Oil is ending the week down around $7 a barrel despite what might be three up days, what a roller coaster. Today I look at the Wentworth results which show a company in a great position, long term gas contracts, cash in the balance sheet and no debt with the ability to pay a divvi into the bargain. This high quality management team is delivering and will probably do some more. SDX tell the market that the Sobhi well should reward their faith and be onstream next year. Jadestone yesterday also produced results very much in line with expectations, this is a great company which will continue to beat the odds. And not much to add from Premier as CEO Tony Durrant goes out on live TV last night but kept his cards pretty close to his chest.
Oil prices vacillated ahead of the Opec+ meeting tomorrow but the EIA STEO yesterday showed yet again lower demand numbers and the US going back to being a net importer this year. Rockhopper showed a good set of figures with further strong cost cutting and the Navitas deal validating Sea Lion. DGO have made an acquisition just as expected in these markets, accretive returns will 'validate' the dividend. SDX have a discovery in Egypt and Wentworth has comforted the market with regard to its 2019 results.
It seems that despite the occasional up day like today most are down, except the shipping market which is like Christmas Day at the moment. Today i look at iog with a very decent plan for the project, Premier which like others is struggling, Reabold with cheap production in California, Tower an up to date CPR, President with prices in Argentina might be sticking, VOG with new CEO Roy Kelly, Pharos looking ok but Egypt might take the brunt and a success for SDX. And BPC who have delayed their well...
Predator announce successful receipt of an EIA for its programme in Morocco whilst SDX has success in Morocco but a duster in Egypt.
It's Bucket List time and the February update is out today, cue trauma.....
The oil price will have done well to increase on the week in the face of the inscrutable Chinese virus as well as the 1H oversupply situation but Opec+ production cuts will help that. Today DGO announce a buy-back, on an 11% yield punters should follow, Far suffer at the hands of the Court of Arbitration but are set fair in West Africa. Ascent Resources, where shareholders have been crying out for restructuring have now got just that and SDX spud at South Disouq.
Oil remains weak due to the Corona Virus and SDX update on success in Morocco and plans for Egypt. From yesterday, comments about Block Energy who's report was overdue and the market is uncertain about size of the success.
Oil fell, China disease and the IEA report knocked sentiment. DGO have tidied up the debt but the shares look amazingly cheap at the moment. And yesterday SDX updated the market with good production numbers, solid capex expectations and cash to fully fund their programme.
Good news from Predator in Trinidad as the CO2 EOR makes further progress and SDX gets first gas at South Disouq.
Oil came back sharply yesterday as the Saudis said that production would be back to normal by the end of this month, way sooner than expected. Rockhopper results are fine but its all about Sea Lion which is progressing waiting for senior debt and of course the Ombrina Mare arbitration. At Chariot they have a CPR over additional prospects in the Lixus licence which takes the number to over TCF. SDX has had a find in Egypt and adds 315 b/d to production and EOG has been awarded an offshore licence in Morocco, the current hot post code internationally.