I dropped it to $30 thinking it's a more reasonable number to use for gas, but Auctus use $85 and Cavendish $66 (but speak to Moroccan prices of $90), so I've reverted it to $70.
To anticipate and answer your next question I've also adjusted the 7% royalty to apply only to 55% of the $70 i.e. Energean's share. So the royalty is actually 3.85% in effect. I'd missed that on my prior article, but re-reading the terms I spotted this today.
Excellent update OB. "Value" can remain undervalued for a long long time for a 12 months sprint race which is very frustrating... I have rarely seen AIM price assets so I efficiently. How many companies will just give up and leave for pastures new...that's the biggest risk IMO!
It's a risk for the UK economy for sure and I've updated this article to include some insights from the UBS wealth report. If 1/6 of millionaires leave the UK in the next 4 years and take their businesses with them then Labour's focus on growth feels impossible. But no actual taxes have yet been raised so we must wait and see (the Conservatives actually did Labour's job for them to a large extent). They say their focus is growth which is a positive, if they achieve that. I do say if. But the fact the UK was 7th in 2023 for wealth creation couldn't be guessed from reading news reports about the UK, and despite heavy taxes from the prior government. I've argued the non-stop barrage of negativity hides the quality of UK business and innovation, and there is a proof in UBS' report.
Whether an investor stands to win or lose if businesses leave is more difficult to determine. Trident for example has "left" and has pastures new yet is up 49% YTD. For sure it would have gone up more than 49% in time but in some cases the giving up is also giving the realisation!
Net profit looks a lot healthier now! How long before the foot becomes a leg?
On Char you have cut the $ netback significantly from your previous article. Any comments ?
Eagle-eyed observation.
Just one comment.
I dropped it to $30 thinking it's a more reasonable number to use for gas, but Auctus use $85 and Cavendish $66 (but speak to Moroccan prices of $90), so I've reverted it to $70.
To anticipate and answer your next question I've also adjusted the 7% royalty to apply only to 55% of the $70 i.e. Energean's share. So the royalty is actually 3.85% in effect. I'd missed that on my prior article, but re-reading the terms I spotted this today.
OB
Excellent update OB. "Value" can remain undervalued for a long long time for a 12 months sprint race which is very frustrating... I have rarely seen AIM price assets so I efficiently. How many companies will just give up and leave for pastures new...that's the biggest risk IMO!
Hi Fluff,
It's a risk for the UK economy for sure and I've updated this article to include some insights from the UBS wealth report. If 1/6 of millionaires leave the UK in the next 4 years and take their businesses with them then Labour's focus on growth feels impossible. But no actual taxes have yet been raised so we must wait and see (the Conservatives actually did Labour's job for them to a large extent). They say their focus is growth which is a positive, if they achieve that. I do say if. But the fact the UK was 7th in 2023 for wealth creation couldn't be guessed from reading news reports about the UK, and despite heavy taxes from the prior government. I've argued the non-stop barrage of negativity hides the quality of UK business and innovation, and there is a proof in UBS' report.
Whether an investor stands to win or lose if businesses leave is more difficult to determine. Trident for example has "left" and has pastures new yet is up 49% YTD. For sure it would have gone up more than 49% in time but in some cases the giving up is also giving the realisation!
OB