AED - AED Oil

[blues]

I agree! I too have left a message for management and sent them an email. They finally have some good news so you would think a plan of what they are going to do with the money would be helpful. When they went into a TH I thought they would come out saying the deal is done and this is our forward plan. Will let you know if I get a reply.

Cheers.

 

[laurie]

Don't hold your breath I feel really sorry for the girl's answering the phone and taking messages lets see.....$350m @9% interest thats $31m p.a that's worth at least .20c paid back as a dividend or they can spend a night at Crown Casino and double their money Packer did

cheers laurie

 

[greenfs]

I agree! I too have left a message for management and sent them an email. They finally have some good news so you would think a plan of what they are going to do with the money would be helpful. When they went into a TH I thought they would come out saying the deal is done and this is our forward plan. Will let you know if I get a reply.

Cheers.

It seems obvious to me that the cash reseves will be deployed to fix the oil flow problem in the existing well and then for ongoing cap-ex related to the ongoing exploration of existing territories with a view to building another substantial producing well. It is importart to ensure that the J/V stays just that. Otherwise, the senoir partner will put more in resulting in a further dilution of AED's interest in the resources.

 

[AED Blunder]

Courts in the USA and now here in Australia have started to prosecute CEO's and financial managers. I personally believe that AED also has a few questions to answer and I have lodged an official complaint with ASICS some time ago. Still waiting for a reply I won't hold my breath, but if you feel equally strong about the 'management style' of this company, keep up the pressure and don't let these people slip away behind the Sinopec mask. Not publishing an Email address and paying a receptionist to block off unwanted enquiries must not be a deterrent to keep up the pressure. I am looking forward to following a few more upcoming criminal trials and I hope that the resulting sentences will be perceived as harshly by these individuals as the financial losses that the investors had to bear in believing these 'trustees'.

 

[laurie]

mate you at least have done what I did BUT they are bigger than you and I just look at Allan Bond goes to jail comes out richer look at Mr Addler goes to jail comes out richer

cheers laurie

 

[AED Blunder]

Hello 'blues', perhaps you could share AED's Email address with everyone in this forum. That way we could all join in and collectively congratulate the management team on their stellar performance. I have just looked over the credentials of each board member again, as published on AED's website. Take a look yourself, interesting reading. I have also just realised the negative gains of around about $340,000 that I made with AED, in preparation for my upcoming tax return. A great feeling and thanks again to Mr. Tregonning and his cronies. Well done!

 

[prawn_86]

I have also just realised the negative gains of around about $340,000 that I made with AED, in preparation for my upcoming tax return. A great feeling and thanks again to Mr. Tregonning and his cronies. Well done!

So what amount of that loss do you contribute to being your own fault by not making correct decisons? Surely you cannot place all the blame at the directors feet, you know (or should know) the risk of shares

Also, if your portfolio is relatively diversified then the loss, although never good, should not be of too significant impact to you.

 

[michael_selway]

Hello 'blues', perhaps you could share AED's Email address with everyone in this forum. That way we could all join in and collectively congratulate the management team on their stellar performance. I have just looked over the credentials of each board member again, as published on AED's website. Take a look yourself, interesting reading. I have also just realised the negative gains of around about $340,000 that I made with AED, in preparation for my upcoming tax return. A great feeling and thanks again to Mr. Tregonning and his cronies. Well done!

Wow you have that much spare capital to invest with?!!

Your loss is bigger than my whole portfolio numerically....

thx

MS

 

[prawn_86]

Wow you have that much spare capital to invest with?!!

Your loss is bigger than my whole portfolio numerically....

thx

MS

Yeh, his loss is about 50 times bigger than my entire portfolio!

Perhaps he should of given it to us hey MS instead of AED

 

[AED Blunder]

Thanks for your advice and for your insights into your own investment portfolios (mine is so much smaller than yours, why not share it). And yes, I am aware of the risks that are involved with share trading activities (thanks for that as well). However, if you go back in this particular thread you will learn that AED has made several misleading statements on which I based my own investment decisions. Although this loss is a major one in my books, I have been fortunate with companies that delivered on their promises. None of them run by Australian Management teams I might add. Another lesson learned.

 

[oldblue]

At least one commentator is taking an optimistic view.
This from The Australian's "Criterion" column.

AED Oil (AED) $2.25

FORGET about Fuel Watch schemes and petrol commissioners. Why not beat the bowser blues and acquire an interest in a 20,000 barrel-a-day (BOPD) producer for nothing?

That's what's on offer at AED, which has been sadly out of favour since revealing in January that its Puffin offshore field in the Timor Sea hasn't been puffin' so well after all.

The ensuing crisis of confidence led AED to do a farm-down deal with the Chinese oil major Sinopec, which last week handed over $590 million for a 60 per cent stake in AED's Puffin and Talbot projects.

