Seplat Energy Share Discussion Threads

[sunbed44] 13/6/2022 07:36

Decisions decisionsUK economy shrinks as firms battle higher prices https://www.bbc.co.uk/news/business-61780450

[farrugia] 07/6/2022 14:18

i bought some

[sunbed44] 30/5/2022 20:09

Forcing companies out of the North Sea due to taxation and not being a trusted government AND extending the life of coal fired power stations AND re-opening strategic gas storage. Where oh where is our power security strategyUK in talks to reopen giant gas storage facility for winter https://www.bbc.co.uk/news/business-61633993

[sunbed44] 29/5/2022 07:43

The article seems very accurate to me but can KSA really increase production as analysts say in the report. I thought they were struggling to hit their OPEC quotas over recent months.Western leaders, including Mr Biden and UK Prime Minister Boris Johnson, have pleaded for help from Saudi Arabia and other producers, which analysts say have the capacity to boost output without major new investments.

[sunbed44] 29/5/2022 07:30

Why can't the US stop soaring oil and gas prices? https://www.bbc.co.uk/news/business-61446317

[tom111] 23/5/2022 19:31

Latest saga can be seen on Lse chat,still all to play for it would seem

[divmad] 23/5/2022 11:53

Corporate governance at this company is shambolic.

[tom111] 23/5/2022 11:06

I was expecting a RNS this morning to confirm the situation,however things must be going on behind closed doors

[tom111] 21/5/2022 13:42

Im sure they had first refusal but changed their mind when they saw what was happening to the gas market.They had their chance now they want their cake and eat it,they will suffer in the long run you just cant treat people like this and get away with it.Companies will fight shy of dealing them

[swanvesta] 19/5/2022 18:23

Oh dear. Need a bigger brown envelope? Https://uk.advfn.com/stock-market/london/seplat-energy-SEPL/share-news/Seplat-Energy-PLC-Response-to-media-on-proposed-ac/88163346?xref=newsalert

[deandavison245] 19/5/2022 18:15

Seplat Energy confirm Nigerian govt rejection of Mobil acquisition.

[basem1] 12/5/2022 18:12

Very interesting Roger Good luck with your investments Nice to have the wherewithal to orchestrate that. Another oil stock you might like is I3e with a 6% ish yield, paid every month. I have been in them from 4.6p

[rogerramjett] 12/5/2022 18:05

Thanks again Seatank. Not worried about the dividend just missed. Anything I buy now is long term. I'm currently holding 17 different investments from financial and insurance, tobacco, chemicals, energy, mining (gold and base metals) a multitude of investment trusts covering infrastructure, renewable energy and storage. I'm looking for yield and stability these days. Nothing short term. My PF yield is 7.5% on the base capital. Intention is to keep reinvesting and building the dividend return. 5 years reasses and potentially step back at 50. Appreciate your response and insight. Nothing rampy. Just insight and honesty. Thank you.

[seatank8300] 12/5/2022 17:26

I believe so, the company is domiciled in Nigeria. I checked my own dividends from SEPL; that is the basis of my understanding about the 10% withheld. Note you just missed an ex-date. Next one will be end July or early August. Quarterly is very nice.

[rogerramjett] 12/5/2022 17:15

Thanks Seatank. What makes SEPL subject to withholding tax ? Is this due to where they are domiciled? Assume this is Nigeria.

[seatank8300] 12/5/2022 16:56

Rogerramjett, the dividend is paid 4x per year, currently at a level of US$0.025 (2.5 cents) quarterly, of which 10% is lost to withholding tax, so the net amount is 2.25 cents quarterly, or 9 cents aggregated over 12 months. That today equates to 7.38p annually, but fluctuates with the USDGBP FX. Today's share price is 122p, which means the share has a dividend yield of 6.05%. More pertinently, the dividend costs the company around US$59m annually in cash out, which compares to Free Cash Flow of circa $180m under the strictest definition of FCF. So the company could pay out 3x if they wanted to, at current oil prices. Post Exxon deal, FCF should triple or quadruple. It will take the company 1 or 2 years to pay down debt from the acquisition, thereafter the company will generating >$600m of FCF annually in my view, which amounts to >70% of the market cap, at current oil prices. Note that there are other cash generative catalysts besides, such as the new pipeline about to be commissioned, and the ANOH gas to liquids facility next year. A 70% annual yield would certainly be nice, but I don't think it'll happen, even if the oil price stays >$100; far more likely that SEPL will make further acquisitions (e.g. Shell Nigeria) or invest in new gas assets or solar assets, but the dividend will rise. I expect it will at least double when ANOH is commissioned, in 12 months time (i.e. circa $60m additional EBITDA will paid out to shareholders). Still, the company will be generating too much cash to put to work, so I would expect the dividend to triple at least, ultimately. That would be 18% yield at today's share price, twelves months from now. This is just my expectation, based on my own speculative judgements, but I fully believe in them.

[rogerramjett] 12/5/2022 16:16

Can someone explain the dividend yield. I am getting 10c paid in over 4 payments totalling 8p per year. This is only 6.66% yield not over 7% as stated on various sites. However, the potential here is very interesting

[seatank8300] 10/5/2022 15:15

In the meantime pumping 120k bopd is a bit profitable :)

[sunbed44] 10/5/2022 14:57

The Nigerian Government is focusing on the use of gas as a transition fuel. At the recent @OTCevents, NNPC Board Chairman, Sen. Margery Chuba-Okadigbo said, "Gas as a transition fuel will not only bridge the energy gap...but enhance economic development"

[seatank8300] 10/5/2022 13:41

Share price is down on minimal volume. It's a feigned retreat. Structural direction of travel is still upwards IMHO.

[seatank8300] 10/5/2022 13:26

News is coming: replacement of the conflicted chairman, which removes a governance risk, and commercial opening of the Ampuke Escravos pipeline, both likley within the next 2-6 weeks. The Exxon deal will take a little longer, but just a matter of time IMHO.

[sunbed44] 10/5/2022 13:10

We need news

[sunbed44] 08/5/2022 19:30

Looking primed for the next leg up and news on the acquisition could drop any time now.

[sunbed44] 04/5/2022 14:33

Always nice to be in a stock that goes up on ex-div date