Enteq Technologies Share Discussion Threads

[p1nkfish] 05/11/2014 23:04

Any one or more of the below may have jumped ship today and transferred to a group prepared to hold for the medium term.

May be an old list.

M & G Investment Management - 5,465,000 9.27
Ruffer Investment Mangmt Ltd - 5,205,688 8.83
Soros Fund Management LLC - 4,825,000 8.18
Morgan Stanley Group Inc - 3,925,000 6.66
Hargreave Hale Ltd - 3,445,688 5.84
City Financial Corporation - 3,130,341 5.31
Schroders PLC - 3,070,767 5.21
Threadneedle Investment Management Ltd - 2,508,318 4.25
Insight Asset Management - 2,505,000 4.25
Hark PTC Ltd - 1,828,886 3.10

[p1nkfish] 05/11/2014 22:59

something like 10% of outstanding shares traded today. Some shuffling form old holder to new. Might this be the turning point?

[paleje] 05/11/2014 09:56

Halliburton CEO Expects Shale to Reverse Oil Price Slump

[paleje] 29/10/2014 23:17

P1nkfish, I agree with your comments post 351, about increasing efficiency and lowering production costs, it's happening. Saudis are playing a dangerous game, they can't rely on China either, China has started buying from Latin America and want to develop their own shale potential too. While the price game plays out, drilling continues and increases.

Plexus Holdings has issued good numbers and management remain bullish, their view being the lull is temporary, demand will continue to increase and support services with it:-

By Harriet Mann | Wed, 29th October 2014 - 14:08
Plexus profits surge creates excitementPlexus Holdings' (POS) "David and Goliath" story continued mid-week, as record full-year results continued to rejuvenate the share price of the oil and gas engineering services firm. Though the sector has struggled of late, hit by a plummeting oil price, finance director Graham Stevens is upbeat and focused on the long-term.
The group rents and sells its POS-GRIP friction-grip exploration wellhead equipment for high-pressure/high temperature wells all around the world, including to big names like BG (BG.), Statoil (STO) and Tullow Oil (TLW). A new subsea wellhead design, which is a joint industry project and is expected to have a prototype planned for 2015, made significant progress during the period.

Revenue hit £27 million, up 6% on last year, which Stevens describes as a "tale of two halves". UK income was flat, but leapt by 17% in the Rest of the World.

"That is of no surprise to anybody because we know that the North Sea has not been particularly active over the last few years, and that is a source of concern for the industry," said Stevens. He looks forward to the release of the government's Fiscal Review at the end of the year, which should introduce tax breaks to boost North Sea exploration, which will benefit Plexus.

But the company is pressing ahead with expansion elsewhere, including plans to build an Asian business hub.

Cash profit in the year to 30 June rose by nearly 20% to £9 million, with pre-tax profit jumping by a quarter to £5.4 million, giving earnings per share (EPS) of just over 6p. With post-tax profit up by 65% to £5 million, Plexus is benefitting from tax breaks due to research and development and Patent Box tax regime.

Of course, with oil prices at a two-year low, investors are concerned about the impact on oil services providers. While Stevens doesn't play down the risk, he notes that there are both short-term and long-term effects, and he has his eyes kept firmly on events further ahead.

"Yes there might be some areas of activity - which we are not actually in - that could be hit, then there could be a general hit - some of those factors could be Ebola, general worry about Chinese demand, slowing down in Europe. But one thing is for sure, general demand for conventional oil and gas is not going to go anywhere soon. With the rising population becoming more industrialised, demand is going to remain. So what is more interesting is not what is going to happen to demand, but with supply."

"None of us have a crystal ball, but we can look at the macro events and there are always going to be bumps along the road... but over the long term the demand for oil and gas is going to continue to increase," he added.

Echoing this sentiment, stockbroker Numis downgraded its near-term valuation of Plexus to an EV/EBITDA multiple of 8.7 times for 2015, in line with the sector. Its sum-of-the-parts valuation falls to 350p per share from 372p, still 38% above the current share price of 254p.

This article is for information and discussion purposes only and does not form a recommendation to invest or otherwise. The value of an investment may fall. The investments referred to in this article may not be suitable for all investors, and if in doubt, an investor should seek advice from a qualified investment adviser.

[p1nkfish] 28/10/2014 12:13

Worth a listen to get a background on others take on the market to date - Haliburton - accelerating in all geographies and no sign of slowing "anytime soon".


hxxp://ir.halliburton.com/phoenix.zhtml?c=67605&p=irol-EventDetails&EventId=5166497

[p1nkfish] 28/10/2014 12:13

Worth a listen to get a background on others take on the market to date - Haliburton - accelerating in all geographies and no sign of slowing "anytime soon".


hxxp://ir.halliburton.com/phoenix.zhtml?c=67605&p=irol-EventDetails&EventId=5166497

[p1nkfish] 21/10/2014 02:49

mid-terms in the US and on Fox there has just been an ad promoting US domestic energy to avoid sending money abroad.

cost of extraction certainly plays a part vs market price but there is also a strong political element wanting the US to be energy independent.

was surprised when it was mentioned in an ad.

[p1nkfish] 19/10/2014 15:46

$60 ok in some better usa fields and looking to drive down to sub $50. others will be hit at $70-$75.

near term low oil will have an impact but will drive push to greater efficiency.

the low price supposed to be down to saudis now having china as #1 customer and even looking to ship at discount. usa no longer #1 customer due to shale/fracking.

impact on ISL selling into black market and russia.
saudia likes both impacts.

