Longboat Energy Share Discussion Threads

[chutes01] 04/6/2023 17:20

Expect re rate this week

[hpcg] 04/6/2023 16:07

Let's be honest most of the small company oil writers are shills, and not a single person knows what the drill bit will turn up. Almost none will point out potential risks even if their is good news from drilling. One just needs to take what they write or broadcast as what they are licensed for: entertainment.

[ohisay] 04/6/2023 14:41

?? Pro do you get his Private blog ?..from what Ive seen of him he doesnt know much more than the rest of us.

[pro_s2009] 04/6/2023 12:04

Sunday Blog, 4 June 2023

PRD MATD HE1 NHE.AX DELT PANR PTHRF JOG ANGS BOIL LOGP BEY EME LBE CEG CLON

Oilman Jim 4 Jun 2023

Catching up on the last couple of weeks and starting with the drilling news, Predator Oil & Gas (PRD) announced on Friday that the Star Valley Rig 101 would commence drilling the MOU-3 well within ..............................

[ohisay] 04/6/2023 06:09

My 10p worth .

Auctus in its review said ...
The transaction has an effective date of 01/01/2023.
The existing Norwegian debt facility and Norwegian tax credits will stay in the Longboat Norge JV.The debt facility provided by JAPEX will be available for drawing during the first three years

One of the directors recently said the 16m$ goes directly into the JV.

Am assuming LBEs current cash ( circa £9m in February net of the payment for Velocette) stays with LBE to do with as they please.
They may need some of it to pay for their Norway project acquisition in Q3 (when Japex coughs up another 4m$ assuming the JV is sanctioned.)

Questions worth revisiting for clarity at the AGM and the investor meet presentation.!

[bumpa33] 03/6/2023 16:10

e43 - my understanding is yes the $16m is solely to the JV. As for LBE’s remaining cash I’d assume that no it isn’t going to the JV but not sure. And I’d assume again that the tax refund as it applies to LBE will go directly to LBE.

[e43] 03/6/2023 15:35

Bumpa, having read the Japex May 2 RNS, and watched the CEO interview on LSE,a couple of financial points don't seem to have been well articulated in either,i.e
1,I presume the $16m initial payment is going into the JV rather than a payment to LBE plc?
2, there doesn't seem to be any mention of LBE committing any of its remaining cash to the joint venture.
3,LBE looks like it will be recieving a large tax refund later this year,(roughly equivalent to it's debt)will this refund now go to the joint venture or directly back to LBE plc?

[bumpa33] 03/6/2023 10:40

Been following LBE ever since its IPO due to the ex Faroe Petroleum management involvement and the story. This is a quality outfit unlike 95% of the other dross you’ll find on the London markets when it comes to oil juniors. However it’s fair to say its operational performance has been at best only average since then, and its share price performance certainly poor.

The JAPEX deal however is a bonafide game changer - not some convertible loan “investment221; or a dodgy Chinese entity no one’s ever heard of, a pre sold bucket shop placing at huge discount or a jewel stealing opportunistic raid etc etc. This 51/49 JV and substantial injection of cash gives the company a real new lease of life, with some heavyweight backing both financially and as importantly, technically. The structure of the JV, giving Longboat 51% is important for the long term - short term the £10m valuation for the company as it stands is just daft.

When you take into account what this deal does for both parties and the numbers involved, imo fair value should be nearer £20m mkt cap as we stand. Longboat is now well and truly on the radar - so at worst I think doubling your money in relatively short order from this entry - on speculation and expected newsflow alone - is a very achievable target. Longer term who knows.

There has been a reasonable consolidation phase the last month after the initial spike, it would now seem interest is beginning to pick up again and what stock was available - from one HB at least - appears to have dried up.

Summer months can be unpredictable, even so the R/R should be heavily skewed to the upside…

[wanobi] 02/6/2023 14:58

fwiw & that's not a lot LOL LOL :-) I took a starter position in these recently,,, GLA LTH's, fingers crossed it'll fly,,, ATB, Cheers Wan :-)

[ohisay] 02/6/2023 14:40

And Market Cap only £11m .

Quite amazing ...

[chutes01] 02/6/2023 13:41

Japs getting in on Norwegian oil
Smart move and will see longboat recover well

[chutes01] 01/6/2023 11:21

Moving
Onwards to 40s

[darcon] 30/5/2023 10:46

Cenkos update today. The full copy can be accessed through research-tree.com:

"The Deepsea Yantai semi-sub has been selected for the drilling of the Lotus (Kjøttkake) prospect in Q3/24. Lotus is situated 4kms southeast of Longboat’s Kveikje discovery and is estimated to contain gross 27mmboe (Longboat net, 9mmboe) of gross mean prospective resources, with further potential upside estimated at gross 44mmboe. If successful, Lotus will form part of an area cluster development and would substantially add to Longboat’s existing discovered reserves in the area. We reiterate our BUY recommendation and our 66p price target (comprising 41p of core and tangible business and 25p of risked exploration)."

