Longboat Energy Share Discussion Threads

[talkman2] 28/11/2023 11:03

Very impressive . The share price is a gift at these levels . Bought another 50,000.

[ripvanwinkle3] 28/11/2023 10:46

Good presentation. They have positioned themselves well. I expect the share price to be in the £ not pence as acquisitions are made and the drilling of Kertang approaches

[trader465] 23/11/2023 17:59

You could always invite London from PXC thread to invest 🚀

😳

[zengas] 23/11/2023 14:08

It's a case of just waiting for value to unfold. At this price it's still overlooked by many and too cheap at todays £10.3m.

Meanwhile it's worth watching investor excitement on UPL (mentioned earlier).
No PSC yet for Sarawak SK334. No 3D which will be needed at some point. No estimate of recoverable resources. No other assets of strength and no production. Little to no cash and at todays 2.9p has a m/cap just shy of £35m.

LBE equivalent share price to match UPL is 60p if you were solely basing on the 12,000 KM2 SK2A for LBE versus UPL on SK344 which so far is only a share in a study.
Discoveries, 2P/2C and Production here and forged significant deals here and in the previous two companies Salamander and Faroe both sold for circa $900m each (EV)so for me this offers the lowest risk profile when shopping for value and upside and more deals in the pipeline.

Huge Kertang prospect and 2 others covered by 2,900 km2 3D with over 6,000km2 on the block and 9 TCF estimated recoverable from the main Kertang prospect alone. Upl haven't even issued a direct figure - plus of course no 3D.

[darcon] 23/11/2023 12:31

Good post Zengas.

I also hope they use part of the Japex available loan to fund the minor production deal not so much for the leverage, but just so that they go through the motions of signing and completing the necessary loan documentation with Japex. That would make a follow-on investment utilising the Japex loan quicker to execute a second time.

[zengas] 23/11/2023 12:18

250 now v up to 300 boepd which was then expected to double from the 5 wells.

In Q1 Statfjord Ost had gross production from 1 well of 5,200 boepd = 250 boepd to LBE JV.

Q1 Sygna field was producing a gross 1,300 boepd from 1 well = 60 boepd net to LBE JV.

The 5 new infill production wells were being drilled in Statford OST.
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Today -

The fourth of five new infill wells in Statfjord Øst has now been successfully drilled.

Overall, project execution is on track with the Statfjord Øst and Sygna fields expected to be fully on stream from all wells early in the new year.

Initial production for 2023 is estimated to be around 250 boepd net to Longboat JAPEX, which is slightly lower than anticipated mainly due to a delay in bringing the new wells on stream.

Production is expected to increase significantly early in 2024 when all wells will be brought on stream. Gas-lift installation is completed.
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So all new wells will be brought on stream ealy 2024.

If we are averaging 250 boepd - then the 1 well at Statford Ost must still be significantlty producing as there's only a reduction of 60 boepd from the overall 310 boepd in Q1 2023.

Will be interesting to see what the Statford Ost wells come on at.

Each well doing 1,000 boepd would be 48 boepd to the LBE JV.

Get any production numbers much higher ie compared to the one S/OST well producing 5,200 boepd in Q1 and it could be significant so not long to wait as we were getting 250 boepd in Q1 23 from this alone.

Also the effective date was 1/1/23 so should be a deduction to the headline price and there will be adjustments i expect re minimum production levels etc.

[darcon] 23/11/2023 10:53

Their new November presentation can be downloaded from their presentations page:

[darcon] 23/11/2023 10:28

Their announcement pushes back the anticipated completion date of the transaction with INPEX Idemitsu from by the end of the year (see 3 July announcement) to now being "expected in in (sic) January". They deleted a word there. I wonder what it was. Why the delay? What is potentially delaying the transaction into next year?

The initial production is also slightly lower being around 250 boepd net to Longboat Japex. On 3 July they stated a figure of about "300 boepd net to Longboat Norge (based on NPD figures to 30 April 2023)"

They also said on 3 July that production is anticipated to "approximately double in 2024 following completion of the in-fill drilling programme". They now say that "production is expected to increase significantly early in 2024 when all wells will be brought on stream." They haven't used the word "double". Are they less confident of production doubling? Significantly could still mean doubling or more. Unclear.

So some questions to ask there.

Have they now completed the Topaz Number One Limited acquisition? Will an announcement be made about that?

