NZ Oil & Gas (NZO)

[Monkey Poms]

Consider this, anyone interested in putting some numbers to the following scenario, should it be possible for Zeta to purchase the outstanding shares in NZO at the current share price level and then applied the following:

Sell off the Kissarian asset.
Abstain from future drilling of speculative oil wells.
Reduce office space and cut employees to the absolute minimum starting from the top.
Sit back and rely on the ongoing income from the Tui & Kupe wells.
My back of an envelope numbers, hope someone has the time to fill in the the missing line marked with a ?.

$330,000000 NZO capitalised.
_ 57,189000 Proportion of NZO shares Zeta currently own 17.33%
= 272,811000
_ 180,000000 App cash held by NZO in the bank and stock
= 92811000 balance the amount Zeta need to recover to practically own the company for free.

( ) ? Value of sale of assets Kissarian, PPP shares, etc together with the future revenue from Tui & Kupe NZO now own a larger share of the revenue from Tui compared to previous years.
extra revenue from the gas royalties from Kupe, add as a guess the amount spent shown on NZO last accounts spent on drilling dry wells.

After the sale of assets,and the revenue from Tui & Kupe, the question is how many months would it take to pay off the balance allowing Zeta to have Tui & Kupe for free.

[digger]

Consider this, anyone interested in putting some numbers to the following scenario, should it be possible for Zeta to purchase the outstanding shares in NZO at the current share price level and then applied the following:

Sell off the Kissarian asset.
Abstain from future drilling of speculative oil wells.
Reduce office space and cut employees to the absolute minimum starting from the top.
Sit back and rely on the ongoing income from the Tui & Kupe wells.
My back of an envelope numbers, hope someone has the time to fill in the the missing line marked with a ?.

$330,000000 NZO capitalised.
_ 57,189000 Proportion of NZO shares Zeta currently own 17.33%
= 272,811000
_ 180,000000 App cash held by NZO in the bank and stock
= 92811000 balance the amount Zeta need to recover to practically own the company for free.

( ) ? Value of sale of assets Kissarian, PPP shares, etc together with the future revenue from Tui & Kupe NZO now own a larger share of the revenue from Tui compared to previous years.
extra revenue from the gas royalties from Kupe, add as a guess the amount spent shown on NZO last accounts spent on drilling dry wells.

After the sale of assets,and the revenue from Tui & Kupe, the question is how many months would it take to pay off the balance allowing Zeta to have Tui & Kupe for free.

Monkey Poms, Why would you want to sell the Kissarain assets?
I am starting to agree what we should hold up on drilling especially after the Kan Tan fiasco. I do believe we paid for failure and the drilling companies had us on for suckers. Can anyone tell me if they is anywhere else that you can take on a job,do half of it and then triple the price. Until we sort that out I am against further drilling and remember I was always in favor of exploration. But now we need to go back to the drawing boards on that one,or invest in a drilling rig as they are the only ones making the money.

I asked about Zeta partly taking say above 50% but no one seemed to have the answer. I believe the takeover code was brought in to prevent asset stripping at the expense of the small holders,so as no one knows for sure here guess I will have to ask elsewhere. If Zeta can not asset strip then their holding can and must be good for others shareholders.
For sure the next AGM will be talking on this subject.

[Balance]

Digger has validity to be concerned.

Have a close look at Duncan Saville's investment track record.

New Cap Re and ERG should give some pause for thought for those Noggers looking for a barrel of oil in Zeta's stake in NZOG.

[fabs]

Hay team, noticed this featured on the NZX page

https://www.youtube.com/watch?v=NsM146EsoXs#t=20

Just shows way nzo pays him handsomely, its all fun well worth the Money it seems.
Wish he do something useful for the nzo.

[fabs]

New Cap Re and ERG should give some pause for thought for those Noggers looking for a barrel of oil in Zeta's stake in NZOG.[/QUOTE]

Duncan saville

Yes an old mate of Brierlys which as director of GPG put the skids under R.Radfords Otter- Gold.

[digger]

New Cap Re and ERG should give some pause for thought for those Noggers looking for a barrel of oil in Zeta's stake in NZOG.

Duncan saville

Yes an old mate of Brierlys which as director of GPG put the skids under R.Radfords Otter- Gold.[/QUOTE]

Yes but my point is that that Otter-Gold was pre takeover code., which was all changed in about 2001. I was in Montana wines then and there was a big scrap between two companies for control. Here my concern is part ownership that is enough to effect control.

[fabs]

Hope your right Dig..

[Wiremu]

Digger, have a look at the Takeovers Panel site for the Basic Guide for Shareholders.

www.takeovers.govt.nz/the-panel/information-for-shareholders-about-the takeovers-code

In brief Zeta can't go past 20% ownership without going through the takeovers procedure.

[digger]

Digger, have a look at the Takeovers Panel site for the Basic Guide for Shareholders.

www.takeovers.govt.nz/the-panel/information-for-shareholders-about-the takeovers-code

In brief Zeta can't go past 20% ownership without going through the takeovers procedure.


Thanks Wiremu. I read that before asking my question. Guess just trying to get others thoughts on the subject.

Have just received my investor briefing for Hamilton on july 30th at Wesley Room at Hamilton City Oaks. So I will be there and covering that topic. Anyone else coming?

[Joshuatree]

Digger, have a look at the Takeovers Panel site for the Basic Guide for Shareholders.

www.takeovers.govt.nz/the-panel/information-for-shareholders-about-the (http://www.takeovers.govt.nz/the-panel/information-for-shareholders-about-the) takeovers-code

In brief Zeta can't go past 20% ownership without going through the takeovers procedure.


Hi Wiremu.Cant they increase shareholding under the "creep provisions'; up to 3% every 3months?

Cancel that ,just found the plain english version. At 50% they can creep up to 5% a year.

[Balance]

Hi Wiremu.Cant they increase shareholding under the "creep provisions'; up to 3% every 3months?

Cancel that ,just found the plain english version. At 50% they can creep up to 5% a year.

Takeover code has been in practice now since 2001. Plenty of examples of how the code applies.

Zeta can go to 20% with no hindrance.

After that, it must go to a minimum of 50% if it wants to go above 20%.

Any such increase constitute a takeover and must be made pro-rata to ALL shareholders - ie. cannot buy from one shareholder or select group of shareholders to go from 20% to 50% or 70% (whatever).

The creep provision applies in any 12 months period where a majority shareholder (ie. minimum of 50%) can 'creep' its shareholding up by 5% without the requirement to launch such a bid.

As for Zeta going beyond 20%, where is the dosh going to come from?

[Monkey Poms]

Monkey Poms, Why would you want to sell the Kissarain assets?
I am starting to agree what we should hold up on drilling especially after the Kan Tan fiasco. I do believe we paid for failure and the drilling companies had us on for suckers. Can anyone tell me if they is anywhere else that you can take on a job,do half of it and then triple the price. Until we sort that out I am against further drilling and remember I was always in favor of exploration. But now we need to go back to the drawing boards on that one,or invest in a drilling rig as they are the only ones making the money.

I asked about Zeta partly taking say above 50% but no one seemed to have the answer. I believe the takeover code was brought in to prevent asset stripping at the expense of the small holders,so as no one knows for sure here guess I will have to ask elsewhere. If Zeta can not asset strip then their holding can and must be good for others shareholders.
For sure the next AGM will be talking on this subject.
- - ================================================== ==========


Hi Digger.
I do not want to sell the Kissarian asset, I tried to guess the route Zeta would take should they manage to gain control of NZO.
Takeover code will not protect minority shareholders over the prospect of Zeta selling PPP, Kissarian,reducing staff levels or refrain from future drill programs. Zeta can explain to any panel as being the right thing to do to safeguard the company.

Shareholders have generally gone along and supported NZO with 20 to 30 $million spent each year on drilling for oil without a lot of success; I put it down to bad luck. Now I think we must question whether NZO are interpreting correctly the information gathered to judge whether or not to drill the particular prospect at the price the owners of the Kan Tan extracted from us.

The correct thing to do by the Board (only a Monkeys opinion ) would be to stop drilling until they are able to reduce the risk of failure. If this means waiting for a new source of technology to come along, then wait.

Money saved by stopping the drill program will go straight to the bottom line boosting reserves, or make up the dividend to 10% which could push the share price up, protecting shareholders from predators who hope to buy NZO on the cheap.

[Monkey Poms]

Monkey Poms, Why would you want to sell the Kissarain assets?
I am starting to agree what we should hold up on drilling especially after the Kan Tan fiasco. I do believe we paid for failure and the drilling companies had us on for suckers. Can anyone tell me if they is anywhere else that you can take on a job,do half of it and then triple the price. Until we sort that out I am against further drilling and remember I was always in favor of exploration. But now we need to go back to the drawing boards on that one,or invest in a drilling rig as they are the only ones making the money.

I asked about Zeta partly taking say above 50% but no one seemed to have the answer. I believe the takeover code was brought in to prevent asset stripping at the expense of the small holders,so as no one knows for sure here guess I will have to ask elsewhere. If Zeta can not asset strip then their holding can and must be good for others shareholders.
For sure the next AGM will be talking on this subject.
- - ================================================== ==========


Hi Digger.
I do not want to sell the Kissarian asset, I tried to guess the route Zeta would take should they manage to gain control of NZO.
Takeover code will not protect minority shareholders over the prospect of Zeta selling PPP, Kissarian,reducing staff levels or refrain from future drill programs. Zeta can explain to any panel as being the right thing to do to safeguard the company.

Shareholders have generally gone along and supported NZO with 20 to 30 $million spent each year on drilling for oil without a lot of success; I put it down to bad luck. Now I think we must question whether NZO are interpreting correctly the information gathered to judge whether or not to drill the particular prospect at the price the owners of the Kan Tan extracted from us.

The correct thing to do by the Board (only a Monkeys opinion ) would be to stop drilling until they are able to reduce the risk of failure. If this means waiting for a new source of technology to come along, then wait.

Money saved by stopping the drill program will go straight to the bottom line boosting reserves, or make up the dividend to 10% which could push the share price up, protecting shareholders from predators who hope to buy NZO on the cheap.

[Balance]

- - ================================================== ==========



Shareholders have generally gone along and supported NZO with 20 to 30 $million spent each year on drilling for oil without a lot of success; I put it down to bad luck.

Bad luck as in the way they did their due diligence, investment decision snd invested in Pike River and blew everything up?

Pull the other leg.

[ziggy415]

Bad luck as in the way they did their due diligence, investment decision snd invested in Pike River and blew everything up?

Pull the other leg.

you still on about that 5 leged horse:p

[Balance]

you still on about that 5 leged horse:p

Yup - as long as Noggers use terms like bad luck to excuse gross incompetent and unethical management.

[Monkey Poms]

Takeover code has been in practice now since 2001. Plenty of examples ofselect group of shareholders to go from 20% to 50% or 70% (whatever).


As for Zeta going beyond 20%, where is the dosh going to come from?

They have a cunning plan to access NZO cash reserve.

Example.
company A takes over company B six months down the line company Bs pension fund has disappeared

[Balance]

They have a cunning plan to access NZO cash reserve.

Example.
company A takes over company B six months down the line company Bs pension fund has disappeared

Not under NZX and FMA regime - cannot be done.

Any move by a major shareholder to move and strip asset requires minority approval.

Maybe you are right - with mushrooms, anything is possible!

[fabs]

They have a cunning plan to access NZO cash reserve.

Example.
company A takes over company B six months down the line company Bs pension fund has disappeared

Lets just speculate on an not impossible scenario, not whiteout precedents BTW.
Say if any possible backers are interested, not wishing to put any names to them DYOR!
There are suddenly some problems manifesting say with Kupe, sort of seemingly justifiable drawn-out delays ect. leave it up to yous to work-out what will happen to the S/P with the interested parties now
buying up big, maybe to the point of control, the rest will be history, not good for S/H.

[ziggy415]

Lets just speculate on an not impossible scenario, not whiteout precedents BTW.
Say if any possible backers are interested, not wishing to put any names to them DYOR!
There are suddenly some problems manifesting say with Kupe, sort of seemingly justifiable drawn-out delays ect. leave it up to yous to work-out what will happen to the S/P with the interested parties now
buying up big, maybe to the point of control, the rest will be history, not good for S/H.

he he he..Kim Dot Fabs...your not a german millionaire are you....

