Union Jack Oil Share Discussion Threads

[atino] 17/10/2019 10:09

Hey...I told YOU’s...”;Atino” wants to play !

Tick the above post, DOWN ! 😘 😜😅😂 LOL

[atino] 17/10/2019 10:00

We're A Little Worried 🥺😳 About Reabold Resources's (LON:RBD) Cash Burn Rate ! 🙇🤦‍♂️ !

(Quote) Even when a business is losing money, it's possible for shareholders to make money if they buy a good business at the right price. For example, although software-as-a-service business Salesforce.com lost money for years while it grew recurring revenue, if you held shares since 2005, you'd have done very well indeed. But while history lauds those rare successes, those that fail are often forgotten; who remembers Pets.com?

Given this risk, we thought we'd take a look at whether Reabold Resources (LON:RBD) shareholders should be worried about its cash burn. In this article, we define cash burn as its annual (negative) free cash flow, which is the amount of money a company spends each year to fund its growth. We'll start by comparing its cash burn with its cash reserves in order to calculate its cash runway.

When Might Reabold Resources Run Out Of Money?

You can calculate a company's cash runway by dividing the amount of cash it has by the rate at which it is spending that cash. In June 2019, Reabold Resources had UK£2.8m in cash, and was debt-free. Importantly, its cash burn was UK£5.7m over the trailing twelve months. So it had a cash runway of approximately 6 months from June 2019. With a cash runway that short, we strongly believe that the company must raise cash or else douse its cash burn promptly. We should note, however, that if we extrapolate recent trends in its cash burn, then its cash runway would get a lot longer. The image below shows how its cash balance has been changing over the last few years.

How Is Reabold Resources's Cash Burn Changing Over Time?

Whilst it's great to see that Reabold Resources has already begun generating revenue from operations, last year it only produced UK£584k, so we don't think it is generating significant revenue, at this point. As a result, we think it's a bit early to focus on the revenue growth, so we'll limit ourselves to looking at how the cash burn is changing over time. Remarkably, it actually increased its cash burn by 1077% in the last year. With that kind of spending growth its cash runway will shorten quickly, as it simultaneously uses its cash while increasing the burn rate. Reabold Resources makes us a little nervous due to its lack of substantial operating revenue. We prefer most of the stocks on this list of stocks that analysts expect to grow.

Can Reabold Resources Raise More Cash Easily?

Since its cash burn is moving in the wrong direction, Reabold Resources shareholders may wish to think ahead to when the company may need to raise more cash. Companies can raise capital through either debt or equity. Commonly, a business will sell new shares in itself to raise cash to drive growth. We can compare a company's cash burn to its market capitalisation to get a sense for how many new shares a company would have to issue to fund one year's operations.

Reabold Resources's cash burn of UK£5.7m is about 15% of its UK£37m market capitalisation. Given that situation, it's fair to say the company wouldn't have much trouble raising more cash for growth, but shareholders would be somewhat diluted.

How Risky Is Reabold Resources's Cash Burn Situation?

Even though its increasing cash burn makes us a little nervous, we are compelled to mention that we thought Reabold Resources's cash burn relative to its market cap was relatively promising. After considering the data discussed in this article, we don't have a lot of confidence that its cash burn rate is prudent, as it seems like it might need more cash soon. For us, it's always important to consider risks around cash burn rates. But investors should look at a whole range of factors when researching a new stock. For example, it could be interesting to see how much the Reabold Resources CEO receives in total remuneration.



🎶 I love the mountains 🏔 I love the rolling hills 🎶 I love the flowers 🌹 I love the daffodils 🌼 I love the fireside 🔥 When the lights are low 💡 Boom de-ahh-da, Boom de-ahh-da, Boom de-ahh-da, Boom de-ahh-da 🚶‍♂;️

[atino] 17/10/2019 09:42

(1hr ago) Oil Drops as Industry Report Shows Big Jump in U.S. Stockpiles 🙇

(Bloomberg) -- Oil fell after an industry report showed a sharp jump in U.S. inventories, adding to concern that supply keeps growing as demand ebbs.

Futures in New York dropped as much as 1.1% after closing up 1% on Wednesday. The American Petroleum Institute reported crude inventories rose by 10.5 million barrels last week, according to people familiar with the data. That would be the biggest increase since February 2017 if confirmed by the official Energy Information Administration figures due Thursday.

West Texas Intermediate for November delivery dropped 55 cents, or 1%, to $52.81 a barrel on the New York Mercantile Exchange as of 7:24 a.m. in London. The contract added 55 cents on Wednesday, its first gain in three days.

