my view is that Tapis is a good guide to calucalte the price. Ininitals sales would be of a discount to that price as refineries understand the qualities better. In short Tapis is a good guide.
Printable View
my view is that Tapis is a good guide to calucalte the price. Ininitals sales would be of a discount to that price as refineries understand the qualities better. In short Tapis is a good guide.
digger
I was looking for confirmation that with a Tapis price of currently us $100 a barrel approx and with todays exchange rate that nzo is selling its share of oil at $130 a barrel.If we were also told that Tui is producing 50000 barrels a day-nzo share would be 6250 barrels therefore nzo could be receiving $812500 a day gross less expenses and royalties.
I just think there is too much speculation and not enough hard facts .
A knowledge of the cash flow of a company is extremely important for investors.
I have been buying more nzo and base my own guess-estimates of the value of the shares on the likely future earnings and in doing so believe that the current oil price is the best predictor of the average oil price nzo will receive over the production life of tui. I would certainly be buying more NZO if the gross earnings were currently as the above estimate.
Thanks for your input .
I know you have a significant shareholding and the company may consider your views so hope you will consider asking ds for the last sale price of Tui Oil.
Fish
The CEO said the following at the AGM ..
"It is a high quality sweet, light crude and is being sold against the Tapis benchmark crude oil price, adjusted for quality differences and freight costs. I know there is quite a bit of interest in the prices being received for Tui oil. However, the revenues accrued to date are commercially sensitive. This is a new crude and the refineries are trying it out.
This is a competitive market and to reveal the revenues at this time would allow each refinery to work out whether their price is high or low relative to the other refineries. That would not be in our commercial interest. "
I think we need to accept that reasoning. We are in volatile times, and the price is changing constantly - knowing an accurate price for some sales is therefore not that useful when it comes to forecasting annual revenues.
If i intended to be a long term stick it under the bed style of investor like some of you here i would ask myself the following questions.
1, What is the company direction, is it intending to pay divedends and if so what percentage of the profit do they intend paying?.
2, What percentage of profit do they intend to use for future exploration. All or nothing just content to sit on their laurels.
3, Why do they make no effort to raise the share price to at least the conversion level, is it because they dont care if the options are converted or not.
4, What happened to that SHEALLAH that was supposed to keep you all informed is she on pregnant leave?.
The future of the profitability of your share holdings has very little to do with the price of oil at this time, but everything to do with what direction the company takes. The company is now in a good position to go forward the only remaining question is do you trust them with your hard earned dollar. My position is quite clear i never trust people or companies that open disclosure appears to be a problem. Macdunk
http://www.theaustralian.news.com.au...005200,00.html
Here is an article from The Australian. It includes some encouraging comments on NZO from Stephen Wright, adviser at ASB Securities
Mackdadunk,Quote:
duncan macgregor - If i intended to be a long term stick it under the bed style of investor like some of you here i would ask myself the following questions.
1, What is the company direction, is it intending to pay divedends and if so what percentage of the profit do they intend paying?.
2, What percentage of profit do they intend to use for future exploration. All or nothing just content to sit on their laurels.
3, Why do they make no effort to raise the share price to at least the conversion level, is it because they dont care if the options are converted or not.
4, What happened to that SHEALLAH that was supposed to keep you all informed is she on pregnant leave?.
The future of the profitability of your share holdings has very little to do with the price of oil at this time, but everything to do with what direction the company takes. The company is now in a good position to go forward the only remaining question is do you trust them with your hard earned dollar. My position is quite clear i never trust people or companies that open disclosure appears to be a problem. Macdunk
1...in the oil industry capital gains far outweigh dividends... dividends do not matter... MVa=MVb.... its the same thing mate... dividends change nothing...
2...before you start getting carried away and looking too far down the tunnel MD, NZO styled investment is all about the re-rate of the three key projects at this stage... When the three projects are up and running then it is time to address your position with the company as the re-rate of NZO with the 3 projects outweighs what future expenditure requirements will be....One thing is sure is that this is an oil exploration company, and I hope they will be exploring...
3... you go on and on about the options MD....probably more often than not options dont get unexercised?... NZO doesnot need the dilution, and I dont see the point of have super large # of shares with 3 projects at this stage...
Options create a different vehicle of investment... issuing options, warrants convertible notes, bonds is what companies do to try and diversify the shareholders investment vehicle...Some companies donot intend on converting the options, but issue to offer something for free as a carrot...
NZO had a shot with the 3 wildcats which could have sailed this company past $2...
Played right Options can be real profitable... I proved that to you twice.. got gun shy 1st time around after they rose 50%...and gun shy 2nd time around when they rose over 200%... but did pull trigger 2nd time...
holding all the way wasnot advice I was giving, but to trade them...
You need to get over the options, they are risky and thats why they are priced accordingly...
4... If you do the study, and follow the threads then there shouldnot be any reason to need 'a pregnant lady'.... If all companies were conservitive then there would be no problem... look at how conservative TUI JV was... two oil reserve upgrades with the 2nd one being a mammoth 30% increase....
Pike reserves have the skope for being 50% higher...
Kupe has plenty of capacity for increases...
MD, Sometimes it can be hard to trust someone you dont personally know... full open disclosure doesnot always mean that they are telling you the truth...Its easy to trust a company when the SP is rising like yours...
When I was raging bull on OD's disclosure didnot deter me from making a buck... There is no such thing as a perfect company, and often there are somethings that you have to brush aside when you are investing if everything else stacks up... which they did, and do...... One thing for sure is that NZO is a sure bet... Time is an issue and one cannot be sure when this one will turn big... Pike Production should sort everything out... NZO was the 2nd biggest riser on the NZX last week...
...
How can a company like this be such a screaming buy and not perform?
it was a shock to see the piddley rise during the week in comparison to the monster that was announced...
luck to yah MD...
good day...
:cool:
.^sc-confused and wanting a couple of hundred million...:D....
"Let the good times roll"
I hope everyone is in position for the next run up
I doubt whether NZO will be selling at around $1.10 for much longer
Probably the best buy on the NZX at the moment IMO :)
.
It all depends on the foreign markets imo..
Though, given this, many analysts are saying 'make sure you have oil/energy in that portfolio..'
It is a guaranteed performer over next few years at these prices isnt it?
Also good to see in that article provided by chippie that an asb anaylst is warming and sees the potential. It could still yet be understated for a while, but like many have said its such a great buy, one of the best on the nzx, and its just a matter of time before that translates into the sp.
Shrewdy,
Do you want to join me a few of my mates. We'll do the bankrolling ....you just look after the books. I mean you are nearly qualified...Dont worry we will arrange a few options for you.They are a real pest these options especially when a takeover is planned.