[Balance]

Lets just speculate on an not impossible scenario, not whiteout precedents BTW.
Say if any possible backers are interested, not wishing to put any names to them DYOR!
There are suddenly some problems manifesting say with Kupe, sort of seemingly justifiable drawn-out delays ect. leave it up to yous to work-out what will happen to the S/P with the interested parties now
buying up big, maybe to the point of control, the rest will be history, not good for S/H.

Not going to happen - Kupe and Tui are operated and controlled by reputable companies (AWE & Origin).

You may want to think of them 'investing' all of NZOG's cash in some offshore venture which then, mysteriously disappeared down a dry hole? That will definitely work as Noggers are used to that!

[fabs]

Not going to happen - Kupe and Tui are operated and controlled by reputable companies (AWE & Origin).

You may want to think of them 'investing' all of NZOG's cash in some offshore venture which then, mysteriously disappeared down a dry hole? That will definitely work as Noggers are used to that!

Yeah right, lets have another TUI and wait and see.

[fabs]

he he he..Kim Dot Fabs...your not a german millionaire are you...
SSSSHHH
Actually a Russian Oligarch hiding from Putin.

[arjay]

Interesting they are giving an investors presentation with a quarterly report, and also interesting they are presenting in lil' old Hamilton. Something going down?

[neopoleII]

maybe doing a shindig announcement that the next wildcat is in the waikato district.
..... wouldnt hurt to do a few onland wildcats in unexplored territory... cheaper than off shore taranaki.
just joking...

[arjay]

They had those permits in the 1980's and found nothing of value. Then again, I think they also drilled Rimu and found nothing.

[macduffy]

Oi1 and 2 plugged and abandoned.

http://www.asx.com.au/asxpdf/20140721/pdf/42qxh1blc6c4rc.pdf

[ziggy415]

any one know how many shares Zeta have got so far...must be close to 20%....have listened to Balance and am no longer a nogger.....(sold the whole 160,000.....probably to zeta lol).....probably strike oil now

[digger]

[QUOTE=ziggy415;493761]any one know how many shares Zeta have got so far...must be close to 20%....have listened to Balance and am no longer a nogger.....(sold the whole 160,000.....probably to zeta lol).....probably strike oil now[/QUOTE

Dam you ziggy415, why did you not sell prior to this years drilling program. Now we will have to wait until next years for the good news to start rolling in.

[ziggy415]

[QUOTE=ziggy415;493761]any one know how many shares Zeta have got so far...must be close to 20%....have listened to Balance and am no longer a nogger.....(sold the whole 160,000.....probably to zeta lol).....probably strike oil now[/QUOTE

Dam you ziggy415, why did you not sell prior to this years drilling program. Now we will have to wait until next years for the good news to start rolling in.

We haven,t (oops forgot i,m not a Nogger)you havent been told amount in Pateke and Kisaran plan of development must be close and maybe Kupe payment from Genises also and more production from Kupe all could be good news for Noggers......Funny how allegence changes...used to want good news when in but now i,m out its bad news all the way....sorry guys

[ziggy415]

[QUOTE=digger;493832]

We haven,t (oops forgot i,m not a Nogger)you havent been told amount in Pateke and Kisaran plan of development must be close and maybe Kupe payment from Genises also and more production from Kupe all could be good news for Noggers......Funny how allegence changes...used to want good news when in but now i,m out its bad news all the way....sorry guys
Will buy back in in 3 weeks when price is 72 cents:t_up:

[fish]

[QUOTE=ziggy415;494074]
Will buy back in in 3 weeks when price is 72 cents:t_up:

That is such a good idea Ziggy.

[fabs]

[QUOTE=ziggy415;494075]

That is such a good idea Ziggy.

Yes its worth a gamble if it pans out that way.
Also may have done the right thing selling at 80 cents plus, especially if you bought them for under
76c and had them for at lest 3 years.
Way to go.

[ziggy415]

[QUOTE=fish;494117]

Yes its worth a gamble if it pans out that way.
Also may have done the right thing selling at 80 cents plus, especially if you bought them for under
76c and had them for at lest 3 years.
Way to go.
no one said i made any money lol:D......remember they went to 90 at one stage then down to 76 but Pike did throw a spanner in the works a wee bit...but hey its only money

[fish]

[QUOTE=fabs;494120]
no one said i made any money lol:D......remember they went to 90 at one stage then down to 76 but Pike did throw a spanner in the works a wee bit...but hey its only money
don't be so modest ziggy
if we were all as clever as you and sold at 80 cents,waited 3 weeks and bought back again surely we would all get very rich,
not only that zeta resources would have more than egg on their faces as they wouldn't be able to do this !

[ziggy415]

[QUOTE=ziggy415;494128]
don't be so modest ziggy
if we were all as clever as you and sold at 80 cents,waited 3 weeks and bought back again surely we would all get very rich,
not only that zeta resources would have more than egg on their faces as they wouldn't be able to do this !
Oh crap I thought a :D meant a post was said in jest but I do think zeta may end up with egg somewhere.....one thing ive learnt is the financial fraternity don,t have a sense of humour :t_up:

[notie]

Oh Gordon Ward was walking down Featherston St today. He must be back looking for his job at NZOG

[ziggy415]

[QUOTE=ziggy415;494128]
don't be so modest ziggy
if we were all as clever as you and sold at 80 cents,waited 3 weeks and bought back again surely we would all get very rich,
not only that zeta resources would have more than egg on their faces as they wouldn't be able to do this !
you heard it here first Fish...72 cents here we come:t_up:

[fish]

[QUOTE=fish;494134]
you heard it here first Fish...72 cents here we come:t_up:

Hope you are right ziggy-I have been selling-and probably pushing down the price-got 79.5 for my last 20000 sold at the close yesterday.
When they get down to 72 cents I plan to buy lots and make a fortune.

[boysy]

http://www.stuff.co.nz/business/industries/10347265/NZOG-shares-not-for-the-risk-averse

[fabs]

http://www.stuff.co.nz/business/industries/10347265/NZOG-shares-not-for-the-risk-averse

WOW!
after about 5 years of the obvious, some overpaid learned & supposedly knowledge come up with this revelation.

PATHETIC.

[BigBob]

Did anyone notice the mention of Kupe in this. http://www.stuff.co.nz/business/industries/10347269/Big-increase-in-Taranaki-gas-reserves

It states that there has been a "reserves recalculation" in Taranaki and that remaining gas reserves at Kupe are 298PJ.

According to NZO's website remaining reserves for Kupe at 30 June 2013 were 258PJ.

That's an increase of 15.5% - even more if last year's production is included...

I would have thought that would warrant a mention by NZO or the opersators...

[Cuzzie]

Did anyone notice the mention of Kupe in this. http://www.stuff.co.nz/business/industries/10347269/Big-increase-in-Taranaki-gas-reserves

It states that there has been a "reserves recalculation" in Taranaki and that remaining gas reserves at Kupe are 298PJ.

According to NZO's website remaining reserves for Kupe at 30 June 2013 were 258PJ.

That's an increase of 15.5% - even more if last year's production is included...

I would have thought that would warrant a mention by NZO or the opersators...I read that first thing this morning too. Hang in there, I think somebody or some org, wants to drive the S.P down so they can buy big[AKA TSX tactics]. I'm now looking at buying too.

[fish]

I read that first thing this morning too. Hang in there, I think somebody or some org, wants to drive the S.P down so they can buy big[AKA TSX tactics]. I'm now looking at buying too.
sellers greatly outnumber buyers atm
I wonder if anyone knows what dividends likely to be declared later this month -and if imp credits are attached

[Balance]

I read that first thing this morning too. Hang in there, I think somebody or some org, wants to drive the S.P down so they can buy big[AKA TSX tactics]. I'm now looking at buying too.

Typical Nogger (and Piker for that matter) - anyone dares to question the value or management of the company and out comes the conspiracy theory about ramping price down to buy cheap.

Should have listened to all the warnings on Pike River, no?

[ziggy415]

Typical Nogger (and Piker for that matter) - anyone dares to question the value or management of the company and out comes the conspiracy theory about ramping price down to buy cheap.

Should have listened to all the warnings on Pike River, no?

hell no...I listened to the balance river :t_up:

[Cuzzie]

Typical Nogger (and Piker for that matter) - anyone dares to question the value or management of the company and out comes the conspiracy theory about ramping price down to buy cheap.

Should have listened to all the warnings on Pike River, no?It happens, the conspiracy is that it does not go on. The other problem is small stocks like NZOG are at the mercy of day traders and they don't soak up bad news well. On the up side, they climb fast with good news. There is no conspiracy about controlling a stock price period.

[Balance]

It happens, the conspiracy is that it does not go on. The other problem is small stocks like NZOG are at the mercy of day traders and they don't soak up bad news well. On the up side, they climb fast with good news. There is no conspiracy about controlling a stock price period.

Eh - this is what you wrote : 'I read that first thing this morning too. Hang in there, I think somebody or some org, wants to drive the S.P down so they can buy big[AKA TSX tactics]. I'm now looking at buying too.'

[Cuzzie]

Eh - this is what you wrote : 'I read that first thing this morning too. Hang in there, I think somebody or some org, wants to drive the S.P down so they can buy big[AKA TSX tactics]. I'm now looking at buying too.' Eh we all ready know that, this is what you wrote - "Typical Nogger (and Piker for that matter) - anyone dares to question the value or management of the company and out comes the conspiracy theory about ramping price down to buy cheap". So what, wasted post really.

[Balance]

Eh we all ready know that, this is what you wrote - "Typical Nogger (and Piker for that matter) - anyone dares to question the value or management of the company and out comes the conspiracy theory about ramping price down to buy cheap". So what, wasted post really.

Precisely the point, Cuzzie - you are behaving exactly like the Pike River shareholders/posters who cried 'conspiracy' whenever something negative was written about the company. As it turned out, there was not only no conspiracy, there was only truth in all the postings and warnings about gross mismangement. incompetence etc. 29 miners lost their lives.

[Cuzzie]

Precisely the point, Cuzzie - you are behaving exactly like the Pike River shareholders/posters who cried 'conspiracy' whenever something negative was written about the company. As it turned out, there was not only no conspiracy, there was only truth in all the postings and warnings about gross mismangement. incompetence etc. 29 miners lost their lives.
Balance, I didn't mention the company and have not suggested they are involved with any S.P manipulation. I was thinking more of big investors driving the share price by buying or selling. I was leaning towards driving the price down by dumping and then buying again once the price had fell to an attractive price to invest in again. Quick money when fools and nervous investors are around. Daily investors can drive a S.P too, not hard to do if it's worth less than NZD$1.00. I have not said one bad word against NZOG and don't intent to. All I'm doing is - "just saying," that's all.

[ziggy415]

Eh - this is what you wrote : 'I read that first thing this morning too. Hang in there, I think somebody or some org, wants to drive the S.P down so they can buy big[AKA TSX tactics]. I'm now looking at buying too.'
My god...I thought hell had frozen over....."im looking at buying too"....thought this was your words balance...thought you had gone over to the dark side....reread it 4 times before i got it

[arjay]

29 miners? - seems even Balance has his price.


Great reading ;)

[digger]

Did any of you good people go to the Hamilton presentation about 10 days ago. I went and had a good talk with AK before the meeting but others were around so talk no where near long enough.

At the meeting in question time I brought up the issue of what we might do with our holding in PPP. Some years ago NZO looked into taking them over but a few of the directors that had large holding were completely unrealistic about the value of the company so at that time no further action was taken. Now that PPP have stuck their neck on the block regarding OI and failed the situation in my mind has changed so i brought up the subject for discussion. Nothing firm came out of it much as I expected but I did get the impression that the situation is being looked at,and that at last one director of PPP is still up in fairy regarding the now reduced value of that company.


So what do you posters think PPP should be valued at for takeover???

[ziggy415]

with regards to ppp...was little shocked at how low their cash balance was but i guess PATEKE and OI were expensive due to sidetracks etc, but with 25 mill and huge tax right offs from Oi and 15% of tui with the Pateke pond as well a takeover must be looked at...no word on size of Pateke so value hard to work out

[ziggy415]

Pateke in line with pre drill estimate of 2.5 to 4 million barrels equal at least 375,000 barrels times $us100 a barrel divided by outstanding shares equalssssss...crap too early in morning..im off to work...someone lot cleverer than me will post it....