Brent crude for December settlement fell 54 cents, or 0.9%, to $58.88 on the London-based ICE Futures Europe Exchange. The global benchmark crude traded at a premium of $5.94 to WTI for the same month.

If the EIA data also shows an increase in U.S. stockpiles that would be the fifth straight weekly gain, the longest run since February. American inventories probably rose by 3 million barrels last week, according to the median estimate in a Bloomberg survey.

[atino] 17/10/2019 09:21

Funny how the presentation makes no mention of a intention to have a capital share re-structure in the coming future (...or any intentions of share buy back schemes)...let alone disclosing 12 billion.

(Oh well) Gloss covers...(flashing city lights)...and glamorous future cash-flows highlighted as basics...of certain projections “desert’s”:-)...not to mention, the lack of majors disclosed 🤦‍a94;️

[atino] 17/10/2019 09:12

Investor show & presentation rally...for project “desert” 🤷🏻‍♂️ 💭💭💭

Are Heidi, and this Joe...you last running...UJO...flag bearers 😜


You guys need more support and an increment in your fan base ! 🤦‍a94;️

[atino] 17/10/2019 08:58

Whilst viewing the presentation, play some calming background music 🎧

🎶 I love the mountains.
I love the rolling hills.
I love the flowers.
I love the daffodils.
I love the fireside.
When all the lights are low.

Boom dee ah dah. Boom dee ah dah.
Boom dee ah dah. Boom dee ah dah.
Boom dee ah dah. Boom dee ah dah.
Boom dee ah dah. Boom dee ah dah.

I love the flowers.
I love the daffodils.
I love the mountains.
I love the rolling hills.
I love the fireside.
When all the lights are low.

Boom dee ah dah. Boom dee ah dah.
Boom dee ah dah. Boom dee ah dah.
Boom dee ah dah. Boom dee ah dah.
Boom dee ah dah. Boom dee ah dah.

We walk together.
Hike by the quiet stream.
Watch for the sunrise.
Breathing the air so clean.
When we’re together,
Sharing our fondest dreams 🎶

[oilbuy] 17/10/2019 08:09

So Chris aka California Joe has sold his holding lol.I agree with his thoughts on a placing though. It's bound to happen sooner or later.So who's been caught with their pants down.Like I've said before , the market cap here is silly !

[likeawalrus] 16/10/2019 18:46

interesting article by chris bailey

hxxps://www.californiajoe.co.uk/union-jack-oil-a-placing-ahead

[atino] 16/10/2019 17:26

...if any of you’s are worried about buying Heidi’s...UJO T-shirt...to wear to work...then don’t worry all - you’s shall certainly have the right...to BARE ARMS 😂

(And yes...) the “unshrinkable”...can happen in a wash 😂

[atino] 16/10/2019 17:04

Reverse psychology (psych:-)...gotcha 😜

[atino] 16/10/2019 17:01

Hey...No fair - I wanna play too !



...if your not Atino (...please tick this post up ! 😜)

[maxwell] 16/10/2019 16:20

Yes I never believe the guide for volume ref per sell/buy on this site.

[likeawalrus] 16/10/2019 16:07

my broker quoting .2 / .205 but processed my buy order at .201 which is odd

[guesswhosback2] 16/10/2019 16:04

Curry that's funny 4 you

[currypasty] 16/10/2019 11:57

tick this post down if you are latrine-o

[astralvision] 16/10/2019 11:13

So those trades just over 0.2 are probably buys then.Seems a nasty outbreak of red thumb man on this thread, doubtless this post will get the same, disappointed if it didn't! ?

[maxwell] 16/10/2019 10:34

Buying at just a touch over 0.2p & easy to do as very quiet out there.....

[currypasty] 16/10/2019 10:28

tonight 6pm, london





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This is the time for investors to gather knowledge and insight about how to best manage their investments in natural resources in these times of market uncertainty.

In this edition, we present three projects in gas, smart mining, and gold and base metals. Natural resources are a key element in any investment portfolio, so don’t miss the chance to hear about the following opportunities:

- Union Jack Oil (UJO)

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[atino] 16/10/2019 10:11

Hey DIE HARD fans...Heidi & Joe are selling UJO T-shirts on tweeter (...to say I’ve been there & done it:-) 😂 (...if you wanna grab one ☝🏻) 🤦‍a94;️


😂😂😂😂8514;😂ԅ14;😂

[atino] 16/10/2019 09:31

Or perhaps he’s more fearful 😧 of the chairman’s recent interview, disclosing the need to rise more funds in the near future 😉🙇 Again, another reason why any sensible troll (would fabricate!)...and avoid going long.