Harbour Energy Share Discussion Threads

[oilretire] 18/1/2024 00:32

Wintershall Dea has been awarded 13 exploration licences by the Norwegian Ministry of Energy in the 2023 Award in Predefined Areas (APA) – five licences as operator, and eight as partner.......htTps://wintershalldea.com/en/newsroom/pi-24-01

[back2basics1] 17/1/2024 19:41

It may still be too early but let’s see if we get a hint on the potential impacts of HBR’s expiring hedges tomorrow, it should all be interesting and hopefully very positive.

[cashisking76] 17/1/2024 19:36

The UK government will also conduct a standard review here from their perspective, it’s part of the M&A due diligence process and actually positive (hence no market impact), it would be pretty surprising if no reviews were scheduled!

[bearnecessities33] 17/1/2024 16:11

Harbour Energy jumps as BofA hikes price target

One stock bucking the weaker market is Harbour Energy PLC (LSE:HBR), up 5.1%.

Bank of America has raised its price target to 500p from 460p, and reiterated its ‘buy’ rating, after taking a closer look at the proposed acquisition of Wintershall.

“We like what we see,” said analysts at BofA in a research note.

BofA estimates around 35% free cash-flow yields across 2024 and 2025 using $80/Brent and $10/mmbtu European gas prices.

It notes the “problematic” UK production mix (fiscal and regulatory unknowns) goes from around 90% to around 30%.

“The proposed transaction offers major geographic diversification and expands Harbours production base >2.5x towards ~500kboe/d,” the bank explained.

“Reserve life metrics are improved, opex and capex intensity reduced,” and it expects the Wintershall portfolio to generate the full $2.15 billion (and change) cash price tag with its own FCF if the deal closed at year-end 2024.

“We see a major re-rating opportunity,” BofA said.

The City seems to agree with shares marked up sharply today.

[thecomposer] 17/1/2024 15:51

Bloomberg
OPEC Sees Robust Oil Demand Next Year in First Look at 2025

Consumption seen rising by 1.8 million barrels a day next year
Forecasts imply global supply deficit through to end of 2025

OPEC forecast that global oil demand will continue to increase strongly next year and exceed growth in supplies, according to the group’s first detailed assessment of 2025.

World consumption will swell by a “robust” 1.8 million barrels a day next year, driven by China and a recovering global economy, the Organization of Petroleum Exporting Countries said in its monthly market report. The forecast comes on the same day that the alliance’s top official published a rebuttal to predictions that oil demand is heading toward a peak.

[malkiel] 16/1/2024 13:29

HBR 318.8 +22.2 +7.48% as of 1:28pm
Big buyer realises value of deal?
Indonesian discovery massive?
Oil going high because of Houthi's?
Takeover?

[kibes] 16/1/2024 11:55

Agreed very useful note thanks.

[cashisking76] 15/1/2024 15:06

Good comprehensive note on HBR by Seeking Alpha here out today:

[elsa7878] 14/1/2024 17:35

Old news….

[malkiel] 14/1/2024 11:19

Update from Kokomo on LSE
14 January 2024

BREAKING NEWS - 6 Trillion KK Gas Found from Andaman Aceh WK, Government Opens Option to Build New Refinery

PIKIRANACEH.COM - Oil and Gas (Migas) reserves totaling 4.68 billion barrels were discovered in Aceh. The discovery of jumbo oil and gas reserves is claimed to exceed reserves in Saudi Arabia.

The exact location is at the Layaran-1 South Andaman Exploration well. The location is around 100 kilometers off the coast of northern Sumatra, Indonesia.

Currently there are two large KKKS consortia there, namely Harbour Energy and Mubadala

[...]

[spacedust] 12/1/2024 16:12

Oil and gas spiking to the moon. Thus bag of shtttt which apparently is the steal of the millennium is stick at 300p or there abouts

[luckyjoe999] 12/1/2024 15:55

Post from lse bb today:

theancientmarine
Posts: 69
Price: 301.20
No Opinion
Today 15:28
Harbour Energy

2023 was undeniably a tough year for UK Oilers with an increasingly and clearly undoubtedly Unfair Windfall Tax/EPL in place by the Sunak government, now as the saying goes, when the going gets tough the tough get going, and Harbour Energy management have successfully done exactly that!

