Enteq Technologies Share Discussion Threads

[valuehurts] 23/6/2023 18:49

Strikes me as a good replacement. Nothing more reassuring at a startup than a dour Scotsman in charge of the purse, willing to take equity as part of his remuneration.

[ga_dti] 19/6/2023 12:08

Interview with new CFO Mark Ritchie discussing his new role -

[valuehurts] 15/6/2023 21:48

Would be good to see new CFO come in and buy here. Same with the rest of management... nothing would be more encouraging..

[p1nkfish] 15/6/2023 15:28

You would think so.
Have yet to see proof the CEO can turn the ship and deliver much of anything.
The ship is drifting, where's the map and steady hand on the tiller?

Not even very basic IR/PR or any reassuring statements or proof of pre-sales.

[1gw] 15/6/2023 15:04

Somewhat depressing to see this steady erosion of price on the back of relatively low-volume selling.

Instead of recycling old news and marketing pieces on the potential of SABER, could the company consider being more specific on when the US trials are going to happen and what a realistic road-map is for the rest of the year in a success scenario?

[valuehurts] 07/6/2023 12:34

Getting closer to those US tests. Looking forward to finding out what engineering improvements they have made. Product getting further derisked.

[valuehurts] 02/6/2023 00:42

Enteq is basically listed PE and we are in at the ground floor. I'm fairly sure they will raise money at some point but hopefully this will be through debt once they have some cash flow.

[1gw] 01/6/2023 20:33

Results delayed from 20th June to "during July". Is that just an audit delay, or a chance for the new CFO to get a bit more up to speed, or are they hoping to have news from the US SABER testing?

[p1nkfish] 01/6/2023 17:13

Tonne of cash is a relative term, depending on delays, cash burn and need to place inventory for builds.

Hope I'm wrong but there is usually a lot of "extra" info on the RNS when a new main director is hired.

TBD.

[p1nkfish] 01/6/2023 17:11

Stressing the PE experience of the new CFO is for a reason.

[valuehurts] 01/6/2023 16:51

If they need to raise they will do a placing but remember the staff are getting a load of their salaries in shares so that will be the final option. They could get Gervais williams to pony up a bit maybe but if it came to it I would prefer the Hunting family to take a chunk. Would be great to bring some of their amazing tech expertise and distribution in. Not sure what their clients would think though.

[valuehurts] 01/6/2023 16:47

Pink is freaking out again. Calm yourself. They have a ton of cash in the bank.

[p1nkfish] 01/6/2023 09:36

If they need to raise it's likely via PE as the public markets don't have much appetite currently.

The longer delays to commercialisation the weaker NTQ bargaining hand against PE sharks no doubt more commercial than NTQ management.

Get a move on. Even forcing it to go bust can be in PE favour as they pick over the bones on the cheap.

No time to waste, get some orders to strengthen bargaining hand.

[rivaldo] 01/6/2023 09:10

Let's hope this comment from the CEO today presages good news:

"With his significant experience and dynamic approach combined with his strong commercial acumen he will be of great value as we enter a new phase of corporate development and look forward to a period of growth as we commence the exciting phase of introducing the game changing SABER technology to the drilling market."

[p1nkfish] 01/6/2023 08:14

Well, new CFO. With PE experience I wonder if that is a hint about what next.

[valuehurts] 11/5/2023 14:10

Absolute bargain down here imho.

[1gw] 11/5/2023 08:40

New SABER post. 30% lifetime cost reduction vs alternatives being flagged.

[p1nkfish] 19/4/2023 16:53

3 mile laterals, reliability critical.

[p1nkfish] 18/4/2023 22:51

Whatever green initiatives are pushed there's no getting away from oil and gas for years and the Capex spent isn't enough as it has been dissuaded. Output is likely to roll-off faster than demand and price volatility likely the result with an uptrend.

The quick way to new supply is exploiting existing infrastructure and going lateral to previously unexploited oil traps in older fields.

I don't know how far a lateral drill may have to travel but did hear 2Km is possible.
Why dies that matter? RELIABILITY.
Try pulling back a drill head 1Km+, replace and re-position. T quick operation.
A more reliable directional head capable of lateral = $$$'s saved.

[valuehurts] 18/4/2023 22:26

Well that would be splendid. That much cash flow on such an asset light business, with presumably pretty high margins... They wouldn't know what to do with the cash... hopefully start doing some small bolt on acquisitions and advance the tool... grow...

[somerset lad] 18/4/2023 08:20

Hi VH, the finnCap initiation note from July 2021 used a rental rate of $5k per day (which it said was in line with then market rates) and assumed 50% utilisation (that was likely to increase) giving revenue per drill of $900k p/a.

[valuehurts] 17/4/2023 22:49

Anyone have an idea of cost per day for a drill. May be worth getting some scenarios for cash flow and size of fleet. I remember there was a German drill manufacturer who also rents out to independent service companies. I'll see if I can find that comparable.

[p1nkfish] 13/4/2023 18:49

JV perhaps to increase market reach.
Whatever is next........

1) Needs some reasonable real-world proof of adoption.

2) Proof of cost-benefit to show a compelling reason to adopt by the wider market.

Do those two things and today's market cap will be left in the dust.
Until then it's largely cash burn.

[1gw] 13/4/2023 17:40

While we wait for further news on testing, not much to do except engage in wild speculation.

So in that spirit (and with no advice intended), this cleaning up of the balance sheet and disposal of non-core lines should make the company more attractive to someone interested in buying the (licensed) SABER technology rights.

Enteq receiving and then making public a bid approach would likely do wonders for the shareprice but it may not be very likely at this stage. Potential bidders will now see that Enteq is funded for the rest of this year at least - so they would likely anticipate that management would reject any approach ahead of further test results, and this may mean potential bidders hold fire.

Again rather like in biotech, management has to judge how to maximise expected value for shareholders. The business should be more valuable after a successful US test and successful customer field trials, but what is the risk of material failure in each of those events? Would potential bidders (if any) quantify the risk of failure at a similar value to Enteq's own view? i.e. is expected exit value maximised by holding through further trials to reduce the gap between Enteq-perceived and bidder-perceived risk? And even if there would be a difference (between Enteq and a bidder) now in perceived risk, is Enteq's view that the risk of failure is high enough that shareholders might prefer a "bird in the hand" offer now? If the risk of technical failure in the remaining tests is now very low, would that be recognised and valued by potential bidders?

Gut feel is that management would not entertain a bid at this stage and would not want to hand over technical documentation from the Norway test to allow an interested party to assess the remaining technical risk on the project. But what a new owner (or licensee) of SABER technology could perhaps do is accelerate the roll-out of the technology, which would create value (possibly offsetting any perceived difference in risk assessment). So I think it's just about conceivable that a deal could be done, but low probability at this stage - and low probability even of getting an offer that is firm enough for Enteq to feel they need to disclose it to the market.

[mr doughnut1] 13/4/2023 13:48

https://www.enteq.com/news-media/2023/04/enteq-sells-xxt-and-invests-in-new-facility-to-focus-on-novel-rss-solution-saber/