After paying out bank debt of $162 million and $73 million of trade creditors, AED will be left with $350 million in cash, which neatly equates to last night's market cap of $347.69 million.

Of course everything's priced for a reason, the market being efficient and all that. AED's big challenge is to overcome problems at its Puffin 7 well.

AED reported March-quarter production of 4300 BOPD from Puffin, well off the targeted 20,000 BOPD. We had AED as an avoid at $2.21 on March 11, but there's now 590 million reasons to change to a speculative buy.

 

[Go Nuke]

YAY!!!!artyman:
Finaly the company decides to let us all know WTF is going on with an announcement!!

Sounds good. Good to hear the Chinese want to ramp up production issues...and so they should with oil at stupid record prices!

We might start to see some confidence come back to AED if they can sort out these issues an ann some extra drilling as they have said will occur in the second half of 08.

And here i was thinking of selling for a pretty heft loss.

I have faith in the Chinese to get things going. After all its in their countries best interests these days

 

[laurie]

Nice to see someone happy while any news is good news especially for AED there is still no news of any off-take oil to Singapore unless I missed the announcement

cheers laurie

 

[oldblue]

Nice to see someone happy while any news is good news especially for AED there is still no news of any off-take oil to Singapore unless I missed the announcement

cheers laurie

I'm not sure of the significance of "Singapore" but the announcement included

"Production and offtakes have been occurring during the jv completion process as normal." and

"Puffin crude is presently sold via an FOB arrangement with Total."

 

[benwex]

Hows anyone been watching this one in recent days???

there is continual selling pressure which surprises me post end of tax year selling..

I dont normally buy into the accumulation argument but I may be seeing it right in from of me eyes.....

Are people getting flushed out while someone is buying big cheap??

AED's fundamentals have not changed in my opinion and watching CNBC lastnight discussing global energy shortages Boon Pickens (oil legend) says the chinese will pay anything for oil more than market value to secure supply....

AED is in my view a Take Over target waiting to happen.

because:
1) 2P reserves have not changed for Puffin, just the below forecast extraction
2) proximity to China
3) heavily oversold for the last 6-12 months

benwex

 

[jimski]

Hows anyone been watching this one in recent days???

there is continual selling pressure which surprises me post end of tax year selling..

I dont normally buy into the accumulation argument but I may be seeing it right in from of me eyes.....

Are people getting flushed out while someone is buying big cheap??

AED's fundamentals have not changed in my opinion and watching CNBC lastnight discussing global energy shortages Boon Pickens (oil legend) says the chinese will pay anything for oil more than market value to secure supply....

AED is in my view a Take Over target waiting to happen.

because:
1) 2P reserves have not changed for Puffin, just the below forecast extraction
2) proximity to China
3) heavily oversold for the last 6-12 months

benwex

Yes I am watching it and just wondering where that steady pressure originates. You may well be right re accumulation argument...

What do you mean by AED being a takeover target? Excuse my ignorance but I thought the recent AED/Chinese JV would have now precluded any takeover?? Do you mean that AED itself might be taken over with any new ownership still remaining in JV arrangement with Sinopec? I know this is all speculation but I am interested to know what you are driving at.

 

[benwex]

Yes I am watching it and just wondering where that steady pressure originates. You may well be right re accumulation argument...

What do you mean by AED being a takeover target? Excuse my ignorance but I thought the recent AED/Chinese JV would have now precluded any takeover?? Do you mean that AED itself might be taken over with any new ownership still remaining in JV arrangement with Sinopec? I know this is all speculation but I am interested to know what you are driving at.

My view is that Sinopec were always interested in AED as a whole and the deal struck was the first stage of the plan....

The reality is AED has to date been unable to extract the value from the Puffin project cause of mamagement incompetency and lack of technical experience. Sinopec have deep pockets and vast technical expertise which hopefully will come to for shortly..

Sinopec have set up an office in Melbourne just recently and its my view they will loose patience soon with their Aussie JV partners..

The share price is at such a discount that an opportunistic unconditional offer for the outstanding shares maybe welcomed by shareholders even with out the boards support..

The institutional holders may be already in their ears..... they can buy my shares for $3.50 today!

But yes this is just speculation.

benwex

 

[oldblue]

It's clear that Sinopec are effectively running the Puffin show now. With 60% of the action it's doubtful whether they would want to take on the political issues that a takeover of AED would entail to obtain the other 40%, unless of course there are other AED assets that appeal.

 

[oldblue]

Let's hope that today's announcement of a 22cps div is the start of better things to come!

Disc: Not holding AED but seriously interested via NWE's ORR in Puffin.

 

[oldblue]

Let's hope that today's announcement of a 22cps div is the start of better things to come!

Disc: Not holding AED but seriously interested via NWE's ORR in Puffin.

Correction:
That dividend amount should read 20cps.
Still a good sign!
Quarterly report is worth reading.