Diversified Energy Share Discussion Threads

[aleman] 22/11/2021 14:25

Spot might be coming down but mid to long term contracts seem to be holding up.

Dec 2021 gas contract


free stock charts from uk.advfn.com


Dec 2024 gas contract


free stock charts from uk.advfn.com


There's a massive winter storm in models for North America in two weeks' time but I assume the current mild weather is pushing prices down while the two week forecast will likely change.

[aleman] 22/11/2021 14:12

The Capital Markets Day presentation shows a little under 40% each of cashflow going on dividends and debt retirement and about 20% going on reinvestment with the remaining 5% or so going on ESG initiatives. 20% cash on reinvestment might not sound a huge amount but the debt that has been paid down can be increased again as more cashflow producing assets are bought.

[asp5] 22/11/2021 13:59

scrwal - that was also my assumption but the recent cenkos update shows $400M FCF for 2022 (Table 7 p7). The 17c div would consume ~144M of this. Given the increase in PDP from the acquisitions, I would expect the revolving credit facility due to be reviewed around end of month to be increased.

If this was increased by $200-250M or so there could potentially be no need for a placing at least in the near future .....

[scrwal] 22/11/2021 13:21

To unlock all of the $484M DEC will have to make a share placing. This is one of the things dragging the price down as the market may be expecting another 8% discount on any placing offer.

[asp5] 22/11/2021 10:06

The $1B Oaktree deal was closed in Nov 2020. One year on, I was trying to figure out how much is left available. Am I correct in stating that Oaktree has contributed to 4 deals: Blackbeard($166), Indigo($58), Tanos($118) & Tapstone($174).

This would leave $484 available over next 2 years. DEC would need to invest a matching amount. Allowing $968M of acquisitions to be made.

A question for the board - is this feasible without raising additional equity? Can DEC realistically make this level of capital available via increased borrowing and cash flow generation?

[papabull] 19/11/2021 12:30

Checkout the article here https://twitter.com/DEC_PLC/status/1461669115471532041?t=88PS_woEJU17LDfYGU1luQ&s=19

[johnhemming] 19/11/2021 08:04

I think these BlackRock RNS's are something to do with them lending out stock.

[kaos3] 19/11/2021 07:13

RNS - ups !

[1knocker] 18/11/2021 15:41

There is never any harm in having a 'crazy' limit orders in. Just once in a while sun an order triggers on an extreme movement, perhaps lasting only minutes or hours which even the most assiduous screen watcher would have missed.

[papabull] 18/11/2021 13:33

On tradingview I just got an alert that the price dropped through 97p. It seems to have hit zero when I tried to buy from my broker still shows as steady. Is this market makers playing up? or is Tradingview going mad?
it seems it was the start of something good....up now to 107 and rising. at 14:15(UK time)

[sunbed44] 17/11/2021 23:04

I can see market sentiment picking back up a bit here and a nice little rise up do the next ex-div date which I think is 25/11. This is looking like a real solid share with an excellent sustainable dividend around 10/11% at these levels. And I'm hoping over the medium term of a share price rise to the broker notes levels of 150/160p over the medium term.

[sunbed44] 17/11/2021 23:01

Seems like Malcy was buzzing after CMD today. Lets hope he writes up his notes, or better still gets an interview and publishes ASAP.

[r9505571] 17/11/2021 19:15

Germany suspends certification of Nordstream 2 pipeline

[papabull] 17/11/2021 18:43

back to the homework questions raised by the bloomberg critic report - have DEC done enough on decommissioning - raising target to 200/yr wells from a total owned 64000? It may fall short of the expectations.

[sunbed44] 17/11/2021 16:36

So would you like to give us a bit of context as to what you think that actually means to us?

[mondex] 17/11/2021 14:25

Scrawl,

Many thanks for putting me right.

[papabull] 17/11/2021 14:01

Presentation is out now! hxxps://www.div.energy/news-events/ir-calendarevents
see pdf link on the page bottom right.111page presentation deck! More info than we've had all year?
Also you can register for the webinar here as well

[johnhemming] 17/11/2021 13:27

If that does not work try:

[scrwal] 17/11/2021 13:27

mondex

Info comes from the recent First Berlin report page 2 second para under Bloomberg heading.
I have assumed what they said is accurate unless it is another snafu.

[papabull] 17/11/2021 11:09

He has hired a suitable esg specialist to the board so should help

[sunbed44] 17/11/2021 10:38

My worry is the CEO is great guy but he was not very good at articulating the ESG message when he last spoke about it. Hope hes better this time and that this is worth the wait.

[sunbed44] 17/11/2021 10:36

And they have MASSIVE pies in the US you know PMSL

[sphere25] 17/11/2021 09:45

Don't know anything about this company beyond the well publicised issues. Clearly the market hasn't been confident enough to hold the rating with the price falling from that 130p mark down toward 100p (lower intraday), trying to bounce, but not holding the bounce around 117p and now currently at 105p

So..

The opportunity is there at the CMD this afternoon to reassure the market, and in doing so, cause a re-rating back higher.

With only 173k shares traded so far, it should be glaringly obvious if large buying comes in this afternoon or through the rest of the week for a possible quick opportunity here.

Will it happen though?

Over to the directors at DEC!

All imo
DYOR

[mondex] 17/11/2021 09:27

Scrawl,

I agree that the Exxon (XTC) wells are early life & imagine they may be too expensive for DEC, but I question your comment that vertical wells are longer life. The reverse is true with horizontal wells being more durable - one of the reasons the unconventional's industry drills so many of them. Also, I think you'll find that the majority of the NG wells operated by DEC are horizontal & not vertical. Interested where you found that information.