BPT - Beach Energy

[aus_trader]

10 clicks from the gas plant, 5km long/deep direction drill from the land to under the sea, super smart stuff. Up 13% so far today.

It's one of the better Oil/Gas stocks on the asx as I have always mentioned in my spec portfolio. May be time to buy back on a re-tracement, as the worst might be over for the Oil stock plunge...

 

[So_Cynical]

It's one of the better Oil/Gas stocks on the asx as I have always mentioned in my spec portfolio. May be time to buy back on a re-tracement, as the worst might be over for the Oil stock plunge...

Everything is risk off with the vaccine news, global growth back on.

 

[Dona Ferentes]

Everything is risk off with the vaccine news, global growth back on.

Agree, and if Ironbark-1 is a winner, expect some more.

 

[jbocker]

Good to see the Waitsia gas project has a Gas Processing Agreement at Woodside's Pluto Plant which will allow LNG processing of Waitsia gas. Ultimately another source of revenue for all involved.
NWS Project Participants Execute Gas Processing Agreements (westpac.com.au)

 

[Dona Ferentes]

Highlights
• The Waitsia Joint Venture has made a Final Investment Decision for the Waitsia Gas Project Stage 2 development, subject to certain regulatory approvals and commercial conditions.
• The WJV has finalised and signed key commercial agreements with the North West Shelf Project participants, the State of Western Australia and the Australian Gas Infrastructure Group.
• The WJV and Woodside Burrup Pty Ltd, with gas from the Pluto fields, become the inaugural third parties to sign binding commercial access agreements with the NWSPP.
• First equity Liquefied Natural Gas sales from Waitsia Stage 2 are expected to commence in H2 CY23.
• Total capital expenditure to first production of A$350 – 400 million net to Beach, fully funded from the Company’s existing cash flows and facilities.
• In alignment with the Government of Western Australia policy, approximately 60% of the project’s greenhouse gas emissions are planned to be reduced or offset during the project’s life.

 

[jbocker]

Highlights
• The Waitsia Joint Venture has made a Final Investment Decision for the Waitsia Gas Project Stage 2 development, subject to certain regulatory approvals and commercial conditions.
• The WJV has finalised and signed key commercial agreements with the North West Shelf Project participants, the State of Western Australia and the Australian Gas Infrastructure Group.
• The WJV and Woodside Burrup Pty Ltd, with gas from the Pluto fields, become the inaugural third parties to sign binding commercial access agreements with the NWSPP.
• First equity Liquefied Natural Gas sales from Waitsia Stage 2 are expected to commence in H2 CY23.
• Total capital expenditure to first production of A$350 – 400 million net to Beach, fully funded from the Company’s existing cash flows and facilities.
• In alignment with the Government of Western Australia policy, approximately 60% of the project’s greenhouse gas emissions are planned to be reduced or offset during the project’s life.

I have BPT as a selection in the 2021 year Competition based on matters like the above, it has no debt and is making money low operating cost. The oil price I expect will continue to recover in 2021. It has an interest in drilling for new discoveries that can be plugged into existing infrastructure like the recent Enterprise-1 to Otway facilities. It has an interest in Ironbark-1 drilling currently and is very close to target depth. It is NOT my top pick though.

 

[Dona Ferentes]

P&A for Ironbark.

NZOG Chief executive Andrew Jefferies said, “Bugger…. a very disappointing result for us all. Ironbark was a world scale prospect in a
highly prospective address, and it needed drilling. We got an answer, but it was not the one we wanted."

 

[Dona Ferentes]

.... and it needed drilling. We got an answer, but it was not the one we wanted."

And Beach all washed up, tide retreating and the flotsam left stranded

Down 22% on Lower production across Cooper Basin Western Flank oil and gas assets

The announcement sounded alarming, and a bit of panic. Five-year outlook is withdrawn and Beach will no longer provide a five-year outlook in its current form. The nice little earners from the Western Flank, just drill and produce oil, are coming up short.

New production and pressure data reduces overall 2P reserves of Western Flank gas fields

Net 2P reserve downgrade of 3.2 MMboe across seven other fields within ex-PEL 106 due to new production and pressure data.

 

[qldfrog]

outch was a reliable one on my long term investor portfolio and just lost 6k in a day,
had a couple of wins on my systems and was feeling quite happy until I looked at my long term comsec portfolio...
maybe not big enough for my oil play but not that many to choose here ...

 

[Miner]

outch was a reliable one on my long term investor portfolio and just lost 6k in a day,
had a couple of wins on my systems and was feeling quite happy until I looked at my long term comsec portfolio...
maybe not big enough for my oil play but not that many to choose here ...

