Posted by Malcolm Graham-Wood - Malcy's Blog
Still stuck in a narrow trading range, both WTI and Brent rose by 21 cents last week. Friday might have been a lot better if London traders hadnt been suffering from the after effects of the IP dinner, but the boys in long trousers go and and do the Scottish Oil Clubs event on Friday as well. There were bullish remarks by the Opec Secretary General indicating that compliance is good and he included Russia in that which some observers doubt.
As we enter March on Wednesday we will start getting all the reports from the data collecting agencies who will have varying news on February output, if what we are hearing anecdotally it should be ok at the moment but I am sure that there will be the odd ‘rogue poll'. The rig count on Friday showed an increase of 3 overall and 5 in oil which is hardly going to clear the backlog, elsewhere on friday the stats showed that money managers were still very long crude oil.
A slight whiff of panic from the market on Friday meant that Prems had to knock out a press release saying that all was going fine with the finalising of the refinancing of the debt process. With formal credit committee approvals needed and of course the amendment of terms for the convertible, many suits are needed to sign off the process. We are told to expect an update ‘in the next few days' which can't come too soon for everyone involved one way or another.
Roxi has announced that it intends to merge its and Baverstock's interests in Eragon which itself holds a 99% interest in the BNG asset. I met with Clive Carver recently and it has been a long planned event in order to ‘bring our principal asset under direct control' whilst at the same time capitalising the debt by converting the Vertom loan. As a result of this deal and the issue of shares to Baverstock and Kuat Oraziman these two will own 43.86% of the stock and the company will be effectively debt free and ‘without the funding restraints of the current structure'.
Union Jack Oil
Union Jack has announced that it has raised £1.4m through an oversubscribed placing at 0.135p. The company is fully funded at present for its commitments, this raise is to increase interests in its existing licences and by the sounds of it we should expect something pretty soon. Although the discount is high I have to say that the company appear to be doing the right things at present.
And finally…Poopers in LaLaLand…
Quite difficult to know where to start but with Scotland beating Wales and Ireland beating France both Celtic nations were looking to Twickenham yesterday to see how they rated their chances against England in upcoming matches. The tactical surprise that Italy came up with in order to avoid a proper walloping was in some eyes very smart and others against the spirit of the game. Either way when the dunderheads eventually worked out how to combat it, they filled their boots as it were, against a rubbish Italian team, bring on Georgia who are above Italy in the world rankings and probably wouldnt try to pull a cheap stunt like this.
The first piece of silverware this football season is now in the trophy cabinet at the Theatre of Dreams after the Red Devils saw off the Saints in a remarkably good game at Wembley yesterday. In the Prem there were wins for Chelski and Spurs as the Gooners, the Noisy Neighbours as well as the aforementioned Red Devils didnt have a game. Tonight it will be interesting to see if the spineless Foxes owners are at the King Power Stadium to see their team take on the HubCap Stealers…
A shame to see that Barry Geraghty is out of Cheltenham after a fall at the weekend, watching which of the JP horses he chose and in what races, was going to be an interesting pointer to the Festival which is only a fortnight away.
There will be a very special Razzie for PriceWaterhouseCooper or Pooperscoopers as they are affectionately known next year after their incompetence led to ugly scenes at the Oscars when they gave the best movie award to the wrong film. One must conclude that if they can't fulfill such a straightforward auditing task then maybe big companies may be a step too far after all…Ryan Gosling wasnt too pleased either I couldnt help noticing….
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