[ziggy415]

Pateke in line with pre drill estimate of 2.5 to 4 million barrels equal at least 375,000 barrels times $us100 a barrel divided by outstanding shares equalssssss...crap too early in morning..im off to work...someone lot cleverer than me will post it....
Zeta might buy them...outta here...gone

[digger]

Pateke in line with pre drill estimate of 2.5 to 4 million barrels equal at least 375,000 barrels times $us100 a barrel divided by outstanding shares equalssssss...crap too early in morning..im off to work...someone lot cleverer than me will post it....
The short talk I did have with directors I got the strong feeling that Pateke will be at least 2.5 million. So my comment was that if that useless driller Tin Can IV had done its job and side drilled all of Pateke like it was suppost to we would have got 4 million. The resource rock is very good I am told so they are hopefull that 2.5 will be achieved,perhaps more.

[ziggy415]

The short talk I did have with directors I got the strong feeling that Pateke will be at least 2.5 million. So my comment was that if that useless driller Tin Can IV had done its job and side drilled all of Pateke like it was suppost to we would have got 4 million. The resource rock is very good I am told so they are hopefull that 2.5 will be achieved,perhaps more.
one thing i did read was that Pateke will not extend the life of Tui but will provide more production so still need to find more oil...could tow the platform down to greymouth suppose:D

[Balance]

The presentation made by the ceo and chairman today followed the usual pattern of staying the course and screening opportunities while managing to burn 1 million/month on G&A.

1. NZO SP hasn't recovered because most astute investors aren't interested. They are listed on the ASX and most savy investors on that exchange see much better investments

2. The buy back-shows that NZOG have no idea at all at how to grow the company. Instead lets blow money on buying our shares back

3. Tui production back on track-Tui is now well onto a decline and no more wells are likely to be drilled until late 2011

3. Kupe profitability isn't fully declared-their only bright light, but nzog are only in for 15% and they are not the operator so have little control on their destiny

4. Kaupokanui farm out and drill -they have farmed out to a new Aus ipo that hasn't even listed and the farm in is capped at 3 million. Total well cost is likely to be 15 million, so they are 12 million short.

5. Pike coal shipments - Pike is a chain hanging around NZOG's neck. They have put so much money into it that they can't afford to see it fail. Expect a reserve write down in the near future and nzog will have to bail them out again and long term the mine will be a failure.

Pity no one asked them about nzog bid for horizon oil falling through due to nzog procrastinating and losing out on a very good deal

Written a month before the Pike explosion and tragedy.

Excellent summary for the Noggers who are prepared to walk into the sunlight and look critically at the track record of directors and management.

Someone suggested to me that Nogger does not properly describe Noggers any more - Nodder is more appropriate in so many ways.

[ziggy415]

Written a month before the Pike explosion and tragedy.

Excellent summary for the Noggers who are prepared to walk into the sunlight and look critically at the track record of directors and management.

Someone suggested to me that Nogger does not properly describe Noggers any more - Nodder is more appropriate in so many ways.
come on Balance...that was yesteryear....the company is a lot more nimble and dynamic now that it doesn,t have to lug all that cash around

[Balance]

come on Balance...that was yesteryear....the company is a lot more nimble and dynamic now that it doesn,t have to lug all that cash around

You are right!

My apologies.

Nodders' pockets*are lighter as well from the sp being about half what it was?

[ziggy415]

just thinking about PPP (cos thats what we do at work on a Sunday) 566 million ppp shares minus 15% already owned
leaves aprox 480 million shares times 10 cents per share equals $48 million minus the $20 mill in ppp coffers and nzo can own an extra 1 million barrels of Tui for $28 mill.,,,and 10 cents is over generous for an sp at 5.6 cents.....just thinking (with a lull in my hectic schedule)

[digger]

Interesting as 10 cents is about what I got,after adding in a doubtful sum for the 5% in Vietnam if the Chinese will allow us to have it and again if the project goes ahead. If a takeout does eventuate and is succesfull that would give 42.5 % of tui. It could be possible in the future to get extra from TUI by reinjecting gas to force the stranded oil for recovery. But that is just me talking and I know of no plans to do that but I wonder,but still more likely if we have the say of 42.5%

[fabs]

Interesting as 10 cents is about what I got,after adding in a doubtful sum for the 5% in Vietnam if the Chinese will allow us to have it and again if the project goes ahead. If a takeout does eventuate and is succesfull that would give 42.5 % of tui. It could be possible in the future to get extra from TUI by reinjecting gas to force the stranded oil for recovery. But that is just me talking and I know of no plans to do that but I wonder,but still more likely if we have the say of 42.5%

YES,Typically what the NZO management does best, rummaging around at the bottom of a rusty drum looking for scraps!

[Balance]

YES,Typically what the NZO management does best, rummaging around at the bottom of a rusty drum looking for scraps!

Exactly right.

PPP is probably an excellent example how the clowns in NZOG have been running the company :

1. NZOG used to own 58% of PPP. It decided to distribute the PPP shares to shareholders in 2001.

2. Then in the midst of the worse of the GFC, when NZO had cash and could have picked up any number of cheap oil and gas assets around the world, directors decided to buy PPP shares.

PPP has been a dog - no order way of describing it.

Shows how shallow the management depth really is when all the investments they have made - Tunisia, Indonesia and PPP (excluding the dry holes and Pike River) - are duds.

Not that Nodders and Noggers would notice!

[notie]

Exactly right.

PPP is probably an excellent example how the clowns in NZOG have been running the company :

1. NZOG used to own 58% of PPP. It decided to distribute the PPP shares to shareholders in 2001.

2. Then in the midst of the worse of the GFC, when NZO had cash and could have picked up any number of cheap oil and gas assets around the world, directors decided to buy PPP shares.

PPP has been a dog - no order way of describing it.

Shows how shallow the management depth really is when all the investments they have made - Tunisia, Indonesia and PPP (excluding the dry holes and Pike River) - are duds.

Not that Nodders and Noggers would notice!

NZog buying 15% of PPP signalled how lost for ideas they were for ideas and PPP is now dead in the water and that investment looks as good as the Pike one

Now NZOG has declining production at Tui, is getting out of Nth Africa, but is throwing money into Indonesia where they will never make any money.

Back in NZ they have got into a JV with Woodside as non-operated who will most likely spend them out of the water and they are years off any drilling The rest of the permits they hold are largely worthless and they can go through the motion acquiring expensive seismic then handing the permit in.

Kaheru-that will cost over 50M to drill and a remote chance of finding anything. Have they had anyone farm in on this??

Their matuku investment was at top dollar (million bucks a point) and earnt them nothing.

No doubt NZOG will be trotting out the same old story to shareholders at their AGM, but now they are the 'explorers' from NZ....pretty laughable really, but also very sad as they have the potential to be something as they were well cashed up

[notie]

Written a month before the Pike explosion and tragedy.

Excellent summary for the Noggers who are prepared to walk into the sunlight and look critically at the track record of directors and management.

Someone suggested to me that Nogger does not properly describe Noggers any more - Nodder is more appropriate in so many ways.

fateful words huh

[fabs]

On the other hand largely unnoticed, that well enumerated lot spent a lot of time and funds following the Footprints left by perhaps the largest animal ever to walk on Earth in Rort-orua.
Revenue from Tourism once they tracked that Denizen down will make this co.the Darling of the S/Market again.

[digger]

NZog buying 15% of PPP signalled how lost for ideas they were for ideas and PPP is now dead in the water and that investment looks as good as the Pike one

Now NZOG has declining production at Tui, is getting out of Nth Africa, but is throwing money into Indonesia where they will never make any money.

NZOG will indeed make money out of the investment in Indonesia. This is a point I brought up with AK at the Hamilton presentation. He told this to me before the meeting and again at the presentation. Under the Indonesian scheme the oil is owned by the govt. Drillers get 85% of the revenue until all their costs are met then the revenue falls to 15%. . The costs are per premit not by the total investment you make in the country. So as explained if a driller finds nothing in one premit those costs have to be carried by the company as they are in NZ. Naturally I would expect that all the true costs including travel and adminstration time costs must be included.
No value for the Indonesian investment is in the SP. This will be producing about June 15 as will Pateke so things while they are not included now will have to be closer to production date. This is much like what has happened with TAP on the ASX where the SP has almost doubled in the last 4 months.
The Indonesian area for drilling is prolific so much easier to find oil. The Indonesian govt seems to have driven out the big companies with there structure so if NZO can make money here we are well placed. Needs more looking into instead of just saying we will make no money. About this time next year we will be in clover.

[ziggy415]

NZOG will indeed make money out of the investment in Indonesia. This is a point I brought up with AK at the Hamilton presentation. He told this to me before the meeting and again at the presentation. Under the Indonesian scheme the oil is owned by the govt. Drillers get 85% of the revenue until all their costs are met then the revenue falls to 15%. . The costs are per premit not by the total investment you make in the country. So as explained if a driller finds nothing in one premit those costs have to be carried by the company as they are in NZ. Naturally I would expect that all the true costs including travel and adminstration time costs must be included.
No value for the Indonesian investment is in the SP. This will be producing about June 15 as will Pateke so things while they are not included now will have to be closer to production date. This is much like what has happened with TAP on the ASX where the SP has almost doubled in the last 4 months.
The Indonesian area for drilling is prolific so much easier to find oil. The Indonesian govt seems to have driven out the big companies with there structure so if NZO can make money here we are well placed. Needs more looking into instead of just saying we will make no money. About this time next year we will be in clover.
those terms with indo govt. seem a bit harsh to me digger...Bukits website says 400 bopd has been flowed so 15% is not much then nzo only has 22% of that.....but another of their webs say 5000 bopd another says max 9500 bopd but these are with more drilling i think and sometimes they talk of energy equivalent which i think includes gas as well..time will tell

[barleeni]

Im glad im not the only one having difficulty gauging NZO. On the one hand Morningstar basically reckons NZO's not even worth monitoring with a long held valuation of 0.60 SP, but Forsyths recently come up with 0.95 SP (which would be great coupled with generally pretty good dividends). And no movement after the royalties announcement? wasn't that good news? Considering it might be the first of a few similar announcements?

[digger]

those terms with indo govt. seem a bit harsh to me digger...Bukits website says 400 bopd has been flowed so 15% is not much then nzo only has 22% of that.....but another of their webs say 5000 bopd another says max 9500 bopd but these are with more drilling i think and sometimes they talk of energy equivalent which i think includes gas as well..time will tell

ziggy415,things happened fairly fast at the presentation.Others were also trying to talk with AK so there was little time before the meeting and as soon as the meeting was finished AK was no where to be seen, so I am short on the details but AK was clear that we will be making money from this investment in Indonesia.

Like "after costs" is something that I clearly do not understand where the line is drawn. Also the govt has an investment so is the 15% what the drillers get and is that 15% still after their costs?

Nothing much will be happening in this area before the AGM so it can all wait until then. Then I will have it written down and get my replies ticked off.

[brucey09]

........... About this time next year we will be in clover.

Snr. Digger
As the kiwi/aussie exchange on a tv ad is saying "you're dreaming"

[neopoleII]

a question......
with all the new hi tech fracking going on overseas.......
is there a potential for hi tech fracking into some of our more prolific wells in NZ?
if so..... kupe and tui could produce much more in the future,
and the indo wells which we know a huge fields but difficult to extract could prove a bonanza with the new types of fracking coming online.

however.....the real potential for NZ is Maui...... not that nzo has a share.
but tui could still have alot of potential with hi tech fracking

thoughts?

[digger]

a question......
with all the new hi tech fracking going on overseas.......
is there a potential for hi tech fracking into some of our more prolific wells in NZ?
if so..... kupe and tui could produce much more in the future,
and the indo wells which we know a huge fields but difficult to extract could prove a bonanza with the new types of fracking coming online.


however.....the real potential for NZ is Maui...... not that nzo has a share.
but tui could still have alot of potential with hi tech fracking

thoughts?



I can not see what you are getting at. Franking is only when the resource rock is tight. The TUI and Pateke resource rock is the best it could possibly be so franking is no use here. Franking makes the rock more porous. TUI is already porous.

[ziggy415]

I can not see what you are getting at. Franking is only when the resource rock is tight. The TUI and Pateke resource rock is the best it could possibly be so franking is no use here. Franking makes the rock more porous. TUI is already porous.
with regard to Kisaran i got the impression oil flow from parit minyak 3 the 3rd well in indonesia was a bit low and they tried frakking but stopped when well head pressure was too high and i was under the impression the rock was too hard and not suitable for frakking...which is why i was a bit surprised when reading Bukit energy web site (the other partner). when they were talking 5000 bopd.....3 million cubic feet of gas flowed at 1000 psi so that seems quite good

[Balance]

http://www.bdlive.co.za/world/2014/08/12/oil-market-well-supplied-despite-conflicts-says-energy-watchdog

Plenty of oil around despite conflicts in Middle East and Ukraine.

