Diversified Energy Share Discussion Threads

[elpirata] 06/4/2024 09:55

Indeed, and the West Virginia State Legislature has now got DECs back & put the boot in to the class action, they are dependent on NextLVL for orphaned well capping targets

[bountyhunter] 06/4/2024 09:49

The irony is that those angry senators may have done us a favour by ensuring that DEC becomes a leader in sustainability, well ahead of the competition (even profitably providing services for them) and meeting government targets seven years early. Diversification into renewables such solar and battery storage etc on some of its eight million acres is another interesting possibility.

[elpirata] 06/4/2024 09:43

ditto Sharetalk 'strong buy' commentary

I make no apology for publishing this sustainability report extract as in my view its very existence in the detail it is offered is a major reason for wanting to invest in DEC and its corporate culture. CEO Rusty Hutson and members of the team from the top to the bottom have made it their business to be accountable in these areas and accordingly their commitment is substantial and permanent.

In an area where it is easy for outsiders to lob unattributed and substantially incorrect information into the mix I am glad that the company has nailed its colours to the mast and delivered a top notch, best in class Sustainability report that works now and will stand the test of time. Oh and it’s laser-focused too which does no harm

[bountyhunter] 06/4/2024 09:07

The above includes many interesting points including:

10. DEC leases or owns more than eight million acres of land across its footprint. While not all of this acreage is equally suitable for solar project development, certain acreage has become an avenue for DEC to opportunistically participate in renewable energy solutions with third parties via waiving our surface rights on this acreage while reserving access to road and pipeline rights of way that are necessary for its operations.

11. DEC is exploring new technologies to expand the use of renewable and alternative energy in operations, including waste heat recovery and solid oxide fuel cells. Additionally, we are exploring the use of wellbores for mechanical battery energy storage to aid in the energy transition by providing off-peak energy storage.

DEC is also exploring using exhausted wells for Carbon capture utilization and storage (CCUS) - why plug it when you can fill it?

The Oak Bloke concludes:

The fact that DEC could go - is going - from being painted as the public enemy to public saviour is (ironically) an “inconvenient truth” for detractors. As Rusty keeps reminding us, they are the Right Company at the Right Time.

Right company… to do what?

Right time… for what?

I believe the answer is taking an active role in Energy production but also in Net Zero.

Where is any of that in the price of DEC? Well, reader, it isn’t.

[bountyhunter] 06/4/2024 09:02

Yesterday's Oak Bloke article is now in the header at the top of the links section.

[bountyhunter] 05/4/2024 21:34

£10.24 equivalent close in New York.

[lorse] 05/4/2024 21:09

Where do I find the Natural Gas price that is moving DEC? Presumably a US figure?

[bountyhunter] 05/4/2024 15:35

Above £10 now in London and New York.

[fordtin] 05/4/2024 14:45

If they cut the divi by two thirds, they could probably afford to buy another 3.8 million shares ...

[nigelpm] 05/4/2024 14:26

I think there's some confusion on the buyback it's a maximum of :

4.87m shares
OR £97m in cost terms.

They won't get anywhere near £97m spent unless share price doubles.

It's also "ONLY" 3.8m left.

With c. 47m shares in issue - that's c. 8% maximum.

[asp5] 05/4/2024 14:25

The Russell Index Reconstitution starts on May 24 when preliminary lists are communicated to the marketplace. Updates are provided on May 31, June 7, June 14, June 21 and June 28. The newly reconstituted indexes will then take effect after the market close on 28 June 2024.

In theory DEC could purchase all ~3,88M shares between now and May 24 at ~100K shares per trading day at a ~50% discount to the announced 97.4M cap (depending on share price) especially as the current authority to purchase shares expires latest by 30 June 2024. Savings made in dividend payments would cover interest costs if liquidity from the RBL was used.

All the index trackers will be forced buyers plus there will be demand from actively managed funds that are benchmarked against the Russel 2000. Finally shorters would need to cover their positions and would provide a third leg to any buying impetus. The timing of this announcement is certainly interesting.

I am still invested and have not sold any shares. I am suffering unrealized capital losses and will write up my thoughts when time permits as I feel the management team at times are unfairly maligned. Good luck to all investors. DYOR.

[elpirata] 05/4/2024 13:33

Thats a good summary from oakbloke on the ESG report particularly with regard to the carbon capture opportunities. Combined with the results & capital reallocations, any rationale for shorting this has well & truly disappeared (as have the snowflakes, woke House Democrats & Whinniefrith)

[bountyhunter] 05/4/2024 12:57

Yes, too much surfing in coucou land lol?

[skinny] 05/4/2024 12:47

A search returns an "INTERSESTING" site!!

[lab305] 05/4/2024 10:58

Dress it up how you like but it just sounds like sour grapes to me.

[bluemango] 05/4/2024 10:51

No problem with contrarian views.

It's when they're clearly going to be tainted by confirmation bias, that there's a potential issue and it just frankly becomes tedious.

[lab305] 05/4/2024 10:40

Ouch ! Only supporters of Dec allowed then ? Well I'm happy anyway . Tag there is no way I would reinvest. They do not do what they say anymore and I lost trust completely. If I was that clever I would have sold out when the first buyback stopped before the placing.

[bluemango] 05/4/2024 10:08

It's like forever hanging round outside your ex's house, hoping she'll come out and welcome you back ..

Either get back together, or move on ...

[tag57] 05/4/2024 10:02

Well done Lab305.
Are you now going to reinvest here?

[stevensupertrader] 05/4/2024 09:52

Some shareholders on this board refused to listen and even filtered me . They are definitely living in CLOUD CUOCUO LAND

[bulltradept] 05/4/2024 08:24

Oh well, what goes up, must, occasionally come down.

[fluffchucker1] 05/4/2024 08:11

20%>>>>that should give it some support.

[bountyhunter] 05/4/2024 07:50

Could be a bit higher, at least based on the current market cap of £476m?

The total consideration of Shares repurchased under the Programme shall not exceed an aggregate market value of £97.4 million