suicidal_tendencies
10 Dec 2019
SDX - RNS South Disouq plateau rate of 50MM scfe/d achieved! Approximately an additional US$12m/year of pre-tax profit has been more or less confirmed today, yet the share price has almost gone down.
Small_Holding
10 Dec 2019
SDX - RNS South Disouq plateau rate of 50MM scfe/d achieved! Fantastic news that the plateau rate has been achieved ahead of schedule. I have said previously that I expected this to be achieved before Christmas and they ave done that. What I am very pleased about is the fact that they have reported it to the market and not waited until the next update. I have been very critical of our CEO not promoting the Company but credit due this is a step in the right direction. If we could just see a media interview to outline the progress made at South Disouq and the plans going forward with the 2020 drilling campaign, I would be a much happier investor here.
suicidal_tendencies
09 Dec 2019
Shares transferring from the impatient and weak Looks like another 555,000 SDX shares (0.27% of the company) have been bought up in the recent past. They’ve gone to Teviot Partners in their VT Teviot UK Smaller Companies Net Acc fund. [link] Nothing to see here, just shares transferring from the weak and fearful to the strong and patient.
Small_Holding
08 Dec 2019
SDX - Where are the CEO interviews? companieshouse.blog.gov.uk 7 duties of a company director - Companies House Find out your legal responsibilities as a company director, in our guest blog from the Institute of Directors. Mark Reid CEO must be grateful that SDX do not have 250 employees or he would have had to explain how he has fulfilled this duty in the 2019 Annual Report, that would have been a very brief paragraph. The Half Yearly and Q3 Financial and Operating Results have been announced without the need to give interviews. Similarly the start of a 12 well drill campaign did not warrant a media interview. What was really surprising though was that when the biggest news item for SDX in probably the last two years happened, first gas at South Disouq, there was again media silence. What is strange is that on the SDX Twitter feed Mark Reid himself is quoted as saying Mark Reid, CEO (1/2): “Achieving first gas at South Disouq earlier this month was a major milestone for SDX and it is anticipated to have a material impact on the Company’s cash generation going forward.†Definition of milestone: a significant stage or event in the development of something. This wasn’t just a significant event though, it was a major significant event. If such a major event doesn’t warrant the CEO promoting the company by giving media interviews, then it is very difficult to see what in terms of company news would. In terms of a listed UK Company what is bigger than a major significant event? I am struggling to think of anything bigger, especially when as he says it will have a material impact on the Company’s cash generation going forward. Perhaps he doesn’t see himself as the public face of SDX or he doesn’t think it is part of the CEO job description.
suicidal_tendencies
06 Dec 2019
SDX - North West Gemsa a declining asset You know that when the loss of 55% of daily production is announced that the market will cr*p it’s pants and sell off SDX again despite SD more than making up for it. It will be yet another buying opportunity.
Small_Holding
05 Dec 2019
SDX - North West Gemsa a declining asset For the nine months ended 30th September 2019 the company’s entitlement share of production was 3,501 boe/d split as follows: North West Gemsa 1,915 boe/d (55%) Meseda 814 bbl/d (23%) Morocco 772 boe/d (22%) Total 3,501 boe/d From a production point of view the loss of North West Gemsa would seem to be a huge 55% loss to SDX. However, when the profit per region is broken down the impact is not as great. Screenshot_2019-12-05 SDX Energy 2016_Q2 - GetFile do.png1150x764 105 KB North West Gemsa net oil revenue 4,102 - the direct operating expense 1,803 = 2,299 Meseda production service fee revenues 3,577 = the operating expense 1,238 = 2,339 Morocco gas sales revenue 4,594 - the direct operating expense 462 = 4,132 Net other products revenue = 274 Gross profit for the quarter 9,044 Screenshot_2019-12-05 SDX Energy 2016_Q2 - GetFile do(1).png851x170 13.6 KB So whilst North West Gemsa currently contributes 55% to the production total, it only contributes around 25% to gross profits. A loss in production is never good news but the financial hit might not be as bad as it first appears if looking purely from a boe/d perspective. Obviously all these figures are pre South Disouq
suicidal_tendencies
04 Dec 2019
SDX - Where are the CEO interviews? As I said, long term benefit.
theprior
02 Dec 2019
SDX - Where are the CEO interviews? But where is the benefit? ESP with the sp in terminal decline! TP
suicidal_tendencies
02 Dec 2019
SDX - Where are the CEO interviews? In my opinion this company is run for the long term benefit of the two top shareholders.