Meanwhile, Mexico is opening up its territories to US companies to explore.

[ziggy415]

as an afterthought with Digger,s explanation of indo govt owning oil but paying back all costs i guess nzo have paid for drill so may as well get that back even if well only produces $500 per day after that.....Yeh balance i know its more pocket money for the directors :D

[Balance]

as an afterthought with Digger,s explanation of indo govt owning oil but paying back all costs i guess nzo have paid for drill so may as well get that back even if well only produces $500 per day after that.....Yeh balance i know its more pocket money for the directors :D

When companies go from rah rah rah on investments and projects to deafening silence, history shows they have something to hide.

[digger]

with regard to Kisaran i got the impression oil flow from parit minyak 3 the 3rd well in indonesia was a bit low and they tried frakking but stopped when well head pressure was too high and i was under the impression the rock was too hard and not suitable for frakking...which is why i was a bit surprised when reading Bukit energy web site (the other partner). when they were talking 5000 bopd.....3 million cubic feet of gas flowed at 1000 psi so that seems quite good

The bit about the franking in Kisaran I also had a very brief comment from AK.Wished I had more but the meeting started. From what I got in seems the officcal release did not tell the whole story or even in seems an accurate one. The franking stopped due to some problem with the process not the resource rock. Yes from the release I to got the impression the rock was too hard but From the very brief fleeting comments with AK before the meeting that seems not to be the full picture

[rbel038]

I dont quite get that. If a high pressure meant that fracking had to stop there is maybe two things I can think of. Either the rock cannot be fractured and the pump deadheads , or the pressure required to fracture the so rock is higher than the allowable pressure of the casing.

I might have missed something else, however if its not option 1 then it would a bit of a fail in my opinion.

[ziggy415]

Thanks for the message digger....accidently wiped it while trying to reply...I thought 2014 was "the year" ...have just read an article about oil glut etc...have no nzo shares anymore due to matuku and Oi deflating my bubble but will reassess later...still don,t believe in Karma tho :D

[the machine]

I dont quite get that. If a high pressure meant that fracking had to stop there is maybe two things I can think of. Either the rock cannot be fractured and the pump deadheads , or the pressure required to fracture the so rock is higher than the allowable pressure of the casing.

I might have missed something else, however if its not option 1 then it would a bit of a fail in my opinion.

it might also mean a more robust fracking system is required to cope with the higher gas pressure that could be released
in other words a very heavy duty system that costs a lot more than a standard system

M

[fabs]

it might also mean a more robust fracking system is required to cope with the higher gas pressure that could be released
in other words a very heavy duty system that costs a lot more than a standard system

M

Wonder if fracking NZOs managements and the ardent noggers ossified brains would bring more worthwhile results???

[Balance]

Wonder if fracking NZOs managements and the ardent noggers ossified brains would bring more worthwhile results???

Thanks for that laugh this morning.

I sense Digger is finally nodding?

:D :D :D

[Banksie]

Does the annual report come out this week? I can't see anything on NZX, seem to me it would be a useful thing to publish, expected reporting dates.

[tim23]

Tomorrow I think I read.

[digger]

Does the annual report come out this week? I can't see anything on NZX, seem to me it would be a useful thing to publish, expected reporting dates.

Come to the Ellerslie Race Club tomorrow at midday and find out. Investor briefing to coincide with the preliminary results and followed by questions.

[Balance]

Question 1 - how did management and directors make so many dud investments in the last 5 years while they creamed millions of dollars in fees, salaries, benefits and traveling expenses.

Other questions to follow once NZOG answers question 1.

[tim23]

I guess you know its a dud in hindsight and you appear to have plenty of that.

[Balance]

I guess you know its a dud in hindsight and you appear to have plenty of that.

Can't help it if I have been warning you all about the dud management and directors for as long as I can remember - especially their gross mismanagement of Pike River.

If that is hindsight, I am super proud of my hindsight vs the foresight of you lot backing this dud lot.

And especially for your benefit, question 2 - why has NZOG still not apologized for the Pike River disaster?

[tim23]

They were the majority shareholder (and granted promoter of the IPO), they stumped up plenty of $ as I recall when the disaster struck. So by your logic if something goes bad at Turners then Dorchester Pacific are responsible?

[Balance]

They were the majority shareholder (and granted promoter of the IPO), they stumped up plenty of $ as I recall when the disaster struck. So by your logic if something goes bad at Turners then Dorchester Pacific are responsible?

This has been well covered - not only by me but by the likes of Brian Gaynor, Fran O'Sullivan and Rebecca Macfie, and backed up by Judge Farish.

But for your benefit so you get on the right side of the eternal values of morality and decency, NZOG was more than a majority shareholder - NZOG was involved in all aspects of the formation, running and financing of Pike River.

You are associating yourself with the directors and management seconded from NZOG to Pike River who were slammed for a 'total lack of remorse'. If that makes you feel good about yourself, then by all means embrace that which is indefensible in the eyes of many.

[digger]

This has been well covered - not only by me but by the likes of Brian Gaynor, Fran O'Sullivan and Rebecca Macfie, and backed up by Judge Farish.

But for your benefit so you get on the right side of the eternal values of morality and decency, NZOG was more than a majority shareholder - NZOG was involved in all aspects of the formation, running and financing of Pike River.

You are associating yourself with the directors and management seconded from NZOG to Pike River who were slammed for a 'total lack of remorse'. If that makes you feel good about yourself, then by all means embrace that which is indefensible in the eyes of many.

Ok have your say tomorrow then . See you there.Cheers.

[tim23]

Balance - have you ever raised the issue of mining inspection by Dept of Labour if it was adequate, frequent etc?

[Balance]

Balance - have you ever raised the issue of mining inspection by Dept of Labour if it was adequate, frequent etc?

Tim23, primary responsibility for mine safety was with management - not mining inspector.

That is a red herring trying to shift the blame to somebody else.

Would you hold the police responsible for a driver who kills 10 people on the road because he chooses to ignore safety regulations and considerations and drives a car without WOF, has bald tires, faulty brakes and headlights which are not working.

Pike River management ignored safety concerns and took safety shortcuts - all very well documented.

[Balance]

Ok have your say tomorrow then . See you there.Cheers.

Seriously, Digger - do you not get tired going to these briefings and AGMs, and listen to the same tripe year after year?

I will not take excerpts from these briefings and AGMs but every year was going to be the best yet.

I vividly remember one shareholder excitedly reporting back from one meeting that he was personally assured there was not going to be any more capital raising for Pike River - 5 months before the mine blew up. We now know NZOG was in the process of organizing yet another capital raise for Pike then!

I prefer to let the track record of the company and its management speak for itself - dud investments, dry holes, squandering shareholders' wealth and as of today, market cap is less than the funds raised by NZOG from shareholders over the last decade!

Best example is of course 'PPP'. Distribute it, buy it back when there were plenty of other assets to buy and watch the wealth dissipate.

[barleeni]

I prefer to let the track record of the company and its management speak for itself

Good advice - I trust your post #14627 will be the last we see from you on this thread then?

[Balance]

No increased dividends - sorry boys.

Gotto keep the exploration program going, see?

Gotto keep the carrot of a potential huge oil and gas find dangling in front of those methane smelling mushrooms (oops, nodders)?

How to justify the huge salaries and options granted to directors and management otherwise?

[Banksie]

No increased dividends - sorry boys.

Gotto keep the exploration program going, see?

Gotto keep the carrot of a potential huge oil and gas find dangling in front of those methane smelling mushrooms (oops, nodders)?

How to justify the huge salaries and options granted to directors and management otherwise?

Another insightful and useful post from balance.

Some of the highlights from the announcement:

Production up 26%
Revenue up; operating cashflow up 62% to NZ$88 million

Two successful wells were drilled during the year.
Two unsuccessful wells were plugged and abandoned.

NZO share of the Tui asset from 12.5 percent to 27.5 (cost of the acquisition has already been recovered from additional production)

The successful royalty renegotiation with Genesis Energy, means there should be similar success with Origin Energy.

Investment decision on Kisaran expected before the end of 2014.

[digger]

Seriously, Digger - do you not get tired going to these briefings and AGMs, and listen to the same tripe year after year?

I will not take excerpts from these briefings and AGMs but every year was going to be the best yet.

I vividly remember one shareholder excitedly reporting back from one meeting that he was personally assured there was not going to be any more capital raising for Pike River - 5 months before the mine blew up. We now know NZOG was in the process of organizing yet another capital raise for Pike then!

I prefer to let the track record of the company and its management speak for itself - dud investments, dry holes, squandering shareholders' wealth and as of today, market cap is less than the funds raised by NZOG from shareholders over the last decade!

Best example is of course 'PPP'. Distribute it, buy it back when there were plenty of other assets to buy and watch the wealth dissipate.

Balance if you really believed in the damaged and responsibility NZO had in PIKE you would be there saying so. Do not expect me or anyone else to bring it up on your behalf.

As for PPP it is very much another company like PIKE that NZO has invested in that under our corporate laws large shareholders have no more say in than any other shareholder. PPP just like PIKE makes sets its own path. Again if you have some issues here this breifing is a place to bring them up. Very little point in just going on here on sharetrader. A wider audience needs to hear your your ideas.
See you in a few hours then.

[Balance]

Production up 26%
Revenue up; operating cashflow up 62% to NZ$88 million

Two successful wells were drilled during the year.
Two unsuccessful wells were plugged and abandoned.

NZO share of the Tui asset from 12.5 percent to 27.5 (cost of the acquisition has already been recovered from additional production)

The successful royalty renegotiation with Genesis Energy, means there should be similar success with Origin Energy.

Investment decision on Kisaran expected before the end of 2014.

You forgot to add :

Cash reserves running down.

Whatever happened to the hundreds of millions of dollars of lovely new capital they raised from shareholders - a lot of which were at $1.80.

[digger]

The biggest negative for NZO was even when succesfull events turn up to screw it up. Now I am talking about Pateke H -4. That well probably had 4 million by my reasoning but due to crew failure and the old rig the job the Tan Can took on did not get completed.To add insult the drillers seem to think that their failure can be expensed entirely against the drilling companies. This is madness and a complete reward for failing to do the job properly.
AK did say at the meeting in responce to my question that discussions were taking place about this matter. I also heard that the drilling operator did not return the job the following day or since. Plenty of quilt there. My point is that most of my life I have been around machinery and failure occurs about 66% of the time from operator,with useless operarors always blaming the machinery.
I have also been told that we are unlikely to the TIN CAN again.
No another matter the Kisaran project has not yet got the go ahead ,but has a more than 50% probability from what I am hearing. Will know by year end.

[ziggy415]

must admit the level of cash was bit dissappointing but i guess they swapped cash for more reserves in pateke so not all backward steps this year

[fabs]

One can only say the boundless optimism of noggers, matches the guy falling from a 15 story building, shouting to a startled women on the 6th floor balcony, " I am all-right so far "
as he hurtled past.

[ziggy415]

[QUOTE=fish;494117]

Yes its worth a gamble if it pans out that way.
Also may have done the right thing selling at 80 cents plus, especially if you bought them for under
76c and had them for at lest 3 years.
Way to go.
72 cents....its coming

[Bella52]

[QUOTE=fabs;494120]
72 cents....its coming

of course its getting to 72 cents it's what should happen when the company pays a dividend! you produce your asset, turn it into cash, give cash to shareholders, asset value goes down

[fish]

[QUOTE=digger;500945-glad you went to the meeting
Was there any discussion about any other drills or techniques that could extend the life of the tui field.
I know that years ago it was considered that the water drive was so high that fracking was not considered.
However new techniques are being used in the north sea to improve percentage of oil extraction.
As you believe with pateke its a shame to leave oil behind when so much has been put into finding it.
cheers

[digger]

One can only say the boundless optimism of noggers, matches the guy falling from a 15 story building, shouting to a startled women on the 6th floor balcony, " I am all-right so far "
as he hurtled past.


weak weak weak

[digger]

[QUOTE=fish;501022][QUOTE=digger;500945-glad you went to the meeting
Was there any discussion about any other drills or techniques that could extend the life of the tui field.
I know that years ago it was considered that the water drive was so high that fracking was not considered.
However new techniques are being used in the north sea to improve percentage of oil extraction.
As you believe with pateke its a shame to leave oil behind when so much has been put into finding it. Quote


Yes that was discussed at the Hamilton presentation about 5 weeks ago.Enhanced oil development is possible but as we did not put in place the means of doing so when TUI was first developed it will now cost us money. If that is economic is still being discussed. For now it is Pateke and there we will leave behind a far amount of oil. Do we drill it again after the TIN CAN failure to drill it as agreed in the first place.