HBR by it's recently announced Wintershall Dea M&A deal has not only done an Outstanding job but has truly pulled a rabbit out of the hat while at same time further Exploring, Developing, and Producing from it's current/PMO inherited prolific assets (Indonesia, Mexico, Norway, UK.....), so much so that we now have the richest person in Mexico, and also one of the wealthiest Global Sovereign Funds (UAE Mubadala) amongst our partners along with others. HBR has also been proactive in Cost Management during a turbulent time in the North Sea O&G industry, and has now amazingly/successfully diversified globally and even optimised (Vietnam Sale) it's geographical portfolio in a timely manner, all hence why I (and seemingly many analysts) are increasingly optimistic on HBR for 2024 and beyond.

[kenbos] 12/1/2024 15:25

That's nearly a one and a half million buy must be a confident buyer

[back2basics1] 12/1/2024 14:36

Brent, Natural Gas, UK and European Gas prices all nicely on the rise here and looking pretty bullish ahead:

[elsa7878] 12/1/2024 13:23

That’s not to say it’s not a buy but just puts some colour on the discount to the eventual 360p placing price.

[farmerjohn1] 12/1/2024 06:16

WoodMac: Global Oil Demand to Rise by 2 Million Bpd in 2024

[onlylongterm9] 12/1/2024 06:06

Post a successful HBR-Wintershall Dea deal completion in Q4 this year, emerging Harbour Energy will be equivalent to the likes of Aker BP which currently has a market capitalization of around £14 Billion!

[elsa7878] 11/1/2024 19:44

There are several reasons for the shareprice.

1) Risk that they don't get all the regulatory approvals in all of the countries in which WD operate.

2) The time until completion - 11 months.

3) General oil/gas market risks in the interim.

4) HBR will still have 35% of its reserves in the UK with all of the regulatory uncertainty - levies, Labour govt etc.

In the meantime the price will be stuck between the price it was before the deal ie 225p and the cap that the 360p seller will get (when everyone knows they will sell their stake as and when they can).

[wolfofhounslow] 11/1/2024 16:44

Seems like drop drop every day :(

[cashisking76] 11/1/2024 06:09

Top 10 UK stock picks across sectors from US investment bank Stifel

IMI, Endeavour Mining, Harbour Energy and Jet2 are among the top 10 share picks for 2024 from analysts at Stifel, who were asked for the best investment ideas from their sectors.

Harbour Energy PLC (LSE:HBR) was picked by analyst Chris Wheaton for its “great” free cash flow (FCF), with the current valuation pricing in UK political risks.

He estimates the market is discounting at a 20% rate on the UK assets but Harbour’s Wintershall deal reduces UK to circa 35% of production and less than 25% of FCF, “so should drive rerating”.

With Britain's biggest North Sea oil and gas producer on course to become a major global player, investment bank Stifel upgraded its target price to 570p from 480p.

[bearnecessities33] 09/1/2024 14:59

FPSO gets contract extension for North Sea Catcher Field work

The BW Catcher FPSO is owned and operated by BW Offshore and is leased out under a seven-year fixed term contract, with extension options for an additional 18 years.

The original seven-year base term of the contract expires on Jan. 6, 2025, and from Jan. 6, 2024, the contract is subject to a rolling 12-month termination right. Until such a termination notice is received, the contract automatically extends on a day-to-day basis beyond Jan. 6, 2025, into the option period.

The Catcher Field partnership is made up of Premier Oil UK Ltd. (Harbour Energy) (50%), Waldorf CNS (I) Ltd., Waldorf Production UK Plc (40%) and ONE-Dyas E&P Ltd. (10%).

BW Catcher has an oil processing capacity of 60,000 bbld/d and a gas handling capacity of 60 MMscf/d. The vessel also has a water injection caapcity of 125,000 bbl/d and a storage caoacity of 650,000 bbl.

Last year Amarinth supplied skimming pumps for the Catcher FPSO in the North Sea.

In January 2023, Harbour Energy was targeting average production in 2023 from its offshore projects of 185,000 to 200,000 boe/d, with new wells coming onstream at the J-Area, Beryl and Catcher developments.

First oil was produced from the Catcher Area in the UK central North Sea in December 2017.

[thecomposer] 09/1/2024 09:44

Harbour Energy’s $11.2bn acquisition will transform the North Sea player

[back2basics1] 09/1/2024 09:41

Brent is actually nicely up so far today and currently trading at Circa $77+