Highlands Natural Resour... Share Discussion Threads

[yasx] 11/6/2016 13:06

Highlands - More jam than Robertsons....

The announcement yesterday included nothing of any significancne, save the fact that the trials are now delayed, possibly until around September - the rest was padding to cushion the blow. I offer my interpretation of the same as follows:

10.6.2016 HNR announce they are updating holders of equity. They start by stating:

"*Testament to the technology's potential to transform and significantly reduce the costs associated with unconventional exploration and production via re-fracking"

But, this is nothing new or an update. They have always stated this and is a regurgitation of what was said in virtually every previous announcement. What exactly is the testament to the technology?

10.06.2016 "Schlumberger has reached agreement with their client to carry out testing of the DT Ultravert technology on some of the client's wells at no cost to Highlands or Diversion"

So, Schlumberger has a client who presumably will pay them to test a well. So, where is the commitment to HNR from Schlumberger. Argyle claptrap was telling us it was a million dollars a well or some such to HNR? I jest not.


10.6.2016 "-- Highlands10.6.2016 "The Company expect to be able to announce the results of these tests in the coming months and, if proved successful, DT Ultravert will represent a game-changing technology in the oil and gas industry, transforming the economics associated with increasing production through the re-fracking of previously fracked horizontal wells"

This is the only part of the announcement that is a meaningful update. It states that testing is again delayed, the rest is a regurgitation of what has been stated many times previously. Not that some of us are surprised by the delay - planned tests never materialised in May.

10.6.2016 "-- Highlands continues to work closely with Schlumberger and Calfrac to market DT Ultravert to numerous oil and gas companies across the USA"

So, this earth shattering technology has yet to see any meaningful uptake from companies interested in trialing it on their wells.

10.6.2016 "Signed 2-year license agreement with Calfrac accelerates the marketing of DT Ultravert and creates potential for long-term recurring revenue stream"

Nonsense - there is nothing to market. NO testing has taken place to prove it is commercial, so there are no revenue streams of which to speak. This is pie in the sky jam tomorrow nonsense.

10.6.2016 Additional patents filed for "DT Ultravert" bringing Highlands' suite to a total of 19 patent filings, marketed jointly by Schlumberger and Calfrac in addition to Highlands' own dedicated marketing efforts"

No patent approved. But then, it is not really an issue since there is nothing commercial so not worth much in any event.

10.6.2016 "Highlands is in discussions with Great Western Oil & Gas Co. in Denver, Colorado to re-frack between 5 and 30 wellbores"

I seem to recall they were in discussions with a plethora of companies to undertake refracks - why merely mention one, and even that is merely a mention of discussions, not an indication of any firm agreement.

10.6.2016 Intensive candidate selection process indicates that these wells are prime candidates for DT Ultravert. The Company cannot predict whether these negotiations will be successful, however we will update shareholders in due course"

So, despite being prime candidates for Ultravert, all these companies cant find the willingness to at least try out the technology. But, at least you have been warned by the Company that they cannot predict if negotiations to test the product will be successful. I wonder why nobody is fighting to test this technology, which, on a fully diluted basis was recently valued at 50 mln. All on the basis of delays and unjustified hope.

10.6.2016 " I am confident that his involvement will deliver us a range of exciting new leads and will help to solidify the range of ongoing discussions with oil and gas companies."

What is there to discuss Mr Price? I thought Mendell was the guru, given he had over lunch managed to wipe away the tears of a refracck expert merely by advising him of the principles of Ultravert. Yet, despite having been in negotiations with multiple companies to test the technology on wells, they are now seeking new leads and have yet to formally test anything. I rather suspect it is because none are particularly interested in testing it.

10.6.2016 ""As the provider of DT Ultravert technology, we have no influence over the timings or process of these initiatives"

So why did they advise it ought to be March-May, then June, and now September the latest. How can he say it will be September at the latest when he has no influence over testing dates. He ought to say at a date to be determined by Schlumberger and their client.

10.6. 2016 "This expanded suite of patent filings enables Highlands to open new markets by offering a broader set of solutions to the oil and gas industry"

Before opening up new markets, Price/mendell need to focus on the multi billion dollar market they were recently reminding holders of, and for which they suggested they had the technology to provide a revolutionary solution. Why on earth if this were realistic and credible would they be looking at alternative pastures and markets?

I rest my case. I rather suspect this will soon retrace all the gains made over the past few months. I had earlier talked about this getting to around 20p in short order, but I think it possible that we might soon see single digits.