"Lotus Introduction – Lotus is located in PL 1882 S, which was awarded under the Norwegian 2022 APA Licensing Round. Longboat was awarded a 30% interest in a firm well on the Lotus prospect, which lies 4km southeast of the Kveikje discovery and is expected to contain analogous injectite sands to the sand encountered in Kveikje. An exploration well is planned for Q3/24, targeting 27mmboe of mean prospective resources (9mmboe net) with further potential upside estimated at gross 44mmboe. The Lotus prospect has a Longboat estimated 56% chance of success, with the key risk being hydrocarbon retention. "

"Lotus Valuation – On a risk adjusted basis we value Lotus at c8p net to Longboat, using a 56% geological and 60% commercial chance of success. A successful discovery at Lotus would increase this valuation to c14p (net)."

"Rig Assignment – DNO as operator of PL 1882 S has selected the Deepsea Yantai semisub for the drilling of the Lotus exploration well. The Deepsea Yantai is specifically designed for working in harsh environments such as the North Sea and was previously used by Longboat for the drilling of the Copernicus well in 2022."

"A Catalyst Rich Asset Base – The next well on the programme will be Velocette, which is expected to spud late this summer. Located in PL 1016, the Velocette well is targeting gross mean resources of 177mmboe (Longboat, 20%) with a 30% geological chance of success. Aside from the Velocette and Lotus wells, we expect further newsflow on the contemplated small production acquisition announced as part of JAPEX transaction."

"Transformational Investment by JAPEX – In May 2023, the Company announced that it had reached an agreement with Japan Petroleum Exploration Co (JAPEX) to make a significant investment into its Norwegian subsidiary, Longboat Energy Norge AS to form a JV. Under this agreement, JAPEX will make a cash investment of up to US$50m for 49.9% of Longboat Norge and provide the JV with a US$100m acquisition financing facility to finance acquisitions as associated development costs."

[darcon] 30/5/2023 10:21

I had a quick glance today at the top25 shareholder info on simplywallstreet.

Other than Alastair Bruce who has increased his stake in LBE to >4% the institutions which have recently increased their stake in LBE since the last two reporting dates are:
(1) SVM Asset Management (+11.41%) to 8.61%,
(2) DNB Asset Management (+1836%) to 1.67%,
(3) LGT Capital Partners (+37%) to 1.59%,
(4) Peel Hunt (+3055%) to 1.46%,
(5) HBOS (+92%) to 1.04% and
(6) AJ Bell Holdings (+83%) to 0.74%.

The institutions that have been reducing their stakes in LBE are:
(1) Blackrock (-42%) to 7.75% although the % figure for Blackrock may be inaccurate as I believe Blackrock's most recent holding announcement was on 7 March and stated their holding had dropped below 5%;
(2) Canaccord (-17%) to 3.76%
(3) UBS (-36%) to below 1%;
(3) Fidelity International (-98%) to below 1%.

[darcon] 30/5/2023 08:02

Positive news this morning regarding a rig being assigned for the Lotus drill for Q3 2024 and also noting its potential for a cluster development along with LBE's Kveikje discovery.

The RNS also notes that Velocette is expected to spud late this summer.

Although nothing is stated in the RNS regarding progress with the JV transaction with Japex this presumably will be viewed positively by them.

Interestingly there is a Q&A transcript dated 15 May 2023 on Japex's website in the English language (see: There's no mention of LBE in that transcript, but they do talk about Japex's share price to book being below 1, how they have too much cash and how they're keen to deploy that cash among others in new O&G growth projects. This helps explain Japex's rationale for their JV investment in LBE Norway. Japex note in one of their answers in that transcript that they have 100 billion yen available for investments.

[ohisay] 28/5/2023 05:14

Publisert May 16, 2023
Norway
OMV has decided bases for supply and helicopter

In connection with the drilling of the Velocette prospect in the Norwegian Sea, OMV (Norge) AS has chosen base services from the Helgeland Base in Sandnessjøen and helicopter services from the base in Brønnøysund.

The exploration well to be drilled is located approximately 300 kilometers west of Sandnessjøen and 50 kilometers southeast of the Aasta Hansteen field. The drilling will be carried out with the drilling rig Transocean Norge. Start-up is expected in late summer this year.

OMV has decided to use the Helgeland Base in Sandnessjøen for supply and logistics services based on commercial and technical criteria

[chutes01] 26/5/2023 13:49

should see 40p again, too cheap

[ohisay] 26/5/2023 13:31

I've been adding several times sub 20p over the past week .
AGM is end of June when there should be a little more news.

Annual General Meeting, to be held on Thursday 22 June 2023 which is also available on the Company's website at www.longboatenergy.com .

Following the Annual General Meeting the Company intends to present an /updated corporate presentation via the Investor Meet Company platform. The online presentation will take place at 11.30am on 22 June 2023 and is open to all existing and potential shareholders.

[bumpa33] 26/5/2023 12:19

You’ve just had one.

Try having some patience or jump on something else more racy.

[danmart2] 26/5/2023 11:51

Market update required on drilling and funding agreement

[pol123] 24/5/2023 15:24

All waiting for the next significant update. I like quiet, has enabled me to add at rock bottom prices. Now trading below cash, never mind Japex............MAD

[bbm_144] 23/5/2023 10:00

Awfully quiet here......

[darcon] 08/5/2023 18:53

DNO share price performance since it acquired Faroe Petroleum:

Post acquisition 2018 year end accounts of Faroe Petroleum which were signed off by DNO's board nominees: