Faroe Petroleum Share Discussion Threads

[rogerlin] 27/2/2018 08:04

Still no sign of any tugs to move the Deepsea Bergen, the longer the better IMHO.

[bountyhunter] 27/2/2018 02:05

Brent chart rolled

[atyorcall] 26/2/2018 18:30

Yes I think your right HR they must know by now,news tomorrow maybe?

[harry rags] 26/2/2018 09:26

RogerlinYou would think we would have heard by now if it was a duster. So here's hoping

[rogerlin] 26/2/2018 08:45

Results will be announced when operations have been completed, which is estimated to take approximately 90 days (spud 29th November).

Deepsea Bergen still seems to be busy exploring the underworld.

[ssrover] 25/2/2018 19:29

Massive buzz all around this weekend across the usual forums and twitter on MATD and NUOG. see MATD and NUOG as big risers next week

[rogerlin] 25/2/2018 19:28

Thanks whackford, quite a positive piece from Simon Thomson "In the circumstances, I feel it pays to stay long of Faroe's shares, with the potential for positive newsflow from its exploration activities an added attraction".

Simon Thomson gives interesting tips and seems to have quite a following. Perhaps that article may have caused the small jump in the FPM price on Friday? Or perhaps news from Hades?

[ed 123] 24/2/2018 12:54

Yes, I noticed that too.

IC 16-22 Feb saying sell Faroe. IC 23 Feb - 1 Mar saying buy Faroe.

Two different writers, two opposing views.

[whackford] 24/2/2018 08:05

Rogerlin - in IC yesterday(Simon Thomson's piece) says buy i.e. contrary to the sell call which you report from IC's oil man.

[wbodger] 23/2/2018 22:43

Thanks for posting that r (probably paywalled). I think anyone who got in at 52 has probably already cashed in - but not many would have. That must have been peak-panic, in the middle of January 2016, when just about the whole market was oversold. If they were also recommending Buy PMO in the same issue I would really be impressed.

[atyorcall] 23/2/2018 14:04

regardless of Investors Chronicle share price is picking up nicely, news in the next few days a good result this fly imo

[atyorcall] 23/2/2018 14:04

regardless of Investors Chronicle share price is picking up nicely, news in the next few days a good result this fly imo

[rogerlin] 19/2/2018 08:46

Investor's Chronicle Tips Updates comments on Fenja sale and concludes "Despite its diverse and risked portfolio, Faroe's shares trade at a discount to most core net asset valuation estimates. Nonetheless, with the narrative focused on exploration and appraisal, we're following Faroe's lead, and using the bump in the shares to take profits on our two-year-old buy call" (which was at 52p it seems).

[rogerlin] 14/2/2018 08:20

Wbodger thanks for pointing out that figure of £54 million for the UK tax losses in the 2016 annual report. I see for 2017 UK production (Blane and others) was about 1000 boepd, I make that about £14 million income with oil at $50, how much of that is taxable profit and so how long will the £54 million last? Presumably with the subsea upgrades and possible infill targets on Blane more taxes losses will accrue.

[thegreatgeraldo] 13/2/2018 18:08

So much going on with this company, currently & into the future..... spent a bit of time earlier working through the Nov presentation with the ops update open in another window.

[wbodger] 13/2/2018 17:57

2016 Annual Report, Financial Review, Taxation. It's heavy going but this might be pertinent on Page 30:
At December 2016 the Group had unrelieved tax losses in the UK of £54.1 million which are available indefinitely for offset against future taxable profits.

There is also a table of all assets at the end. In 2016 evidently Wissey and Minke, were still producing (the website now says they have stopped). I agree that when Schooner, Ketch and Topaz stop there will really only be Blane and East Foinaven left. Not sure what will be Faroe's plans for the unrelieved losses after that.

I seem to remember reading that the FPSO they use for East Foinaven is beaten up from the WoS conditions. But Glen Lyon is not far away ;-)

[rogerlin] 13/2/2018 16:07

They increased the stake in Blane, the only positive move in UK for some time, but that ties in to Ula and so is Norwegian in operational terms. There was talk at the time of the autumn budget that UK would work out a way of allowing companies to sell interests with tax losses, to free up the market. Can't recall what FPM's tax loss position is, do tax losses die with fields that are decommissioned? I think apart from Blane only Foinaven left as a going concern.

[wbodger] 13/2/2018 11:30

I agree it is an upbeat Operations statement. I like that 2P Reserves are considerably raised by including Brasse (that was quick) and that 2C Resources drop a bit because of Fenja sale. (2C can be restored at any time by exploration.)

Trym has produced a lot of their 2017 production (as I anticipated and I think I posted). It seems to be out of service until the spring, but there is compensating good news from Tambar, where Aker have got on with the repairs, and at Brage where Winterhall have.

The Guidance of 12-15000 for 2018 is in-line or perhaps slightly better, given that Trym is currently down and Schooner and Ketch will finish producing in Q3. East Foinaven isn't even significant enough to be reported.

After Schooner and Ketch shut they will have very little UK income. Is that a concern?

[dahhad] 13/2/2018 08:04

Another positive statement. Should boost the price given reasonable overall market conditions!!

[rogerlin] 12/2/2018 16:32

The Njord A refurb is an expensive business, always the risk of cost overruns, to align the Fenja interest at 7.5% seems sensible.

[wbodger] 12/2/2018 16:25

Assuming Faroe wanted the flexibity afforded by the Nordic Loan to improve the bargaining position over Fenja, I wonder if they still need it and whether the cash-on-hand ($54 million from Fenja proceeds and $100 million from the Nordic loan) will burn a hole in the pocket?

There's still a lot of grief in the offshore rigs market, US shale production is ticking off the Saudis again, and the knife-fight could start up again. It now looks better to be invested here than in some others I could name.

[thegreatgeraldo] 12/2/2018 12:36

As Wbodger points out, win/win.

[redrossi] 12/2/2018 12:20

Correct Wbodger I agree makes sense to me we have a lot of things on the go so this reduces our exposure and provides extra cash for ongoing developments

[thedudie] 12/2/2018 11:35

Perhaps they feel the (hopefully) additional large scale development of Aerosmith coming up is going to stretch them too much .....
:)

td

[wbodger] 12/2/2018 10:54

I think the key is it reduces Faroe's obligation to fund 25% of Fenja down to the same 7.5% as the Njord fields. That will be manageable, and probably doesn't affect cash flow projections much because Fenja won't produce until after Njord is back up anyway.

They can use the cash saved to prioritize the Ula and Brasse developments.

Nice to finally get a good surprise in an RNS.