I3 Energy Share Discussion Threads

[caters] 06/2/2018 11:40

Last para of this morning's RNS:

"The directors of the Company intend to call a general meeting of the Company within the next few days (such meeting to take place on or around the end of February) seeking, among other things, authority from shareholders to issue the Conversion Shares."

My emboldening..... I wonder what the 'other things' might be?

[cashandcard] 06/2/2018 11:13

"The amended loan note instrument supercedes the existing loan note instrument dated 17 July 2017 and the principal amendments to the Existing Loan Notes are as follows:

-- Under the Existing Loan Notes, the Company may not: (i) incur any borrowings exceeding US$4,950,000; or (ii) create, or permit to subsist, any security without the consent of the Noteholder. The former of these has been removed in the amended loan note instrument, and the latter has been amended such that "security" for the purposes of the undertaking shall not include any security granted for the purpose of securing any obligation of the Company in relation to any financing or borrowing provided to the Company to fund the development of its oil and gas assets. These amendments and relaxation of these provisions provides the Company with greater flexibility to negotiate terms for the potential joint venture and other financing arrangements currently under discussion"



Clear intent and ducks being lined up to get the funding over the line. Noteholder has agreed not to stand in the way by giving up his consent re. borrowings and security re. asset development. Brilliant! Bring that deal on.


Cash

[croasdalelfc] 06/2/2018 11:06

Loan note rns

[scotty666] 06/2/2018 10:46

It seems the drop in share price has been welcomed with open arms by new investors afforded the chance to load up below 10% cheaper than 1 day ago.

[duckdown] 06/2/2018 09:42

Can't buy in any volume but this is a great buying opportunity for those who can still nab some under £1.

[duckdown] 05/2/2018 17:01

The directors hold a big chunk of the shares in issue too.

I'm not surprised there has been some profit taking from the latest placing but it won't take long to clear it and then £1+ beckons imho.

[caters] 05/2/2018 16:29

CF had 3,074,629 shares pre-placing and picked up another 970,711 at the recent placing, making 4,045,340 in total.

I3E has just 34.25m shares in issue, so there's been a *lot* of buying over the past week.

Hopefully, CF will be getting close to their target holding and the available shares will dry up.

[showme01] 05/2/2018 16:20

Some good liquidity atm.

MM offering on line to buy up to 30,000 at 63.22 and sell up to 15,000 at 63.95p

[scotty666] 05/2/2018 13:37

Indeed and with such consistent buying over the last 5 sessions CF will be clear soon enough and move up under its own steam.

[duckdown] 05/2/2018 13:32

$1.46bn (Page 7) is just over £1billion.

Or £29 per share. That's H2 next year if all goes to plan.

Eye watering potential here.

[caters] 05/2/2018 13:29

Any purchase of 10k+ shares is getting delayed and there's a lot of them :-)

A small ease back on the ask indicates a sell is being worked but that will get eaten up.

[showme01] 05/2/2018 13:28

Jungmana, I agree. Once these placing shares get bought up, we will see a nice run I think. The figures on production are huge

[duckdown] 05/2/2018 13:24

The next 6 weeks will see news on funding and the 30th round application, both of which could be explosive for the share price

I'm amazed that these are still sub £1 but I guess it's an opportunity to take advantage whilst some of those placing shares are sold.

[someuwin] 05/2/2018 13:20

Bought another slug of these today.

[jungmana] 05/2/2018 13:07

Very exciting numbers there Zengas and thats just on $8.45/boe metrics. I think is safe to say we could see 100p this week.

[caters] 05/2/2018 13:02

Quite a number of delayed buys now showing as sells. Good to see all this buying.

This supply will be coming to an end soon, I suspect, and then the price will move up to the next range.

An easy 'buy' and a very easy 'hold'.

[showme01] 05/2/2018 12:41

Some may have held back thinking that the placing shares were going to swamp the market today and knock the price back. There are certainly a few coming in hence the buying at 65p with no movement, although it has moved up a tad now.
I think most the placing shares coming to market have been forward sold into volume last week and once the last few go, we will see it hard to buy quantity again.
Just my thoughts

[zengas] 05/2/2018 12:40

The slide page 7 left to right

$93m is for 11 mmbls so valuation used is $8.45/boe against (see their acquisition metrics) Deleks 2017 buy out of Ithaca at $16.59/boe and Verus into Wytch Farm at $18.46/boe.

So on the $93m valuation (using £1/$1.40) = £65.5m value.
If you reduce by 33% in exchange for full funding = £43.66m over 34.25m shares = 130p value.

Move along the slide and if they get the 2nd field that value combination is $279m and using the above shares/67%/ex-rate - it gives 390p share value.

Whether that field award happens remains to be seen, (bid is already fully funded for it) but if it is both fields especiallly Liberator as it moves into *10,000 boepd production* this year, gives a $557m valuation and this comes to 775p (at 67%/current shares/$1.40 exch rate).

If with both fields and they move the 2C up the ladder along with some of the prospective resources to nearer 80 mmbls this takes on a value of $963m and if they move to 20,000+ boepd next year they highlight a target of a possible $1.4b+ as they derisk more of the resources.

You could say there will be more shares in issue - even so there would still be serious upside and why would they need significantly more shares if they were to be fully funded ? Also they would have significant cash flow in the formula - and as time passes would they use cash to increase the asset base to create further value ?

If the funding deal is inked soon on Liberator alone, then i expect this to achieve 130p in short order (they already have the wellheads and trees on order for May/August delivery). If the 2nd field is awarded (end of this quarter) the target is 390p. Dyor as ever.

[showme01] 05/2/2018 10:31

Euclid. I know, it seems crazy :-)

[tiler1] 05/2/2018 10:29

Just bought in this morning. Gutted I was away last week and delayed and have paid !!

in the scheme of things still an excellent entry point for a company with this potential !!!

[duckdown] 05/2/2018 10:18

This must be the most exciting opportunity around at the moment, especially at these prices. Multibagger written all over it.

[euclid5] 05/2/2018 10:15

Showme, calculating the 67% Post tax NPV value on the 2nd asset of 22mmbls on 35m shares calculates at 957p + £477p for L1 = 1434p

Beauty is so low shares in issue & funding as we know so far is on a farm out of 33% Plus possible $200m capex

[showme01] 05/2/2018 10:07

If you look at Zengas post above, he feels that £7.75 will be true value on production in line with the presentation info. I know another investor here who again has a good knowledge of the oil and gas figures and he came up with very similar figures based on the presentation and cross referenced to the BoD previous companies in the North Sea.
Funding and Oil and Gas approval stand in our way and I am v confident in both after speaking to Graham and Neill over the months. Patience will pay hugely from these levels imo.

[cinques] 05/2/2018 10:06

But there are two major shareholders who may not sell out too soon...