Petroneft Resources Share Discussion Threads

[broken_arrow1] 27/8/2021 14:26

They want a very large premium for anything over 500,000 shares, probably conscious the shares were trading at 4.7p in July.

Those 500,000 shares, currently available at 3.43p, will soon be taken one suspects.

[jfreshfield] 27/8/2021 13:29

September newsflow. We should be getting 1) financial results 2) resource upgrade 3) forward development plan for appraisal / exploration / expansion 4) potential for funding news (bank?) for expansion ? 5) petrogrand loan repayment from operating cash flows 6) further debt conversion. Nice 100pc from here would still be undervalued imv

[jfreshfield] 27/8/2021 13:27

Any sells recently have been mopped up. Book has to be so so tight

[jfreshfield] 27/8/2021 11:03

Tick tock.

[broken_arrow1] 27/8/2021 09:14

Looks like the share price is about to go on a run up, NOTHING available online and a large premium being asked for just 100,000 shares.

[silverspoon2009] 27/8/2021 08:21

The Final Results are due to be published in September and I expect them to be good, there could also be more operational news.

I have been adding to my position, PTR share price always seems to move ahead of news so I expect some trader buyers to appear around current levels which will drive volume.

[jfreshfield] 26/8/2021 15:33

Just bought 164k. It's just a golden opportunity at this level. Onwards!

[broken_arrow1] 26/8/2021 15:32

Book seems to have turned up this afternoon.

Large premium being asked for 500,000+ suddenly.

[goldenshread] 26/8/2021 09:51

Directors and debt holders are converting their loans into shares for a reason, a liquidity event is coming.

The 3 year timetable to sell the company is closing down, the clock is ticking.

[mrmcnee] 26/8/2021 09:45

Many thanks to this poster who suggests 10p a share is worthy just on continuing operations and production



1Realist29 Jul '21 - 21:01 - 33121 of 33192


I looked into rough calculations for the effect of increased production, improved efficiency and higher oil prices on licence 61 income:


2020 (known)


Production: 1562 bopd
Ave $/barrel: $28
Revenue: $16.7m
Cost of sales: $17.45m
Gross loss: $745k
Net loss: $11.4m


2021 (projected)


Production: 2289 bopd (currently)
Estimated ave $/barrel: $68 (current price $76)
Revenue: $56.8m
Cost of sales: $25.5m
Gross profit: $31.3m
Net profit: $22m (£16m)


So just based on the increase in production and efficiency that was stated in recent results, coupled with the rise in the price of oil, it looks like license 61 income will swing from a small loss to a very big profit this year. 50% of that profit comes straight to PTR. If my calcs are right, then that would see PTR receive £8m net profit from license 61 in 2021. Just based on that, with a P/E ratio of 20, market cap would be £160m. And that’s not including any value for the 90% ownership of license 67.

I think the 10p / £110m market cap target could prove to be very conservative once next results are out. No wonder the BOD and major shareholders won’t accept an offer anywhere near current levels.

[mrmcnee] 26/8/2021 09:42

Have added this morning, the drop offers opportunity, still believe a takeout price will be north of 10p.

Not many left around current levels, they want a large premium for 500,000+

[jfreshfield] 25/8/2021 10:18

Am sure they will all get converted in time.

[jasper2712] 24/8/2021 15:25

It is only a small % of the debt. Why not convert them all and cause more dilution. They will still recover their cash + a decent premium

[kevjones2] 24/8/2021 13:55

telegraph, I would imagine it's to make it more attractive - makes no sense otherwise.

[jfreshfield] 24/8/2021 12:39

They've made it known that there are active sale discussions ongoing and ceo brought in to turnaround and sell business three years ago. I imagine all convertible will convert and expect the other debt in the business will be paid off through cash flow. It's a positive

[telegraph1] 24/8/2021 11:48

Are they clearing down this debt to make it more attractive for a potential sale or for some other reason can’t understand the reason for giving shares otherwise

[seangwhite] 23/8/2021 21:01

I agree that holding PTR for 11 years definitely makes you a long term investor.

[jasper2712] 23/8/2021 19:45

I have put up funds as well so it is about time I got a return. I can remember this share at 80p

[jfreshfield] 23/8/2021 17:51

Yup not bad indeed and decent reward one might say for putting up funds to save the company

[jasper2712] 23/8/2021 15:02

1.8p/share. Not surprised they converted at that rate. 50% profit straight off.

[spudders] 23/8/2021 10:00

I’d say the conversion is a positive. 🦆’s are lining up. Imho 🍀

[simoore89] 23/8/2021 09:47

Yeah I was hoping they would pay it off rather than allow it to convert

[jfreshfield] 23/8/2021 09:20

I wish.....though I will add if a couple of other shares move meaningfully (we live in hope) interesting we had more conversion today. Think that debt is at 2 and 2.5p. Debt balance slowly reducing but still super low given the cash generation - I would have thought given cash generation they could easily pay off that Petrogrand loan which is up end of year.

[seangwhite] 22/8/2021 18:12

Was that you Fresh - accumulating before the update?

[jfreshfield] 22/8/2021 12:08

Lovely late in the day buy on friday ramping up nicely for some expected newsflow