Harbour Energy Share Discussion Threads

[rose_by_another_name] 14/5/2020 10:11

I don't know. The court case was just about
the bond extension. The judge said the other
aspects of the deal were best left to the
marketplace and shareholders. So maybe the
bond extension can go ahead without the rest.

I hold the bond and shares, but have been in
and out of the shares.

[rogerlin] 14/5/2020 09:19

Do the schemes of arrangement link the deal with the agreement on borrowings and extension of the life of the bond? If the deal falls through, does the rest have to be re-negotiated?

[rose_by_another_name] 14/5/2020 08:28

Assume the deal is renegotiated
advantageously- big up-tick in the
SP.

Assume the deal falls through- some
drop on the news, but recovers as
the realisation sets in that it is
better than the current position
of a bad deal.

Assume the deal goes through as
originally agreed- worst outcome,
big down-tick.

[rose_by_another_name] 14/5/2020 08:01

"Oil slump leaves Premier over a barrel"



You need a subscription to read it.

[rose_by_another_name] 14/5/2020 07:59

My feeling is that it would not be disastrous
for the North Sea deal to fall through,
especially if it cannot be renegotiated.

[jelenko] 14/5/2020 07:58

Do you have a link?

[sbb1x] 14/5/2020 06:57

Article in the times this morning

[andypop1] 13/5/2020 23:57

Whites,
Jefferies? Who were the joint underwriter of the placing and rights issue?
Lol.
So is the general consensus PMO are in a good position to renegotiate the price of the North Sea acquisitions due to the current environment?
Would that same principle not be applied to the valuation of Zama that has not yet attracted a buyer?

[andypop1] 13/5/2020 23:27

That was a relatively positive update, the company may have finally realised they are not a major and need to spend accordingly.
The rumours about Catcher have been confirmed, if your main producing asset was to fail I guess April would have been the best time .

Tolmount will be late, again not a bad thing given the domestic gas price not to mention the 1st quarter Capex payments that would have been due if the build was on time.

The business has slashed Capex, reduced manning on the installations which will no doubt have contributed to the reported cut in Opex of which shutting down Huntingdon seems to be the biggest contributor as that cost now moves to Decom costs.

The update didn't confirm big Tones' claim that the company was cash flow neutral at $30 but instead suggested the number was more like $32???
At least there was some clarity on that figure including interest payments.

On liquidity there was again some clarity on the undrawn facilities, they are addressing the drawing profiles with creditors along with the impending covenant breach.

They are also in talks with all stakeholders about the North Sea acquisitions and just in case the 2021 debt maturities.

Overall not a bad update but shows the business is in survival mode due to the reckless spending over the past years.

How's the current future curve looking tonight?

Good luck all.

[chutes01] 13/5/2020 15:41

i like 27p now

[whites123] 13/5/2020 13:12

jelenko13 May '20 - 11:27 - 49955 of 49957
0 0 0
Zama, could be any ideas on it's potential sale value at the moment? Must be north of $500m. Makes our current market cap. of circa £200m look a bit daft.


Zama:

Resource eveluation is interesting.

hxxps://www.hartenergy.com/news/resource-evaluation-gives-insight-talos-partners-zama-discovery-185114

Premier Zama: Analysts at Jefferies had recently pegged the value of its assets at Zama at $439.0m.

100% in agreement with Jelenko. The current PMO valuation is ridiculous in the extreme. But then so are many other companies including those not in the Oil market. The ridiculous valuations attributed to numerous companies provides rich pickings for us. Only when masses see the potential here and should we be lucky enough to see the fraudsters ARCM in a short squeeze will the flocks descend.

Its going to be interesting, its going to be exciting, its going to be fun.
Its also going to be sooner than it was yesterday... :-)

[master rsi] 13/5/2020 12:22

The early negative views have gone
Is the share price response that now has gone positive

[la forge] 13/5/2020 11:43

IT SEEMS THAT THIS SITE THINKS FAR MORE

ALTHOUGH ADVFN GIVES THE IMPRESSION NOT SO


Net Tangible Asset Value PS * -3.93 p
Net Asset Value PS 102.74 p



jelenko
13 May '20 - 11:27 - 49955 of 49955
0 0 0
Zama, could be any ideas on it's potential sale value at the moment? Must be north of $500m. Makes our current market cap. of circa £200m look a bit daft.