Let us put this in perspective - in early April there were several millions fewer shares in circulation, the trial schedule had not been delayed to the extent it now is, there was no uranium or helium guff requiring spend, yet the shares were around 12p. Since then, all I have noted is negative newsflow yet the shares have multiplied.

Well, the way I see it is that soon punters will likely accept that the delay to September will cause speculative players to exit. That will result in a domino effect.

[sandbag] 11/6/2016 10:33

yasX,

Lead Marketing Manager is just a name. In my working career almost every c.v. for jobs such as Draughtsmen stated that the applicant had been employed previously as Lead Draughtsmen. I know that many of them had been the only Draughtsman in their previous employment. It's also a ploy by employers to pay a lower salary. Some people accept a lower salary if they have a fancy title.

[goodbloke1] 11/6/2016 09:00

Agree John but much nearer August

[johndee] 11/6/2016 08:27

Was a normal drop after such a rise......12 to 74.....would expect a drop of about 33% of the rise....dropped already close enough to the expected 43/44. More likely to rise now and test 74 again.

[goodbloke1] 11/6/2016 05:52

Months away from results so could drift downwards .Hope to buy sub 40p

[gimmetheloot] 11/6/2016 01:45

Tidy we need immigrants to do the menial jobs like farms, hotel cleaners, and the list is endless

What we need is a government that can put back in to the system the taxes these immigrants pay.

No it ties in second homes and illegal expenses and illegal wars :-((

[dorset64] 10/6/2016 22:41

yasX - 21 Feb 2016 - 15:27:01 - 539 of 3249

Investors in oil/gas minnows who have lost heavily might be able to recover their losses and more by backing what I consider to be an absolute steal in HNR (Highlands Natural Resources). This is not a minnow miner as the name suggests, but a company that is in the process of undertaking field trials to prove the Divert Technology for refracking wells. The world leader in this space is Schlumberger, who are really on the hunt for a technology that can tackle this problem. If any reader needs evidence of the appetite that Schlumberger and other majors have for this type of thing, just look at the recent deal Schlumberger signed with Energy Recovery after 6 months of trials - they paid $75m upfront, coupled with a $50m first year milestone payment as well as considerable ongoing royalties. ERI shares more than trebled in price on the same day on that announcement (ERI had a market cap of $130 mln prior to the deal, rising to $440 mln on announcement of the deal). Divert, the offering from HNR, is said to be far superior relative to other offerings

Anyway, Schlumberger have already taken an interest in HNR/Divert and have signed a license deal to evaluate the trials which begin in a matter of weeks. They have further agreed that they have the right to subscribe to up to 33pc of HNR shares based on a five year NPV value of royalty income. The fracking/refracking market is a trillion dollar business. But, that is where it begins. The current market cap of HNR is, wait for it, a ludicrous $4mln. Yes dear readers, this is not a typing error. A mere Ãâ;€šÃ‚£4mln. Moreover, it is not an AIM listed dud but has a full listing on the main market. The CEO has not taken a salary and has invested some Ãâ;€šÃ‚£650k of his own cash. This from the Company:

"By re-fracking a well using Diverter Technology, oil can be released without the cost of a re-drill. Development of innovative oil field technology is likely to represent a highly disruptive force in the market, and whoever develops a cost effective and efficient process may control this multi-billion-dollar market. Diversion believes that with ÃÂ;¢Ã¢;‚;¬Ã;…â̈́4;œDT UltravertÃ02;¢ââ364;šÂ¬Ã¯Â¿Â½ it may have such a breakthrough and is currently in licensing discussions with major recognised oilfield service companies." and

Considering the potential upside available if the technology proves successful, and the low capex required to roll out this type of business, which has a royalty-based revenue structure, the Board believes this is a very significant opportunity. This technology trend is likely, in one form or another, to reshape an industry that is projected to earn over US$1,100 billion

This really could be a stunner, and if the trials demonstrate success, this is a one hundred bagger or more in the making. Early indications from an October release from Schlumberger were very promising indeed. But, the stock is very tightly held and there is not much around and so it is not easy to get hold of a stake. The CEO holds 42%, so he certainly thinks a lot of it and has skin in the game to make sure this Company does well, having put in 650k of his own money.There are only 29 million shares in issue.

Separately, the Company also has a oil and gas lease in North Dakota, and may make similar acquisitions.

