Diversified Energy Share Discussion Threads

[laurence llewelyn binliner] 11/1/2024 21:46

#Aleman, I also have a W-8BEN in place and active, and a WHT query ticket in with IB, I got hit with the 15% as expected but then another 29% WHT on top, and currently waiting an explanation after the dual listing, so this time around I lost 44% of the dividend..

[aleman] 11/1/2024 20:27

I did not get paperwork from Computershare UK on the US listing vote but I have just received a Letter of Transmissal form from Computershare USA to opt for Crest Holding, Broker Holding or Certificate. Along with that, I have received a W8-BEN certification form, with a letter saying Computershare USA have no record of previous certification needed to avoid 24% backup withholding tax on my account. I already had a W-8BEN submitted and was receiving 85% dividends. There is something about maybe having to fill out a W-8BEN to avoid backup withholding tax in the listing details on DEC's website. I don't understand how the two withholding taxes interact and had assumed my previous submission had covered it. It seems not.

Has anyone else had similar? Does anyone have a comment on the two taxes and the request for a second W-8BEN?

[cassini] 11/1/2024 19:53

Poor CPI data in the US dragged the market down after 2:30 pm today.

[valuehurts] 11/1/2024 19:04

The company was mentioned by Harris Kupperman in his newsletter for special situations. Hedge funds and HNW investors are the main audience.

[grahamg8] 11/1/2024 18:41

Was it Reddit individual investors who took on the institutional investors and won? If UK shareholders tell the Yanks that they are going to hold and enjoy the massive dividend a new campaign might start rolling, and mow down the current shorters.

[sbb1x] 11/1/2024 17:57

Despite epically bad sentiment, global oil inventories sit at multi-year lows while demand in December reached the 3rd highest monthly level in history. We expect shale growth to meaningfully decelerate this year while Iranian exports have limited further upside

[fred177] 11/1/2024 17:34

when does this case response letter get put before the house committee for consideration ?

[bountyhunter] 11/1/2024 17:08

More of the same in NY rising since 16:30 GMT.
The shorters can't keep this down for ever.
Recent links added to the original Oak Bloke links in header (Motley Fool today as highlighted by Drk1 overleaf).

[kaos3] 11/1/2024 16:59

after 20 years i took out a loan to buy a stock. if all runs well it will poay for itself in few years

[briggs1209] 11/1/2024 16:47

Bought some at 1100p. On paper looks like the dividend is a value trap but this could just be mis priced.

[drk1] 11/1/2024 15:31

Great summary from the Motely Fool today, weighing up the risks vs rewards regarding DEC's plugging ops (Fool being heavily on the side of reward). Well worth reading.

[johnhemming] 11/1/2024 14:36

This is the RNS



From an orthodox "news" perspective it is not a story that would get much coverage. That is the nature of how things work.

[oneillshaun] 11/1/2024 08:37

They should be contacting industry press getting stories placed, this situation has wrecked the share price and investor confidence the damage is huge.

[neilyb675] 11/1/2024 08:26

1110.50 - 1119.00 (GBX) at 08:26:06
on Market (LSE)

[johnhemming] 11/1/2024 07:58

Dec have published a link to the letter.

[grahamg8] 11/1/2024 07:55

Now the reply letter to the House of Representatives is in the public domain I hope DEC will publish it on their web site. It is a long read but should go a long way to calming the nerves of many investors who are being fed misleading comments by those who aim to reduce the DEC share price.

[leoneobull] 11/1/2024 06:35

Yes, but DEC will scale up plugging activity over time. The other thing about plugging costs is that as they set up their own plugging subsidiary to deal with ARO commitments, they will get a lot bigger through bidding for state orphan retirement work which they are already winning. So if costs rise, they will make money through delivering services to third parties to offset their own costs should these rise.

[cassini] 10/1/2024 22:52

I imagine DEC's in-house plugging team will expand it's capacity to more or less match what is needed as time goes on.

It's pointless at this stage having a plugging team capable of whatever the peak future plugging rate will be, they'd mostly all be sat around idle.

[scrwal] 10/1/2024 21:49

In the OakBloke analysis he states that in the 2022 Annual Report DEC retired 214 wells for $4.889M an average of $22.8k per well and says it is lower still in H1 2023. I think this is in line with what DEC may be estimating.
However in the rebuttal letter for H1 2023 DEC states that 100 of its own wells were retired at an average cost of $25,000 claiming that the cost is lower because of doing the majority of the work in house which is true but that does not explain why they are stating a higher figure in the Congress letter than the one they use for the ARO calculation.
Furthermore OakBloke says there is capacity of 500 wells that can be plugged annually (correct per DECs own figures) which is way below the annual requirement stated in DECs ARO model so substantial plugging will be done by 3rd parties at much higher pricing than even the $25k quoted to Congress.

[bountyhunter] 10/1/2024 20:59

Closed @$15.06 in New York, up significantly since the LSE close..

[dustinthyme] 10/1/2024 20:49

This article covers today's rebuttal letter and compares the ARO of a number of DEC's peers:
hxxps://theoakbloke.substack.com/p/a-dec-of-top-trumps

[bountyhunter] 10/1/2024 20:11

Yes, and even better in NY now! Better late than never.

[pogue] 10/1/2024 19:34

Baffling day for DEC they give a comprehensive rebuttal of the spurious points made by the committee and the price goes down! Value will out eventually I hope.
Oakbloke's substack email arrived as I typed the above. He has waxed on regards the plugging costs and more importantly the number of plugged wells per annum and makes some very valid points that the reason DEC do not have anywhere near the number of plugged wells per year compared to other operators is they are using a different model ie manage decline whereas other gas companies are drill run down and find new assets but not manage the wells as that is costly to them. You can see why comparing plugging wells per annum between the two models is pointless.
Recommend subscribing, no I am not oakbloke I just like his analysis.

[captain stock] 10/1/2024 19:33

Almost a 25% Divi

[bountyhunter] 10/1/2024 19:20

Picking up in New York..