Jadestone Energy Share Discussion Threads

[mount teide] 21/1/2020 20:08

With Brent stabilising around $64.5 in the last week, marine fuel oil pricing has largely followed this sideways trend.

Interestingly, for the first time since LSFO sales started to rise in early Q4/2019, the sales price at the Worlds largest two ship bunkering hubs - Singapore and Fujairah - and the global average are now almost identical.

LSFO
$101 - Global Average
$101 - Singapore
$102 - Fujairah

MGO
$113 - Fujairah
$107 - Global Average
$99 - Singapore

HSFO
$62 - Global Average
$57 - Singapore
$48 - Fujairah

Singapore: current LSFO/HSFO spread has stabilised at $44 since last week.

At $64.5 Brent - Stag's $11.5 premium to Brent achieved at the last publicly notified lift in November 2019, would currently be at a circa $25 discount to the present $101 Singapore LSFO price(up $1/bbl since last week).

Santos achieved a sales price for its last Pyrenees cargo at a circa $10 discount to the LSFO prevailing at the time.

[arab3] 21/1/2020 13:36

Cheers jammy

[arab3] 21/1/2020 12:53

I don't think you will find him buying anything mt ,another of the unhinged to be pitied, used to go by the name of jammy dodger

[mount teide] 21/1/2020 12:47

IAG1 - 'Wouldn’t buy at theee expensive prices'
Are you authorised to offer investment advice?

As going by that comment the only gap to fill is likely to be between your ears!

[bamboo2] 21/1/2020 12:43

For the record there is no gap around 70p.
This is true of both the mid price and last market price based charts.

[lauders] 21/1/2020 12:42

Quite right KS! The username says it all too LOL!

With a NAV between 200-250 p per the company's recent presentations and a share price at 84p or so offer I think now is an OK time to buy if you wish. Lower would be better of course but who can be sure such an offer will come? The Vietnam news should be along anytime now. Mind you I have been saying that since the end of last year!

[beeks of arabia] 21/1/2020 12:39

Apologies, iamgreat is one of the flotsam who is stuck in some AIM crud - presumably followed me here to post his/her wisdom.

[king suarez] 21/1/2020 12:38

Another for the filter list..

[iamgreat1] 21/1/2020 12:28

Gap fill at 70pWouldn't buy at theee expensive prices

[gymratt] 21/1/2020 08:16

Nibbled another 5k, showing as a sell.

[kaos3] 21/1/2020 06:30

H&S pattern ?

lets wait how it developes

[mount teide] 20/1/2020 23:19

gord959 - Inpex/Jadestone - you would think there was certainly enough there to warrant a meeting.

With respect to; 'subsidiary Teikoku improperly terminated JSE's SPA to purchase a 30% WI in blocks 05-1b&c (in Vietnam) in late Feb 2018.'

Considering how Blakeley successfully went after TOTAL SA for refusing to drill a well on the Philippine assets and won; went after PTTPT at Montara and incredibly(three months after completion) got $22m in compensation for infrastructure/machinery issues not completed by the completion date(that were subsequently sorted out for $4m) - it would take a brave man to bet against him taking on Impex's subsidiary and failing to make it three slam-dunks in a row.

He certainly is not afraid of standing up for the company and its shareholders when they've been short-changed, regardless of the size of the opposition.

[gord959] 20/1/2020 21:54

MT - just adding to your comments on posts 2982/2984..
Also previously mentioned in another post but bringing it back to the top...
Jadestone has some decent leverage already for a deal with Inpex, who's subsidiary Teikoku improperly terminated JSE's SPA to purchase a 30% WI in blocks 05-1b&c (in Vietnam) in late Feb 2018.
JSE has almost certainly been legally pursuing this behind the scenes.
A favourable deal with Inpex's Western Australian heavy crude assets as part of a settlement makes a lot of sense to me and could be part of the reason they were noted as being the primary suitors. A partnership in the (forgotten by the market) Montara gas cap and there is potentially a very good for both sides on 3 different fronts.