[ziggy415]

[QUOTE=ziggy415;500975]

of course its getting to 72 cents it's what should happen when the company pays a dividend! you produce your asset, turn it into cash, give cash to shareholders, asset value goes down
just doing a nostradumass impression for fabs.....dont know if 3 cent divvy will drop it that far but i can see weakness in sp...just ask balance:D

[Balance]

[QUOTE=Bella52;501006]
just doing a nostradumass impression for fabs.....dont know if 3 cent divvy will drop it that far but i can see weakness in sp...just ask balance:D

Why ask me?

Director just sold 1m shares (all of his shareholding in fact) at 78 cents so that gives a fair indication of where he thinks the sp is heading.

Certainly means to me that he does not think Zeta is going to be making any kind of takeover once they have been forced fed 19.9999% of NZOG by all the other institutions fleeing the scene.

[lambton]

[QUOTE=ziggy415;501026]

Why ask me?

Director just sold 1m shares (all of his shareholding in fact) at 78 cents so that gives a fair indication of where he thinks the sp is heading.

Certainly means to me that he does not think Zeta is going to be making any kind of takeover once they have been forced fed 19.9999% of NZOG by all the other institutions fleeing the scene.

It was a closely held coy of the Director that sold and disclosed the $1m trade at $780k which begs the question does the Director in q own options in own name or other entities he or she might control?

[Hawkeye]

http://www.nbr.co.nz/article/nz-oil-and-gas-mucks-annual-figures-cs-p-161834

[Sideshow Bob]

http://www.nbr.co.nz/article/nz-oil-and-gas-mucks-annual-figures-cs-p-161834

Hawk eye, for those without a subscription, what does this say? Thanks.

[Bella52]

Hawk eye, for those without a subscription, what does this say? Thanks.

it refers to the release yesterday morning correcting the parent company accounts

[digger]

Hawk eye, for those without a subscription, what does this say? Thanks.

What it say depends on which side you want to see. For me on the positive leaning it says that one company gets another 11 million. Balance would tell you from the negative world that one company gets 11 million taken away. So all it was was an internal accounting where the accountants did not get it correct by a slip of the pen and are now putting it right. This requires a shift of funds from one NZO company to another NZO company,total effect is neutral.

[digger]

Sounds like SPV accounting. Sure they don't have something to hide knowing their history?

If you had something to hide do not make this type of mistake then have to given a public correction,whereby calling attention to the matter.

[tim23]

I see Zeta have taken a stake in PPP, does anyone think will NZO make takeover for PPP?

[ziggy415]

I see Zeta have taken a stake in PPP, does anyone think will NZO make takeover for PPP?
just wonder if the ppp directors shares came up a bit soon for nzo...buying them would take nzo over the 20% holding and requiring full takeover of PPP.....zeta buys them for 6 cents ...er ah was that 9 cents and when nzo are ready buys them off zeta for an inflated price then makes full takeover for PPP....and thats from a plumbers perspective and not a finance guru

[ziggy415]

Gordon Gecko going to suck the life out of NZO then eh?

"Blue Horseshoe loooooves NZO (blood)" ;)
was :confused: gordon a plumber

[Balance]

just wonder if the ppp directors shares came up a bit soon for nzo...buying them would take nzo over the 20% holding and requiring full takeover of PPP.....zeta buys them for 6 cents ...er ah was that 9 cents and when nzo are ready buys them off zeta for an inflated price then makes full takeover for PPP....and thats from a plumbers perspective and not a finance guru

What did NZOG paid to increase their stake in PPP a few years ago?

And now they are not willing to buy a 10% plus stake at 6c.

Tells you how great (sarcasm) the directors and management are at making investments and picking winners.

[fish]

[QUOTE=tim23;502549]I see Zeta have taken a stake in PPP, does anyone think will NZO make takeover

Possibly-at the right price would add value to nzo.
NZO itself imo is ripe for takeover.
Zeta has invested heavily in nzo so clearly must see value in this investment and likely will have a plan to maximize value.
I just wish I knew.
?ideas?

[Xerof]

Merge, cut out one lot of overheads, fresh board

??

[fish]

[QUOTE=Xerof;502585]Merge, cut out one lot of overheads, fresh board

Would make a lot of sense

[tim23]

Price at 80c highest for a few weeks?

[bunter]

Director Finlay sold $780,000 worth, cum dividend, on 2/9/14. Bad sign.

[tim23]

You don't know he might need it to buy a property?

[tim23]

You don't know he might need it to buy a property?

[fish]

Director Finlay sold $780,000 worth, cum dividend, on 2/9/14. Bad sign.

You don't know what you don't know.
I don't know what is happening atm.
If a director sells 780,000 shares and the share price rises that is a very good sign .

[tim23]

Right Fish, share price has firmed since, 1st close at 80c for a while!

[Balance]

https://www.nzx.com/companies/NZO/announcements/254990

Only buyer keeps buying.

A few more million shares and Zeta will reach 20% with no ability to go beyond that.

Who will support the share price then?

Timberrrrrrrrrrrr!

[digger]

https://www.nzx.com/companies/NZO/announcements/254990

Only buyer keeps buying.

A few more million shares and Zeta will reach 20% with no ability to go beyond that.

Who will support the share price then?

Timberrrrrrrrrrrr!


Maybe Zeta have a plan. Or is it possible that one company could buy 20% of another with no idea what they are doing. Got to go away and think on that one.

[Queenstfarmer]

Approximately 4 million shares were purchased by Zeta. Do you know what the price was Balance???
I see the SP opened at 80 cents and as of half an hour ago had gone up to 80.5 on 50,000 shares traded....now back to 80?
Zeta had nothing to do with that small activity. Love to know what Zeta actually paid...my guess is less than 80 cents. Thoughts??

[bunter]

If a director sells 780,000 shares and the share price rises that is a very good sign .

Could be because the director knows something. Could be because the director knows nothing. Could be the director isn't very wealthy and needs the money.
All are bad signs IMO.
Copying directors' trades is a proven successful strategy.

[Balance]

Maybe Zeta have a plan. Or is it possible that one company could buy 20% of another with no idea what they are doing. Got to go away and think on that one.

NZOG's purchase of PPP's shares?

And investment into Tunisia?

Did NZOG have an idea of what it was doing?

[micket]

2 nzo directors gone scofham and foley and one of two new ones from zeta. also ppp saves quarter mill bucks per year by getting by with one company secretary from now on

[Balance]

2 nzo directors gone scofham and foley and one of two new ones from zeta. also ppp saves quarter mill bucks per year by getting by with one company secretary from now on

A company secretary costs $250,000? The corporate largess and excesses within the NZOG world is mind boggling!

Penny wise and pound foolish - waste tens of millions of dollars drilling in wrong places, and save a few dollars on corporate costs?

[digger]

A company secretary costs $250,000? The corporate largess and excesses within the NZOG world is mind boggling!

Penny wise and pound foolish - waste tens of millions of dollars drilling in wrong places, and save a few dollars on corporate costs?

Where is the right place to drill Balance. Oh I forgot---where is oil is.

[bunter]

From today's director nominations announcement:
"Duncan Saville is a chartered accountant and chief executive of ICM Limited, a funds management group. Duncan is a director or associate of companies which collectively own or manage 18.3% of New Zealand Oil & Gas."
Rate him. Might hold after all.

[Balance]

From today's director nominations announcement:
"Duncan Saville is a chartered accountant and chief executive of ICM Limited, a funds management group. Duncan is a director or associate of companies which collectively own or manage 18.3% of New Zealand Oil & Gas."
Rate him. Might hold after all.

Same person who bought into ERG and the company went belly up.

[fabs]

Would be more impressed with hiring a descent Geologist, to many bean counters.
Did Foley use some of the money from sale of his holding to make good the losses from holding US $.

Did he really have a good track record as an expert on finance?
Or just in for an easy ride?

[bunter]

Long memory Balance.
He's been with Infratil a long time, and they seem to be well managed - from memory approx 18% return per annum for a decade. Maybe IFT could get interested in an oil and gas producing company.

[ziggy415]

is holding out for 3 cent divvy worth the risk of sp price fall.....will find out soon

[rbel038]

Would be more impressed with hiring a descent Geologist, to many bean counters.
Did Foley use some of the money from sale of his holding to make good the losses from holding US $.

Did he really have a good track record as an expert on finance?
Or just in for an easy ride?

Isnt the other nomination for Rosalind from the Engineering Science dept . Auckland uni? That would probably signal to some good collaboration between the University and NZO , maybe the young gun post-grad students can teach the NZO employees something extra about reservoir modelling.

[J R Ewing]

Long memory Balance.
He's been with Infratil a long time, and they seem to be well managed - from memory approx 18% return per annum for a decade. Maybe IFT could get interested in an oil and gas producing company.

IFT got burnt already with an NZ oiler. Austral Pacific, which was chaired by the IFT chairman, Newman. As sorry a tale of mismanagement as you would ever get. It's easy to go broke drilling dry wells but APX managed to go broke drilling wells full of gas and oil!

[fabs]

NZO management too full of GAS for that to happen.

[bunter]

Hmmm -bought some more today.
See how it goes.

[Balance]

http://www.nzherald.co.nz/opinion/news/article.cfm?c_id=466&objectid=11334252

NZOG's investment track record for all to see.

Excerpt : ""Pike needed the best of everything. It needed the best management, the best equipment, the best knowledge, the best data. It had none of that. Arguably it had the worst of everything."

Pike created fictional risk assessments and fictional mitigation, he said. It created documentation about ventilation controls that didn't exist."

NZOG invested and destroyed tens of millions of shareholders' wealth via cash injection one lot after another, in total denial that Pike River mine was a disaster.

Be afraid, be very afraid of the culture in NZOG.

[Hawkeye]

http://www.nbr.co.nz/article/icms-duncan-saville-seeks-spot-nzog-board-bd-163198

[Billy Boy]

ZETA with 19.53%y
Another 0.071% and Saville would be in regardless.
Correct ??
BB

[LIO]

Can anyone please tell me the story on imputation credits (or direct me to the relevant information)? Is the lack of imputation credits this year a temporary or a permanent change ?
Thanks.

[J R Ewing]

I just sold out of my last shares in NZO, having been a holder for about a decade. It has not been a successful investment overall for me but good luck to those that continue to hold.

[Hawkeye]

Reason for selling?

I only ask, as I have some and I have being ummming and ahhhing about selling (too much listening to Balance maybe)

[J R Ewing]

Reason for selling?

I only ask, as I have some and I have being ummming and ahhhing about selling (too much listening to Balance maybe)

These weren't the only shares I sold, I needed some cash for another opportunity. But NZO were among those cut because:

They have performed poorly, and I'm following the principle of selling the bad performers not the good ones.
I don't have any optimism left for drilling in NZ.
I don't have any confidence in the overseas investments. They appear at this stage to be a black hole into which we pour money but get no news in return.
There doesn't seem to be much to look forward to, IMO.

[fabs]

These weren't the only shares I sold, I needed some cash for another opportunity. But NZO were among those cut because:

They have performed poorly, and I'm following the principle of selling the bad performers not the good ones.
I don't have any optimism left for drilling in NZ.
I don't have any confidence in the overseas investments. They appear at this stage to be a black hole into which we pour money but get no news in return.
There doesn't seem to be much to look forward to, IMO.

Fair assessment, pretty much seemingly a ticket to nowhere.
Not a great deal of effort required by management to get way over the top money.
A bit of a con really.
S/H can look forward to more old repetitious stuff they will trot-out at the AGM

[BIRMANBOY]

Its oil exploration...not dairy farming...what did you expect? :confused:

[J R Ewing]

Its oil exploration...not dairy farming...what did you expect? :confused:

OIL and GAS

[BIRMANBOY]

LOL brings to mind the old story of the people who make the most in a gold rush are the prostitutes, tavern proprietors and guys who sell the shovels. However ...it could have been worse...they have been paying dividends which is more than can be said for a lot of oilers and miners.
OIL and GAS

[Billy Boy]

7.89% return on outlay !!! no Imp's sure, but that,s much better
than the banks who also have no Imp's.
BB

[fabs]

To get the maximum benefit from owning shares as dividend producers remember that it is important to not only buy at the optimum time but also not have to sell at a loss.
What is this share worth when the kitty is dry?

