Enteq Technologies Share Discussion Threads

[valuehurts] 02/12/2023 23:21

Good shout out on Paul Scott's podcast. He owns a few and will be monitoring the news flow.

[valuehurts] 02/12/2023 12:58

CC technology is basically just injecting into fields which helps get more oil and gas out. They have been doing this for years. Offshore drilling is just for the big boys. The land based stuff is huge enough to begin with. Nobody is going to sanction a new technology for an enormous offshore well that costs multimillions.

[p1nkfish] 01/12/2023 14:32

My guestimate aligns with VH post 2104 but also to access the developing CCS opportunities in the North Sea. It's coming but NTQ not yet mentioned it.

[valuehurts] 01/12/2023 13:37

The CFO lives in Aberdeen and it is a hub for the oil and gas industry. They won't be using the tool in deep water but a lot of the big global players have sites in Aberdeen and there are a lot of industry people there. I think it makes sense as they have the office dirt cheap and he is there already. Staff will be cheaper than in the SE of England.

[optimist4now] 01/12/2023 12:30

I have been following this chat room for a while with a view to buying, however, I would be grateful for some views on Andrew Law’s comment on 22 November, when he said:

“The appointment of Mark as CFO and (the Aberdeen) office opening has further strengthened our presence within the UK energy market, which is a key region for driving our global ambitions.”

My research to date previously indicated that Enteq planned to focus the initial SABER roll out in such regions as the Middle East and North America. My questions are:

• Have I missed something or has Enteq’s geographical focus changed?

• Isn’t trying to establish a presence in a new region, rather than concentrating
on areas of the world where they have previous experience, an additional
(unnecessary) burden on their cash resources?

I hope that the appointment of the Aberdeen-based firms AAB (accounting) and Involve (HR) is a prelude to announcing revenue generating contracts soon, rather than incurring additional overhead costs too early!

The view of you guys who have been covering NTQ for a while would be appreciated before going nap on my decision to invest.

[1gw] 29/11/2023 16:05

Disappointing move down ahead of the Mello presentations. Have to hope the NTQ presenter(s) can inspire some new buyers.

[valuehurts] 24/11/2023 20:38

That's what I like to see. This is not a lifestyle company.

[p1nkfish] 23/11/2023 11:41

Might be quite a few oil traps in the North Sea uneconomic if you have to reposition a rig, better if you can directionally drill to access via existing positioned assets?

Possible future carbon capture capabilities too from the same assets to empty wells spread around?

[somerset lad] 23/11/2023 10:45

Office space in Queen's Gardens, Aberdeen at £18 per square foot (hxxps://www.zoopla.co.uk/to-rent/commercial/details/59582466/?search_identifier=f3d6a128588e4d5e9fcb5f86b2d5c1e9) looks very economical.

[1gw] 22/11/2023 15:47

Wow. Aberdeen office opened, headed by the CFO. He's presumably also the teaboy to start with, but that's a real sign of optimism, I would have thought.

[davidosh] 19/11/2023 15:50

A reminder that there is an opportunity to meet the management team...

Enteq will be one of the companies presenting at MelloLondon at the end of this month and they have a stand and will do two presentations on Thursday the 30th November.

The event will take place at the Clayton Conference Centre, Chiswick on Wednesday 29th and Thursday 30th November, where you can expect over 700 investors, 50 Aim listed companies and 10 or so Trusts and Funds.

Tickets are still available and if you would like one at half price then enter the code MMTADVFN50.

For more information, visit

[p1nkfish] 16/11/2023 06:31

Issue new.

[valuehurts] 15/11/2023 23:10

Who's going to sell Baker hughes the shares? If they invested this would rocket. people would see it as a takeover target with tech that threatens the incumbents. It would go up a few hundred percent on the first day.

[p1nkfish] 15/11/2023 11:29

My memory can be flaky but I think there were some Linked-in posts with positive votes from Baker Hughes people.

[p1nkfish] 15/11/2023 11:28

imho, every chance a competitor will look to invest to support as SABER further de-risks and develops a pipe-line (pardon the pun) of customer demand. Not acquire but hold a stake and NTQ get cash and access to more opportunities. It looks ripe for that sort of event once the initial customers are landed.

I can't see it being sold early.

