Jadestone Energy Share Discussion Threads

[cinquepercento] 28/1/2019 10:45

Very interesting, Alamaison? :-)

[alamaison5] 28/1/2019 09:29

Buying back in 5.5% cheaper...
The more I read the RNS the more convinced I am.

[alamaison5] 28/1/2019 08:39

preview order
Buying 2,605 JADESTONE ENERGY INC COM NPV (DI) shares
The price quoted cannot be guaranteed until the order is confirmed.
Price £0.38
Order DetailsSettlement Date T+2 - 30/01/19 Cost of Shares £989.90 Commission£10.00 Total To Pay £999.90

Even with a good RNS like this...38p...
Did well to sell at a profit at 40p then. :-}


Mont:
Perhaps you could explain to us WHY THE SELLER continue to SELL in huge volume and now hold LESS stock???

1 BUYER 1 SELLER

[someuwin] 28/1/2019 07:26

RNS Number : 2432O
Jadestone Energy Inc.
28 January 2019

Jadestone Energy Inc.

Jadestone Energy Provides
Montara Production Update and Hedging Guidance
January 28, 2019-Singapore: Jadestone Energy Inc. (AIM:JSE, TSXV:JSE) ("Jadestone" or the "Company"), an independent oil and gas production company focused on the Asia Pacific region, is pleased to provide an update on production and hedging for the Montara asset, located offshore Australia (Jadestone 100%).
Highlights
● Strong performance at Montara since production restart, with a period of flush production following the asset shutdown
● Near-term production anticipated to stabilise at approximately 10,000 bbls/d, compared to 2018 average production of 7,615 bbls/d
● Swaps in place covering approximately 2.0 mmbbls of Montara production in 2019, with an average price of US$73.49/bbl for Q1 2019, a gain of approximately US$12/bbl on current Brent spot prices
● Asset inspections and maintenance now fully up to date and an increase in uptime and average production rates are expected during 2019
Montara production
Since the Montara asset came back on stream on January 11, 2019 the asset has performed well, with a period of elevated rates, caused by significant flush production following the asset shutdown.
Jadestone anticipates that flush production will continue for a period of time but will decline to an anticipated average daily rate of approximately 10,000 bbls/d in the near-term. This compares to average 2018 Montara production of 7,615 bbls/d (excluding downtime for the recent inspection and maintenance work).
The recent shutdown rectified a significant inspection backlog and a number of notices of improvement issued to the current operator, by the offshore regulator. The Company anticipates that as a result of works completed during the shutdown, there will be no major planned shutdowns until at least H2 2020.
As previously disclosed, Jadestone has submitted its Montara safety case and environment plan, which are under review by the regulator. Upon acceptance, the regulator will permit the transfer of operatorship to Jadestone.
Montara hedging
Jadestone has swaps in place covering approximately 2.0 mmbbls of Montara production in 2019, with an average price of US$73.49/bbl for Q1 2019. At current spot Brent crude oil prices, these hedges represent a gain of approximately US$12/bbl. In addition, the Company's hedging arrangements also provide call options on 76% of the 2019 swapped volumes, at a strike price of US$80/bbl, meaning the Company has access to upside prices, should benchmarks increase.
At current prices, the forecast payback of the net cash consideration for Montara, inclusive of the US$22mm adjustment provided to Jadestone in respect of the inspection and maintenance shutdown, is less than two years, despite lower prevailing benchmark prices.
The Company will provide additional corporate guidance, covering its intended work programme and value delivery across the business for 2019, later this quarter.
Paul Blakeley, President and CEO commented
"Since restarting production at Montara, we have seen a strong response from the reservoirs with production rates higher than anticipated. We expect this to continue for a short period and then start to stabilise at our planned rates for the year. With inspections and maintenance now fully up to date, the facility is running smoothly, and I expect we will see a significant improvement in uptime and an increase in average production rates accordingly.
"In addition, our hedging position, covering approximately 50% of our anticipated production, will help underpin strong cash flow for the year and maintain our early payback from Montara."

[mount teide] 25/1/2019 16:29

alam - in common with spreadbet and CFD service providers most investors actually welcome nickel and dime short term traders as they provide some additional liquidity.

Sadly, its an industry fact that 95% plus of them fall victim to Einstein's definition of madness - someone who keeps doing the same thing(losing money) expecting a different result!

Perhaps you could explain to us and our two very high performing activist US hedge fund shareholders how JSE is currently too expensive - particularly when they continue to buy in huge volume and jointly now hold over a third of the stock.

[alamaison5] 25/1/2019 10:54

Ross: I did and already sold at a small profit.

But of course, I will buy again.
When a fund manager buys so many shares it does bring my attention to it.

RRE at 600p is cheap too. SIA at 70p. LAM at 53p and many more.

JSE has great prospect but to dear for me for now. I am looking for bargains.
Also, fund managers are after profits too, don't forget.