Unfortunately this announcement took market for a big surprise.
If it was not BPT, market would have punished the stock severely.
Thinking of putting my punt for may competition.
But no internet will be a challenge using my laptop.
Cheers

 

[Dona Ferentes]

outch was a reliable one on my long term investor portfolio and just lost 6k in a day..

Moi aussi... et un peu plus que ça. The only oil n gas company I hold. everything else was/ is too capital intensive.

Western flank had been such a productive if small set of plays. Drill a hole, complete, flow when polypipe run to central collecting tank. But the fields were never huge, only a few metres of reservoir. I should have twigged when they started drilling horizontal wells.

 

[qldfrog]

Moi aussi... et un peu plus que ça. The only oil n gas company I hold. everything else was/ is too capital intensive.

Western flank had been such a productive if small set of plays. Drill a hole, complete, flow when polypipe run to central collecting tank. But the fields were never huge, only a few metres of reservoir. I should have twigged when they started drilling horizontal wells.

that is the issue: too small to be able to level a good or bad well results. but we have no rel oil producer on the asx; just oil as a side of gas, and i do not want to touch gas...

 

[qldfrog]

that is the issue: too small to be able to level a good or bad well results. but we have no rel oil producer on the asx; just oil as a side of gas, and i do not want to touch gas...

gas as LPG, etc not petrol

 

[Dona Ferentes]

gas as LPG, etc not petrol

Gas as in the old oil patch saying:
"Bad news, we didn't strike oil;
Good news, we didn't strike gas."

and of which a whole lot will achieve Stranded status sooner or later.

 

[Dona Ferentes]

Unfortunately this announcement took market for a big surprise.
If it was not BPT, market would have punished the stock severely.
Thinking of putting my punt for may competition.

You may be on a winner, or at least have some downside protection.

On the bourse:
Seven Group had Macquarie’s equities desk offering to take Beach Energy shares off frightened punters on Friday, and ended up spending about $50 million on a 1.5 per cent stake in the oil producer.

 

[Miner]

Unfortunately this announcement took market for a big surprise.
If it was not BPT, market would have punished the stock severely.
Thinking of putting my punt for may competition.
But no internet will be a challenge using my laptop.
Cheers

 

[Miner]

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02369184-2A1295282?access_token=83ff96335c2d45a094df02a206a39ff4

https://cdn-api.markitdigital.com/apiman-gateway/ASX/asx-research/1.0/file/2924-02369195-2A1295288?access_token=83ff96335c2d45a094df02a206a39ff4

some perspective

 

[Miner]

https://cdn-api.markitdigital.com/apiman-gateway/CommSec/commsec-node-api/1.0/event/document/1410-02371222-6PV215D3GAK4CMRSKBC3GQSLMD/pdf?access_token=0007sR8rO4TfWSP7lpGov8PXnhuZ

Opportunity buying ? Looks like FY 22, BPT turnaround is a challenge. So my tip would remain for bottom drawer.
However patience will pay off for FY 23. I hope to believe my own prediction and not to jump out ship as I did for APT, HZR and MIN.

 

[Miner]

Regardless the companies are not really comparable, the PE for BPT is extremely attractive.
Anther 17 days to go, I am pretty optimistic on my tip

 

[Dona Ferentes]

The only oil n gas company I hold. everything else was/ is too capital intensive.

Western flank had been such a productive if small set of plays. Drill a hole, complete, flow when polypipe run to central collecting tank. But the fields were never huge, only a few metres of reservoir. I should have twigged when they started drilling horizontal wells.

I took advantage of a recent lift in BPT to offload 30% of my holding yesterday at $1.37. While pundits have been pointing out the positives (driving season, lag in supply response after Covid production drop, renewed demand, etc), I took on board some counter sentiments found on the weekend:

"Those in the markets with short memories have started talking about the possibility of ‘oil at $US100 a barrel’ as prices continue to rise past $US70 a barrel mark. The upbeat forecasts ignore the grim fact that every time oil is forecast to rise to levels hard to justify, prices eventually tank – as they did in 2014 and in April of last year when the pandemic slammed them to minus $US37 a barrel for US West Texas Intermediate crude.

The confident forecasts are being made because of the impact of the OPEC+ caps on production as global demand slowly recovers. But eventually demand will regain re-Covid levels and according to oil’s boosters, prices will surge. That of course ignores the rapid uptake of renewables which is destroying demand for oil and gas every day....