Longboat Energy Share Discussion Threads

[jungmana] 19/6/2024 10:18

Director JM bought over 1 million shares

[talkman2] 19/6/2024 09:49

Hi Zengad ,

How significant could these new licenses be ?

Thank you .

[jungmana] 19/6/2024 09:29

We have a TR1 there. Nice to see someone buying big

[jungmana] 19/6/2024 08:53

No worries if it goes into July. This imo will be one of the stars of the market this H2 2024.:"The Company has recently commissioned ERCE to undertake a competent persons report ("CPR") to confirm the potential size and risk associated with Kertang, believed to be one of the largest undrilled structures in Malaysia. It is anticipated the CPR will be published at the end of June. Following recent increased interest levels in exploration for world-scale fields, multiple large companies have approached Longboat regarding Block 2A. Having consulted with PETRONAS, the Company now intends to run a farm-out process during H2-24 to identify a suitable partner."

[katsy] 19/6/2024 08:39

A word of caution about the timing of any independent CPR is that this is totally outside the control of the company. So don't be concerned if it does come by the stated timeline.

[jungmana] 19/6/2024 08:27

It was about this time last year that UPL started its move from GBP 4 million market cap to 10 bag by November of 2023.LBE is far advanced in projects and in a better position, therefore 100p ( GBP 57 million market cap ) before end of this year imo is very achievable.We have psc, 3D costing over $10 million, new DROs soon adding to the huge 2A block, far more experienced management, cpr due on 2A soon etc.

[stockhunters] 19/6/2024 08:13

Wanted lower but that is my 50k top up at 15.4

[zengas] 19/6/2024 08:06

It is anticipated the CPR will be published at the end of June.

Subsiduary name changed to that of the DRO assets up for grabs (and already provisionally awarded).

The investor presentation is next Thursday the 27th and just one day shy of the last reporting day of the month. Imo, it would be a pretty bland affair to hold the presentation without the above being included so i would have thought there would be meat on the bones by then so to speak - otherwise why not just hold off a few more days if nothing of substance to talk about.

[jungmana] 19/6/2024 07:43

Time to add a few here. One of my long term holdings AXL released a superb well results news this morning.

[ripvanwinkle3] 19/6/2024 07:11

Great detective work Zengas. Now a race on to find out more about the DEWA Complex!

[arcteryx] 18/6/2024 19:32

Zengas, brilliant research once again. This is very exciting news

[jungmana] 18/6/2024 18:50

Zengas, I take my hat off to you. Onwards and upwards

[zengas] 18/6/2024 18:34

With the name change to Longboat Energy (DEWA) Ltd the DROs must be in the bag.

Has to be the DEWA complex.

'The bid deadline for the MBR+ assets — three DRO clusters offshore Peninsular Malaysia and two DRO clusters (DEWA Complex and Ketapu) offshore Sarawak, East Malaysia — was 15 January. For these assets, MPM envisages awarding the PSCs in April or May and signing the PSCs in June this year.'

[zengas] 18/6/2024 17:55

Topaz Energy Ltd that was established 8 weeks ago at Companies house has been registered as a name change today as Longboat Energy (DEWA) ltd as a subsidiary of Longboat Energy PLC.

[citys2874] 18/6/2024 13:44

GREAT WEEK FOR LBE next quad bagger is RCGH good time to buy the expect the same what happened to LBE it will quad bag in JUNE

[jungmana] 18/6/2024 11:41

Huge volume again and hopefully we see 20p+ this week if not today.Market cap at 17p is just GBP 10 million.Cheap as chips

[someuwin] 18/6/2024 10:09

Cavendish note from yesterday for those who haven't seen it...

LONGBOAT ENERGY JV Holding Sale and Norway Exit

In light of the near-term working capital challenges and the continued absence of value-accretive acquisition opportunities, LBE has announced the divestment of its 50.1% shareholding in the Longboat Japex Norge JV to its JV partner JAPEX and its exit from Norway. In consideration, JAPEX will pay LBE US$2.5m in cash and will assume LBE’s share of the drawn debt under the JAPEX acquisition facility (US$8.5m net), for an aggregate consideration of US$11m. The proceeds will be directed to fund LBE’s working capital and operations in Malaysia, where LBE has greater value-creation potential. Key to this value proposition is the Kertang prospect – one of the largest undrilled structures offshore Malaysia.

- An Undrilled Giant: LBE has a 52.5% operated interest in Block 2A, offshore Sarawak. Block 2A contains the Kertang prospect, one of the largest undrilled structures in Malaysia at >200sqkm and estimated to contain 8-10Tcf of gas. Given the potential scale of Kertang, and the existing industry interest, LBE intends to run a farm-out process during H2/24 to identify a partner. LBE is expected to release an updated competent persons report (CPR) on the prospect at the end of June.

