Valeura Energy Inc T.VLE

Q4 Results are finally out

[Bigpond]

https://www.valeuraenergy.com/fourth-quarter-2020-results-and-year-end-reserves/

[Hannamuk]

Why rigging down deep play? The Company reported a net loss from operations of US$15.3 million in Q4 2020, which is primarily due to an impairment charge of US$13.4 million relating to removal of the property, plant and equipment associated with the Company’s deep, tight gas assets in the Thrace Basin (the “Deep Gas Play”).    

[firstworld]

They could have drilled and produced the next 2 deeps for $13 MN.

[traderlong2]

Once again Dissappointing shareholders How about we freeze salaries until you have provided the long promised added shareholder value your pay checks are eating through our precious cash Come on Sean ?? something positive please

[traderlong2]

Hey Sean you could also cancel the .25 cent options you gave management for their stellar preformance last year nice of you to cancel the 2.00 ones but why dont you show your shareholders your in it with us and cancel the .25 centers

[energee]

Canceling the new options will never happen.  Between the $4.7M net G&A spent last year plus the $1.5M of G&A  that they capitalized, they are a very high cost org for the small production base that they still have. Assuming they close the asset sale soon (which I think includes about 50 people on the payroll there) that may change the G&A burn.   What they do with the

[stiffupperlip]

Stiff here - I think this story is pretty much cooked. People are not going to be hanging around forever for some news. Burn rate is rediclous - if you shut things down then shut them down completely. The industry is on the upswing now so doing deals will be more expensive and much harder to close. 

[firstworld]

Agreed - they have always delivered on time more or less.  This is a massive failure and they know it having delayed reporting for additional 6 weeks. All the high powered London people are useless. Just spend the $30M on the deeps instead of dragging this out so they can keep boasting about the 30M cash dwindling on inflation alone. At least they could have gambled on bitcoin LOL

[nozzpack]

6 months and still not closed. Turkisk lira is dust and the ME heating up again. Gotta be interim cash burn to be reported in Q1. Why would any astute buyer close the deal now ?

[stiffupperlip]

Stiff isn't an economist but what I have read about the Turkish economy is scary. Ergodan fired his Finance Minister earlier in the week just becasue he raised interest rates. But what is scarier are the sanctions - it may be difficult to move oil and gas equipment into and out of Turkey if the US and EU put on punitive sanctions.

[firstworld]

Turkey has 5 MN ME refugees they will happily sent to EU and a massive USA air base used to stir up trouble in ME that can also leave: there will be no material sanctions. With a very low debt load they will be fine. It's Canadians that should be worried now that BoC hit the debt wall on Candians Bonds and they ran up $500BN debt. Turkey exporting lots has a market of 1 BN at their door step