[jelenko] 13/5/2020 11:27

Zama, could be any ideas on it's potential sale value at the moment? Must be north of $500m. Makes our current market cap. of circa £200m look a bit daft.

[the grumpy old men] 13/5/2020 10:05

proactiveinvestors


Jamie Ashcroft

09:06 Wed 13 May 2020

Follow Jamie on:
viewPremier Oil PLC
Premier Oil says 2020 forecast as broadly cash flow neutral, production downgraded

"We are proactively managing the business in these challenging times," said chief executive Tony Durrant.
Premier Oil PLC - Premier Oil says 2020 forecast as broadly cash flow neutral, production downgraded

Premier Oil PLC (LON:PMO) told investors that it is forecasting 2020 will be “broadly free cash flow neutral”.

Production averaged 70,100 barrels oil equivalent per day at the end of April and guidance has been downgraded to a range of 65,000 to 70,000 boepd.

It comes following the unplanned outage of the Catcher field (which is now back up) and the cessation of production from the Huntington field.
READ: Edinburgh court approves Premier’s North Sea acquisition

"We are proactively managing the business in these challenging times and remain focused on the welfare, health and safety of our people,” said Tony Durrant, chief executive.

“We continued to generate free cash flow during the period and, based on the current forward curve, expect to be broadly free cash flow neutral for the full year, benefitting from our hedging programme and action taken to reduce our expenditure."

Meanwhile, the Tolmount field development project has seen its timeline slip with ‘first gas’ now expected in the second quarter of 2021.

Other operated growth projects are on hold with ‘optionality preserved’, the company said.

Premier noted that the Sea Lion project has been suspended, though farm-out documentation was agreed, and the Tuna project appraisal is fully-funded.

The company added that its highly prospective exploration acreage has been retained, though drilling commitments have been deferred.

The process to sell the Zama discovery is ongoing and the Mexican regulator is expected to instruct the unitisation process in the coming weeks.

In Wednesday morning’s dealing, Premier Oil shares fell 3.7% to change hands at 26p.

[heialex1] 13/5/2020 09:58

Yup. Ironically Solan a bright spot...The two things these needs now is a monster re-negotiation of the BP deal and good news on covenants

[chutes01] 13/5/2020 09:50

decent update, this is priced to fail. it wont.

[adg] 13/5/2020 09:43

Amongst the gloom a few brighter points;

“The Solan P3 vertical pilot well was successfully completed with results in line with expectations. The well will now be side-tracked horizontally and, once completed, is expected to boost field production to in excess of 10 kbopd during the fourth quarter of the year.”

“ As a result, the Group now expects to be broadly free cash flow neutral (after interest) for the full year based on the current forward curve.”

Could be a lot worse - for those better versed with debt technicalities is the following a formality or is it a serious concern?
“ Premier has entered discussions with its lending group to address its covenant profile with a view to securing any necessary waivers.”

[sbb1x] 13/5/2020 08:34

Not having a bad day considering everything is red today!

[hsfinch] 13/5/2020 08:20

That rumour has been out there for weeks now. Catcher was down for a month. They probably switched it on for this announcement so TD could add "(now restored)" in his statement. Wouldn't surprise me to hear it's been switched off next week. It's what oilies do...weasel words and weasel actions.

[hsfinch] 13/5/2020 08:16

You have to laugh at the word-smithing in these PRs. "Sea Lion project suspended with farm-in documentation agreed". The insertion of the word "documentation" makes the statement meaningless. On a more general note, I think the only hope now for PMO is to find a suitor.

[boatman123] 13/5/2020 08:10

I've just bought some more , seems the right time , will be much higher in 2-3 months