Diversified Energy Share Discussion Threads

[scrwal] 22/2/2023 12:25

If there is any further price weakness then you could be looking at c90p xd.

Does the market think that Oaktree aren't happy with DEC and won't participate anymore?

[cassini] 22/2/2023 11:50

I've got 95p pencilled in as the bottom (worst case), after the divi goes ex.

[gisjob2] 22/2/2023 11:46

Where's the bottom ?

[riverman77] 22/2/2023 11:46

Also the 14% yield is subject to tax, so the actual yield will be lower than that - perhaps the market applies an additional discount to factor that in.

[cassini] 22/2/2023 11:37

marksp,

Noone is quite sure, but in no particular order:

1)The stock is distasteful to ESG fund managers. More for us then.

2) These lightning share placements, even though supposedly immediately accretive, spook Mr Market. Mr Market doesn't like surprises.

3) It gets an occasional incoming media attack from Green activist media. The two attacks that spring to mind are the report on the cost of capping/retiring wells about 2 years ago and the methane leaks story from last year.

4) The accounts look horrible at first glance as DEC hedges so heavily and the accounting rules treat foregone profit as a loss, effectively.

5) The market may not believe in DEC's business model.

[podgyted] 22/2/2023 11:34

I'm intrigued to see how many vote against the second tranche in the up-coming meeting.

In fact the second tranche (I'm sure it will be voted through) may be giving what some consider a shorting opportunity by issuing shares at greater than the current market value and be the cause of the current weakness.

I can now buy at a cigarette paper below £1.

[marksp2011] 22/2/2023 11:21

Can one of the bulls on this explain why this needs to yield 14% to have a market?

What is it that is making traders demand 14%? Why isn't the world "filling their boots" and why has noone bought DEC?

I am intrigued,

[cassini] 22/2/2023 11:20

adg,

I calculate the current forward yield is 14.48% at a share price of 100p so a tiny bit lower than your figure but essentially the same.

The company haven't announced the exchange rate to be used for sterling divis yet.

[lord gnome] 22/2/2023 11:16

Don't forget to adjust for withholding tax at 15%/30%/zero as applicable.

At £1 per share and using a Cable rate of 1.23 together with a 15% withholding tax, my net yield is 11.75%.
Not too shabby. I can ride out the ups and downs of the gas price with a good dividend coming in every three months.

[my retirement fund] 22/2/2023 11:11

Well with the recent fund raising, they should have enough cash in the bank to pay the existing forward dividends from past forecast, but after that clearly the dividend may well be toast. Crazy business model though, raise money and then older shareholders get some back as a dividend, almost ponzi really.

[stevensupertrader] 22/2/2023 11:09

That is the RIGHT APPROACH . Fallen so much must and should buy !!!!!
Many ‘SO CALLED ‘pros expect more drop !!!!! however those who are seasoned in this game - cannot resist this CHERRY 🍒

[garycook] 22/2/2023 11:09

Sounds about right depending on GBP/USD conversion rate in the 3rd week of March.

[adg] 22/2/2023 10:57

Just checked some divi related figures - anybody sense check that this is correct ?

At a share price of £1 the annual yield is actually 14.57% with a quarterly ex-dividend date of 2nd March and a quarterly payment of 3.64p to be paid on 28th March

[rightnellie] 22/2/2023 10:50

I couldn't resist and doubled my holding today.

[aleman] 22/2/2023 10:31

Is part of the reason for recent US price falls because the EU has been reducing imports of late? The reserve drawdown season is over in a few weeks and it's reserves are 64% - about 21% above normal.


free stock charts from uk.advfn.com

[smart1e] 22/2/2023 10:00

Freeport ready to open, but will this help the share price? Who knows?

FREEPORT LNG RECEIVES REGULTAORY APPROVAL FOR COMMERCIAL OPERATIONS OF ITS LIQUEFACTION FACILITY

Houston, TX, February 21, 2022 - Freeport LNG Development, L.P. (Freeport LNG) today announced that it has received regulatory approval to commence commercial operations of the company's natural gas liquefaction and export facility. Today's authorization provides for the immediate full return to service of one liquefaction train, that has already restarted, and the incremental restart and full return to service of a second train. The restart and return to service of Freeport LNG's third liquefaction train will require subsequent regulatory approval once certain operational conditions are met. A conservative ramp-up profile to establish three-train production of approximately 2.0 billion cubic feet per day is anticipated to occur over the next several weeks as stable operation of each incremental train is established and maintained. Operations are initially utilizing two of Freeport LNG's three LNG storage tanks and one of its two LNG berths. The second LNG berth and third LNG storage tank are expected to return to service in May. First LNG production and ship loading from the facility began on February 11.

"Returning to liquefaction operations is a significant achievement for Freeport LNG," said Michael Smith, Freeport LNG Founder, Chairman and CEO. "Over the past eight months, we have implemented enhancements to our processes, procedures and training to ensure safe and reliable operations, and significantly increased staffing levels with extensive LNG and petrochemical operating experience to reduce overtime, enhance operational excellence, and improve quality assurance and business performance. Eight months of diligence, discipline and dedicated efforts by our teams, working collaboratively alongside the regulatory agencies and local officials, have positioned us to resume LNG production and commence ramp-up to the safe establishment of commercial operations of our liquefaction facility."

ABOUT FREEPORT LNG

Freeport LNG is an LNG export company headquartered in Houston, Texas. The company's three train, 15 MTPA liquefaction facility is the seventh largest in the world and second largest in the U.S. Freeport LNG's liquefaction facility is the largest all-electric drive motor plant of its kind in the world, making it the most environmentally sustainable site of its kind. The facility's electric drive motors reduce carbon emissions by over 90% relative to gas turbine-driven liquefaction facilities. Freeport plans to expand by adding a fourth liquefaction train, which has received all regulatory approvals for construction. Freeport was formed in 2002 to develop, own and operate an LNG terminal on Quintana Island, near Freeport, Texas. The terminal started LNG import operations in June 2008 and began LNG export operations in 2019. Further information can be found on Freeport's website at www.freeportlng.com.

[stevensupertrader] 22/2/2023 08:52

Cannot resist 😆 yield 14% where to get these days !!! B

[stevensupertrader] 22/2/2023 08:49

Bought at the start 99.9p. such a bargain !!! Yield 14% . I took the NICE JUICY BAIT

[adg] 22/2/2023 08:39

I’m looking to add - will se how it goes this week but suspect we are nearing lows

[stevensupertrader] 22/2/2023 08:30

Yield 14%. - anyone taking the bait ?????

[cassini] 22/2/2023 08:16

....aaaaand - it's gone!

Double digit share price, as expected, only quicker.

This is part of a wider market drop today though I think.

I'll wait and see how the US opens.

[stevensupertrader] 22/2/2023 08:14

Under £1.

[1knocker] 21/2/2023 18:46

Yes, when buying any high dividend, fairly volatile share a glance over the 12 month chart and a bit of patience ought to be enough to avoid buying at a peak, even if you don't manage to get the very bottom of a trough, which is largely a matter of luck (though of corset is more fun to attribute such successes to skill !!).

[cassini] 21/2/2023 17:57

Thing is, we've seen all this before (those that have held for a couple of years) and in similar circumstances too.

It's just a question of buying in at the right level then waiting out all the volatility (until the next time ;0)

[stevensupertrader] 21/2/2023 16:12

Luck n Timing is more important than analysing the figures etc - this is a gaming of manipulation by the rich 🤑