Igas Energy Share Discussion Threads

[haydock] 16/9/2016 09:44

hxxps://drillordrop.com/2016/09/13/fylde-doesnt-look-promising-for-fracking-veteran-us-geologist/

[bargainbob] 15/9/2016 18:32

Shale causing to much protests , Hinkley C passes without revolt .

Suspect these to tank now .

[oakville] 15/9/2016 15:54

Yes fracking is a thing of the past without even getting off the ground in Britain

[wiseacre] 14/9/2016 14:02

More evidence of an institution unloading - 536,840 shares sold at 14.75p, recorded after hours last night

[bargainbob] 13/9/2016 17:34

Fracking dying a death it seems.

[wiseacre] 13/9/2016 16:54

Three late recorded bargains of 150,000 shares each look like institutional sales pointing the way to the exit

[wiseacre] 12/9/2016 10:49

Only sales today but market makers have widened the quote. Is this going to crash like Xcite?

[oakville] 09/9/2016 05:49

Isn't going to happen...

[haydock] 02/9/2016 10:01

hxxps://drillordrop.com/2016/09/01/who-wants-to-drill-where-autumn-2016-update/

[wiseacre] 01/9/2016 10:51

The bulletin board morons seem to have gone quiet as this balloon slowly deflates. You cannot argue with the fact that this company has a problem with its debt which it is finding difficult to resolve. Can we expect force majeure from the recent buyer of a chunk of that debt? No doubt the situation will soon come to a head. In the meantime I submit that no news is not good news.

[hpcg] 09/8/2016 16:56

Well this has been a nice little rise for Hambro to unload into. They must be working their shares as hard as they can to shift as much as they can into this froth.

[leedskier] 08/8/2016 09:31

Bloomberg - Gas Is Having a Rough Time 9,000 Feet Under Britain's North Sea

[falia] 08/8/2016 08:24

NICE RISE , NOW INTO BNR

[mickee] 07/8/2016 00:31

Could this be the cause of the recent price rise

[oakville] 05/8/2016 18:39

Bought £6k worth at 11.2p. Easy money.

[hpcg] 05/8/2016 17:03

Seriously? The reason the share price is volatile is the market cap is under 50 million. At that size relatively small action, and small investors can move the price. The share price could easily get back to 20, but struggle there after. Long term debt is 100mm and other liabilities (not including the tax liability) is another 25 million (FY 2015). The debt is trading at a discount and if, basically when, covenants fail the debt holders can foreclose. Whomever has been buying the debt probably want to take it private so couldn't give a monkeys about equity. Cash flow is negative. Interest and SG&A come to 12mm or half revenue. The EV is about twice the NAV, which is ever reducing through depletion. Oil price is going nowhere for 6 months, but the strip beyond then is just as bad. Plus the going concern statement. These are just, you know, in the accounts and reports.

There is good money to be made on the journey trading in both directions, but lets not be under any illusion as to the final destination.

[loafingchard] 05/8/2016 16:52

Thanks hpcg

[hpcg] 05/8/2016 16:02

The cash was already an asset of the company and thus the shareholders, but its uses were indeed restricted. They could now even distribute it to shareholders, except covenants.

We are the operator of the largest number of onshore oil and gas fields in Britain - congratulations some of these produce as much as £450 worth of oil per day.

[allotment] 05/8/2016 15:48

Funny how shorters get more economical with the truth as they get squeezed...
Anyway something is cheering the price up and of course it makes a difference the accounting changes allow them to transfer the monies to distributable reserves and use the cash..

dear oh dear people do stoop to pond life......

Carry on..onwards and upwards..




What we do

We are the operator of the largest number of onshore oil and gas fields in Britain.

Our focus in the East Midlands and the Weald Basin in the south of England and now in the northern coastal area of the Inner Moray Firth in Scotland, is the production of hydrocarbons. IGas produces 2,500 barrels of oil equivalent per day, helping to provide the country with secure energy supplies.

We extract the oil and gas trapped underground in basins and many of the fields we operate have been producing oil for more than 30 years.

Whilst IGas already produces oil and some gas from its wells, the potential of other resources such as gas from shale and coal bed methane could be a significant opportunity for Britain. In the areas where the geology is suitable and government-issued licences are available, our aim is to use data from exploratory wells to help better understand this resource potential.

[hpcg] 05/8/2016 14:40

None at all, it is just a technical accounting change related to legislation which is designed to prevent companies trading their own shares, i.e. issuing shares, then buying back and so on.

[loafingchard] 05/8/2016 14:16

Hpcg, What difference does the latest rns make to the investment case ?Thank you.

[hpcg] 05/8/2016 12:45

Nat Gas is not like oil. It is priced in regional markets with a little bit of arbitrage through LNG. Increasingly it doesn't come from the same place. UK prices are much higher. Not that this helps IGAS as it produces very little gas and has a mountain of debt trading below par. The going concern statement says it all:

Whilst the Group has delivered on the above initiatives and has significant cash balances, the continuing low commodity price environment means that the Group's current forecasts, utilising the current oil price forward curve, project non-compliance with certain of its covenants in the second half of 2016. The Board is pursuing actions to alleviate a covenant breach including, but not limited to, further cost reductions, monetising existing hedged oil positions, bond buy-backs, and asset portfolio management. Concurrently, the Board will continue to evaluate all other options, including transactions that would increase the Group's cash and/or earnings, which could reduce the need for the mitigating actions set out above. Nevertheless, based on the current oil price and forward curve, the directors cannot be certain that these will fully mitigate any potential covenant shortfall in respect of the testing period ending 31 December 2016. Whilst pursuing the options listed above, the Board will continue its proactive dialogue with bondholders and, if appropriate, seek to modify or temporarily waive the existing covenants ahead of the time at which the Group submits its compliance certificate in respect of that testing period, which would be by 30 April 2017.

The risk that the Group will be unable to either enact appropriate mitigating actions to a sufficient extent before the 31 December 2016 measurement date or secure an appropriate relaxation or amendment of its financial covenants prior to 30 April 2017 represents a material uncertainty that may cast doubt upon the Group's ability to continue as a going concern.

The Board believes, after making appropriate enquiries, and on the information currently available, that the Group is likely to be able to either implement sufficient mitigating actions to ensure that the Group is compliant with its covenants and/or secure a relaxation to the covenants as described above and it is therefore considered appropriate to adopt the going concern basis in preparing the financial statements.

[allotment] 05/8/2016 11:45

Or indeed who buys the beers..see you next weeek maybe