San Leon Energy Share Discussion Threads

[1historyman] 30/4/2019 11:00

yep, they were hardly going to state

they had to re-finance their RBL by extending the terms and paying more interest than the last RBL.

[echoridge] 30/4/2019 10:26

Holy heck, you are really are that stupid, aren't you? You're not just a poisonous little nobody with a vendetta the size of Mar-a-Lago. I'm beginning to think that you really believe some of the nonsense you post, even the most provably misleading stuff like that one on Eroton. READ THE BLOODY RNS. Eroton have PAID DOWN nearly HALF their RBL principle, they've consolidated the balance from multiple banks to just 1, they've extended maturities by 4 YEARS(!), they've FREED UP in excess(!) of $80M/yr to go towards investment AND dividends for the next 2 years. This is not how financial institutions treat struggling companies, Donald. The 1% increase in the coupon is precisely as the RNS describes it, 'marginal'. As $ interest rates have increased 1.25%-1.75% over the period since Eroton first negotiated their original RBL, perhaps your accounting books, which are clearly superior to the ones I'm using (mine are real books, so you know, they probably can't compare to the ones in your head), can explain how ANY borrower in this position could have negotiated a lower interest rate than Eroton did.

For fun, here is the RNS one more time. Ring your bell and someone will come help you if you get stuck on the big words:

Eroton Successful Refinancing
08 January 2019

Eroton Successfully Refinances OML 18 Reserves Based Lending Facility (“RBL”)

San Leon Energy plc, the AIM-listed company focused on oil and gas development and appraisal in Africa, is pleased to provide an update with regards to the OML 18 reserves-based lending (“RBL”) facility held by Eroton Exploration and Production Company Limited (“Eroton”;), the operator of OML 18.

The Company first highlighted on 7 September 2017, and subsequently since, that depositing three future quarterly RBL repayments into a specified Debt Service Reserve Account (“DSRA”) was one of the conditions needing to be satisfied before the RBL lenders would allow a distribution of dividends from Eroton to its shareholders (of which the Company is an indirect shareholder).

The Company has now been informed by Eroton that the RBL has been successfully refinanced. With a final repayment of $398 million, the RBL has been repaid in full and replaced by a new reservesbased lending facility with Guarantee Trust Bank (the “GT Bank RBL”) for the same principal amount, with the following notable advantages:

The original RBL had a repayment date in mid-2021, while the GT Bank RBL has a late-2025 repayment date, consequently reducing quarterly repayments and freeing cashflow (in excess of $80 million per year until mid-2021) for further drilling and development.
The DSRA requirement under the GT Bank RBL is reduced to two future quarterly repayments which combined with the lower quarterly repayment amounts means that only approximately $50 million is required in the DSRA compared with more than $100 million previously.
The refinanced interest rate is marginally higher at approximately 11% (versus 10% previously).
Oisin Fanning, CEO of San Leon, commented:
“I am delighted with the terms secured by Eroton for the RBL restructuring, and the impact which Eroton expects this to have, both unlocking substantial additional funds for operational activity, as well as lowering the DSRA hurdle to Eroton paying dividends to its shareholders.

This is a further material step in addressing previously identified operational and financing issues at OML 18 and follows the recent announcements of new well drilling, and of NNPC (the Nigerian National Petroleum Corporation) paying most of their cash call arrears.”

[1historyman] 30/4/2019 09:57

I did and u replied, oh dear.
The only information about Eroton's financial position was that they had to re-finance their RBL by extending the terms and paying more interest than the last RBL.
If u think that is the action of a financially sound company I guess u will be disappointed.

[echoridge] 30/4/2019 09:45

Please tell me you didn't just try and troll me by accusing me of getting my information from a book, you towering pile of trumpian misinformation. Stick to inane rhetorical questions about Eroton's financial condition. Your pretend-accountant provides a richer fantasy world than your pretend-trader and therefore better therapy.

[1historyman] 30/4/2019 08:51

mmeanwhile the iceberg, which isn't an iceberg if all your trading experience is from a book floats at 210k shares still at 38.8p.
until this trade is removed all those hoping for higher prices will continue to be disappointed.

[1historyman] 30/4/2019 08:47

now if any of the new self appointed SLE experts could give an opinion on the above, I could maybe change my view. Until then I continue to work on the view that all companies spin good news and bury bad news.
if u think the next update, the last one was 7 months ago, will contain good news about production I wish u good luck with that.

