Valeura Energy Inc. T.VLE

It's never too late

[goldwatch69]

Not when you have PLENTY of cash to wait until things are right, especially when a huge stash is about to land on your desk, now that you have 100% of it!

The last thing anyone wants is to send the vessel back for more modifications when it doesnt fit or worse, when it starts spewing oil everywhere. These guys absolutely and unequivocally know what they are doing!

THE NEWS JUST FOR YOU SHORT SELLERS INCLUDING YOU MARKET MAKER, THE MM!

Valeura Energy Inc., Tuesday, March 21, 2023, Press release 

Modifications to the MT Jaka Tarub crude oil storage vessel are now complete, making the vessel compatible with the Wassana field's infrastructure and capable of tandem crude oil loading/offloading. Subject to favourable metocean conditions, the vessel will arrive at the Wassana field in the coming days, after which Valeura intends to resume oil production operations, targeting initial rates of up to 3,000 bbls/d, net to the 89% working interest share held by its subsidiary company Valeura Energy Asia Pte. Ltd.

The vessel has moved and as implied in the PR, will head out when conditions are favourable. It is in the water and has moved to a new location at port waiting to be underway to destination. From Marine Traffic:

The vessel is currently at port BATU AMPAR ANCH, ID after a voyage of 52 minutes originating from port BATU AMPAR, ID.

With 100% ownership, the expected cash is now CAD$1.2 million a day, a 20% increase from the previous CAD$1 million a day estimate. Seven months cash coming equal to roughly CAD$255 million! That's CAD$2.55 a share at 100 million shares outstanding.

ADD another 20% for Wassana and we have roughly CAD$1.5 million a day immediate pretax cash flow! CAD$550~ million annual cash flow, CAD$5.50 a share!

BUY AT MARKET! This should be a $5 stock NOW!

[jollynik6]

GooD Morning     I have been holding Shares for 5 years if not longer ,Whats your Target Price on this  Thanks

[goldwatch69]

Check out Research Capital's target of $8+.  That was based on 85% ownership. Now with 100% ownership, RC should revise their target. Two times EBITDA aka pretax cash flow in this case is 10 bucks a share. That's for starters. They said they are retaining select senior leaders for senior leadership roles in the Southeast Asia regions. That spells more acquisitions to me. JMHO

[deadder]

Can you post link to research?

[goldwatch69]

Try this article https://menafn.com/1105380023/Oil-Gas-Co-To-Expand-Its-Portfolio-Of-Assets

[deadder]

Thanks goldwatch 

[DocPat]

I agree Goldy .. To me a good analog is still Vermilion Energy. Look at the bopd production, number of shares and share price of VET and with the prudent use by VLE of the +- $100,000,000 that should be coming in the door very soon, the share price of VLE has a very good chance of being north of $CDN20.00/share. By the by, I think VLE is fresher than VET and with the Thrace in their hip pocket

[Overertune]

Is southeast political environment stable for energy industry?

[nozzpack]

Yes, Singapore is among others..

[goldwatch69]

Mubadala Energy is all over southeast Asia. They are operating in 11 countries producing over 430,000 boed a day. Does look stable enough? https://mubadalaenergy.com/

[DocPat]

Thank you again Goldy for the link to the Mubadala website .. Their mission is clear, to become a natural gas company for the future (Now 70% Natural Gas) and thus divesting of the VLE assets makes sense and with that makes sense that VLE was able to negotiate favourable terms. I can practically hear that press release being typed out as we speak :)) All the best to longs, Doc.

[firstworld]

Sometimes dictatorships are a good thing especially when backed by a ruthless and powerful military like Thailands or solid csuite in a private co where they just fire anyone instantly whos lazy, incompetent or late.  As a military Junta and per 2017 constitution, a result of a 2014 overthow, Thailand's entire political system is under the control of the army, through  "

[windymayor1]

I have been investing in Canadian energy companies who produce in Thailand for over 15 years. Have always gotten paid in US $, $ out of country and made considerable $ via capital appreciation and dividends. Not concerned. And SG has worked world wide so knows the risks as most if not all investors in VLE. Thanks for the history lesson.  

[goldwatch69]

Firstworld idiot at it again?  Why bother?

[firstworld]

Speculating....seems like the $10M emergency raise was to buy out the SPV minority so they would tell their friends to certify and release the ship.  Then they realized better to get shares they can unload within weeks of mubadella closing .when they got the shares the ship was released.  Now mubadala close will cost $20m disbursements. SG should do a 5M share buyback now im sick of

[firstworld]

And EU got unlimited super cheap energyand raw materials  from RU for last 85 years....its meaningless especially in a country with three military junta in last 25 years haha

[Overertune]

I am in the US.  How much taxes I have to pay for the dividends?  Are there any treaty between Thailand and US?  Or is this considered dividends from Canadian companies?

[goldwatch69]

VLE Canada owns Valeura Asia. VLE would pay a dividend if and when it happens. Canadian dividend. 

[firstworld]

Thank you algos for 2.00 shares!!  Upu are assumimg smooth seas 365 days a year whe in reality its only 260 days a year we dont know at what point thay have to stopmproduci g and batto  down the hatches i  rough seas. Well looks like 10 years and $200M later they will actually produce USD 200K day haha