Sdx Energy Share Discussion Threads

[griffin81] 20/10/2017 00:35

Excellent presentation tonight and lots of information. I've just arrived home so will update in the morning when I'm less tired.

[paleje] 20/10/2017 00:27

Thanks parisv

[parisv] 19/10/2017 23:03

Notes from flaberghast on lse

Went to tonight’s presentation in London here’s my thoughts.

I managed to talk to him afterwards.. First off, he said they’re definitely not thinking of raising anything in the near future. While they are actively looking to acquire assets in North Africa, due to competition over those distressed assets they will certainly not be able to “steal” anything as they did with Circle. Therefore the deal will have to be right for the company, and in their eyes, obviously value accretive. He said they would be looking at a mixture of debt, cash and equity to fund those targets depending on location and size. He didn’t give a definite estimate in the size of the targets, only that some of them would be larger than Circle. In terms of targets, the likes of SOU’s concessions in Morocco are not on the list as they do not fit the profile. He did say they would be looking at Naftogaz but the deal would have to be good.

In terms of production, he said everything was ticking over nicely and Q3 results would be out sometime in November (no specific date). He said that they would be looking to update the market on drilling in Morocco when they feel it is appropriate and not just to chase the share price but he seemed very optimistic of drills to come and said that they had met the time targets of drilling in Morocco they’d aimed to achieve and found gas in the first well. He’s hoping that each well will be drilled in a time of 2 weeks but that the next one would probably be closer to 3. He said the 5 year gas contracts they’re negotiating in Morocco for production from KSR are between $10-12/mcf, so about a 20% increase to those previously which is great. He said demand in the region was double of their current pipeline capacity so he hopes to keep growing production rapidly in Morocco as margins are so high and the oil and gas regime is one of the best in the world.

In terms of Egypt, he’s meeting with the minister next week to negotiate gas sales contracts from South Disouq beginning Q1 next year. He said it’s like negotiating with the Souk sellers so he couldn’t give a date as to when he expected a deal to be made. He thought they were in a strong position to negotiate a good deal as production would be coming online just as the country hits peak energy usage next summer. He said they’d made some further progress with receivables and it was now closer to $7m recovered and there was no reason why the balance wouldn’t be cleared by the end of next year.

In terms of the most recent discoveries at Rabul and KSR-14, he was very surprised at the reaction of the share price given they will be in production so quickly. He wouldn’t comment on his thoughts for the stagnation in the share price, just that if he were to get a takeover offer atm, it would have to be many multiples of the share price Lastly he reiterated that the aim over the next 3 years is still to create a $1bn company

[thegreatgeraldo] 19/10/2017 17:34

I remember when some folk were trying to work out the value in AEX's North Korean acreage ;-#))

[kinkell] 19/10/2017 17:05

OT

hiddendepths,

Brian Hall is still chairman and has had his break with Ntorya - lots more to come (I hope!).

All the best

[w1ndjammer] 19/10/2017 16:34

Also could you congratulate him on Rabul 1. To spud, discover and start producing under a cloak of secrecy is a first for me:

ask him if it was so he could keep the price low for the mates rates placing.

WJ.

[parisv] 19/10/2017 16:07

If SDX try to acquire another asset next year hopefully they get the receivables into cash by then?

[captain james t kirk] 19/10/2017 15:54

Around 12.5% of today's volume.
Last year's 3rd quarter results were issued on 25th November.

[thegreatgeraldo] 19/10/2017 15:51

Last week of November?

[parisv] 19/10/2017 15:46

I'd like to know when this years quarterlies are due roughly

[9tintin] 19/10/2017 15:27

There's the delayed sell - 50k not that large a trade really.

tintin

[captain james t kirk] 19/10/2017 14:19

Very low volume and it will only take a reasonable size sell in the background to take it down.Nobody appears to have bought much cheaper than you today :)
edit 3.28 pm Or conversely, a reasonable size buy to take it back up.

[9tintin] 19/10/2017 13:41

Anybody got a handle on the share performance so far today, I topped up at 51.5p earlier thinking it was a bargain now I see it's down on decent buying levels - why are the MM's messing this about - I thought PW was quoted as saying no more fund raising, so it can't be Another placing,,,,,,,,,,,,,,,,??????

tintin

[captain james t kirk] 19/10/2017 13:21

Apologies for that, he did indeed say TD in 3 weeks on 13th October :)
Glad you like the show :)

[griffin81] 19/10/2017 13:12

Captain, according to the interview last week, KSR15 is due to reach TD the first week of November, which I assume means it's already been spudded? It's one of a number of questions I have for later, I'll add the question regarding Bakr at Rabul 1 to the list.Ps, loving the new show on Netflix :)

[captain james t kirk] 19/10/2017 12:59

KSR15 is due to spud the 1st week of November and my understanding is that there are no plans to release testing flow rates. However, Rabul 2 should be producing in 3-4 weeks time and I dare say they will let us know rates then. PW is forecasting between 2000 and 2500 barrels of oil from Rabul 2 gross.
Griffin, if you are attending tonight, it would be interesting to know if Rabul 1 only drilled as far as the Yusr sands or if they also entered the Bakr as well but there was no oil.
Also could you congratulate him on Rabul 1. To spud, discover and start producing under a cloak of secrecy is a first for me:)

[hiddendepths] 19/10/2017 12:50

I remember Brian Hall at AEX all too well and had several one on ones with him. There was always a good story but it never seemed to pan out. I often felt sorry for him as he was an exceptionally nice person and deserved a break that never really happened.

[griffin81] 19/10/2017 12:09

Neo, where did that information come from?

[neo26] 19/10/2017 11:37

Spud of 2ND well in Morocco , late next week and some flow rates imminent...

[thegreatgeraldo] 19/10/2017 10:54

HAF,

Don't remember that, that's going back quite a while!

[haideralifool] 19/10/2017 09:58

I do hope PW has his figures sorted out and/or he does not face a forensic enquiry. Otherwise, these events can backfire.

I remember Brian Hall of AEX telling a really good story at an oilbarrel and then being pulled to pieces by a poster with the username aliceinwonder. Painful but entertaining to watch.

tgg might remember it.

[griffin81] 19/10/2017 08:48

I'm looking forward to the Investor event this evening to see what Paul delivers. SDX is 70%+ institutional held, such high levels usually attract other institutional investment. Tonight is aimed at both private and professional investors. In my experience, it's usually a couple of weeks after an investor event before institutions have presented the investment case and approved an investment, so will be interesting to see if others join the party. If tonight is positive, private investors have a timing benefit, as they can usually react faster.

[lptuf93] 18/10/2017 22:46

I thought that was the case! Reassuring that they're still buying in at this price. Can't see this down here for much longer. 2 decent finds with more to come.

[shakeypremis] 18/10/2017 22:32

lptuf93, the price was actually GBP, not Canadian Dollars.

[lptuf93] 18/10/2017 22:30

How can they even be buying at that price?!