[1historyman] 30/4/2019 08:43

IF u want to buy here, maybe best to wait until the following information is released by the company.


i. how much oil did Eroton sell last year
ii. how much profit did Eroton make last year or was it a loss
iii. how much of the last interest payment has been made
iv. how much the MLPL has borrowed to pay the interest to date to SLE
v. what was the flow rate on the last well
vi. has the payment due 31 Mar been made
vii. what exactly are the shareholdings in SLE

[1historyman] 30/4/2019 08:41

links, I admit u have stiff competition but u are still the most stupid person I have read on a Bboard.

[1historyman] 30/4/2019 08:18

Production downtime

- Eroton is currently evaluating a number of independent alternative oil evacuation routes that could both increase consistency of supply to the market and reduce costs associated with current transportation tariffs and refining. The evaluation has been prompted following downtime caused by tank tops and cargo shipping delays at the Bonny Terminal and some intermittent upstream outages on the Nembe Creek Trunk Line pipeline ("NCTL"), the export pipeline used to transport OML 18 oil to the Bonny Terminal. Eroton has already identified one alternative route that could be operational within 12 months.

....................

links u should email the company and tell them about your detective work that they can export from Cawthorne channel, I believe u posted before they could do it by speedboat although I reckon they would need a big bucket as well.

[1historyman] 30/4/2019 08:16

Do the LSE BBMs need to find a new asylum?
By Nigel Somerville, the Deputy Sheriff of AIM
I see that accounts to May 2018 have been posted by the LSE Asylum – and they are terrible: it is burning cash and drowning in debt. But worse still, one of its two directors walked earlier this month as the asylum mortgaged itself to keep the lights on a little longer. Is the end in sight for one of the main homes of bulletin board morons?

[1historyman] 30/4/2019 08:16

u obviously do not understand the meaning of force majeure but that's not a surprise.

[1historyman] 30/4/2019 07:57

Five top tips for bulletin boards

1. never argue with stupid people
2. never ever argue with stupid people who take drugs
3. never ever argue with stupid people because they don't know they are stupid
4. never argue with stupid people who lie
5. the rampers have already bought their shares, they want u to buy so they can sell

[1historyman] 30/4/2019 07:51

1() Liquid production volumes as measured at the LACT unit for OMLs 4, 38 and 41 and OPL 283 flow station. Volumes stated are subject to reconciliation and will differ from sales volumes within the period.

- Production uptime in Q1 stood at 85%; Reconciliation losses are yet to be finalised but are expected to remain at levels consistent with prior periods; Full year 2019 production guidance maintained at 49,000 to 55,000 boepd on a working interest basis, comprising 24,000 to 27,000 bopd liquids and 146 to 164 MMscfd (25,000 to 28,000 boepd) gas production

- Sequencing of the 2019 work programme means the corresponding production uplift will be realised progressively throughout H2; 2019 capex guidance maintained at US$200 million (excluding investment in the ANOH joint venture)

Financial performance summary

- Revenue of US$160 million (2018: US$181 million) and gross profit of US$81 million (2018: US$93 million) represents a 51% gross profit margin (unchanged year-on-year); Revenue reflects the lower oil production and oil price realisation of US$61.7/bbl (2018: US$65.78/bbl). Average realised gas price of US$3.24/Mscf in the period (2018: US$2.79/Mscf)

- Operating profit of US$33 million (2018: US$84 million) reflects adjustments for a US$16 million overlift position and US$12 million charge in relation to the Company's oil price hedges, comprising US$5 million cost of hedges and US$7 million fair value loss (reversing the US$9 million fair value gain booked at the end of 2018)

- Positive impact of the 2018 debt refinancing and subsequent deleveraging has resulted in a 38% year-on-year reduction in finance costs to US$16 million (2018: US$26 million); Net profit stood at US$33 million after adjusting for a tax credit of US$13 million

- Net cash generated from operations up 73% year-on-year at US$80 million (2018: US$46 million) versus capex incurred of US$16 million (2018: US$3 million). Further receipt in the period of US$17 million from liftings at OML 55

[1historyman] 30/4/2019 07:47

if u want an approximation of Eroton's current earnings, of course it's a loss whilst the Nembe Creek Pipeline is closed but it will be back online one day.
Look at Seplat's figures below, they have a similar amount of debt,
Eroton's last production figure for oil was around 6k bopd so will need to scale down the figures.
don't do the approximation if u have a nervous disposition.

[1historyman] 30/4/2019 07:39

now ladies lets be nice to each other, try posting about SLE u might even find it invigorating.
I welcome the Smurf to the board,

[divmad] 29/4/2019 16:54

Correction. That should read, priggish, sycophantic windbag

[divmad] 29/4/2019 16:46

My goodness, Alaric, you really are a priggish windbag.Get a life. For the last time, and read my lips, I am LONG Sle but I am not a paid up member of the LSE happy clappy club. Ok?