- Follow on Opportunities: LBE has provisionally been awarded acreage in shallow water offshore Sarawak containing several gas discoveries capable of near-term development. While details are limited at this stage, we expect to see this type of low-cost resource capture going forward giving the business significant optionality to grow its portfolio through its strategic positioning.

- A Proven SE Asian Track Record: Through CEO Nick Ingrassia, Executive Chairman James Menzies and EVP Corporate & Business Development Dr. Pierre Eliet, LBE has extensive experience and network in the SE Asia region. Nick and James were previously at Salamander Energy, a >14,000boepd, London-listed SE Asia focussed E&P company which was acquired by Ophir Energy for £314m in 2015.

- Right Sizing the Business: The strategic pivot away from Norway allows LBE to streamline and reset its cost base, including a reduced board and management team. These measures are anticipated to result in annual savings in excess of US$$1.25m from the start of 2025. These savings, combined with the consideration from the sale of LBE’s interest in Longboat Japex, are forecast to provide sufficient capital through to the end of Q1/25 and we expect LBE will seek to further reduce its cost base.

- A Strong Macro Story: Between 2012-22, primary energy consumption growth in SE Asia has increased by c2.6% pa; this is the highest of any region globally. Equally, there is a huge carbon emissions reduction opportunity in SE Asia by using natural gas as a replacement for coal, which currently makes up 47% of SE Asia’s primary energy consumption. Further, SE Asia has been a hotspot for M&A activity in recent years, as the independents look to secure assets from the supermajors (e.g. Hibiscus’s acquisition of TotalEnergies’ interest in Block B, offshore Brunei).

- Valuation Under Review: We place our valuation under review pending the release of the announced CPR at Kertang – expected at the end of June around the time of the AGM.

[jungmana] 18/6/2024 10:04

"Multiple large companies" in that area, Total, Shell etc"The Company has recently commissioned ERCE to undertake a competent persons report ("CPR") to confirm the potential size and risk associated with Kertang, believed to be one of the largest undrilled structures in Malaysia. It is anticipated the CPR will be published at the end of June. Following recent increased interest levels in exploration for world-scale fields, multiple large companies have approached Longboat regarding Block 2A. Having consulted with PETRONAS, the Company now intends to run a farm-out process during H2-24 to identify a suitable partner." 

[jungmana] 18/6/2024 09:12

Good post Zengas . I agree LBE has a lot more upside from this level. Also this is well ahead of upl in their projects as having 3D, cpr imminent, reputable management and psc granted.Excellent opportunity at this level imo. i have a target of 50p to 100p by end of year.

[swanvesta] 18/6/2024 09:10

This morning's pump. Not expecting a dump, but the guy has a lot of followers (not all spanish) and there could be volatility:

[talkman2] 18/6/2024 08:56

When is the AGM ? Should be comfortably over 20p by the end of the month. This near term development of gas funds sounds very intriguing and exciting.

[zengas] 18/6/2024 08:55

Jungmana

Both Cos offer good upside if successful but i have my cash steered to where it might offer the best returns on a success case plus something to underpin the investment which i've always seen as a must.

UPL 1.33 b shares in issue (with outstanding warrants circa 1.5 billion f/diluted) + $4.6m cash. M/Cap @ 3p = £40m.

LBE 57.11m shares + $2.5m cash. M/Cap @ 16p = £9m.

There's a glaring differential in upside potential for every $100m/£78m (£1/$1:28) of value created.

UPL = 5.87 p per share (5.2p f/diluted).
LBE = 136.5p (will stick my neck out and project us at future 100m shares = 78p).

Both chasing $500m+ worth of future value creation potential on a success case.

LBE have now been awarded a cluster of near term development discoveries (subject to final terms) which will underpin a valuation/fall back option at this £9m m/cap level.

[talkman2] 18/6/2024 08:54

I agree. Took a total bath with Deltic
Feared the worst here but yesterday’s news was better than I hoped. Now divorced from Norway ( and it’s liability’s which could have sunk the company)no dilution , cash and a new focus in an are which had fantastic potential. Should be some very exciting news coming up. Great opportunity and the share price is still cheap as chips .

[jungmana] 18/6/2024 08:12

If I was him, I would . Change in focus to Malaysia is the future.The NS is dead for small caps

[arcteryx] 18/6/2024 08:07

I thought it might be Mr. Bruce piling back in!