Hurricane Energy Share Discussion Threads

[laserdisc] 12/1/2024 10:10

Pay dates are
31st March and 30th September each year with the final payment being 31st March 2027

Subject to Lancaster still produces they promised a cap of 6.48p at the start

[blackburnrover] 11/1/2024 19:35

Sorry I'm not up to speed with this, how many payments will we get out of this now ?

[ifaze] 11/1/2024 12:16

Thanks David
That is what I was expecting would happen, but nice to read something confirming it.

[laserdisc] 11/1/2024 11:12

NOV PRODUCTION 6870 per day per o/g website (7000 september)
PRAX GROUP Offshore 202311 11 November 2023 27,275.09 32,743.20 6.87

SAY 80 days
Gives 20th March 24 estimated date next tanker offload



EDIT ON 17/2. PER OG website update DEC production 6720

[laserdisc] 06/1/2024 10:58

Thanks Dave, Good to know they think any money gained on the Dcu's will land directly in the Isa & they seem to think it always will. Will review this on next payment thanks again for posting.
Offload has been completed this morning as i post . Debatable whether its going to be included in next payment, initial offload Altera Wave commenced prior to 31/12 but weather delayed completion till after that date

[dave999dave999] 05/1/2024 17:02

I spoke to HL about my DCUs
just a service desk guy but someone who seemed to know enough about HUR "Oh yes... them, popular topic" he said.

I had been investing the payout without spotting it arriving and was querying where the last payment had gone, so got the full run down by way of explaining that i had indeed been paid and was just looking in the wrong place

The DCUs can't be held in an ISA because HMRC rules dictate that it must be stocks and shares and a DCU is not one of those.
but any money gained from them does not pass through my "taxable" stocks and share account. It lands directly in my ISA and they seem to think it always will.

my view of what HL said is

The FORCED sale, due to takeover, of my ISA-purchased HUR shares, now has a delayed payment back into my ISA, much the same as any other sale or take over, just delayed piecemeal over 3 years.
but they needed an official account to hold the certificates for me as a customer, they couldn't modify the ISA account due to the rules so they just stuck them against the next best thing.

The other account is just a holder for the DCU certificates which have no value recorded against them, cost nothing with no purchase cost against them, and make no money with no dividend or income against them...they are just a note that illustrates i am owed delayed payment for my shares.

i'm being paid an unknown value for my shares over 3 years with an obvious minimum and potential maximum value per share, i got more than the minimum and i don't know if i'll get the maximum

still dunno where I stand but if its paid into my ISA its in my ISA

HMRC appear to have decided that they would not go about changing rules and lots
of documentation, to cover off what appears to be a pretty unique circumstance. just to allow the DCUs in an ISA

hence we are where we are

my payments are just income from shares in my ISA. Next time some comes in i'll see if its treated as dividend or cash but either way the whole point of an ISA is that it doesn't make my tax return any more complicated.

from the horse's mouth HMRC

"If you complete a tax return, you do not need to declare any ISA interest, income or capital gains on it."

I believe this is income into my ISA...from my DCUs

that is a perfectly reasonable assumption based in HMRCs definition, and they don't tend to be too nasty to people who make reasonable assumptions provided they back it up with a reasonable logical argument. The sentence from HMRC covers that as far as i can tell.

if it was being paid into my personal current account, direct from PRAX, alongside my wages from my proper job. It would look like payment for services rendered, extra earnings above and alongside my PAYE job, then i'd be liable for tax on it

its not my fault that i ended up with DCUs, i had no choice, i didn't ask for DCUs to conspire to avoid paying tax.
If they had just paid out 1xp for the shares in the first place no need for discussion

just my view i could be wrong your tax affairs will differ from mine :)

if you purchased DCUs ,,,well that different


Dave

[laserdisc] 05/1/2024 08:26

revised upwards for offload Altera Wind now 534846 should be doing offload to terminal, port wilhelmshaven this morning

[laserdisc] 05/1/2024 08:26

revised upwards for offload Altera Wind now 534846
edit offload timings
started WILHELMSHAVEN (UTC +1)

2024-01-05 10:36 MyT UTC estimate departure 6/01/24 @10.30am

[laserdisc] 03/1/2024 16:38

As i read it it will be paid on the next due date in 2027 ie 31 March 2027
depends on what is shown in Hurricane accounts at the date 31/12/26, in previous accounts they have recorded stock of oil at close of business not offloaded on AM
see document on prax website I
more info here
3.1.2 immediately following payment of the Deferred Payment due and payable (if any) on the
Payment Date falling on 31 March 2027 or, if no such payment is due and payable, 00:00
GMT on 1 April 2027,
such date being the "Expiry Date".

we will have to see nearer the time 1/4/2027 that is the expiry date, if dcu;s have not fully paid out 6.48p.
They do have this vision to progress the upstream business so will have to see what unfolds on that front as it is a major part of full payment at this time

[porrohmahnn] 03/1/2024 04:09

What happens to the final DCU payment if the AM has, lets say, 450,000 barrels on board but not offloaded on 31 Dec 2026? Will the final DCU payment include the value of the oil produced but not yet offloaded or does Prax get to keep all of the value of this?