[mr. t] 20/1/2020 21:16

HTTps://www.hellenicshippingnews.com/analysis-australias-heavy-sweet-crudes-reap-rich-rewards-in-imo-2020-era/Australia's heavy sweet crudes reap rich rewards in IMO 2020 eraAustralia looks set to reap the benefits of the International Maritime Organization's global sulfur cap as the country's heavy sweet crude oil is widely considered one of the best feedstocks for making IMO-compliant marine fuels - and many Asian refiners are willing to pay lofty spot premiums for it.Multiple Australian heavy sweet crude grades have seen their spot price differentials spike to record highs in recent weeks, reflecting the boost in demand for low sulfur fuel oil after the IMO's sulfur cap on bunker fuels was imposed from January 1.Australian oil and gas producer Santos recently sold a 550,000-barrel cargo of Pyrenees crude for loading over March 4-8 to a Japanese buyer at a premium of around $31/b to Platts Dated Brent crude assessments on an FOB basis, the highest premium on record for the heavy sweet Australian grade, S&P Global Platts reported last week.Crude and bunker fuel traders, as well as multiple refinery officials in Asia, told Platts that the high premiums paid do not reflect the refining value of the crude, but rather its value for blending into the low sulfur fuel oil pool.Australian heavy sweet crudes including Pyrenees and Van Gogh are widely seen as ideal for blending into low sulfur marine fuels due to the grades' rich fuel oil yield, very low sulfur content and unique specifications such as low pour point and high flash point, industry and Asian refinery sources have told Platts.Australia may not be on par with giant OPEC producers in terms of output and export volumes, but it stands among the top-tier producers in terms of quality of the crude and condensate produced, making it a niche market for Asian buyers to tap into."Australian crudes, light or heavy, are the sweetest grades you could ever find. They typically have a sulfur content of less than 0.3%-0.4%, which means [some of the country's] heavy grades could go straight into the low sulfur marine fuels blending pool," said a crude trading manager at Beijing-based Chinaoil, a trading arm of state-run PetroChina.Pyrenees has a gravity of 19.3 API with 0.19% sulfur and Van Gogh has API gravity of around 17 and sulfur content of 0.33%, according to latest assays seen by Platts.WORLD'S MOST EXPENSIVE CRUDETaking the latest spot premium of $31/b and the equivalent Platts Dated Brent whole month value for March of $63.83/b assessed at the Asia market close on Monday, this puts the indicative outright value of Pyrenees at around $94.83/b - essentially making the Australian oil one of the most expensive grades in the world, Platts data showed."[The price] is a bit crazy; it is probably the world's most expensive crude," a Singapore-based crude trader said.Santos had indicated a minimum bid of a $21.15/b premium to Dated Brent in its latest Pyrenees crude tender, reflective of recent stellar LSFO values in Asia, multiple trade sources with close knowledge of the tender outcome told Platts.Platts assessed Marine Fuel 0.5% at $602.83/mt on an FOB Singapore basis Monday, equivalent to $94.93/b using a conversion of 6.35 barrels per metric tonne, making it comparable to Pyrenees' value.With demand for LSFO outpacing supply in Singapore, the world's biggest bunkering hub, the price of Marine Fuel 0.5% has spiked by more than 185% month on month.Singapore is expected to be short of low sulfur fuel oil with maximum 0.5% sulfur as supplies currently average around 2 million-2.5 million mt/month, short of the 4 million/month of demand for the fuel oil grade, Asian trade sources said.That 2 million-2.5 million mt/month of supply includes about 200,000 mt/month of Australian heavy sweet crude oil, fuel oil traders in Singapore said.Looking to take full advantage of stellar spot market premiums paid for heavy sweet crude oil since the second half of 2019, Australian suppliers have been stepping up efforts to increase their supply in the Asian market.Woodside Energy, for one, started marketing heavy sweet crude cargoes from the Greater Enfield project in the fourth quarter of last year.SPOT PREMIUMS OFFSET WEAK OUTRIGHT PRICESThe high spot differentials paid for various Australian crude grades provide some relief to domestic producers after Canberra recently issued a downbeat assessment of its outright oil price outlook for the next couple of years.Australia's Department of Industry said in the December edition of its Resources and Energy Quarterly that it expects ICE Brent crude futures to average $62.40/b in 2020, lowering its earlier forecast by 7%.Despite the drop in global supply amid OPEC production cuts, the US-China trade tensions have weighed on global economic growth and consequently oil demand from most OECD nations, the department said."Spot premiums in double-digit figures would comfortably cover a modest year-on-year drop in outright prices ... it's a relief as far as export earnings are concerned," a BHP marketing source said.

[mount teide] 20/1/2020 20:19

New shipping fuel rules push specialised oil towards $100 a barrel - FT

'New Shipping Regulations are dripping with good intentions but come at a cost

The era of $100-a-barrel crude oil might feel like a very long time ago for an energy industry that has weathered five years of lower prices.

But changes to shipping fuel rules mean that a few select grades of crude have risen back towards that level, even as the majority of barrels still change hands far closer to $65.

Pyrenees, an Australian crude produced by BHP Group, last week shocked traders by selling for almost $95 a barrel, with refiners coveting its rare profile of being a heavy thick oil that is also low in sulphur.

Refiners are willing to pay massive premiums to secure the rare grade — production is only about 15,000 barrels a day — as its low sulphur content and heavy weight make it ideal for blending into shipping fuel, which from January 1 has been restricted globally to much lower sulphur content.

In response to the shift, a growing proportion of the global shipping fleet now burns fuel closer in profile to the diesel used in cars than the sulphur-rich sludge favoured before.

The new rules, dripping with good intentions, are not without costs. Global freight rates have risen as shippers look to pass on the cost of more expensive fuel to their customers — a higher price tag that may prove to be a small drag on the global economy.

The boost for ships fitted with scrubbers may not last. While ship operators can make back the costs of the devices within a few years, a growing number of ports are looking at banning their use.'

[fardels bear] 20/1/2020 18:13

I'd have said it was graphite.

[beeks of arabia] 20/1/2020 17:10

I used to have lead in my pencil back in the day. That's another story though :)

[thegreatgeraldo] 20/1/2020 16:06

'til fairly recently, they used to add lead to petrol.......

[saucepan] 20/1/2020 15:54

Sounds like a Python sketch.

... I used to get up in the morning at night at half-past-ten at night, half an hour before I went to bed, Eat a lump of freezing cold poison, work 28 hours a day at mill, and pay da mill owner to let us work there. And when I went home our dad used to murder us in cold blood, each night, and dance about on our graves, singing hallelujah.

Yah, you try an tell the young people of today that, and they won't believe you...

[mount teide] 20/1/2020 15:41

FB - when i was at sea operating ships as a young man in the 1970's, the heavy fuel oil we burned through the main engines had no limit on its sulphur content - the previous 3.5% and now 0.5% sulphur caps were both relatively recent developments.

Standing on the bridge wing at sea when the ship was proceeding at 12 knots with a circa 12 knot breeze from directly astern often had us coughing up our guts when trying to take a 'sight' of the sun - and routinely saw the daily washing down of both bridge wing teak decks and railings to clear them of the black carbon 'snow' that had built up overnight!