Last thing, when you have a resident ramper like Mount Teide always be suspicious, lol.

[mount teide] 24/1/2019 16:57

Another 20k for me.

Duckdown - probably one of the best value plays on AIM and certainly in the oil sector.

JSE is an extremely well managed company, likely debt free in Q1 and throwing off circa $8m-$10m of cash a month; with excellent organic growth prospects and operating in the fastest growing and highest priced oil and gas market in the world.

That JSE is still largely off the radar since it came to AIM last August has been very welcome to those looking to build large positions - two friends and I now hold 1.75 million between us. Like the high performing, value based approach activist hedge funds Tyrus Capital and Livermore Partners, we see exceptional value here over a 3-5 year view.

[dorset64] 24/1/2019 16:39

Now well over 65% now in insti's hands alone.

[king suarez] 24/1/2019 16:37

Pretty undervalued imo, but one of many bargains on AIM currently!

[duckdown] 24/1/2019 16:21

What's the deal here then?

[alamaison5] 24/1/2019 16:14

Well, that won't help, lol. 35.5p or nothing.

[mount teide] 24/1/2019 08:06

RNS - Hedge Fund Tyrus Capital buy another 8.5 million shares increasing their total holding to above 25%.

[alamaison5] 23/1/2019 17:50

Remember that millions and millions have changed hand at 35p.

[mount teide] 18/1/2019 14:06

Small-Cap Stock With Four-Bagger Potential - Value Walk



Value Investing

'Two years ago, in the December 2016 issue of Hidden Value Stocks, we profiled David Neuhauser, the founder of Livermore Partners.

The stock Neuhauser picked out as his favorite small-cap was Jadestone Energy. The partnership was initially attracted to Jadestone as it believed it could unlock significant value by replacing the management, and using the business to acquire depressed operating assets. Here’s David explaining his thesis back in 2016:

"When we first took a position in Jadestone, we saw an opportunity to transform the company by replacing the management and board and using the business to acquire depressed operating assets others must sell to de-lever their balance sheets and focus on core basins.

Producing assets (not exploration) with real cash flows and deep value. We feel that we’ve made excellent progress on this. New management has been brought in, and the company has been transformed.

New Jadestone is built on an “acquire and exploit” strategy not unfamiliar to some domestic E&P companies, whereby bringing operating capability and new capital to under-invested assets (or assets in the hands of super-majors for whom materiality in future activity is a concern to them), can add significant incremental value.

The difference with New Jadestone, compared to North American plays is that the company is focused on Asia Pacific opportunity where the returns are on average two or three times better than North America (IHS Herold annual performance reports), where the competition is very limited and therefore purchase price is very modest (often assets are sold on bilateral deals – no competition), and finally where opportunity options are on the increase."

He went on to say that he believes Jadestone could ultimately be worth $2 per share or more, as the company continues to roll-up assets:

"Timing is tough to determine, but today even with our capital raise, the shares are very cheap. Trading at only $15,000 a flowing barrel and a discounted 0.30 net asset value per share with no debt, $20 million of cash on the balance sheet and plenty of development opportunities in the pipeline this is a very compelling opportunity where we believe the downside is limited."

Two years later, and plenty has changed. The stock is up 50% and recently completed a significant acquisition that has the potential to throw off $100 million in annual free cash flow.'


A detailed update on Jadestone is available by subscription to their Hidden Value Stocks newsletter, published four times a year.

[someuwin] 18/1/2019 11:50

Impressive list of institutional holders...

[senn1] 18/1/2019 10:27

45 recent high should be tested soon


Any sniff of a divi 70p

[someuwin] 18/1/2019 10:21

I'll keep adding at these prices.

Way too cheap - imo.

[zengas] 16/1/2019 20:04

Thanks Spangle.

Do you know if PTTEP still have the undeveloped Audacious and Tenacious oil fields and the Oliver Gas & oil discovery above (north-east of ?) Montara.

They had a sizeable near 100% interest I thought and were going to develop these 2017 but given they are now perceived non core and they have already shed the bigger Montara asset, surely they are even more non core and be potentially fairly cheap.

I'm just wondering with JSEs involvement with PTTEP (personnel/deal making etc) could they possibly pick these up ? It would certainly fit in with JSEs strategy.

[spangle93] 16/1/2019 18:37

Zengas - one of the nearest sizeable fields to Montara is the Crux field, which is under FEED just now I believe. That's a gas development, to deliver dry gas through a long pipeline to the prelude FLNG vessel to supplement the Prelude field.



Likewise Ichthys is likely to need third party gas in the coming years, and regulators will not appreciate venting of Montara gas in the light of climate change promises, hence will be keen for alternative end points.

So I think opportunities for Montara gas export are forming.

Development of the Montara neighborhood to the host facilities would improve Opex there, and probably be cheaper than another company purchase