Hi Phaedrus. Do you want to reconsider your position?
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Announcements to the stock exchange should able to be understood by everyone. Analysis of what they mean should be unnecessary. When will the respective exchanges sort this?
Agree 777, this situation is disgusting - people are totally confused seemingly
disc: don't hold PPP
to me it reads .....
PetroVietnam wants it 15% rights, what the rest of the parties do is their business.
so pppv might still get its 15% from the other parties to spread out the costs.
so this is where the confusion comes from, the other parties need to sort out if they want pppv to help out in the costings or not.
also, while no one knows if we're in or out or half in etc,
we should have a trading halt until the market is informed correctly.
ppp pulled trading halts for less important announcments..........
I havn't seen anything yet to change my opinion that all holders' interests will abate and that PPP will end up with 12.75%.
As for Vietnam govt approval, this is a normal requirement. Any move to call a trading halt for this reason wiould send completely the wrong message and might be interpreted as trying to hold a gun to V G's head. We just have to be patient - or throw in our hands!
:cool:
I am happy to update my comments for you, Nita.
"Technically aware traders that sold PPP on the recent Bearish divergence at 79 cents would have bought back in at 64 cents on the basis of RSI and RVI buy signals as marked by green arrows." Such traders would have sold when PPP broke its trendline and broke below its previous support level of 60 cents, making this a losing trade for them.
"For more conservative investors in this stock, PPP remains a "Hold" for the following reasons :-
(1) Longterm confirmed trendline is unbroken. Now broken.
(2) Slow Stochastic Oscillator has not signalled a Sell. Still true.
(3) OBV trendline is unbroken. Still true.
(4) Trailing Stop has not been hit." Still true
For conservative longterm investors, PPP still remains a "Hold". (It is not good practice to act on the basis of a single signal in isolation)..
"PPP is therefore a Buy (for traders) or a Hold (for investors) but not a Sell at this time". PPP is now a Sell (for traders) or a Hold (for investors) but not a Buy at this time. Very nervous longterm investors might perhaps want to sell on the basis of the isolated (unconfirmed) trendline break.
Guys
If I may add a bit, as an interested bystander (now) and someone with some background in this area.
PPP's deal was subject to pre-emption by PetroVietnam. No comment has ever been made that this pre-emption has been cleared. This has always been a concern.
If we look at the AWE deal, it was also subject to the same pre-emption terms, but in their quarterly report in March, it was stated that this was cleared.
AWE's deal was for 22.3% while PPP's was 15%. Different blocks, but same concept.
The confusion arises as PV also have a 15% back-in right, which is triggered when a development concept is tabled. This has just been triggered for the Santos/Premier Block. I understand that this is typical in Vietnam, but it is not 100% clear if it applies to both the AWE and PPP blocks, but I strongly suspect it does.
The confusion here is that the PV pre-empt and back-in are both for 15%.
My view is that PV have pre-empted the deal and as such PPP have no further interest in the block. They will get their money back, with minor or no uplift. The 15% back-in rights (across all the JV) still exists.
This is a bad outcome and was obtained because PPP did not get clearance form PV before they committed the money and drilled the well. Compare this with AWE announcements.
I have recently sold a substantial holding in PPP as it just looked unusual. The remainder was dumped yesterday. I no longer own the shares.
This is not advise. Do you own research.
Pipe
I cant believe investors pushed PPP sp up to 75 cents based on a possible drill in Vietnam. I sold out my shares awhile back and made comments on ST the detriment of PPP venturing off the bleeding path.