[digger]

Can anyone please tell me the story on imputation credits (or direct me to the relevant information)? Is the lack of imputation credits this year a temporary or a permanent change ?
Thanks.

Imputation credits only occur after the company has paid taxes. So we are very unlikely to see these credits in the near future as the company spent about 100 million on exploration so tax losses will be written off first before taxes are required to be paid. But cheer up the company will before year end announce the start up of the Kisaran production project. Oil will flow from this project for years to come.

[BigBob]

http://www.stuff.co.nz/business/industries/10608189/NZOG-shares-at-A50c

[fabs]

Imputation credits only occur after the company has paid taxes. So we are very unlikely to see these credits in the near future as the company spent about 100 million on exploration so tax losses will be written off first before taxes are required to be paid. But cheer up the company will before year end announce the start up of the Kisaran production project. Oil will flow from this project for years to come.

Digger can you factually substantiate such tremendous news?
Before one has to dispose it to the Waste-basket or dismiss it as the usual management hype that infects some S/Hs

[LIO]

Hi Digger, thank you for taking the trouble to answer my question re imputation credits. Lio.

[fabs]

Meanwhile SHARE-PRICE hitting a 3 year low of 70 cents and looks like trending downwards with all that good news to come.
One wonders how the S/Hs that opted for shares in lieu of cash dividends feel about that?
Mind, still enough cash in the kitty for generous remunerations gifted to management.
Not a socialist myself but. AREN'T THEY DOING WELL

[Casino]

I have to say that I'm very nervous at the moment. I am overweight in high-cost oil production and seeing oil prices as low as $70 being discussed is not good for my heart. What are people's strategies?

[Hawkeye]

I have to say that I'm very nervous at the moment. I am overweight in high-cost oil production and seeing oil prices as low as $70 being discussed is not good for my heart. What are people's strategies?

Sell and don't buy

[Balance]

Digger can you factually substantiate such tremendous news?
Before one has to dispose it to the Waste-basket or dismiss it as the usual management hype that infects some S/Hs

Haha - Digger has been on about all the great things coming and to come from NZOG for years.

Reality is the sp keeps heading south reflecting the lost opportunities by a company which has turned shareholders' l;ast major capital injection of $200m odd at $1.80 into 77c!

[ziggy415]

Meanwhile SHARE-PRICE hitting a 3 year low of 70 cents and looks like trending downwards with all that good news to come.
One wonders how the S/Hs that opted for shares in lieu of cash dividends feel about that?
Mind, still enough cash in the kitty for generous remunerations gifted to management.
Not a socialist myself but. AREN'T THEY DOING WELL
remember when i posted that shares will drop to 72 cents and i would back buy and you made some caustic comment how clever i was and how rich we would all be if we all sold high and bought low....now your espousing like it was your idea....me thinks you probably want to apologise to me now lol

[BigBob]

Haha - Digger has been on about all the great things coming and to come from NZOG for years.

Reality is the sp keeps heading south reflecting the lost opportunities by a company which has turned shareholders' l;ast major capital injection of $200m odd at $1.80 into 77c!

Another loss of balance, eh Balance... Cap raising was at $1.50 as you well know, and the all time high was about $1.80...

And while that's still pretty bad, NZO is not the only oil exploration company in the world trading down significantly from both of an all time high and a capital raising....

[ziggy415]

I have to say that I'm very nervous at the moment. I am overweight in high-cost oil production and seeing oil prices as low as $70 being discussed is not good for my heart. What are people's strategies?
hi casino, 2 choices...sell or hold and weather the storm....nzog divvy stream if it keeps going is not bad, indonesia will start pumping next year but how lucritif it will be is anyones guess....at $us70 american frakking wells will go broke so that may put a floor on the price but this new stance by saudi arabia and Iran of dropping the price instead of cutting production looks like they are going to protect their market share and take the opposition head on......in short...toss a coin

[digger]

Another loss of balance, eh Balance... Cap raising was at $1.50 as you well know, and the all time high was about $1.80...

And while that's still pretty bad, NZO is not the only oil exploration company in the world trading down significantly from both of an all time high and a capital raising....


What is really happening is a war in Ukraine The US has on other occasions created falling oil prices to force changes on the world markets whereby depriving certain govt of income.
The former USSR broke up in the 80 when the US and and the UK found oil and used it up to force down the world price. This deprived the USSR of its main income and caused the block to fracture. The US also used deprived Japan in WW2 of its access to oil.
So all world oil producers are now in some short term trouble. It has nothing to do with Management of NZOG. Sorry Balance but any action or inaction by NZOG is just not that important on the world scene.

[swissboy]

Distorting the facts a little. At that time Brent Crude was $ 180

[fabs]

NZOG Management must be loving you guys, all the way to the bank.


BTW: S/P never went anywhere when oil was $ 20.00 + higher, not so long ago.
Quite a few postings of mine over a long period stating that the S/P was to high at 77-79c
Due to a variety of reasons of which clueless management was one of the main ones.
My statement that buying low and selling high was a general reflection on how to do well with shares or anything, pretty elementary yes.
You must have made a fortune by now with shares ziggy, seeing your such a clever dick, just honestly tell us when you managed to do this again with NZOG
Have you really loaded up in the last few sessions or are you predicting a different entry price, in which case your first prediction is meaningless.
CHEERS

[Balance]

As predicted, Zeta has been holding up NZOG's sp and now, they cannot buy anymore without going to 50%.

Who is now going to support the sp?

[ziggy415]

must stop reading this thread...one day fabs is going to say something nice and positive and i will fall off my perch...chill brother chill

[dsurf]

You forgot to add :

Cash reserves running down.

Whatever happened to the hundreds of millions of dollars of lovely new capital they raised from shareholders - a lot of which were at $1.80.

$1.50 you are nodding off or is it alzheimers from too much methane

[ziggy415]

As predicted, Zeta has been holding up NZOG's sp and now, they cannot buy anymore without going to 50%.

Who is now going to support the sp?
Balance just a question..if someone like Milford asset were buying but for various, say, pension funds etc that they run are they still bound by the 20% rule

[Balance]

Balance just a question..if someone like Milford asset were buying but for various, say, pension funds etc that they run are they still bound by the 20% rule

20% applies.

20% to 50% is 'no-fly' zone.

[Balance]

$1.50 you are nodding off or is it alzheimers from too much methane

Sick joke, dsurf and typical of all those associated with NZOG's involvement in Pike River - pretending brain fade.

You know very well the connection between methane and the death of 29 miners.

[dodgy]

Hi guys
I live in Auckland and are unable to go to the Wellington AGM, which never seems to be held in Auckland for some reason. I would like any willing attendee to ask why doesn't Andrew Knight of Watchman Capital fame, not dispense with the outrageous and incompetent bunch of technocrats, that he boosted and hired most of, and then become an investment "Explorer" , coat-tailing on the various operators and partners expertise and hiring top line industry contractors for research on the rare occasion that they are needed? This company is economically resource poor and heading toward oblivion if serious steps are not implemented. That does not mean hairing all over the globe on junkets for pointless conferences and dodgy drilling quests . During Mr. Knights directorship reign / Ceo, the share price has headed fairly constantly South as the seemingly superfluous PR department blindly keeps churning out expensive "Explorer" nonsense whilst sponsoring a raft of pointless exhibitions and endeavors.
I would appreciate any fellow shareholder stepping up to the plate and then reporting to this forum.
Disc: Holding above 200000 NZO and watching my money going down the loo.

[Balance]

Hi guys
I live in Auckland and are unable to go to the Wellington AGM, which never seems to be held in Auckland for some reason. I would like any willing attendee to ask why doesn't Andrew Knight of Watchman Capital fame, not dispense with the outrageous and incompetent bunch of technocrats, that he boosted and hired most of, and then become an investment "Explorer" , coat-tailing on the various operators and partners expertise and hiring top line industry contractors for research on the rare occasion that they are needed? This company is economically resource poor and heading toward oblivion if serious steps are not implemented. That does not mean hairing all over the globe on junkets for pointless conferences and dodgy drilling quests . During Mr. Knights directorship reign / Ceo, the share price has headed fairly constantly South as the seemingly superfluous PR department blindly keeps churning out expensive "Explorer" nonsense whilst sponsoring a raft of pointless exhibitions and endeavors.
I would appreciate any fellow shareholder stepping up to the plate and then reporting to this forum.
Disc: Holding above 200000 NZO and watching my money going down the loo.

Maybe get out while you can. Zeta can still buy around 1.97m shares (based upon last SSH) before the 20% rule kicks in. Buy back after Zeta cannot support the sp any longer.

[digger]

Sick joke, dsurf and typical of all those associated with NZOG's involvement in Pike River - pretending brain fade.

You know very well the connection between methane and the death of 29 miners.

Not to worry. The govt is finally cleaning up its safety act that was the first cause of the pike accident. Look at NTL and how they are now closing the windows as the old mine is now a risk for the general public to use. Maybe a rock could fall and hurt someone---so off to the other extreme we go with safety.

[Balance]

Not to worry. The govt is finally cleaning up its safety act that was the first cause of the pike accident. Look at NTL and how they are now closing the windows as the old mine is now a risk for the general public to use. Maybe a rock could fall and hurt someone---so off to the other extreme we go with safety.

You cannot be more wrong, Digger - first cause of the Pike explosion (not accident) was blatant negligence and incompetence of management and directors.

We have plenty of road accidents resulting in deaths despite a raft of traffic and road safety rules - guess why? You cannot legislate against negligent and incompetent drivers.

[Casino]

Sell and don't buy

hi casino, 2 choices...sell or hold and weather the storm....nzog divvy stream if it keeps going is not bad, indonesia will start pumping next year but how lucritif it will be is anyones guess....at $us70 american frakking wells will go broke so that may put a floor on the price but this new stance by saudi arabia and Iran of dropping the price instead of cutting production looks like they are going to protect their market share and take the opposition head on......in short...toss a coin

It still doesn't make sense to me. Usually I pay attention and would have reacted sooner. But with the various conflicts I didn't see such a sharp drop coming. Not good.

[Xerof]

Without joining the NZO debate, I support the view that the price of oil is currently a 'weapon of mass destruction' targeting the economic well-being of Russia and IS, in order to help shape the desired outcomes in the Ukraine and Iraq/Syria war theatres for the 'west'

[BFG]

Without joining the NZO debate, I support the view that the price of oil is currently a 'weapon of mass destruction' targeting the economic well-being of Russia and IS, in order to help shape the desired outcomes in the Ukraine and Iraq/Syria war theatres for the 'west'

Interesting point, especially since JP, GS et al exited most commodity markets monthd ago...

Why you would buy or hold NZO after all the issues highlighted on here is beyond me. Cut your losses while you can...

[Balance]

Interesting point, especially since JP, GS et al exited most commodity markets monthd ago...

Why you would buy or hold NZO after all the issues highlighted on here is beyond me. Cut your losses while you can...

Ah - but there's always the carrot of a big oil or gas find just around the corner.

[zigzag]

Interesting point, especially since JP, GS et al exited most commodity markets monthd ago...

Why you would buy or hold NZO after all the issues highlighted on here is beyond me. Cut your losses while you can...

Maybe they waiting for a "dead moose bounce" ???

[flyingmariner]

Another loss of balance, eh Balance... Cap raising was at $1.50 as you well know, and the all time high was about $1.80...

And while that's still pretty bad, NZO is not the only oil exploration company in the world trading down significantly from both of an all time high and a capital raising....

No kidding, I bought Apache. You wanna see an ugly rout? Check that stock!

[youngatheart]

Ah - but there's always the carrot of a big oil or gas find just around the corner.

Why not just buy out AOR who own 15% of Mosman?http://www.brrmedia.co.uk/event/127895/partner/lse

[fabs]

Why not just buy out AOR who own 15% of Mosman?http://www.brrmedia.co.uk/event/127895/partner/lse

Yes i suppose any workable and beneficial suggestion by S/H to increase nett wealth for the co. and in the unlikely event if taken up by management and proven to be successful would be marvelous.
If it was not for the fact that the management would immediately lay claim to it by giving themselves a big pay rise.
What by the way are s/h really seeing in achieved wealth growth in the co. by the 22 individuals that are earning between $130000.00 - $720000.00 each???