I am excited by the potential M&A that their beefed up SE Asia team can now execute on. M&A takes time. However, others may be impatient and/or may think there is time to buy the stock later.

[sogoesit] 23/11/2023 10:26

Well, Words are not Deeds, as we know.

[bumpa33] 23/11/2023 10:10

distinctly meh reaction from the mkt to that news… 🙄

[bumpa33] 23/11/2023 07:24

Operational update out, Helge using some very bullish language there, another investor meet next Tuesday…

"The timing of our entry into the SE Asia region has been excellent given the exceptionally active M&A market. We are excited about the many and varied opportunities available to us and with our highly experienced team and excellent relationships. We are confident that we will deliver considerable growth and create substantial shareholder value in the period ahead."

[darcon] 23/11/2023 06:09

Also interesting is that Japex recently announced on 20 Nov 23 progress on their carbon capture project with Petronas in Malaysia:

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LBE has a JV with Japex in Norway. LBE's partner on Block 2A (Kertang prospect) in Malaysia and in which LBE are operator is Petronas. If Japex and Petronas are working on other projects together in Malaysia that ought to make it easier for Japex to one day consider expanding its efforts in Malaysia to potentially funding an exploration drill there with LBE and Petronas, and also "green" the project with appropriate carbon offsetting or capture.

[darcon] 23/11/2023 05:47

There were a few mentions of Longboat Energy PLC and Longboat JAPEX Norge AS (the JV vehicle) in Japex's presentation dated 10 Nov 23 on its financial results for the six months ended 30 Sept 23:



There's nothing material here of which we're not aware from LBE RNSs.

In the section of their presentation titled "Major Business Progress in the First Half of FY3//24 Japex mention "Capital participation in a subsidiary of U.K.-based Longboat Energy PLC (Longboat JAPEX Norge AS : LBJ) which promotes exploration and development in offshore Norway (May)"

In Japex's business overview in section 6 of their slide deck they have a separate row in their table covering for their "Norway: Offshore Blocks (Longboat Japex Norge AS)" JV with LBE. They describe it as "Exploration/Development".

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So the only takeaway I think here is that Japex regard their LBE JV in Norway as "major business" for them, and they've positioned the JV in their business strategy section as something they'll report on separately in the future.

[bumpa33] 21/11/2023 21:06

Fund to Fund Jeanesy, Investec don’t make a market in LBE…

[jeanesy] 21/11/2023 18:47

what about the 190k transfers then .. buys?

[bumpa33] 21/11/2023 13:26

Stiffel (house broker) and Peel Hunt both bidding 100k over mid, Cavendish (joint house) 36k over mid, Marex have some stock available at 19, after that it’s 19.6. Investec did the business in the 600k transfers yesterday. Is there something on the horizon…

[ripvanwinkle3] 17/11/2023 12:02

Not sure if many picked up on the fact that it seems like the very large Carmen discovery announced over the summer (DNO, Wellesley) extends into Longboat's Kveikje licence area. It's something they touched on in a recent presentation. Could be significant.

[hubs] 17/11/2023 11:25

Just picked up 2k worth for 20.30, this should be a great price one day...gla.

[sogoesit] 16/11/2023 17:14

Something has leaked, for sure...

[bumpa33] 16/11/2023 13:43

To get to something like fair value here and now the company could do with upping its IR/PR a bit perhaps but I really liked the new guy from Topaz, really put the investment case into view with enthusiasm and made it easy to grasp the enormity and scope for the layman. Helge and Co are pretty ‘dry’ in comparison , mkt needs to be excited, at least a bit. Not suggesting they go down the UPL path or anything..!

[zengas] 16/11/2023 13:24

40p would still be only £22m m/cap.

Between Kveijke & Oswig for the JV there could be 6-14 mmboe recoverable on those 2 discoveries alone.

Oswig South to drill next year along with Lotus.

Oswig South could double the numbers and an analogue to the adjacent Tune field that's produced 140 mmboe.

The 2 small initial producing assets estimated to double to 600 boepd enough to run the company as is. $100m of Japex funding for further Norwegian acquisitions.

Would expect £50m m/cap at least to be achievable from operations in Norway alone.

Build a seperate arm in South East Asia on production deals there etc with the blue sky potential of Block 2A.

[chutes01] 16/11/2023 12:45

Prod deal for LBE/JAPEX to be released, Norway/Malaysia behemoth in the making,just too cheap at these levels
Chart looking up at 40p