Jadestone Energy Share Discussion Threads

[zeusfurla] 10/11/2021 08:50

On RSP there are still 7 MM's offering stock at 83p or less so more available despite this morning's buying. I suspect we are getting towards the end of the Sandgrove sell-off (if that is the reason) and then we should see a good bounce given ongoing positive newsflow.

[mount teide] 10/11/2021 08:25

L2: looks like it's set up for a move North today.

2 v 1 / 82p v 83p (rest between 84p and 89p

[11_percent] 09/11/2021 23:13

Oil Inventories Unexpectedly Fall by 2.5M Barrels Last Week: API.

By Yasin Ebrahim

Investing.com - U.S. crude stockpiles unexpectedly fell last week, exacerbating expectations that supply will remain tight as demand continued to improve.

West Texas Intermediate, the benchmark traded at $84.56 barrel on the news, after settling up 2.7% cents at $84.15 a barrel.

U.S. crude inventories decreased by 2.5 million barrels for the week ended Nov. 2. That compared with a build of 3.6 million barrels reported by the API for the previous week. Economists were expecting a build of about 1.9 million barrels.

The API data also showed that gasoline inventories fell by 552,000 barrels last week, and distillate stocks increased by 573,000 barrels.

The official government inventory report due Wednesday is expected to show weekly U.S. crude supplies increased by about 2.1 million barrels last week.

[mount teide] 09/11/2021 18:53

In Eneco Energy's latest annual report the Board had this to say about their O&G sector businesses:

'The Group remains fully committed to exiting this loss-making sector at the earliest opportunity. Our focus now is to minimise any cash requirements for the remaining oil and gas entities in Indonesia whilst trying to wind down and exit the loss-making business sector.'

[croasdalelfc] 09/11/2021 18:29

Jadestone have sent default notice to Hexindo who have the remaining 10% of Lemang . If upheld they should get the extra 10% for nothing .NB Pertimina can still back in for 9% of the 90% or 10% of 100%

[mount teide] 09/11/2021 14:18

City is finally catching up with the dead and buried O&G sector's rise like a phoenix from the post pandemic ashes to report record cash-flow generation.

Show us the money the City said - in Q3/2021 the now leaned down, recession conditioned, low operating cost survivors did just that!


Big Oil is not finished – now is the time to invest - Telegraph

'Money managers say there has rarely been a better time to invest in energy giants

As global leaders gathered in Glasgow negotiate an agreement to limit global warming, investors would be forgiven for thinking the outlook for stock market's oil giants was bleak.

But the City is still backing Big Oil and expects the last hurrah for fossil fuels to send its shares surging. In fact, money managers argue there has rarely been a better time to invest in oil companies.

Despite fund groups promoting their ethical and green investing credentials, Shell is the most popular stock among fund managers who invest in British shares. The Anglo-Dutch giant is held by 35pc of funds, up from 22pc a year ago, while BP is owned by a third.

Fund managers are increasingly bullish on the oil price even after a strong run over the past year, arguing that pressure to stop drilling new fields and developing existing wells will curtail supply as demand continues to rise.

Ian Williams, of fund group Charteris, said he expected the oil price to double in the next five years, from $83 a barrel today to over $150.

"Demand for oil will rise for another 10 or 15 years, but with governments clamping down on supply, the only outcome is rising prices," he said.

"The countries with the largest populations, such as India and China, do not want to immediately cut back on consuming oil. If it comes down to keeping the lights on or moving to renewable energy, they will choose to keep the lights on," he said.

Duncan MacInnes, manager of the £680m Ruffer Investment Company, agreed that falling oil supply and growing demand was "a recipe for rising prices" even after the 111pc rally in the price of Brent crude over the past year.

"Global oil demand is forecast to grow for at least another five years. As emerging market countries become wealthier, their demand for energy-intensive things like cars, international travel and air conditioning will rise," he said.

Mr Williams said this rise in oil prices would keep profits and dividends from the energy giants buoyant, even as governments unveil pledges to transition towards renewable power.

"The same happened in the 1990s when governments turned against tobacco stocks. Investors who stuck with them made a lot of money as demand was still there," he said.

Shell is expected to yield 4.2pc next year and BP 5.1pc, according to stockbroker AJ Bell, and their shares have risen 55pc and 50pc respectively over the past 12 months. Both are among the biggest dividend payers on Britain's stock market despite cuts to their payouts as the pandemic struck last year.

Mr McInnes said BP's dividend yield made the shares a compelling investment. "BP is a $92bn (£68bn) company with an additional $38bn of debt. At $75 per barrel of oil, BP produces at least $15bn in cash a year, which is being returned to shareholders via a 5pc dividend yield. It is also buying back its own shares, which is another way of returning cash to investors," he said.

BP and Shell are the largest investments in Mr MacInnes' fund and he argued other fund managers were wrong to shun them on ethical grounds.

"Asset managers don’t want to be seen to own these stocks as the inevitability of the green transition, and the awkward questions from clients, has left them uninvestable for many," he said.

However, he argued BP's heavy investment in renewable energy could lead to investors re-evaluating the company's ethical credentials and sending its shares higher.

"BP is spending $4bn to $5bn a year investing in renewable energy. If it continues to invest at this rate, in five years it will have a portfolio of $20bn of renewable energy assets," he said.

"When the stock market begins to appreciate oil majors are uniquely placed to be a deep-pocketed part of the solution, we expect their shares to rise. The market values BP and its peers like they won’t exist in the not-too-distant future. By 2025, we should have proof they will be with us long for the long term," he said.

BP and Shell are two of the most popular shares held in British investors’ Isas and enthusiasm for commodities companies is growing.

In the past month, miner Rio Tinto’s shares were among the 10 most bought by clients of broker AJ Bell. Customers of rival Interactive Investor, meanwhile, invested heavily in the Guinness Global Energy fund, which holds oil and gas stocks.

The Guinness fund, which charges 0.95pc and has risen 89pc over the past year, is one of a number investors can buy to benefit from a rising oil price. Another option is the iShares MSCI World Energy Sector exchange-traded fund, which tracks the performance of oil companies around the world, charges 0.25pc, and has risen 82pc over the past 12 months.'

[mount teide] 09/11/2021 13:57

L2 strengthening .... moved to 2 v 1 / 82p v 83p

[fardels bear] 09/11/2021 13:55

Can't be very good news. Only up 1p.

[dcarn] 09/11/2021 13:31

Perhaps some news leaking about the Skua workovers as there definitely pressure on the buying side.

[croasdalelfc] 09/11/2021 11:33

hTTps://www.tender-indonesia.com/Project_room/category_form.php?CAT=CT0006Jadestone's tender for gas processing facility and pipeline in Lemang

[mount teide] 09/11/2021 11:19

L2: 1 v 1 / 82p v 83p (rest between 84p and 89p)

[thedudie] 09/11/2021 10:49

Thought this might start to move today - the trend looks strong here.
Although it sometimes tests the patience of a saint!

[mount teide] 09/11/2021 08:50

Why U.S. Shale Won’t Go To War With OPEC+ - Oilprice.com

'It looks like we have entered a new era of high oil prices, with the stances of both OPEC + and the US Shale suggesting there is very limited downside for oil prices in the near future'

[mount teide] 08/11/2021 19:26

"I like to buy businesses that have a competitive advantage.
Ie A castle with a moat around it.
One of the best moat's is to be a LOW COST producer"
Warren Buffett

[squareloss] 08/11/2021 17:46

I see Fidelity have trimmed down to just below 5% from 5.016%
Hardly seems worth it but maybe just playing games for ESG purposes so they don’t have any holdings above 5% in those nasty fossil fuel companies!

[fardels bear] 08/11/2021 07:46

Chinese climate officials have said in recent days that La Niña is likely to bring a colder and more fluctuating climate to much of China this winter, with strong precipitation in the north.'Yet another body that fails to understand the difference between climate and weather.

[croasdalelfc] 07/11/2021 22:32

PS it's Lemang for any newbies -

[croasdalelfc] 07/11/2021 22:31

hTTps://sekato.id/pemasangan-pipa-baru-jadestone-energy-akan-dilaksanakan-tahun-2022/Permits given and suggests pipeline laying starting May 22

[croasdalelfc] 07/11/2021 22:30

SEKATO.ID | TANJABBAR – A company engaged in the oil and gas sector, Jadestone Energy, which is located in Mekarjaya Village, Betara District, West Tanjaungjabung Regency some time ago has carried out an exposure and discussed planning for the installation of new pipes in a number of sub-districts.Previously, in the Betara sub-district there was a company called Mandala Lemang Energy, and now it has been replaced by Jadestone Energy.Based on the information collected, the new company engaged in the oil and gas sector has been exposed since October 27, 2021. And already has an environmental permit from the Ministry of Energy and Mineral Resources (Energy of Mineral Resources)Mekarjaya Village Head, Khairul Syahri. S.AP when confirmed, he stated that he participated in the exspose which was held at the One Stop Service Investment Office (DPMPTSP) of West Tanjab."Yes, yesterday we attended the meeting with relevant stakeholders, from the village there were all, but if the community, NGOs and the media did not exist," he said. Wednesday (03/11/2021).Related articleHe said the meeting also discussed plans for the installation of new gas pipes in two sub-districts, namely Betara and Bramitam, which will be carried out in 2022."The installation of a new pipe is approximately 40 km long, covering two sub-districts to Semau Village, he said in May 2022, the pipe installation will only be carried out," he said.

[alphorn] 07/11/2021 13:34

Always an interesting view on hedges. A true hedge (forex, commodities etc etc) is to lock in the results of future trading. Any 'gain or loss' is a comparison of not having carried out the hedge - IMO very misleading unless properly explained. Not an uncommon strategy - eg a global group selling very high volume, low margin goods may chose to lock in its forex exposure before the trading period starts. True hedges in the airline should be no different, locking in what is needed for future trading - any more is speculation. The last sentence in your post talks about trading certainty in the IAG case.

[mount teide] 07/11/2021 13:22

Airlines Act as If $80 Oil Is Heading Even Higher - Bloomberg 5th November

Flying High - Airlines lock-in crude prices as fuel bills rally

'Fresh from losing billions of dollars from bad oil-price hedges because of Covid, many of the world’s airlines are once again trying to protect themselves from soaring fuel costs.

European carriers including Lufthansa Group, Air France-KLM and Ryanair have said in recent days that they fixed at least half of their fuel bills for parts of next year.

Others from further afield like Southwest Airlines, Alaska Air Group and Turkish Airlines have all boosted their hedge positions in recent months.

Not every company in the airline industry hedges against higher oil prices, but those that did racked up losses of almost $5 billion at one stage during the pandemic because they effectively forward-purchased millions of tons of fuel they didn’t need. Their return signals confidence about future demand to travel.

For the oil market, it also means a large consumer is back and bidding for barrels in the future again, easing a liquidity vacuum that built up late last year.

“We continue to see significant opportunities to buy fuel forward,” Michael O’Leary, chief executive officer of Ryanair said on a call with analysts. “We’ve hedged our fuel requirements with a mix of jet swaps and caps.”

Carriers are coming back to the market as they have eaten through the hedges they placed before the pandemic, just as capacity picks up again and fuel prices rally to near their highest level in seven years.

Still, while they’ve returned, the way they are hedging has changed compared with the pre-Covid era. Where in the past they would sell put options to cheapen the cost of their hedges, now they are favoring swaps that give a less risky exposure to price moves.

Also, while airline capacity is still down, they are also hedging a smaller portion of their fuel bills, meaning they are less insured against a surge, but equally less at risk of another demand implosion. The hedges also tend to be shorter-term than they used to be.

Jury Is Out
Some are also reluctant to return to a market that has burned them in the past. One trader at a major U.S. airline said their company had little appetite to lock in prices at current levels. Low-cost European carrier Wizz Air abandoned hedging earlier this year, but fielded several questions from analysts on its earnings call this week about whether it was prudent to do so, given the surge in oil prices. “The company has actually lost a lot of money on fuel hedging” in the past, Chief Financial Officer Jourik Hooghe said. “I think the jury is out, we’ll see how the actors are going to behave in the future.”

Others are coming back to the market but cautiously. British Airways owner IAG SA said it doesn’t want to hedge too much unless it is sure of flight volumes. It has boosted its hedging for next year to about 40%, but said it will only lock in prices more than two years out in exceptional circumstances. In the equivalent period before the pandemic it was about 70% hedged for the following year.

Some are already seeing the benefits. At current prices, Air France said it stands to gain $350 million from its hedge book this year, while IAG said it had made about $200 million from gains partly made up of fuel hedges. But a sharp pullback in oil down to the low-$50s could see Germany’s Lufthansa stand to lose about $1 billion, a stark reminder of losses from the last 18 months.

“You don’t want to start building your hedge book too quickly unless the demand -- and you know you’re going to be flying this capacity -- is certain,” said Steve Gunning, chief financial officer at IAG. “I think that certainty has been building over the last month or two.” '

[mount teide] 07/11/2021 10:27

Oil Market Analysis from Goldman Sachs - Market Watch - 5th November


'Following a nine-week streak of gains, the longest for front-month contracts based on records going back to April 1983, for the week, WTI prices lost nearly 2.8%, for a second weekly loss.

“The now open disagreement between OPEC+ and the US administration, the threat of an SPR release and the potential resumption in negotiations with Iran will increase the volatility in oil prices in coming weeks..” said a team of analysts at Goldman Sachs in a note dated Nov. 4.

But they said even if the US tapped its emergency oil supplies, such a move would be of “modest and temporary help and could in fact backfire given the structural nature of the oil market deficits starting in 2023.”

The Goldman analysts told oil bulls to hold their ground, as the the oil market is undersupplied and facing more volatility.

“Net, our bullish view remains unchanged: the oil deficit remains unresolved, the current strength in oil demand remains a near-term tailwind and the increasingly structural nature of the deficits will require much higher long-dated oil prices,” the analysts said.

Goldman said their favoured bullish oil trade now is a long December 2022 contract, which offers “the best return vs. volatility trade off as perceived near-term bearish risks (COVID, OPEC, Iran, US SPR) would only further delay the required ramp-up in investment and exacerbate the structural deficits that we forecast starting in 2023.”

Goldman has a $90-a-barrel end-2021 forecast for Brent crude.'