As Dodgy
pointed out quite rightly in his post above engaging themselves in the dilettantish pursuit as per his comment--

the seemingly superfluous PR department blindly keeps churning out expensive "Explorer" nonsense whilst sponsoring a raft of pointless exhibitions and endeavors.

[Balance]

Can just sense Zeta running out of support firepower - 65 cents soon.

[Casino]

Can just sense Zeta running out of support firepower - 65 cents soon.

Zeta couldn't even keep XOM over $100 ;)

I reduced my deep-sea drillers. Waiting to see oil rise again. Holding on to NZO because of the capital they have.

[tim23]

Gee Balance - why do you care so much about this dreaded stock - did Tony Radford dud you in another life?

[neopoleII]

to be fair....... TR has dudded quite a few folks in his current life.
NZO is on its last legs.... like ppp ....another TR venture
but luckily NZO ..... with care ...... can/could survive and prosper.
its up to the new management to prove their salaries.

Read a story about Israel....... surrounded by oil rich nations and Israel has none........
then a bit of off shore luck and bang!..... mega massive gas finds and monetary salvation.
Some folks in the industry think NZ and NZO will have the same luck.
Place your bets...... I think is the saying

[Casino]

Submarines calling home from Stockholm. Fighter jets over Estonia. Feels like Putin is dismayed about the NZO share price too.

[digger]

Submarines calling home from Stockholm. Fighter jets over Estonia. Feels like Putin is dismayed about the NZO share price too.


Good one Casino. We all know including our good friend Balance that NZO SP would be much higher if not for this international conspiracy.

[Balance]

Good one Casino. We all know including our good friend Balance that NZO SP would be much higher if not for this international conspiracy.

Pike River tragedy happened because of the Labour Dept according to you so it figures you will think NZO sp is low because of international conspiracy.

Nothing to do with dry wells, gross mismanagement and fat cats of course.

[geezy]

Pike River tragedy happened because of the Labour Dept according to you so it figures you will think NZO sp is low because of international conspiracy.

Nothing to do with dry wells, gross mismanagement and fat cats of course.

i m out after holding for 8 years or so, i must say i m disappointed with the returns and i do think the management could have done better . But everythings perfect on hindsight isnt it?

good luck to all remaining holders

[pietrade]

to be fair....... TR has dudded quite a few folks in his current life.........

I'm interested to learn more - or is your comment an 'unbalanced' outburst?

Wotcha know mate?

[QOH]

i m out after holding for 8 years or so, i must say i m disappointed with the returns and i do think the management could have done better . But everythings perfect on hindsight isnt it?

good luck to all remaining holders

I got out a few months ago after being in for years, it's been a liberating feeling.

[Balance]

I got out a few months ago after being in for years, it's been a liberating feeling.

Can just feel Digger seething in the background - you traitor!

Just wait until NZOH strikes the big one - just as it has been promising since 25 years ago.

[tim23]

Balance you forget Kupe & Tui and the fact that a divvy has been aid for last 5 years at least; so your 25 years statement is a bit inaccurate I think?

[Balance]

Balance you forget Kupe & Tui and the fact that a divvy has been aid for last 5 years at least; so your 25 years statement is a bit inaccurate I think?

Kupe & Tui do not qualify as the big one brought up often as the big carrot for the likes of Digger to chase after.

Dividend? Sp is now half what $180m worth of poor buggers paid at $1.50 a few years ago.

[tim23]

Balance - you might be right about sp but you can't ignore the dividends, they are real, I know I've been getting them in my bank account for a while!
Kupe & Tui - significant in my opinion.

[Balance]

Balance - you might be right about sp but you can't ignore the dividends, they are real, I know I've been getting them in my bank account for a while!
Kupe & Tui - significant in my opinion.

Dividends? Give me a boring solid stock like AIA - great dividends, year after year, and an appreciating sp.

NZO's dividends are real alright - as real as the loss of capital in a declining sp, reflecting the gross mismanagement.

[macduffy]

To give NZO their due credit, they are one of a handful of Aust and NZ oilies that have paid fairly regular dividends in recent years - and probably the smallest of those companies that have managed to do so. Most such companies plough any revenues into the drill in the hope of finding a bonanza - and sooner or later fade from the scene or get taken over. I don't hold NZO, never have, but if I did I wouldn't be looking for a regular dividend income from them.

[MAC]

If we may think the price of oil is low now, contemplate fusion reactors coming on stream within a decade, fission was never scalable, if fusion becomes so there should probably be a crap load of Arabs looking for work one should expect …....

https://cosmosmagazine.com/technology/lockheed%E2%80%99s-fusion-project-breaking-new-ground

http://www.lockheedmartin.com/us/products/compact-fusion.html

The world was once wind powered, then coal fired, presently oil fired, soon fusion powered ?


http://www.youtube.com/watch?v=UlYClniDFkM#t=142

[Joshuatree]

Just listened to opposing views. One talking about locheed martins Fusion tech making Oil redundant(in next 10 years) and lower oil to come this year as the trend shows . The other view is that the Countries with the reserves Saudi , Russian etc need re $90 to $105 a barrel otherwise they are stuck between a rock and a hard place financially so they will start reducing production. USA production will quickly fallaway production wise and China expects to double car numbers by end of decade followed by rest of asia increasing hugely esp india. No mention of Electric vehicles etc.

[GTM 3442]

Fusion power? Oh come on.

I have spent most of my adult life listening to people explaining (always very earnestly) that fusion power is "just round the corner", and that it will produce electricity that's "too cheap to meter".

We have never come to the corner, let alone gone round it. And I'm pretty sure that the place I live has an electricity meter.

As regards oil, well who knows. Fusion implies electricity, leading to electric transportation of some kind, with a gradual decline in the use of oil as a transport fuel.

However 3D printing implies increased demand for oil as the feedstock for the chemical/plastics industry - all those little personal "3D plasticjets" (or whatever) busily whirring away in homes across the land.

Waiting with interest - watching the swings and roundabouts - but not holding my breath.

[MAC]

Fusion power? Oh come on.

I have spent most of my adult life listening to people explaining (always very earnestly) that fusion power is "just round the corner", and that it will produce electricity that's "too cheap to meter".

We have never come to the corner, let alone gone round it. And I'm pretty sure that the place I live has an electricity meter.

As regards oil, well who knows. Fusion implies electricity, leading to electric transportation of some kind, with a gradual decline in the use of oil as a transport fuel.

However 3D printing implies increased demand for oil as the feedstock for the chemical/plastics industry - all those little personal "3D plasticjets" (or whatever) busily whirring away in homes across the land.

Waiting with interest - watching the swings and roundabouts - but not holding my breath.

It's certainly a few years away, plenty of time for us all to rotate from oil stocks to anything fusion.

I do wonder though if a point in time will come when new oil and gas projects will have to be justified on shorter less profitable time horizons. A 20 or 30 year NPV cost benefit may become a little more speculative than as at present.

The interesting aspect is more that the private sector engineers are running with it now, the lap boffins in white coats are more interested in presenting papers than commercial results, when companies like lockheed martin get involved it tends to start a private sector race.

Wouldn't be at all surprised if the likes of Siemens, Alstom, Areva and maybe GE have something cooking also.

[arjay]

Fusion power, if it ever arrives, certainly won't be 'too cheap to meter'. We already have power generated from free water that falls from the sky, but somehow all those infrastructure costs add up so something that the market can just bear. No doubt Fusion Power Inc will have a batch of shiny-trousered-ones requiring bonuses just like the rest of the energy industry.

[GTM 3442]

Fusion power, if it ever arrives, certainly won't be 'too cheap to meter'. We already have power generated from free water that falls from the sky, but somehow all those infrastructure costs add up so something that the market can just bear. No doubt Fusion Power Inc will have a batch of shiny-trousered-ones requiring bonuses just like the rest of the energy industry.

Such cynicism in one so young!!!

If the carbon dioxide global warming scenarios are right, then most of the worlds oil and gas reserves will be unburnable, and so will need to be valued according to a completely different model.

The value of oil will be as an input to non-combustible products such as plastics, lubricants, fertilizer and the like.

Which is somewhat different to a value based on fuel for transport, heating, or power generation.

Still valuable, but just how valuable, we don't (and can't) know.

[MAC]

It may become politically more tenable for governments to adopt carbon taxes also at a time when they get a sniff of an alternative like fusion becoming probable.

Not saying that I agree with carbon taxes necessarily, but I could well imagine them being picked up and run with if a probable real alternative was available.

Still, even if a fusion prototype is delivered in less than five years, it would still be a few years before there was enough inertia in making it mainstream, but if or when it is available, one could assume that carbon taxes would probably be set to make fusion nicely economic over oil and gas.

If all that is going to start within let’s say the next ten years, it must soon start to make new oil and gas projects come a bit more under focus. At least ‘alternate energies’ and carbon taxes might start to make it higher up the risk registers.

[digger]

15 cents capital distribution in the wind. See stock releases.
Now would be a good time to pick up some of those 65 cents shares Balance promised us a week ago.

[digger]

15 cents capital distribution in the wind. See stock releases.
Now would be a good time to pick up some of those 65 cents shares Balance promised us a week ago.

[bunter]

"Capital management
The company has a robust balance sheet with no debt, and in the near term we expect increasing cash flows from increased levels of production at Tui.
Consequently, our cash on hand will grow well beyond what the business requires for its planned activities.
Accordingly, with a view to improving the balance sheet performance of the company the board has resolved to make a capital reduction equal to 15 cents per share, which equates to approximately $60 million. The details of this will require approval from shareholders and an extraordinary meeting will be held promptly – hopefully before Christmas.
Dividends
While our cash flows will be strong, the company is not in a tax-paying position. This is largely a consequence of New Zealand exploration expenses being immediately tax deductible. We are not generating imputation credits. Consequently the board does not expect to declare dividends for the near term."

Signs of intelligence...

1) no I/C available, so use the cash to make a tax-free capital return
No divs but perhaps there will be scope for more capital return (not sure how much is available to return).
2) The CEO's address was not garbled - someone must have proof-read it.

New directors making a difference already?

[Mr Tommy]

Wow, they could have used that $60m to buy the Kan Tan IV and we could have sunk it for a diving reef.

[Balance]

Wow, they could have used that $60m to buy the Kan Tan IV and we could have sunk it for a diving reef.

:D

No more dividends.

Usual move by new shareholder of Zeta's ilk - extract a capital repayment when things are headed in wrong direction.

[Balance]

15 cents capital distribution in the wind. See stock releases.
Now would be a good time to pick up some of those 65 cents shares Balance promised us a week ago.

Notice how it was one big yawn as far as this forum is concerned?

Paying back 15c of the $1.50 taken off shareholders a few years ago and canceling future dividends is good news?

[digger]

Notice how it was one big yawn as far as this forum is concerned?

Paying back 15c of the $1.50 taken off shareholders a few years ago and canceling future dividends is good news?

Now Balance you would not be fudging the statistics would you. As you well know the 15 cents and the $1-50 are equal.
The 15 cents are per share and the $1-50 was on something like 1 for 10. There was also some dividends on the share at $1-50 and some opportunity chances that in the drills since we might hit the big one.


Have you got any of those 65 cents share to sell from last week????

[bunter]

15c capital payment is equivalent to 20.833c of dividends, allowing for tax.

That's 3.5 years of dividends (@6c per annum) - paid right now.

And maybe there will be ANOTHER capital return from Tui / Kupe cash. Or perhaps they'll resume dividend payments.

Plus - any share price increase from a strike will be bigger in percentage terms.

I don't see how swapping the dividends for a capital payment is bad news.
The opposite.

Mr Saville's idea, I bet.

[fish]

Agree bunter-probably Saville"s idea and could be repeated annually until accumulated tax loses are used up.
So much better for shareholders than dividends-don't forget they have a lot more in the bank-a lot in us dollars-which could be paid out next year and thereafter until imputation credits are available.

[barleeni]

Balance I think you've made it pretty clear your not a fan of NZOG, and similarly it appears you've got a lot against CC over on the CRP thread. But do we have to hear about it over and over again? im not sure what you hope to achieve with the constant negative campaigning your undertaking, could you enlighten me please?

