Diversified Energy Share Discussion Threads

[king suarez] 11/6/2022 11:46

Did commodity stocks perform even better than energy stocks in that period?

[flyer61] 11/6/2022 07:54

Not the full story, you need to show Commodities as well….

Overweight Oil and Gas…oh and REITS.

[1knocker] 10/6/2022 14:36

Hardly anyone in the financial press, no politician, and certainly not the BoE thinks to mention how large a component of current high energy (and, increasingly, food) prices is the direct consequence of the sliding value of the £. If you run a high debt, high borrowing, high tax, high spending government as we have for years and still are (with the dismal Starmer bleating 'too little too late, borrow more spend mare, tax companies more') What else do you expect? But what the hell, let's concentrate on debating who ate and drank what some evening a year or so ago - much more fun, and much less taxing on the brain.

[lomand] 10/6/2022 13:58

He has plenty more buying power. I think the last one was a one-off. Tiny but very profitable. If he can find ten more like that I would be happy but my bet with the tightening credit markets, he will use his buying power for a big one where there is less competition. With a us listing planned he needs the added scale.

[mrnumpty] 10/6/2022 13:49

The Questor column in the Business section of today’s Telegraph ( page 25 ) is devoted to the importance of holding dollar-denominated assets . That’s because the author , Richard Evans , states that the US is now following a policy of quantative tightening whereas the Bank of England “ has not confirmed a date for any reversal of its money-creating programme “ . Consequently the US dollar should rise against the £ . Although the article does not mention DEC , that’s just one of the various reasons why I’m happy to be invested here .

[aleman] 10/6/2022 13:37

The Freeport outage has not stopped mid and long range contracts hitting new highs - and they've not so far off doubled in the past year.

July 2024


free stock charts from uk.advfn.com

July 2028


free stock charts from uk.advfn.com

[scrwal] 10/6/2022 12:59

The high 120s has been the twilight zone in the past when it has been hit by news and share placings but that shouldn't be the case now.

Hopefully Rusty will be doing more deals like the last $50M one. I think that getting several more like that is better than a single larger deal based on the metrics of the Central Region acquisitions to date.

[woodhawk] 10/6/2022 08:25

No problem with that - quite happy to add shares at below 125p for 10-11% divi.

[11_percent] 10/6/2022 08:12

Backing off again.....its going to take some dynamite to get this over 1.25p and keep it there.

[lomand] 10/6/2022 05:25

Watching the annual report presentation again, clear that Rusty wants maximum liquidity. Either he sees the general credit market spreads widening (very likely) and/or he wants a war chest to do a bigger deal. Interesting times..

[aleman] 09/6/2022 17:06

US natural gas prices have recovered this morning's further falls. They seem to be now treating it as a blip?

[coxsmn] 09/6/2022 16:31

Jun, 9th 2022 TelegraphGas prices surge 39pc after US fire adds to Russia supply fears - live updates

[aleman] 09/6/2022 08:14

Very short contracts down another 5-7% this morning. Outage expected to be at least 3 weeks.

[purplepelmets] 09/6/2022 07:59

wrng thread sorry

[cashandcard] 09/6/2022 07:55

Huge result at SOUC this morning. That other US gas production co.

[aleman] 08/6/2022 22:47

If this is all of it, then it looks pretty minor.. More evidence needed, though.



Can see some limited pipe damage here:

[asp5] 08/6/2022 20:23

Drop in short term futures prices caused by news of fire at a Texas LNG terminal. Not so impactful to DEC given our hedges ......

[mrnumpty] 08/6/2022 17:39

Woodhawk . Thanks for the clarification . So , 15% withholding tax for DEC shares in an ISA , but 0% withholding tax for DEC shares held in a Sipp . Good luck all .

[woodhawk] 08/6/2022 17:30

I have half of my holding in my SIPP (so no w/holding tax) and the balance in my ISA covered by current W-8BEN (so 15% w/holding tax).

[mrnumpty] 08/6/2022 17:12

Woodhawk . Thanks for the reply . I did fill in the W-8BEN Form prior to purchase ( it seems to be mandatory ), and it was indeed US withholding tax , not any putative windfall tax , which I discussed today with my broker . The withholding tax which they mentioned was the same figure which you mention , namely 15% . However , it is interesting that you refer to shares held in a Sipp - mine are in my ISA , but , even if it might be true that I could avoid the withholding tax by moving the shares to the Sipp , the costs of doing so would outweigh any tax which I had legally avoided . On another note , and I do realise that I’m comparing apples and pears here , but yesterday’s Telegraph stated that Dublin is considering fuel rationing , although the situation in Eire is exacerbated by the fact that they “ lack refining capacity “ ( Daily Telegraph 7th June , page 17 “ ‘ National fuel crisis ‘ as price at the pump hits new high “ ) .

[aleman] 08/6/2022 16:11

I was adjusting the Henry Hub price for the (previously presented) Appalachia discount to show that $3.91 did not seem so bad based on HH prices of $4+. I think it was a 51 cent discount, averaged over 3 years.

90% hedged for 2022 seems okay. I'd expect it to fall for longer durations due to increased risk from depletion rates, costs, taxes, (weather?),etc. I would have guessed they did not want to hedge more than 50-60% of projected production at 6 years out. leaving some still to sell over time at (hopefully ongoing) higher prices. The point of hedging is to reduce risk and not increase it. What would happen if general inflation stayed at 10%+ until then? I still expect there to be modest gains to revenue from the recent price rises - even in 2022 numbers. You can't hedge everything. It's very risky on the supply and cost side to hedge close to full production more than a year or two out

[gary1966] 08/6/2022 15:54

Just so that it is all in one place.

14/11/2019 RNS

DGO hedged 85% of the SPV's forecasted production at a NYMEX price of $2.46 per MMBtu. DGO will also maintain two rolling years of basis hedges initially swapped at $0.43 per MMBtu.

07/02/2022 RNS

2022 to 2026 natural gas swaps sold at a weighted average price of $3.34/MMBtu

2027 and 2028 natural gas puts purchased at a strike (floor) price of $3.00/MMBtu

24/02/2022 RNS

Long dated natural gas swaps at a weighted average price of $3.36/MMBtu

30/05/2022 RNS

Long-dated natural gas swaps at a weighted average price of $3.91/MMBtu

From memory Aleman DGO do some sort of conversion ratio to adjust hedged prices to reflect the discount they receive and so you don't need to adjust for the discount again. Footnote f from the year end accounts:Mcf prices calculated using Diversified's corporate average Btu factor of 1.07

[smidge21] 08/6/2022 15:53

If you look at slide 3 on the May 16th presentation, you will see the 90% figure mentioned (on 2022 output)