A partial stake just makes sense to me.

Thoughts?

[rivaldo] 15/11/2023 09:06

Overall great to see further confirmation that SABER "has progressed well with the technology operating as expected during successful field-testing in Oklahoma. SABER tools are currently in manufacture for commercial deployment".

The numbers and financial updates are now irrelevant other than to note that NTQ has plenty of cash for the upcoming initial commercialisation - we just have to wait for additional commercialisation and technical updates, hopefully early next year.

From Finncap's update FYI:

"Outlook.

SABER continues to progress successfully through its field trials, most recently the technology operating as expected in its customer field testing in Oklahoma. SABER now appears very close to commercialisation. SABER tools are currently in manufacture for commercial deployment for customer testing.

- Commercial opportunity.

SABER is expected to be a disruptive technology in the Rotary Steerable segment of the directional drilling market. This market is worth an estimated $3.6bn pa according to Spears & Associates (2023), expected to grow around 11% this year. It is unique and IP protected, mechanically simple, thereby using fewer moving parts and is expected to offer customers lower through life operating costs and improved operational availability versus the market incumbents. The company is planning to introduce the SABER to market both as a rental unit or as an outright sale, with the independent and regional drilling companies expected to be keen to compete with the major market incumbents in this area.

- Forecasts.

Our forecasts remain under review for the time being, until commercial launch and initial customer acceptance provides a better understanding of have quickly this huge market will adopt this product. If commercial success occurs, the group’s value should see substantial upside from current low levels."

[1gw] 15/11/2023 07:58

On how long the cash will last, Cavendish have the following in their morning note: "Current cash is sufficient to fund initial units for market entry."

And on commercial contract timing, listening back to the IMC presentation Q&A (Q2) from October, AL said "in the coming months / early next year - that's when we'll be moving into that" - so from today's statement it seems to have firmed up as next year.

[somerset lad] 15/11/2023 07:53

Cavendish note doesn't add anything material, with forecasts remaining under review. They comment that if the customer trials are successful and SABER is well received by customers this "could dramatically increase the group's value".

[somerset lad] 15/11/2023 07:46

Interims out.

Remains bullish on progress with SABER and commercial opportunity. Outlook: “The SABER project has been substantially de-risked after the recent successful field-testing… Extensive and continued industry engagement, including recent attendance at the ADIPEC global trade show, has confirmed a high level of potential demand for SABER across the key regions, including applications to support energy transition.”

Not a lot of numbers to be added up, but good to see them back to a prompt reporting cycle.

Testing under the customer contract scheduled for the new calendar year (cf. AGM statement referring to later “this year” that I’d read, perhaps wrongly, as during 2023).

Cash of $4.6m on 15.11.23 (down from $5.1m on 30.9.23). They will have been buying components for manufacture (although the cash figure will reflect when they paid for the components not when they received them). “In April 2023, following the previous financial year end, Enteq divested of the assets and IP related to the XXT product line, for up to $3.2m, $0.9m of which has been received in cash during this period.” This implies up to a further $2.3m potentially to be collected from 1 October onwards (some of which may be in the $4.6m figure for today’s cash balance).

A bit ambiguous on a potential raise, saying they have sufficient resources for the “pending commercial phase” (which could be read as forever) but also “to bring it to a successful commercial launch” (which implies that there is a subsequent commercial growth phase which may require further funding). Personally I’d be happy to see an equity raise once the commercial viability and unit economics have been demonstrated, at which point the share price will, presumably, be comfortably above the float price, reducing the dilutive effect.

More emphasis on sales as a potential commercialisation strategy along with rental (previously the emphasis has been on rental with sales mentioned more as a passing possibility).

[rivaldo] 14/11/2023 15:53

Looks like one 100,000 buy at the 11.75p mid-price followed by a further 100,000 buy at 12p?

Hopefully an expression of confidence in things to come.

[1gw] 31/10/2023 18:04

Engineering Director announced (via Linkedin).

[1gw] 28/10/2023 15:52

I won't be going to the GM on Monday - it feels like I'm already up-to-date after recent meetings and presentations.

[1gw] 27/10/2023 11:18

Always interesting to look at who is "liking" linkedin posts.

[valuehurts] 26/10/2023 11:09

Appreciate your insight Somerset.