[Balance]

Balance I think you've made it pretty clear your not a fan of NZOG, and similarly it appears you've got a lot against CC over on the CRP thread. But do we have to hear about it over and over again? im not sure what you hope to achieve with the constant negative campaigning your undertaking, could you enlighten me please?

Pike River - 29 deaths, no remorse, no apology.

Destruction of shareholders' wealth.

Gross mismanagement.

Posters here who think it's all somebody else's fault.

Please go back and read.

[barleeni]

Pike River - 29 deaths, no remorse, no apology.

Destruction of shareholders' wealth.

Gross mismanagement.

Posters here who think it's all somebody else's fault.

Please go back and read.

My question was more along the lines of what do you hope to achieve with your posts, rather than asking you to re-iterate the subject matter of your posts as you have done. I think someone mentioned a while ago that perhaps you could start a dedicated thread to discuss what it is you want to discuss rather than trying to discuss it on the NZOG thread?

[Balance]

My question was more along the lines of what do you hope to achieve with your posts, rather than asking you to re-iterate the subject matter of your posts as you have done. I think someone mentioned a while ago that perhaps you could start a dedicated thread to discuss what it is you want to discuss rather than trying to discuss it on the NZOG thread?

A constant reminder, especially to any newie, of some of the sort of people associated with NZOG.

That's part and partial of assessing investments and investment risks.

You have a problem with that?

[tim23]

Give it up balance!

[digger]

Pike River - 29 deaths, no remorse, no apology.

Destruction of shareholders' wealth.

Gross mismanagement.

Posters here who think it's all somebody else's fault.

Please go back and read.


The Pike sort of accident is now very unlikely to happen for decades as the govt has rightly tightened up on mining requirements.Perhaps in 20 years or so other govts will get slack again which is the root cause of this tragedy,but for now little point in going on about it.
In the mean time where are those 65 cent shares?????

[Balance]

The Pike sort of accident is now very unlikely to happen for decades as the govt has rightly tightened up on mining requirements.Perhaps in 20 years or so other govts will get slack again which is the root cause of this tragedy,but for now little point in going on about it.
In the mean time where are those 65 cent shares?????

Root cause is gross mismanagement.

Plenty of traffic rules, regulations and requirements and still hundreds of road deaths a year - whose fault?

See what I mean by posters/management who try to blame others for Pike River?

[blackcap]

I don't really get the excitement of a capital return. It does not add wealth to shareholders, in fact all it does is diminish your investment in said company. All that is happening is the pie has become smaller by 15 cents per share and when the company goes ex-capital distribution, the shareprice will drop by 15 cents. Why put a capital injection (invest) into the company in the first place only for the company to pay it back to you again? It does not make sense. Fair enough if the company has spare cash but I thought the whole deal with NZOG was to find new oil and explore? So they are doing the opposite of a capital raising. Wasn't this done a few years ago? I cannot reconcile the two.

[fabs]

I don't really get the excitement of a capital return. It does not add wealth to shareholders, in fact all it does is diminish your investment in said company. All that is happening is the pie has become smaller by 15 cents per share and when the company goes ex-capital distribution, the shareprice will drop by 15 cents. Why put a capital injection (invest) into the company in the first place only for the company to pay it back to you again? It does not make sense. Fair enough if the company has spare cash but I thought the whole deal with NZOG was to find new oil and explore? So they are doing the opposite of a capital raising. Wasn't this done a few years ago? I cannot reconcile the two.

Basically agree with you Blackcap.

S/p lucky to fall only by 15c
This with the nearly 10 years ago planned and now reinvented intention of looking for opportunities==Tunisian adventure & buying into ppp capers etc, spring to mind.
Lack of expertise then as now of taking advantage of window of opportunitys.
Plus fall of S/Ps in oil stocks around the world may lead to fall of S/P where chances of cheap T/O can arise.
Coincidence or Design?
Time will tell.

[Balance]

I don't really get the excitement of a capital return. It does not add wealth to shareholders, in fact all it does is diminish your investment in said company. All that is happening is the pie has become smaller by 15 cents per share and when the company goes ex-capital distribution, the shareprice will drop by 15 cents. Why put a capital injection (invest) into the company in the first place only for the company to pay it back to you again? It does not make sense. Fair enough if the company has spare cash but I thought the whole deal with NZOG was to find new oil and explore? So they are doing the opposite of a capital raising. Wasn't this done a few years ago? I cannot reconcile the two.

Admission of gross mismanagement and failure to add any value to the hundreds of millions of dollars entrusted to directors and management.

Go back over the last decade and NZOG's market cap today is less than the sum of capital raisings done by the company.

Same company which is happy to blow tens of millions in misadventures, bad investments, consultancy fees, travel expenses etc etc , but will not do the decent, moral and right thing by the families of the 29 dead miners.

[Beagle]

SP was $1.20 back in the 1980's and they've paid very few dividends in the last 30 years. All they've done is squander the cash flow from Kupe. Might as well return all the capital and put in pace a small admin team to repay all future cash flow from Kupe and wind up what has been arguably one of the poorest performing companies on the NZX of all time.

[J R Ewing]

SP was $1.20 back in the 1980's and they've paid very few dividends in the last 30 years. All they've done is squander the cash flow from Kupe. Might as well return all the capital and put in pace a small admin team to repay all future cash flow from Kupe and wind up what has been arguably one of the poorest performing companies on the NZX of all time.

The sad reality is that what you suggest might just be the best strategy. The basic problem has been dry wells, far too many of them. NZO have had a fair crack at a number of the best prospects in Taranaki. But if the oil isn't there, what's the point of drilling more holes?

[bunter]

a capital reduction equal to 15 cents per share, which equates to approximately $60 million.

NZO FY 2014 share capital was 378m and net assets 342m.
So they can pull this trick a few more times - repay another 75cps in time, funds permitting, and subject requirements of prudent management etc.

[Beagle]

The sad reality is that what you suggest might just be the best strategy. The basic problem has been dry wells, far too many of them. NZO have had a fair crack at a number of the best prospects in Taranaki. But if the oil isn't there, what's the point of drilling more holes?

Exactly. Add in blatant squandering like their foray into Tunisia, WTF was that all about ??? Management just wanting to enjoy some first class travel ?
Just imagine how many dividends NZO shareholders could have received if they'd just stopped the abhorrent waste of money straight after Kupe was commissioned ?
With their track record the best thing they can now do is return capital. As I suggested years ago, if you were a world class geologist or engineer why would you be working for NZO ?, which begs the question of the calibre of the staff doesn't it !! Certainly their track record does that without any doubt. Shareholders should be well pleased to be getting 15 cps back, that's less money very poorly performing management can waste !!
Disc, sold this pup years ago.

[fish]

I don't really get the excitement of a capital return. It does not add wealth to shareholders, in fact all it does is diminish your investment in said company. All that is happening is the pie has become smaller by 15 cents per share and when the company goes ex-capital distribution, the shareprice will drop by 15 cents. Why put a capital injection (invest) into the company in the first place only for the company to pay it back to you again? It does not make sense. Fair enough if the company has spare cash but I thought the whole deal with NZOG was to find new oil and explore? So they are doing the opposite of a capital raising. Wasn't this done a few years ago? I cannot reconcile the two.

Its exciting because it shows that the company has changed direction and is making a start to reward its shareholders in the most "savvy" tax efficient matter.
They have enough money and income to repeat this process many times.
Future income including extra pateke reserves,kupe royalties and likely Indonesian returns will pay for planned exploration

[Balance]

Its exciting because it shows that the company has changed direction and is making a start to reward its shareholders in the most "savvy" tax efficient matter.
They have enough money and income to repeat this process many times.
Future income including extra pateke reserves,kupe royalties and likely Indonesian returns will pay for planned exploration

Reward its shareholders by paying back some of the capital after losing the rest?

Starting to sound like Fisher Funds - heads they win management fees, tails they win even more management fees!

[bunter]

Reward its shareholders by paying back some of the capital after losing the rest?
What's done is done. What's the best thing to do now?
Is a capital repayment a bad idea? Why? What should the board do instead?

[arjay]

SP was $1.20 back in the 1980's and they've paid very few dividends in the last 30 years. All they've done is squander the cash flow from Kupe. Might as well return all the capital and put in pace a small admin team to repay all future cash flow from Kupe and wind up what has been arguably one of the poorest performing companies on the NZX of all time.

$1.20? My recollection is that NZO didn't crack $1 until this century? Spent much of the 80s and 90s floating between 30c and 50c didn't it??

[fish]

What's done is done. What's the best thing to do now?
Is a capital repayment a bad idea? Why? What should the board do instead?

No point asking someone who is so twisted that he can only regurgitate the past.
We have new management,new investors-notably Zeta-and they are going to ensure that investors are getting a fair return for the risks of investing in a gas/oiling company.
Cash flow is $100 million p.a. and likely to increase so no need to keep such big cash reserves-time instead for shareholders to be rewarded.

[blackcap]

Cash flow is $100 million p.a. and likely to increase so no need to keep such big cash reserves-time instead for shareholders to be rewarded.

Are you saying that free cash flows are 23.7 cps per annum and increasing? So if I buy at 77 cents today my investment will be paid back in about 3-4 years. Thanks.. will definitely be buying if that is the case.
But in all seriousness, what do you mean when you state that "Cash flow is $100m p.a"? Serious question.

[digger]

What's done is done. What's the best thing to do now?
Is a capital repayment a bad idea? Why? What should the board do instead?

It seems Bunter you have put the best question.
At the last Auckland presentation I had a good chance to talk with the directors present.For a long time measured in decades I have been the most active in promoting drilling. After the TIN CAN -iv junk of this year I see that drilling for success is a heaven only for the drillers if the TIN Can is all we can get. In fact I have just been reading about the Shale driller in the US and they are going on about how their drilling cost are falling while ours are rising at an expotential rate using the TIN Can junk. So I had no trouble putting my views to all directors present that after this years drilling we have to look beyond drilling for success or wait until better rigs and better new technology is available.The directors seem to be agreeing. For sure Balance is right we will just go broke letting the TIN Can set whatever drilling cost they chose. We have done much better in Indonesia than in NZ. Even where we had success in NZ with Pateke the drillers ended up turning it into a sort of failure by only doing half the job they undertook for three times the price. I will sell all my shares in the company if we so much as look at the TIN Can junk again.

So Bunter your very good question is what should the board do. I believe the capital return is a good idea. First NZO is undervalued and this capital return underscores that fact. It shows the investing public that this company has the resources to take this path. There is also a lot of research showing that too much free cash makes directors more spend happy compared to a struggling company.
So what should the directors do with the cash.I would say capital return, acquistions, and drilling in Indonesia.Put off further drilling until we can pin down such costs.

[Balance]

Are you saying that free cash flows are 23.7 cps per annum and increasing? So if I buy at 77 cents today my investment will be paid back in about 3-4 years. Thanks.. will definitely be buying if that is the case.
But in all seriousness, what do you mean when you state that "Cash flow is $100m p.a"? Serious question.

Haha - now let's wait for the answer.

I think you may have just caught a big fish? Or someone was trying to tell a tale of the big fish which does not exist?

Zee silence is going to be deafening!

[Beagle]

$1.20? My recollection is that NZO didn't crack $1 until this century? Spent much of the 80s and 90s floating between 30c and 50c didn't it??

It did indeed spend much of the 80's and 90's in that range but my recollection is very good with numbers, (funny that as an accountant) and I am certain I remember seeing it at above $1 at some stage in the 1980's ?
Can someone else clarify ?

[digger]

It did indeed spend much of the 80's and 90's in that range but my recollection is very good with numbers, (funny that as an accountant) and I am certain I remember seeing it at above $1 at some stage in the 1980's ?
Can someone else clarify ?

Yes I two remember it was above one dollar in the eighties. I think the story went something like this. NZO was the major partner in discovering KUPE and the first assessment of what was in KUPE was very high.Later valuations put KUPE as having much less gas and oil than the first release. It was after this first high release that NZO S/P shot up in value. The next value for KUPE were as I said less and the S/P dropped. Now the rest of the story is still in the making. I believe from what I can get out of directors is that the second assessment turned out to be too low and I know a upward figures are somewhere in the pipe line. Genesis energy as much claimed this when they floated early this year. My own belief is that the very fist assessment will turn out to be right as time is moving the figures back that way. Such is the way with a lot of things given time.