NTQ's move into Mid East and China is very sensible but NA impact due to low oil price likely to be more subdued (less impact) than mnany expect.

usa govt needs local oil to help balance of payments. it is of national importance, not going away.

new tech in possible zig-zag drilling?

[p1nkfish] 16/10/2014 06:55

The mistake is to believe those making money out of fracking are prepared to stop without innovating to attempt to drive down costs further to continue to make money as the environment becomes more challenging.

No one can be certain but to assume all is bad for the likes of NTQ leads to the current share price and also pays no notice to NTQ's attempts to de-risk by increasing geography and innovating.

They now have exposure to NA, ME, Rus and China/FE.

A small fish in a massive pool. With care and decent mangement they could expand for years before being crimped by TAM. Not so for some of the bigger operators.

[rivaldo] 15/10/2014 08:18

Nice start on a buy of just 3k shares - overhang now gone?

Excellent article in post 345 well worth reading, including an interview with the CEO. Considering the current m/cap is not far above net cash the potential upside here is extremely large given the global potential, even in a poor O&G climate.

[p1nkfish] 14/10/2014 14:38

I see this as a fair risk/reward all considered with their cash position. They can run a tight ship as needed to conserve cash.

[p1nkfish] 14/10/2014 14:32

looked at a cost breakdown of fracking.
dependence on state for site acquisition costs.
some good news - to get breakeven price down a very real need to address cost of horizontals.

address that and b/e price falls.
supply kit to address that and you have a market.

all eqpt suppliers will be impacted by any change in US well market but NTQ have open field to grow into a big market (even if it shrinks) and geographic expansion.

every chance NTQ might be hit but they are not so TAM dependent as bigger players and if their kit helps drive efficiency they have a ready and waiting market as pressure is applied by oil price decline.

time will tell. I expect b/e point to fall. just mho.

[hastings] 14/10/2014 14:29

May also be of interest.

[simon gordon] 14/10/2014 14:03

Bloomberg - 13/10/14:

U.S. Oil Producers May Drill Themselves Into Oblivion

[1gw] 14/10/2014 12:11

Investec and finnCap both reiterate buy according to HL.
Investec reduces target from 70p to 62p.
finnCap target unchanged at 51p.

[p1nkfish] 14/10/2014 09:03

One thing we can learn from history - the yanks often find a way to do the same thing next year at a price lower than last year.

[chizgreen68] 14/10/2014 08:47

Paleje - Economist also stated $45 average breakeven

[paleje] 14/10/2014 08:45

Sorry duplicated, not in UK, disrupted wifi.

[paleje] 14/10/2014 08:44

From Malcy this morning:-

''A trading update from Enteq this morning, it has been a longer and harder journey than most would have expected but it looks to me if the rewards are finally becoming visible. Trading is in line with expectations and revenues are 45% of the full year and gross margins are as planned. Revenue and EBITDA have shown ‘significant growth and new business to China and Middle East markets is encouraging. I hope to see Martin Perry before long and maybe it is time to look at Enteq again after a bit of a false start, me included!''

Also worth noting an article from weekend ST Irwin Stelzer, opining US frackers not as fragile as some have been intimating at breakeven $80/barrel, he suggested nearer $45, good to have some balance although there's still some concern. Prospects in the Eastern Hemisphere encouraging.

[skyship] 14/10/2014 08:39

Malcy writes this on his blog:

"A trading update from Enteq this morning, it has been a longer and harder journey than most would have expected but it looks to me if the rewards are finally becoming visible. Trading is in line with expectations and revenues are 45% of the full year and gross margins are as planned. Revenue and EBITDA have shown ‘significant growth and new business to China and Middle East markets is encouraging. I hope to see Martin Perry before long and maybe it is time to look at Enteq again after a bit of a false start, me included!"

[rivaldo] 14/10/2014 08:19

Yep, a very promising update.

Last year's H1 saw NTQ produce $0.5m EBITDA, and now we're told that the 18th November EBITDA will produce "significant growth".

And NTQ has $14m (around £8.5m) net cash too, against a £14.4m m/cap.

As well as the first sales into China and the Middle East, I also like the sound of this:

"New technology progress includes the commercialisation of a new data transmission system (pulser), new software developments and progression of further technology licensing opportunities."

[1gw] 14/10/2014 07:12

Trading statement out. In line with management expectations apparently but decidedly optimistic in tone I would say.

"Revenue and adjusted EBITDA during the period has shown significant growth over the same period in the previous year."

[1gw] 13/10/2014 15:00

Trading statement tomorrow? Last year it was Tues 15th October. Although the statement in post 325 above that "A trading statement should be out within the next week or two" of 7th October suggests it wasn't particularly firm at that point.

[p1nkfish] 07/10/2014 21:45

In this case I have little sympathy with the original backers. The likes of AVIVA have teams of well qualified people making decisions on what to back. NTQ is just doing what the market is for, raising capital, allocating and executing to a plan.

I would not have bought into NTQ on float and I'm not as clever as Aviva. At that time I would have considered it too speculative whereas now it is erring on the side of investable in my book.

A purchase made now lines up with the incentive plan, don't look back or feel sorry for the original backers they will use to offset against gains elsewhere, give it 3-5 from today.

Beat the big boys. Buy low, sell high.