Hurricane Energy Share Discussion Threads

[gary38] 03/2/2017 20:11

Hurricane Energy and EnQuest among the few 'buys' left in oil sector - MacquarieShare 11:33 03 Feb 2017"Hurricane offers 82%+ upside to our target price from the current share price, and has the clearest near-term tangible value creation opportunities, in our view.oil platformValuations in the oil sector have caught upIt is harder work picking winners in the oil and gas sector now that crude prices have steadied and share prices have climbed, so says Macquarie.Kate Sloan, analyst at Macquarie, most share prices are close to fair value and as a result many in the sector have been downgraded.Cairn Energy PLC (LON:CNE), Faroe Petroleum plc (LON:FPM), Ithaca Energy Plc (LON:IAE), Premier Oil PLC (LON:PMO) and Tullow Oil plc (LON:TLW) are all relegated to a 'neutral' rating.Three of Macquarie's 'top picks' retain their 'buy' recommendations; Hurricane Energy Plc (LON:HUR), EnQuest Plc (LON:ENQ) and Africa Oil Corp (TSE:AOI).Of the three, Hurricane Energy is deemed to have the clearest value opportunities."Hurricane offers 82%+ upside to our target price from the current share price, and has the clearest near-term tangible value creation opportunities, in our view."Further exploratory drilling (ongoing) and progress on the Lancaster development could add significant value, building on the success the company enjoyed in 2016."Macquarie has a 90p price target for Hurricane (current price: 51.25p).EnQuest, meanwhile, is Macquarie's pick for further oil price leverage combined with low risk project progression."Although the rest of the sector now reflects a much higher discounted oil price than it did four months ago, EnQuest is still discounting US$63/bbl, the same number it was back in August 2016," Sloan said."We believe the valuation gap will be narrowed in the coming months once the market starts to believe in Kraken delivery."Macquarie has a 79p target price for EnQuest (current price: 46.34p).Sloan added that Africa Oil's has very attractive upside through de-risking the discoveries in Kenya's South Lokichar basin, where it partners Tullow.

[cashandcard] 03/2/2017 18:41

The numbers just keep growing. It is likely, in my opinion, a number of partners will be needed to take these fields off Hur's hands. Alistair Stobies 'off the charts' comment wasn't so far from the mark given the available info. Cash

[laserdisc] 03/2/2017 16:27

Esvasgt chastine safety vessel sailed from Aberdeen this morning changeover of safety vessel this week -end

[laserdisc] 03/2/2017 16:27

51p ut trade at close good week -end all
Newcomers this is the latest link which has caused interest

[jacks13] 03/2/2017 15:54

If Kerogen expect to be out within three years of their initial investment this would coincide nicely with first oil. I know that may be overly speculative on my part but it might be their gameplan to see this through to EPS with minimal dilution along the way.

[terry hardacre] 03/2/2017 15:20

Kerogen won't let BP, or any other partner, steal the golden goose.


Equally, and also in reference to Buffy's point about Trice wanting to progress the HUR story in other corners of the globe, I doubt that Kerogen will be interested in a very long term outcome either. I should think that they would prefer to realise a substantial profit on their investment at an earlier stage. They may of course just sell out when the time is right, in which case HUR may have a longer term future if Kerogen's shares fall into the hands of stakeholders sympathetic to the Trice vision; but Kerogen may also foil any longer term plans for the HUR entity if any tempting offers are tabled while they have a significant controlling interest.

Whatever the case, it looks like the company has an awful lot of good problems to be dealing with.

[jacks13] 03/2/2017 14:36

Kerogen won't let BP, or any other partner, steal the golden goose.

[davidblack] 03/2/2017 14:08

If BP take a major stake it will kill any take out premium. I rather fancy a fiver as my take out price.

[gregpeck7] 03/2/2017 12:52

Bp will want a big stake but will de risk this 100 percent and will pay well.. they will want a chunk though, probably 51 percent so they are prime... Better a smaller bit of a large slab than all of a smaller oneIf bp get involved sky's the limit

[arcadian] 03/2/2017 12:38

I was amazed that in the presentation four shareholders owned half the shares.

[ngms27] 03/2/2017 12:20

Why not sell both and move on ;)

Tornado Resources sounds good to me.

[gisjob2] 03/2/2017 12:16

Still say BP won't be interested in 20% when they have other large fields to deal with

Could sell 100% of Lancaster / Halifax (if it comes in) and keep and prove up Warwick / Lincoln etc further.

[davidblack] 03/2/2017 11:34

No need to farm out 50% just farm out the first 100m barels at 50% and 10% thereafter.

The farming in partner gets their risk covered and HUR can build the asset to 2,3,4 or if we are very lucky 5 billion barrels.

[buffythebuffoon] 03/2/2017 11:34

I think it's elemental in oil, but will be H2S in any gas!

Buffy

[greyingsurfer] 03/2/2017 11:30

In my opinion HUR will have been purchased lock stock and stinking barrelI hope you're not suggesting there's an H2S problem, are you :-)Peter

[ngms27] 03/2/2017 11:26

I'd doubt HUR would farmout 50% plus at this stage unless they got funding equivalent to 200p per share or more.

In my opinion HUR will have been purchased lock stock and stinking barrel by XMAS 2017 even if they farmout now.

[mike_f] 03/2/2017 11:24

And the excitement starts to build :) could be an explosive month ahead! GLA

[kirtonender9] 03/2/2017 11:18

Uptrend in place for number of weeks. Bought on a T20 just before the close yesterday. Looking good

[gisjob2] 03/2/2017 11:15

A company such as BP or Shell would be looking for more than 25% in my opinion. Expect 50%.+

[ngms27] 03/2/2017 10:59

I'd think they would now be in a position to farm down circa 20/25% of GLA for the monies required to complete the EPS given the Lincoln/Warwick connectivity :)

[laserdisc] 03/2/2017 10:24

Farm out route looking more promising now,perhaps dilution is diminishing ref to possible part equity raise, I stopped buying at 47p thinking I would need some cash for possible open offer ,looks like that might not of been the correct stance Warwick Lincoln bigger in size than I thought, but always best to be conservative as the co always have been, opportunity for new investors still

[cashandcard] 03/2/2017 10:07

The updated presentation is another hint at the sheer scale of resources Hurricane have 100% control of. The old oily adage 'big fields tend to get bigger' is quite apt in Hurricanes case.Cash

[gregpeck7] 03/2/2017 09:31

Is there an rns? Seeing thre news icon but nothing in the news feed..