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CUE - CUE Energy

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CUE has taken a belting similar to RIA and others , characteristic of this market. When CUE was at 32c recently , one would have thought we couldnt be at a low of 17.5c today. But sellers want out , even at a big loss , seems strange . Maybe these shares will go to stronger hands . Strachan has defined value for CUE at 25c post 2 x well dusters recently on Friday. So Stockanalysis now has cash+assets = 25c ; plus Risked Exploration = 37c .... down from 44c.

Management has a chance of change of direction now , lets see if we get a sea change .

June Q'ly should be next good news feel story with cash = ????
 
Right on Cue

Cue have announced a farm out of 80% of one of their highly prospective WA exploration permits on the North western shelf, with an option for 42% of another
The Farm out is with BP Australia which has extensive experience in that area and I think that this farm out will be the catalyst for another take over attempt of CUE by it's major shareholder NZOG.
I believe they hold over 44% at the moment.

Their last attempt @ 10 cents failed as the independent valuator gave the fair range between 12 and 15c.

A strong buy in my opinion
 
News through today that New Zealand Oil & Gas is to acquire 15% equity in WA-359-P and a 5.36% equity option in WA-409-P and is to carry 2.85% of Cue well costs in WA-359-P.

In another announcement also released today CUE announced that Cue, BP, Beach Energy and New Zealand Oil & Gas have reached a conditional agreement to farm-in and drill the Ironbark-1 well. BP is to immediately take on the well planning lead role and will assume operatorship on satisfaction of certain conditions. Cue is to retain a 21.5% equity in WA-359-P with US$11.3m carry funding.

CUE up 14.7% to 7.8c today on the news and is just off its high for 2018. Next week will be interesting.

big.chart-CUE.gif
 
The ironbark prospect is currently being drilled (Ironbark-1). It is a BIG gas prospect has a potential estimate of 15TCF and it is on the NWS close to facilities. It has been on the books for quite some time.
If it comes in it will be a gamechanger for Cue with a 21.5% stake.
I thought it worth a small punt. High Risk High Reward. I also hold BPT which has a 21% stake in the prospect too.
1605586402373.png
 
There is a chance that the well reach target at the end of December, if there is gas at target it will very likely give CUE a large price uplift and that is way I have picked it in the ASF December 2020 monthly competition.
I also have a small holding of them.:D
 
They are definitely chewing through the ground at Ironbark although progress will begin to slow the deeper they go......Hopefully evaluating the first find in a few weeks :)

Great chance of succress in proven ground , close to infrstructure with lots of ground close to Ironbark......Some 100% held......

If Ironbark hits the goods the ol CUE ball will be flying high......
 
The other partners in Ironbark haven't moved too much so I'm guessing its just punters getting in for a quick punt on results/trade........

On saying that ...CUE for mine...is the best entry for exposure to Ironbark........Some would argue NZO .....but too illiquid for me......

CUE definitely trading like Ironbark has a sniff of the good stuff........Should be into the first of three targets bout now .......

Not too late to get on for a punt ( Barring any halt ? ) with three targets all up and should be through all three by new years ?

CUE have more ground close to Ironbark so dont be too quick to grab profits on a success at IB-1......there would be interest from majors in grabbing CUE/NZO if we hit the good stuff imo....

Cheers Trav.
 
oilleak said:
The other partners in Ironbark haven't moved too much so I'm guessing its just punters getting in for a quick punt on results/trade........

On saying that ...CUE for mine...is the best entry for exposure to Ironbark........Some would argue NZO .....but too illiquid for me......

CUE definitely trading like Ironbark has a sniff of the good stuff........Should be into the first of three targets bout now .......

Not too late to get on for a punt ( Barring any halt ? ) with three targets all up and should be through all three by new years ?

CUE have more ground close to Ironbark so dont be too quick to grab profits on a success at IB-1......there would be interest from majors in grabbing CUE/NZO if we hit the good stuff imo....

Cheers Trav.
Click to expand...
Its All or Nothing in this game. The price movement will be sharp dependant on the result. I am hoping for a New Year announcement and not a new years evening one, there is one planned for the 31st, it could be after the market closes. This might leave me in 2nd spot in the December comp and if successful off to a flying start in the 2021 comp. Yep all or nothing.,
 
Well its either a duster or they have something down there. Not sure if I have ever seen a halt for a duster, New Zealand Oil and Gas is halted too. But not Beach Petroleum. ? They maybe dont see it as significant affect on their price??
Know by the end of the day
 
jbocker said:
Well its either a duster or they have something down there. Not sure if I have ever seen a halt for a duster, New Zealand Oil and Gas is halted too. But not Beach Petroleum. ? They maybe dont see it as significant affect on their price??
Click to expand...
Most curious... BPT still trading, more than 2 hours after CUE ann and T/H. Maybe it is not significant ( ... not at TD but a drill break, then pause to weight up the mud column?) but the CUE wording does say Drill results.
 
oilleak said:
They do seem cheap under 10c with current production and cash at hand......
Click to expand...
I thought that the drop yesterday was huge -58.7% and maybe an over reaction, maybe a few stragglers getting out today as well -3% so far.

So as @oilleak suggested are they cheap under 10c or will it head on back down to 8c

+ Plenty of cash and no debt $27.4 Million
+ Income from Sampang gas and condensate production $3.4 Million for the quarter
+ Only 698M shares issued

- Ironbark expenditure US $8 Million
- Oil production and sales down -16% and -98%

Qtr Report Extract below

1609296780826.png

1609296807868.png
 
jbocker said:
Its All or Nothing in this game. The price movement will be sharp dependant on the result. I am hoping for a New Year announcement and not a new years evening one, there is one planned for the 31st, it could be after the market closes. This might leave me in 2nd spot in the December comp and if successful off to a flying start in the 2021 comp. Yep all or nothing.,
Click to expand...
Your hopes for second spot have been dashed it was almost down to the wire, however on current price might be good one for 2021.
A bogey on the first hole does not mean you won’t achieve a sub par round. I hope further results are positive for you. I hold Beach.
 
Got myself a small parcel of these today.

CUE.JPG


Big increase in volume since the SP got hammered in late December. Seems to be a bit of an over-reaction and in my opinion, not a bad place for a good risk/reward parcel. Hence the purchase. $27.4 million in cash and next to no debt. Exploration well PB-1 is currently producing 600 b/d with Indonesian authorities reporting the PB field as a 61.8 million barrel oil discovery. A work over of exploration well PB-2 to bring it into production and the additional drilling of three development wells is expected to commence during Q1 2021. Shares outstanding has been holding steady at 698,100,000 for the past 9 years. Holding tight.
 

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