Sdx Energy Share Discussion Threads

[cashandcard] 24/3/2017 12:15

bestace,

"an impairment of US$(4.3) MM due to the North West Gemsa field now being projected to reach its economic limit earlier as a result of the reserve auditor's lower oil price forecast in future years"

True, but I'm not too concerned about the above. NWG is small fry compared to what we are going after now at SD. That COP deal is worth every penny alone just for Morocco assets. A few more wells to fill up the pipeline and the revenue, profits and shareholder value are quite simply huge.


Cash

[trapissed monk] 24/3/2017 11:48

Del,looks like the sugar in those donuts kicked in?!

[neo26] 24/3/2017 11:36

they spent $6m on 3d seismic on South Disouq, strong avo responses on data, they have found three horizons which appear to show enclosure and potential oil bearing.

It bodes well, big players still want to farm in even when we have partner, that tells you something..

imho

[neo26] 24/3/2017 11:29

if you read the rns is say the auditors reduced some of the reserves of North West Gemsa asset, thus reducing value of asset.

It is still at 50% discount, asset will be paid off within 14 months

[bestace] 24/3/2017 11:25

In relation to the acquisition of Circle assets, today's RNS says "The Fair Value of the net assets acquired as at January 27, 2017 amounted to US$59.6 MM"

Based on a price paid of $30m, that's not quite as good as the 39cents on the dollar figure that has previously been quoted.

[slepy] 24/3/2017 10:46

Another mention by Malcy today:
"Results today from SDX are, given that they are pre-Circle and pre-raise, pretty meaningless but do make a good point as to how fast the company is moving and there is much exciting progress being made. As pointed out earlier in the week the South Disouq well is under way and looks for gas as well as oil and is virtually free for shareholders. Work continues on NW Gemsa as well as upgrades at Meseda, all part of the existing SDX story and of course there is a good deal of work to be done in Morocco as another part of the Circle deal. Today the shares are over 50p, a new high but deservedly so, they went into the bucket list for a good reason and have the scope to climb higher."

[slepy] 24/3/2017 10:21

It is a no brainer really.
Drill 2-3 more wells to increase gas sales through the pipeline (max it out) and drill Egypt from the increased cash flow.

[neo26] 24/3/2017 10:15

Cash and cardIt is high margins in Morocco, currently producing 4.5mmcf and generating $13m on that.

[soulsauce] 24/3/2017 09:46

Excellent volume today, bodes well.

[deltrotter] 24/3/2017 09:41

100% agreed cash. I love that Morocco side to the business and they are really going to move fast on it.

[cashandcard] 24/3/2017 09:36

That is a great set of results. Strong production and lots of cash ($18mln cash on hand, end of Feb 2017), no debt. I have to say, I really love the fact they are going for Morocco - upto 7 wells (3 development) in Sebou and LM permits. That is the real deal, solid and extremely high-margin production in Morocco is what we need to hedge against Egypt.


Cash

[deltrotter] 24/3/2017 09:22

Tx Paleje.

[paleje] 24/3/2017 09:18

Cantor has maintained its 78p target.

[neo26] 24/3/2017 08:50

They are expected to drill 11 wells this year, very good chance this will be transformational year for sdx..

[ifthecapfits] 24/3/2017 08:36

Yes - debt killed off COP.

[deltrotter] 24/3/2017 08:22

Aye, buyers will be back soon I reckon.....

We may see a broker upgrade today as well I guess.

[trapissed monk] 24/3/2017 08:21

Del, give the market time to digest news.the mm's aint finished their donuts yet.

[deltrotter] 24/3/2017 08:15

Throttled by debt and receivables I guess ITCF....

The fact that SDX is debt free and cash rich is a HUGE, HUGE selling (or buying) point IMO.

Add in to that the low cost of production and the opportunities for increasing production from existing producing assets and I believe this is a stunner.

As ever, patience required for the market to cotton on.

[deltrotter] 24/3/2017 08:10

I don't think the market has done its sums here....

They are looking backward not forward.

BUT - the market tends to cotton on eventually!

[neo26] 24/3/2017 08:10

I think sd-1 well they are drilling will be company changer.Interesting they will drill number of wells in Morocco to increase gas production. Fantastic growth opportunity....

[soulsauce] 24/3/2017 08:06

What's not to like here. Loads of drilling in Egypt and Morocco this year, debt free, possibly more corporate action and production increasing. Add to that any success at SD and boomtime!!

[someuwin] 24/3/2017 08:04

Here we go.

[trapissed monk] 24/3/2017 08:02

Took some SDX a month ago,waiting for the rise...nice.will watch with added interest now!

[basem1] 24/3/2017 08:02

Any comments on recovering the cash owed from government ? Not had time to fully read the RNS