I cannot think of a more compelling opportunity on the London market - this should be trading right now at ten times the current price on early indication of potential and scope, and, if proven, well, the sky is the limit. Given the Directors are taking no salary, but instead have thrown their own cash at it, it is not one of those minnows orchestrated to justify excessive remunerations for doing very little. These guys are active, and they are looking to capture a stake in a colossal market - they have made inroads with Schlumberger, and as yet the market has not noticed.

This could move like some of the early dot com companies which went up by multiples on an almost daily basis.

I am long HNR.

[rick124] 10/6/2016 20:52

Con men! Are you for real? Do you have any idea how much Price has invested? Do you think they have managed to con Schlumberger?

[yasx] 10/6/2016 20:51

"has joined the Company as the lead marketing manager of "DT Ultravert"

For him to be lead marketing manager, I sense there must be a team of marketing managers subordinated to him? Anyone have any idea who these employees are, since we know not if there are any employees, far less a team of managers.

[tidy 2] 10/6/2016 20:50

AXM 40 patents granted for leaching minerals. Should take over HNR. Cap £1.1m and off the radar but starting to be noticed. Talk about upside and fully funded for a year with most the cap covered in cash.

[yasx] 10/6/2016 20:48

The hardened bulls are departing one by one, and some like Argyle Claptrap are even questioning the announcements in terms of reliability, though I make no such statement. I merely state the announcement to be reliable but useless. Utterly useless.

I will shortly comment on the announcement of today.

[tidy 2] 10/6/2016 20:48

HNR main market more regulated but does it matter.

[brewsters_millions] 10/6/2016 20:12

Can someone post the interview link where Price was being interviewed with his side kick talking about the fracking tech.From my recollection the body language of Price and the way he kept glaring at his side kick which seemed a very uncomfortable tell tell sign of some thing was not right.The side kick engineer could not even speak very well and seemed awfully nervous.It was that interview that put me off....before the rise had started....but today's news kinda says it all.Are these guys con men ?Would be nice if someone can post the link of that interview here againI feel for those that were sucked in here but I really hope you guys make it back and not lose too much AIM really is a shark infested ocean full of con men and gangsters.As they say "watch your back jack"

[soggy] 10/6/2016 19:56

And I am sure that many other bargain hunters will join you!

I just stick to this thread...that's enough to keep on to of!

[moormoney] 10/6/2016 19:48

I agree soggy. A bit of steam has been released from the share price but the prospects remain as good IMO so next week bargain hunters will be back and I shall look to add. Yasx spewing out his poison on the other thread as usual...what a lowlife!!

[yasx] 10/6/2016 19:23

Argyle underclap - 29 Apr 2016 - 14:22:09 - 2075 of 6663.
Anyone investing in a company really should go meet the management. It is remiss not to do so. There is *NO* excuse for not doing so. It is so much more revealing and insightful than just RNS's.
Believe me.
------------------------------

What insight have you been given re the RNS then?

Chuckle chuckle. IN goes the boot.

[yasx] 10/6/2016 19:21

Argyle underclap - 29 Apr 2016 - 14:22:09 - 2075 of 6663
I spoke to Robert and Paul extensively in the Q n A.
They were open, honest, and very warm human beings bristling with excitement.
-----------------------------

So, why do you now question the announcement for omitting (allegedly) price sensitive information?

[yasx] 10/6/2016 19:20

Argyle underclap - 29 Apr 2016 - 14:22:09 - 2075 of 6663
I too went to the presentation. I drove from Manchester to London to meet two guys I now cant praise enough.

---------------------------------

Are these the same chaps you now accuse of concealing the trial results Argyle Claptrap?

Chuckle chuckle.

Hang your head in shame. You have left some nuts like Garbut holding the parcel.

[yasx] 10/6/2016 19:18

A clear lie that Schlumberger are backing this to the tune of 100 mln:

---------------------------
Highland Natural Resources - Fracking Diversion Tech - HNR
Argyle underclap - 03 May 2016 - 14:05:33 - 2323 of 6661
Zengas, as we know and as you state Schlumberger are backing HNR to the tune of $1M dollars per frack x (lets say 100 fracks) so that equates to $100M

So the headline is Schlumberger ARE backing HNR to the tune of upto $100M

That mega headline hasn't even begun to sink into the market

Its fair to say, Schlumberger would only spend that amount of money if they hoped/reasonably expected to get considerably more back. And that'll be hoped to be in the BILLIONS

HNR capped at 11M

A gargantuan re-rate kinda looks odds on.