Petrofac Share Discussion Threads

[loglorry1] 29/3/2024 09:01

Leonbull, Enquest might buy PM304. I hope they do but with the associated debt and decommissioning liabilities, as discussed it won't produce much cash to repay the RCF.

I hope Enquest do get them cheap. I hold a lot of ENQ bonds which have recovered to par and a little bit of the equity. Enquest have never been in the same situation as PFC. Their assets produce a lot of FCF which has paid back lenders. There's a huge difference between PFC and ENQ and also TLW. PFC have yet to show they can turn sales into FCF. Whereas ENQ has and contines to produce $300m FCF a year. TLW a lot more marginal. I hold a lot of the TLW senior secured bonds which are more risky than ENQ bonds but I still think I'll be repaid at par and they amortise along the way.

[loglorry1] 29/3/2024 08:55

I've just been told the answer to this is they can't keep the decomm liability.

"No. In Malaysia you need to fund your decommissioning cost, with cash on the asset side, so PFC has non-current asset restricted for expected decommissiong. If PFC sold the Malaysia asset, both the liability and asset leg related to the decom needs to go to the buyer, the rules are very strict."

Sorry bulls I tried.

[leoneobull] 29/3/2024 08:39

Would that be Enquest whose bonds traded well under par like pfc which have now recovered?Happy Easter all

[loglorry1] 29/3/2024 08:37

It seems like Enquest is looking to buy some assets in Malaysia. Could be PFCs Malaysia block PM304. We've discussed this before and concluded after paying down related debt and decommissioning liabilities it won't produce much cash.

However, I suppose PFC might be able to sell it and retain the decommissioning liabilities on their own balance sheet (which they can do themselves). This might free up a bit more cash.

A bull point for Easter.

[halfpenny] 29/3/2024 08:30

PFC price rising towards 44-54p as Deals flow.

Future bright adding more, don't miss-out!

[covid 19 deal] 29/3/2024 06:48

Big warning....a company with negative equity is dead..any time you can loose all your money here

[armbar] 28/3/2024 21:53

D) have no more information than anyone else and are just averaging, hoping it plays out GL

[halfpenny] 28/3/2024 21:43

PFC future bright...45-54p target closer

[wellbutpoor] 28/3/2024 20:54

Millenium have increased their short three times from 1.67 to 1.81% in a week.

Are they - (A)arrogant, (B)fortune tellers or (C)well informed / highly educated?

Please vote using the options above. Calls to this number are recorded and used for training. Please ask your grown up before voting....vulgar responses will be reported to the Ministry of Naughty Thoughts....

Bonds are flat.

ADR's are at an all time low.....

[wellbutpoor] 28/3/2024 17:33

Good traction today.

A welcome piece of news.

This is no busted flush.

It could be THE recovery play of the year.

Have a great weekend all.

WBP

[armbar] 28/3/2024 17:22

You added a 100M ? MBO 70p incl RCF 400M to 440M Bonds assumed GL

[armbar] 28/3/2024 16:00

It is an option Log you cannot dismiss it , bit like a private equity placement at higher than current share price with significant equity , Imagine the outcome , share price would fly for many reasons, That is also an option Research Fluor, Tullow and all the other companies with various scenarios , what we know is that no one on here knows the outcome GL

[halfpenny] 28/3/2024 15:43

PFC a Super Buy with 45-54 target...plus much more..

Future bright

[halfpenny] 28/3/2024 15:41

Ghh, got this wrong and is a fool with no idea. Now upset as he missed out on getting in before.....

Shorters like him are fools now Running for Them Hills...

[investtofly] 28/3/2024 14:57

I'd take some of that ....

[investtofly] 28/3/2024 14:49

Sadly missed lol

[ghhghh] 28/3/2024 14:46

For the of balance, Shore Cap have updated re Wood Group.

They say there are many reasons to be positive, Industry demand continues to rise, pricing is firming, and Wood is a critical supplier with improving margins. They reiterate their Buy rating and 200p target price, saying weak price offers a compelling opportunity.

FWIW I rate the chance of a D4E at over 90%. You can click on my posting history to see that I am not a shorter but an income investor. I don't want a D4E, my best result would a high share price facilitating a large equity rise or even better, a takeover. I just want my bonds to keep paying out.

I wonder if some of you are only invested in PFC and therefore unaware of the value offered elsewhere. It's a real bear market in some of the small caps, I've never seen such compelling low risk value as in the investment trusts, especially property and infrastructure. I'm buying LABS today at 40p versus 80p NAV as of results last Tuesday. A property REIT so that 80p is tangible assets, gearing 25%.

And DGI9 at 21p versus today's NAV update of 84p. Directors nearly ran out of cash so discredited and Trust in wind up mode. Markets are merciless and there is none of the rose tints seen here.

[ny boy] 28/3/2024 14:45

What happened to lodgeview…its over?🤔


Onwards & upwards, investors are starting to take more upside bets on potentially under valued Companies small mid caps

[dipa11] 28/3/2024 14:41

Did someone notice the trade price 150 plus. Surprisingly Good luck

[loglorry1] 28/3/2024 13:40

I was using Amar's $550m that he said an MBO could be achieved at.

[kulvinder] 28/3/2024 13:21

Glad to have you back on board NY BOY...yes soon hopefully this will crack the 30's, then to hit my 250 take out in a couple years time....a message to the shorter's and domersters on here...No D4E, repeat No D4E...

[topazfrenzy] 28/3/2024 13:03

Keep buying this POS before dilution at 10p max hits the decks lol

[leoneobull] 28/3/2024 13:02

550m is it now you claim Log? It was 450m in upstream article, but that includes legacy and advance payments to be further diminished by non core asset sales. Plus don't forget as the pipeline ramps up there is a timelag until work delivered...ex. the Thai oils project. The financing gap is not 550m.

[ny boy] 28/3/2024 12:41

Added a chunk @ 26p, sooner or later we take out 30p No rush