Small_Holding
01 Dec 2019
SDX - Where are the CEO interviews? Well Mark Reid has now been the CEO of SDX Energy for 6 months and still hasn’t given even one investment media interview. His 2018 CFO salary was US$333,700 but presumably his salary now will have increased to the same level as the previous CEO’s salary, which in 2018 was US$450,000. A pay rise of US$116,300 or £90,000 a year! Currently he has gone from being a fairly anonymous CFO to a fairly anonymous CEO. Nice work if you can get it. From the table above, Mark Reid’s pay rise on promotion is actually more than the salary of the next highest paid Director, Michael Doyle our Non-Executive Chairman To anyone who thinks I am being harsh on our new CEO, if he had done a few investment media interviews following the announcement of the milestone announcement of South Disouq producing its first gas and the share price had remained unaffected by the news, I would not have criticised him. In that scenario I would have said, he has tried to draw a line under the PW debacle, promote the company’s achievements and outline the prospects going forward. If the CEO does everything he can and the market doesn’t respond, he can at least face his shareholders and say that he has tried. Mark Reid cannot do that because he hasn’t made that effort On the 1st August 2017 Mark Reid as CFO was awarded 555,555 shares in the company under the Long Term Incentive Plan Under that scheme the announcement said “It is important to note that stretching strategic, operational, financial and shareholder return performance criteria must be met for the options to vest. The Company recognizes the need to ensure that Executive Directors and key employees from its operational, commercial, technical and financial divisions, who are critical to executing SDX’s strategy over the next phase of its development, are retained and incentivized to generate long term value for shareholders.†Thankfully no award was made in 2018 but watch out at the next AGM for any vote or mention of another award for Mark Reid’s achievements in 2019. The stretching shareholder performance criteria mentioned for the options does not apply to the basic award, which they receive come what may. Why we would want to retain and incentivize someone who has had a £90,000 pay rise yet still doesn’t fulfil the full range of duties is beyond me.
suicidal_tendencies
28 Nov 2019
Low volume and interest, but In short, I’ve basically got no idea what these guys are up to or what they are playing at.
suicidal_tendencies
28 Nov 2019
Low volume and interest, but That is a good point regarding financing for an acquisition. Perhaps if we see some publicity and share price ‘pumping’ we might be able to infer that they might well be trying to do an acquisition. The only problem with having so many shares tightly held by serious investors is that it does kill liquidity and makes for wild swings. But that does present opportunity of course.
Small_Holding
28 Nov 2019
Low volume and interest, but I think you have misunderstood what I said, I know we have a large proportion of serious investors but I just want us to attract more. If we have over 60% there is room for more serious investors to join the party. I don’t want mug retail investors as you call them. SDX will need to issue equity to raise funds in order to make acquisitions, they just do not have the cash available to buy anything of significance without extra funds. Besides that CEO’s don’t like to leave themselves short of cash on hand. SDX always say they are looking for potential acquisitions and if a suitable candidate appears they will be asking existing shareholders to put their hand in their pockets.
suicidal_tendencies
28 Nov 2019
Low volume and interest, but If you don’t need equity financing and plan to build a medium sized, dividend paying, North Africa (plus who’s knows where else) focused O&G exploration and development company, why do you need to bother with publicity or attracting mug retail investors? You don’t even really care what the share price is if you are Waha and Ingalls and you’re working together (like PW alluded to once in an interview) as a cheap takeover won’t be possible without both parties consenting . Once you built said mature O&G company if the share price hasn’t corrected itself before this, then it certainly will once this occurs.
suicidal_tendencies
28 Nov 2019
Low volume and interest, but Yes no media interviews, no notes, no Edison notes. It could be part of a strategy to keep the share price low. A conspiracy theory I know but still. I don’t agree with you here; “More positive broker notes might generate more serious investors to fancy SDX as a recovery play.†On the contrary, I think the serious investors are here and indeed hold most of the stock. Upwards of 60% of it.
