Trap Oil Grp Share Discussion Threads

[loglorry1] 11/2/2015 09:53

Mr C sums it up perfectly here

Log

[cashandcard] 11/2/2015 09:37

phowdo,


Yes, I agree - that hedge could have been life-saving. But shows you just how poor their strategy has been thus far.


Cash

[bones698] 11/2/2015 09:36

Fpso is now on 12 month rolling contract which I think started around August but might be wrong without checking . If that is the case trap will lose most of its remaining cash before they can halt production . Looks very bad unless they can get rid of athena tbh which is very unlikely without costing them the remaining cash tbh .

[cashandcard] 11/2/2015 09:35

HugePants

"Production rates continue at around this level, however at the currently depressed oil price of approximately US$58/barrel the field is significantly loss making and the Company is currently incurring a cash outflow of approximately GBP380,000 per month after absorption of its share of the field's operating costs. We are working closely with the operator and our other licence partners to advance opportunities to enhance the financial performance of the field"


You could be right. Either way, I reckon they need to firesale what they have left and wind it up, return cash to shareholders. The managers here have been utterly wreckless in how they bet everything on very high cost (marginal) North Sea oil. Also, how their investment strategy has been absolutely abysmal - a further £1.5mln to take control of Orchid only 2years ago - now w/o, expected impairement charge of £5.8mln.


Cash

[phowdo] 11/2/2015 09:30

They might have had a chance had they not cashed in that oil hedge...

[loglorry1] 11/2/2015 09:26

I assume FPSO lease means early decom not an option. Otherwise shut it in and wait for oil price recovery.

Thought it was Total compensation not Tullow?

Looks terminal. Got this one v badly wrong.

[bones698] 11/2/2015 09:22

Yes huge volume think now you will find out what PG intends to do . Looks like a cash shell with a few quid in the bank imo. They need to offload athena though or it will drag it under imo so still things need to be done very soon

[chesty1] 11/2/2015 09:14

Well someone is.....

[hugepants] 11/2/2015 09:12

Lets see if PG keeps buying. He bought 1M last week at 1.5p.

[phowdo] 11/2/2015 09:12

> No mention of the Tullow abort fee which should be imminent

Shell?

[bones698] 11/2/2015 09:11

Yup that's about where I thought it was tbh certainly high 60's was obvious but post fpso talks it rose . Athena will be the end of trap . Other partners are ok but trap will suffer more than the others and so they are desperate . Can't sell it as would have to pay someone to take it off them most likely although I wonder if that's why they have paid off the decom costs to perhaps make it more attractive to offload . Slim chance but possible . No value though and would likely still have to pay someone 2-5m to take it off them imo

[hugepants] 11/2/2015 09:10

i read it as the 380K includes trap's running costs which are prob over 100k per month

[ngms27] 11/2/2015 09:06

According to my calculations the Break Even for Athena is now $76 per barrel.

WOW!

[bones698] 11/2/2015 09:00

Thanks guys just glad a few listened and saved themselves from the agony .nice buy on Afr at 5p but I wouldn't hold it too long it's very risky still .

PC surprised you even have the gall to post supposed positives as you obviously have no idea what's going on here , even posting they weren't msking losses on athena to which I challenged you to a bet which you ignored . Keep reading those accounts one day you might understand how they work as you clearly can't atm . Embarrassing for a supposed experienced investor . Clearly someone to avoid in future .

[shareho1der] 11/2/2015 08:57

Loverat.I am still fully loaded there.

[loverat] 11/2/2015 08:54

Shareho1der

You still in KEM? That one has come back on my watchlist.

[ngms27] 11/2/2015 08:54

As far as equity is concerned this is now as dead as a dodo.

PG and PC must really be hurting.

Investment in TRAP is now like buying a lotto ticket, small chance that you might make some serious money and a high probability you will lose your stake and you shirt like Bones did in Afren.

[oilretire] 11/2/2015 08:53

What a f##k up! :-(

[cashandcard] 11/2/2015 08:48

bones698,


Well done mate, you called this dog for what it really is - no disrespect intended to others here, it had been clear to many of us for sometime this was pretty much finished.

I thought there was some value here at 1.5p - it would seem you were correct, at 380k loss monthly on opex level (rising to a bigger loss once G&A is included) this dog should be wound up, firesale of the remaining assets and cash returned to shareholders.

Unbelievable, how much did they pay for control of Orchid again????

This has got to be the worst smallcap oilco on a project/asset level for sometime. Seemingly getting slaughtered on most of its assets, they are either loss-making or cannot move forward due to lack of interest etc.

Where are those who ridiculed US shale oil now I ask?????
The North Sea is a graveyard for small, cash-strapped oil companies.

The shale oil players in the US actually have the ability to curtail drilling and minimise costs AS AND WHEN they need to. Plus they have a revenue stream that is getting more profitable as better well completions and recovery kick-in, even at current oil prices.

Honestly, the mugs who headed Trap made it into a one-trick NS pony - now its paying the full price for that shocking lack of diversification.


Cash

[rogerlin] 11/2/2015 08:46

"Jun. 2012 - Ithaca Energy reported that the Athena field has reached initial peak gross oil production rates of 22,000 bopd".

Those were the days.

[ghhghh] 11/2/2015 08:46

Decom costs are falling and Trap were hoping might even get a rebate. Far too early to call tho.

No mention of the Tullow abort fee which should be imminent

Liberator has value.

Niobe now a 1:5 chance of massive multibag.

I'd hope Trap have forward sold next few months production at over $60 since futures higher.

Atleast the partners now talking about reducing costs whatever this implies.

IMO oil price bounced too soon and we are now in for a U rather than V recovery which is not good for Trap. I assume they are considering early decomissioning if feasible

[bones698] 11/2/2015 08:39

6 months imo before the cash is gone and they are running on fumes imo avoid it like the plague there is simply no value here imo . Niobe unlikely to get drilled , athena will cost them the rest of the cash unless oul hits 80 which is unlikely . 380k is at 58 too so if it drops then trap will really get hit . Even at this price I don't see any reason to invest and can see either a fund raising or bust at some point in the near future .

Chesty read my posts the last 18 months , I have explained what they should have done but as always they did nothing . Hence we are here and looking at the end . Athena will finish off trap imo . PG. Must have a use for a shell imo he will get the lot for peanuts and use it for something else . Unfortunately by then pi's will get next to nothing

[chesty1] 11/2/2015 08:36

I was looking in to see if this had recovery potential..... From outside looking in, it does not but who knows.

And for that reason I am out, but I wish you all well & hope something comes good for you all.....

For sale sign should have been up 6 months ago IMHO...maybe it was.....