Hub
18 Jan 2017
4 new licences Yum yum!The story just gets better. I wrote a piece on thesharehub earlier this morning so will not go over it again. But it bodes well on finances as costs are 78% reimbursed via Norweigan gov.HUB
forwardloop
14 Jan 2017
Malcy Faroe PetroleumAnother very pleasing, well managed company, Faroe is also set fair for another good year I suspect. Dazzler has become Boné and is a high impact well that will be genius if it comes in, the company has also announced that a Brasse appraisal well is imminent. 2017 is set to be a ‘significant year for Faroe with a full program of exploration, appraisal, infill and early stage development’ set to keep investors happy and wealthy…
Hub
12 Jan 2017
Bone spud and Brasse appraisal Looks like 2017 is off to a flyer for Faroe as the long awaited BONE / Dazzler gets underway.Looks a bit of a wildcat and FPM do not exactly need more resources or reserves for that matter. They have more than enough a;ready to be getting on with.Brasse appraisal makes sense as will help define FDP/commercial plans, book reserves and sort any rbl if required.Would be good to get an update on 2017 production forecast as 18kboepd post DONG will not be sustainable throughout entire 2017.That said, DONG assets have performed better than expected, so you never know.With 120mil in cash and no debt, Faroe looks in fine shape for 2017 and cheap as chips when compared to peers like Ithaca.HUB
forwardloop
05 Jan 2017
malcy 2017 tips [link]
olechr
23 Dec 2016
Rig contract Faroe has signed a contract for Deepsea Bergen, for two wells - the rig is finished for Statoil in July 2017 - [link] Christmas
Hub
23 Dec 2016
Re: DANA. no rns from Dana as yet?Certainly bullish for FPM as DELEK have an eye for a bargain as proven by their 19% Ithaca purchase at 53p.HUB
tamdee
22 Dec 2016
DANA. Sold Faroes out to Delek.
forwardloop
21 Dec 2016
Malcy FaroeWe have been waiting for the announcement of the new debt arrangements for a while and so today’s announcement comes as no surprise. With their extremely strong position a new $250m RBL + $100m accordion and a NOK 1Bn Norwegian debt facility +NOK 1/2bn Accordion is just what the doctor ordered and concludes a highly successful year for the company.
Wordbodger
20 Dec 2016
Dazzler Worth keeping an eye on Hagland or one of the other Ship Brokers for R/M Scarabeo-8. It looks as if it might be for Dazzler, PL716 Operated by ENI, Faroe 20%, but that isn't confirmed. Possibly not before Christmas. DYORThanks rogerlin on advfn.
Wordbodger
20 Dec 2016
Re: Funding sorted I'm not keen on RBLs in this volatile Oil Price world. They will need the Norway facilities for their share of Njord 'A' costs, and Oda and possibly Brasse, Pil etc. so they have to secure the backing, but it's like a having a credit card, just waiting to be maxed out.In fairness they have used it very sparingly, unlike some others. What's that old line about banks being quick to offer you an umbrella when the sun's shining?
Hub
20 Dec 2016
Funding sorted Wow, that's a sizable lending package.The banks appetite for Oil&Gas investments seems to be changing.Of course you have to be a very sound company with great assets to get a deal like that.Faroe ready and loaded to exploit their exciting portfolio of 2c resources and reserves.HUB
Hub
16 Dec 2016
Closed at 100p Serious buying going on over the last few days.Not much buying prior to DONG deal completing when sp was in the low 70's, but since the DONG deal completion the share price has jumped on heavy buying.Did the market really think that DONG deal was going to fail?Faroe still looking cheap when you compare to peers and take into account the 18kbopd production, zero debt and cash balance of circa $60mil.Should edge up toward 130p+ assuming PoO continues it's recovery back to $60pb range.Ithaca is lagging a bit but as posted below a few times, Faroe should have been ahead of IAE on a simple like for like share price basis.Ithaca should be around 2 to 3 weeks away from First oil from Stella, and just like Faroe and the DONG deal, it seems the market is discounting a decent wedge based on failure. There's no reason why Ithaca should fail to get first oil flows in Jan but it's the norm for the market to be cautious.Assuming Oil flows in Jan for Ithaca, I think they too will be tipping into the £1 levels and leaving the penny share status behind.Strong dollar is holding PoO back at present but the market is missing the point here... the strong dollar is good for sterling based companies as their production / revs is in dollars and thus translates much higher into sterling when converted.HUB
Hub
09 Dec 2016
Good progress At last the market wakes up a little.18kbopd pumping through, zero debt and a decent cash pile left.Resources coming out of nearly every project - some derisked and others due exploration.And it's still below £300mil cap.Ithaca currently trading on 9kbopd, $596mil in debt and no cash pile and market cap of £358mil.Yes, Ithaca have 16kbopd coming online in the next 3 weeks or so and are worth every penny of their market cap in grand scheme of things. But in terms of pound for pound value, Faroe should at the very least be on a par with Ithaca due to its zero debt status.100p beckons for both companies if PoO gets into a decent $57pb to $60pb range for bulk of 2017.HUB
Hub
06 Dec 2016
1 million blocks Some big elephants shuffling around the room at the momentHenderson starting to rebuild after dumping a few blocks pre OPEC news?HUB
Hub
04 Dec 2016
Re: Chunky buys The market at present is very much based on 'lets see what you've got' as opposed to 'lets price in some value based on what you might have' etc etc and that even applies to production acquisitions.Faroe updated on Oct 19th that they are booking 18600bopd for period Jan 1st 2016 through to Oct 1st which includes the DONG deal.The market either doesn't believe that Faroe will continue 2017 with the production or they simply don't see the deal completing. Considering DONG have clearly said they are exiting the north sea, I can't see any hiccups occurring this late in the deal. In fact, it should complete within the next couple of weeks based on my expectations.Dazzler is a high impact exploration well and a bit of a wild cat but there's zero priced in for this at present. When it spuds in the next few weeks, it offfers investors a great bit of exploration for very little risk imho.Faroe has exited a few non core assets and now looks firmly placed to grow what 2c they have into 2p as fdp's get approved.The tax rebate on exploration wells via Norway is astonishing and that cash pile normally gets returned at year end.It might take a couple of quarters of 'proving' to the market that they have sustainable production, but when the numbers come in, it should make for very pleasant reading.As I said before, being around 7kbopd shy of Ithaca's production levels but not having ithaca's $600mil in debt - does make you wonder why Faroe is not priced higher.Lots to look forward to and a steady performer with solid management team in place.To throw a curve ball out there, I actually think Ithaca and Faroe would make a good merger for all investors concerned.You would end up with a company that has 43kbopd, $550mil in debt (assumes some Faroe cash) and a sizable portfolio of resources ripe for development. Ithaca sold off their Norwegian assets last year to enable them to manage debt and avoid covenant issues. It wasn't a decision that they liked but were forced to do. A merger with Faroe would give Ithaca the exposure they need to Norway and other developments.Stella and the GSA is low on the reserves side of things and in a few years time, Ithaca will have burned through the bulk of their 2p leaving them with .... well, not much in terms of development opportunities.I envisage 2017 being the year when we finally do see some mergers and buy outs not OPEC have changed the course of PoO.The latter is what was holding M&A up. I think Enquest and Premier are prime targets too. I'm beginning to sense a potential buyout of Premier as think the debt talks have taken way too long. Are Premier also discussing a full sale? mmm, I guess we'll have to wait and see. HUB
