Sdx Energy Share Discussion Threads

[thegreatgeraldo] 09/4/2019 12:15

Maybe SDX was trying to be a bit cute on price with the supplier of the temporary processing kit?

[matchmade] 09/4/2019 11:55

Sorry, I feel people are wildly overreacting to this RNS. I agree PW's attempts at expectation management have been poor, but if you listen to the VOX interview, he does say there only *might* be a delay to Q4, and it might never happen. The company is only letting the market know now to avoid future surprises. Also, if they *do* delay to Q4, arguably this is more about good financial management than incompetence in delivering production: SDX feel there will be no point in contracting and paying for the early production system if it isn't ready for 1 July 2019, so if the owners of the EPS don't get their act together sharpish, SDX would prefer to wait until Q4 when it will be able to switch on the full long-term system.

So instead of obsessing about when SD goes "live", which on AIM is often accompanied by a share price fall (buy on rumour, sell on news), perhaps shareholders should be thanking SDX for saving the capex and contractural tie-ins if the EPS operators do mess them about.

Granted, PW should have warned us about the distinction between Early and Full production systems, and possible complications, at a much earlier date - it wouldn't have exactly been complicated or time-consuming to explain - but I don't view a further delay to Q4 as catastrophic or warranting a 10% fall in the share price

[shakeypremis] 09/4/2019 11:44

What I don't understand is just what the hell the hold up is. Why the hell is this all taking so long?

[napoleon 14th] 09/4/2019 11:26

tournesol - an understandable point of view not far from my own. Perhaps SDX should unload SD on another entity & get on with Morocco where gas prices are much higher.

I reduced my holding to 25% of previous, reinvesting in an ISA & selling the original to use the tax loss. Promises, promises don't last for ever & SDX's are as devoid of cred as those made on Brexit.

I'm holding back before committing more/again.

Nap 14th, aka Captain Haddock!

[tournesol] 09/4/2019 10:16

AndyForster

SD delays might, as you say, be outside Welch's control.

What should not be outside his control is his mouth.

Some years back, after my first purchase of SDX shares I attended an AGM at which Welch said things about SD which were very very promising. I took him at his word and increased my holding by a factor of 4.

It turned out that he had been careless with his words. What he had said was not correct and he retracted. After another couple of disappointing developments I sold. I still believed in the long term potential so I carried on watching and waiting. When things became clearer and progress really was imminent I re-entered. Then he announced a short delay. Then the revised deadline was missed without adequate communication. Then it was rescheduled without much explanation. Yesterday's dreadful RNS was a weasel worded indication that the current deadline will be missed. It's not just the continued slippage that bothers me, it's Welch's inability to get things right and his lack of transparency.

It might all come good at some point, but I no longer have enough confidence in Welch to justify giving him custody of any of my investment portfolio. I prefer to dump him and switch to other companies/managers who demonstrate more competence and more transparency/integrity in their communication. There is no shortage of alternatives.

I hate being taken for a ride.

[andyforster1] 09/4/2019 08:44

The South Disouq missed timelines have been completely out of SDX hands. Delay in gas price contract and now a delay in the third party EPS contract both with the Egyptian government. Whilst frustrating in the short term these things to tend to take time in these parts of the world. One thing I do know - SDX are debt free and producing significant FCF to grow the business. A very simple, clear laid out plan to organically grow the company is being implemented. The major capex at SD is a one off big expense that won't need to be replicated making this a cash cow in 2020. When people are fearful talking down the stock on conspiracy theories. Stand back, think about the bigger picture, what's brought the price down here ?? Underlying business?? NO. An Egyptian delay ? YES. TSX delist ? YES. Opportunity knocks folks

[homebrewruss] 08/4/2019 15:18

Paul Welch on the Vox podcast today:

[neo26] 08/4/2019 14:13

Buyin comin back, silly price for company producing near 4000boepd.

[wisteria2] 08/4/2019 13:25

Grabbed a couple of clips at 31.45 so expect it to drop from here !! lol

[neo26] 08/4/2019 12:04

Definately...

[neo26] 08/4/2019 11:26

CaptainI think sdx produces 5.6mmcfd net from morocco, this alone is $20m in revenue and has no tax involved in Morocco.Then near 2600bopd from egypt.They will be drilling more wells this year in Egypt to find more gas.They have gas find just need to get over the red tape in third world country.Peeps can take a loss but if you take medium outlook it looks cheap...

[arteespresso] 08/4/2019 10:59

This somewhat reminds me a sqz wrt the slow decline in price down to sub 10p - management and fundamentals are very different, the similarities are the low Mcap and no debt with the given production. What is there is the potential value, however with that comes can the BOD realise that? With SQZ it was a definite yes, and it took a while - with this one I'm not too sure given the overstating and underdelivering, irrespective of who is at fault. I will continue watching from the sidelines

[captain james t kirk] 08/4/2019 10:50

With due respect, that's not the point.

[deanroberthunt] 08/4/2019 10:42

cheap enuff for me.

4000bopd is worth ~ $150m

[neo26] 08/4/2019 10:31

SR is of no material value, we want rid of that.Delay is frustrating but company overall is sound.Im with shakey, they may want to take this private. Dont let them have cheap shares.

[captain james t kirk] 08/4/2019 10:24

Oh it will turn eventually neo but the CEO cannot continually make broken promises.
Take South Ramadan for instance. How long does it take to assess well results ?

[neo26] 08/4/2019 10:15

Ffs mkt cap less than ukog, think logically, this is sound business...

[neo26] 08/4/2019 10:03

Fundamentals are still there, no debt, produce near 4000bopd, have cash to expand.Current mkt cap cheap..

[rollthedice] 08/4/2019 09:47

No reason to buy IMHO, review again in 6mths if SD looks like it'll progress.

[captain james t kirk] 08/4/2019 09:47

Yes very good luck to you too. I know it's of no consolation but this is nothing on my current difficulties in the NS :)

[tli8jaguar] 08/4/2019 09:44

Is Malcy still going to South Disouqe in June?

[jimboau] 08/4/2019 09:41

Scam stock, sack the board. Multi year lows says it all.

[andyforster1] 08/4/2019 09:22

Admittedly disappointed by the delay but not to overlook the company is currently producing 3400 booepd into a nice oil price. The gas isn't going anywhere and eventually it will come to market. Easy for me to say at about 10% underwater but patience is now needed.