It is not a case of O/P going up or down that affects NZO.
Something far more obvious ails this Company.
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It is not a case of O/P going up or down that affects NZO.
Something far more obvious ails this Company.
If it was the price of oil ,I would venture to say ,this is as bad as it gets(of course thats my guess)
One interesting side bar (useless but interesting) I noticed it (nzo) was selling at the same price as (PEB) --another battered share--they are not on par anymore (PEB 6c higher) not because of any great announcements
Ive been on the both sides in terms of support for this share --It certainly does seem like they have some basic problems with management
It would be hard to come up with a good reason to buy at this stage---(of course its a much harder decision whether to sell) All that talk about the brave holding is crap--Its just the opposite most of the time
S&P bounced around 3% just to put it into perspective--NZO would need 1-2c to achieve that
Fair comment. Around 15 years ago NZO was trading around the 50c mark, which is where it had more-or-less been since the Co was formed in 1983. At that time (15 years ago) NZO had no producing assetts except for the trickle of income they recieved from the Ngatoro well (which they later sold to Greymouth). Granted they had an undeveloped Kupe field, but no-one wanted gas then. Nowadays, the SP is much lower, yet they are sitting on a pile of cash and several assets that are definitely worth something. For a prospective shareholder, what is the incentive to buy this stock just now? There are no dividends: NZO still makes a considerable income but management have taken away the mechanisms to share this income with shareholders. There has been talk of lucrative acquisitions since 2008 but no action. There is no game-changing exploration planned, and even if there was NZO geologists have consistently shown over the last 10yrs (since Pateke discovery) that they are incapable of finding anything. If the price of oil doubles next week it seems to me NZO SP would probably do nothing as potential buyers would be scratching their heads as to how they could possibly benefit.
You have to look at market cap as NZO has issued several hundred million dollars of new shares so sp at 50c decades ago is not a pertinent measure of where the sp should be now.
The shares were issued and NZO proceeded to squander the new capital in all kind of misadventures and bad investments - Pike, Indonesia, Tunisia etc etc etc.
A little good news I suppose, hopefully testing goes well, 100% cue makes NZO 48%.
If the directors don't pull up their socks can we dress them up in seal costumes and make them walk the plank off the Umuroa?
After all the shareholders cash lavished on them I am sure Caitlan and Thomas would be happy to assist the shareholders.
Think of the great line from the Quint character in Jaws "This shark, swallow you whole. Little shakin', little tenderizin', an' down you go."
Boop boop de do
Marilyn
More ONZ-related news.
http://www.stuff.co.nz/business/7649...illion-upgrade