetoric of fear.

_____________________________________________________________

Another one for the DTI to sleep through.