Trinity Exploration & Pr... Share Discussion Threads

[butchdogg] 05/2/2018 08:30

Whitman howard

From LSE

All in line with their forecast EXCEPT for one big factor: they forecast cash levels of $6mln at this juncture...revised number is now $11.7mln (unsure whether WH has accommodated the faster than expected paying down of MEEI/BIR)...either way this company is throwing of some good amounts of cash! Extract below:

"Trinity has released a production update this morning, with
an 11% increase in production qoq for Q417. Full year 2017
production was inline with our forecasts but YE cash of
$11.7m was above our forecast of c$6m. The ongoing work
programme has continued to increase production, and with
the initiation of new drilling in Q118, Trinity is on track to
meet its short term production target of 3kbopd in 2018. We
believe the 45% share price discount to our PT of 32p is
unwarranted, given continued strong execution, and
reiterate our BUY recommendation. "

[wwick] 05/2/2018 08:28

Net debt is now circa ++++ $10m (positive, plus, above zero!!! NOT negative) The risk associated with the 'paper debt' is they forget to clear it, seriously! is that going to happen.

[wwick] 05/2/2018 08:24

Such a well run company and they under promise, over deliver. H2 2017 planned RCPs 30, delivered 32, planned Workovers 30, delivered 52! Well done.

[wingspan] 05/2/2018 08:15

between now and CLN

[esmerelda] 05/2/2018 08:14

Would I be right in thinking that the $11m would pay off the remaining Trinidad debt AND the CLNs. I think so and that might explain why it is kept back for use later this year.

[wingspan] 05/2/2018 08:14

Ross - agreed...there is a lot of months of profitable production and CLN repayment date...management has it in hand

[mark10101] 05/2/2018 07:57

Ross, I have seen nothing to suggest we have to maintain a set cash level. The only rule I am aware of regarding the CLN is that the government debt is paid off first.

$11.7m cash in bank at end of year even after accelerated payback, looking good.

[spellbrook] 05/2/2018 07:54

The TRIN team have stuck to the plan and are delivering.....3000bopd coming real soon



Bruce Dingwall, CBE, Executive Chairman of Trinity, commented:

"We are extremely pleased with the performance during the period and the ongoing progress across our portfolio of assets. We are focussed on further maximising profitability and cash flow while generating increasing returns for shareholders and look forward to further updating the market with unaudited numbers for 2017 in early March."

[wingspan] 05/2/2018 07:50

Shrewd..."Once debt and cln are done it's a cash cow." Looking forward to that.

[uapatel] 05/2/2018 07:46

Great update, well done Bruce and all of TRIN team.

Very pleased shareholder.

[shrewdmole] 05/2/2018 07:40

Ross
The asset is making us cash every month so no rush.

I do wonder if it could be used as a pawn in a bigger farm out for the galeota ridge drilling?
I'd like to see us farm that out and keep cashflow positive with sensible growth.

Once debt and cln are done it's a cash cow.

S

[mark10101] 05/2/2018 07:40

So we did hit 3000 bopd in 2017 for 2 weeks, that is excellent. As we see from the production graph in the presentations it does peak and trough by a few hundred bopd so probably started the year in the 2800-2900 range. Hopefully we are in the 2900 range atm. New drilling to start and material step change in production in the medium term.

Also this is what we wanted to here.

“·Liabilities outstanding to the Board of Inland Revenue ("BIR") and Ministry of Energy and Energy Industries ("MEEI") continue to reduce faster than anticipated by the ratified payment plan”

[shrewdmole] 05/2/2018 07:30

Detailed financials will include I believe more drilling plans and cln plan.

Very nice no surprises and solid progress.
Paying debt to ministry quicker and still have plenty in bank!!

What's not to like.

[butchdogg] 05/2/2018 07:24

Looks like next update is 'early March' so see a nice rise into those 'unaudited numbers'

[spellbrook] 05/2/2018 07:24

Schroeder’s now upto 13% at CErp, will be interesting to see how the institution pitches go...

[butchdogg] 05/2/2018 07:18

Now would be a good time to get some exposure I think.

[spellbrook] 05/2/2018 07:17

Looks like we will be getting our 3000bopd soon

During December 2017, production exceeded 3,000 bopd for over 14 days as a result of several wells flowing naturally post recompletion, underlining the quality of the RCP inventory
These wells have now returned to normal (planned) production rates
Whilst a sustained production rate above 3,000 bopd is not expected until later in 2018 it evidences the clear upward trajectory being delivered from the planned work programme

[spellbrook] 05/2/2018 07:15

Confidence building, cash building, drilling to go ahead, institutions to be pitched