[laserdisc] 02/1/2024 14:03

unable to confirm that this is actually going to be recognised in the March payment we will have to see what unfolds on this
poster on LSE says Prax are basing the DCU calculation on "Revenues received...on a cash basis" in the period ending 31/12

Also not sure yet how HMRC will deal with these payments now they have been trf out from ISA'S
The traps which arise in practice can include HMRC assess the deferred consideration to income tax rather than capital gains tax.

Happy new year and good health to all on this thread

[ottoman1453] 02/1/2024 11:26

Thank you again Laserdisc - and a Happy New Year.

[laserdisc] 02/1/2024 10:44

offload confirmed completed .my estimate 524000
Draft is now 12.4 m which is inline with previous offloads of this size.
( THIS TANKER BACK IN FEB 2023 541,000 being unloaded showed a draft of12.6m)
ALTERA WIND
Position: 59° 30' 29" N, 2° 17' 19
2024-01-0201:55 GMT Navigation status changed under way using engine
2024-01-0201:50 GMT Navigation status changed under way using engine

[simonanthrobus] 01/1/2024 14:29

3 in the bag for the period 1st June to 31st Dec 2023 ?

[kooba] 01/1/2024 11:28

That one will slip into new year then ...think they have 3 in the bag for March though and this offload will start adding to the next payment. Travelling today so will check back on what March payment should be later.Happy new year Laser keep up the good work !

[laserdisc] 01/1/2024 09:32

Tanker back at AM this morning 2024-01-01 08:30 to complete offload

[simonanthrobus] 31/12/2023 16:24

I expect to get the full 12.5p offer price even without any Prax asset purchase

When will Parx make a producing asset purchase to utilise the HUR tax losses ?

[laserdisc] 31/12/2023 13:17

yes marmar80 its only an entitlement to receive up to 6.24p depends on price of brent which certainly needs to be above $80 over the next few years, it could run into 2027 with these payments being 6mths in arrears, of course if they utilise the tax losses then that would be great for dcu holders we would then get nearer to the full 6.24

[laserdisc] 31/12/2023 13:04

kooba just looking at the timings and draft which for me do not actual tie in with a full offload thinking now the tanker which is presently out of range could return as it left early due to weather not sure on this ,my only explanation at this stage they had a new offload hose fitted so the bore could be wider hence shorter trf timings i will review despite the tonnage being shown in wilhelmshaven port arrival 2/1/24 as 71500t which converts to 523,000 barrels

[marmar80] 31/12/2023 12:59

I think the scheduler presented by Hurricane before sell was showing maximum annual payouts lads.

[kooba] 31/12/2023 12:46

Just wondering if there was a 4th offload around July? Could be looking more than 1p. Away at the moment but will have a look back when back next eeek.Happy New Years DCU owners!

[kooba] 31/12/2023 11:51

Thanks both

[simonanthrobus] 31/12/2023 10:45

I am expecting about 1p as the next payout by end of March

[laserdisc] 31/12/2023 10:34

1 offload resulted in
Production from the Lancaster Oil Field, the only producing asset currently in Prax Upstream, resulted
in sales of 539,244 barrels of oil during the four months from 1 March 2023 to 30 June 2023.
Gross revenues for the period were $45,801,204.35, with net revenues being $43,903,875.95 after the
related costs for transportation, freight, port, inspection, testing and marketing charges are adjusted for.
The Deferred Payment for the period based on 17.5% of net revenues equates to £6,150,478.94 which
in turn equates to a payment of £0.00309 (0.309p) per DCU. The Deferred Payment Calculation

WE APPEAR TO HAVE 3 OFFLOADS in period 30/6/23 TO 31/12/23
also see post 37782 oil production alone may not make full projected payout unless brent goes well in excess of $80. i think the last June 23 payment was when Brent was around $85 Lets hope they make an upstream purchase to utilise the tax losses then that gives the full potential for the dcu holders

[kooba] 31/12/2023 09:53

Losing track of this without the rns' ...would this offload make 3 for the end March Royalty payment if included? If one took around $80 average on three offloads what are we looking at as a payment? my eye really is off the ball now!