Petroneft Resources Share Discussion Threads

[mrmcnee] 10/6/2021 21:40

Natlata own 26% of Petroneft equity, they have been holding a very long time and supported the company through a number of fundraises.

Having taken a look at their purchases it seems their average is in the 5p-6p ballpark.

There is no doubt in my mind that Natlata want to exit, they were behind the management changes forcing the old brigade out initiating the 'for sale' commentary from the new incoming CEO in 2019.

Any offer would have to be agreed, 10p a share would value PTR around £100m, I believe this would be acceptable to most stakeholders.

Not a time to be out.

[griffin63] 10/6/2021 20:40

At least that but I can't help compare it to COPL's acquisition.
It might be apples and oranges but I wouldn't be surprised if we go for nearer 200 million.

[mrmcnee] 10/6/2021 13:34

The recent podcast simply confirms what the plan is, namely enhance the value of the company by the fast route and then sell it, they are promoting themselves to prospective buyers via any means possible.

If they were seriously intent on developing the project on their own they would have in place a significant funding route, they have not, the stated aim is to sell the company within 2-3 years and that is what they will do, they are on the last leg of that timeline.

The question is at what price would be acceptable to the main stakeholders, my bet is the magic number would be IRO £100m or 3 times today's valuation.

Re-iterate the shrewd are buying, had I been around in the 50p+ days then the window to average down is closing, I would be doing that now.

[jfreshfield] 10/6/2021 09:47

Yes I guess so. Actually it doesn't need too many investors to come in who are new to the story. Everyone loves a Phoenix stock. What's impressed me so far is the depth of progress they have made to ensure that in two months or so they will have significant forward development plans for both licenses. Beauty also is that 67 is access all year round now which is essential. It's a double figure share in my view and you are just buying at the bottom here with operators significantly derisked since new year and a benevolent oil proce

[spudders] 10/6/2021 06:48

Jfresh, this is PTR! Too many have been burnt in the past. 30p to 70p+ now sub 3p. Value will out, one day!!🤞ӿ95;

[jfreshfield] 09/6/2021 22:45

Bizarre how quiet this is

[parknas] 09/6/2021 10:13

Always good to hear what David Sturt has to say.

[jfreshfield] 09/6/2021 09:32

Great interview. Confident

[ga_dti] 09/6/2021 08:17

Listen to our exclusive interview with David Sturt discussing their latest operational update for licence 67:

[jfreshfield] 09/6/2021 08:15

Yes I agree. I hope they do get one done as I think there is real scope to layout forward development and upside potential with the steps they have made. A resource upgrade would also be of note.

[observer007] 09/6/2021 07:56

For such a laser focussed Board of Directors at Petroneft one wonders why they have not commissioned a research note offering a project valuation of the company. If I recall correctly, at one time, Petroneft was valued north of £200m but now only £30m.

To answer my own question my best guess is there is no need for such research as they may be in final negotiations to sell the company (their stated aim) at a price which satisfies all stakeholders.

In my considered opinion now is not the time to be out of Petroneft, not withstanding the low valuation and high oil prices that makes PTR a buy on these metrics it is a nailed on certainty some corporate action could happen sooner than later.

No doubt the shrewd will continue to accumulate at current levels.

[jfreshfield] 08/6/2021 20:09

I guess if they clear the debt, now being profitable, they might be able to fund an accelerated development programme with a new debt facility? Or just go slower with existing cash resources. Perhaps the concertos or just had their time and frankly they are all in the money from it with the company also v undervalued

[bmw30csl] 08/6/2021 19:21

I think the convert debt converting was more about optically reducing debt than a hint at a bid. I am pretty sure they could convert on announcement of a bid instead.

[mrmcnee] 08/6/2021 16:14

Their aim is to sell the company, it is clear to see, they have already added significant value, new road, refinery, converting debt, increasing Licence 67 to 90%, increasing production & reserves, increasing margins etc.

Higher local oil prices make PTR a juicy target right now, would not be surprised if they have not already received approaches, we will soon know.

This BOD do not sit around, their plan was to sell the company in 2-3 years, with only 11 months of that timeframe to go the clock is ticking.

One thing for sure any sale will be at multiples of the current valuation.

[jfreshfield] 08/6/2021 16:07

No real volume. Need the PR / comms side to set out what forward development looks like

[chris cat] 08/6/2021 15:21

Unbelievable that this is now down on the day after such a positive RNS

[mrmcnee] 08/6/2021 10:40

This article dated May 2019 confirms the plan, note they target 2 to 3 years, well we are now into the final leg of the 2-3 year timeline !

Recent debt conversion into shares by directors and others close to the company should tell you all you need to know.


Irish exploration company PetroNeft Resources looking to sell-up

[jfreshfield] 08/6/2021 10:18

I think some retail maybe expecting slam dunk on L2 - but the real story is the increase in C4. That sustained increase, plus the fact the area it sits on is 46km2 and adjacent to a field with 200 producing wells, plus sold at pump, plus reduced mineral extraction tax, all points to fact this is a clear forward development option for them. This and the other easier low cost frak options (10 or so) make a hell of a lot of sense. Loads of operational activity to come

[broken_arrow1] 08/6/2021 10:16

In a illiquid stock like Petroneft the market makers are not your friend.

Today they widened the spread as far as possible to deter buyers, they also cut off online buying for most retail brokers, they then took some sells to replenish their book and have now narrowed the spread but it is still hard to buy size.

When they are ready they will move it up to reflect the good news but this often happens when least expected, my bet is there is a large background buyer in the market.

Make no mistake there is buyside demand for the shares.

[broken_arrow1] 08/6/2021 08:49

Nothing available online still with the vast majority of retail brokers, again IG are all over the place, some strange goings on for sure.

[silverspoon2009] 08/6/2021 08:45

Still think the aim is to sell the company lock stock and barrel, directors recently converted their loans into shares as have other stakeholders.

There has been strong interest historically according to previous RNS statements.

One morning shareholders will wake up to a nice RNS, any offer would be in excess of £100m, now £30m.

[goldenshread] 08/6/2021 08:17

Expect there will be a Directors Talk interview later, I like the refreshing attitude of the new BOD, they are very media driven should outline forward plans.

[spudders] 08/6/2021 08:14

🚀 decent RNS! Best of luck all 😃