Vaalco Energy (EGY)

[spec machine]

I added as well

Despite the variability in production from planned maintenance and field reconfiguration for the FSO

and the variability or lumpiness in the quarterly costs and CAPEX

On top of the merger uncertainty ...

I still see a way undervalued producer in a strong market for years ahead

and a divi



spec

[littlejohn]

Added heavy on EGY weeble on daily wobble

down...

Might be paying over 2 p/e price

but you gotta take a risk...

So we watch...LJ

[spec machine]

FSO underway en route to Gabon

spec

[littlejohn]

Added on EGY shares after the deal

was announced,,,

which is correct way to speculate

on a successful deal closed...

TGA share price could evaporate

again if deal fails from the gains

after a deal was annouced...


There are some traders in TGA

spinning for bigger profits on

Trades by touting the opposite...


EGY lighter oil is more valuable

than TGA heavier oil in a more

normal oil pricing environment...

We ain't in normal, ruh-roh...

Both are good companies either

seperate or together...

Savings on filings costs for listed

companies alone makes a merger

a good idea...Other savings can be

achieved in a merger...


So we watch...LJ

[spec machine]

LOL, check your math or at least read the agreement again

EGY shares diluted for TGA merger. We will see how it shakes out as things settle and details emerge

no "details" that haven't emerged

spec

[xqsme_imnew]

EGY shares diluted for TGA merger. We will see how it shakes out as things settle and details emerge.

[spec machine]

Looks like a win-win but TGA got a huge valuation premium

TGA shareholders weren't buying that valuation before the offer and shouldn't have any beef with it

Vaalco management has been outperforming and they have identified the portions of the TGA management and technical teams that bring value to the merged company, and those that don't due to redundancy or skillset

My big question is relative to the valuation of assets excluding the current production and 2P reserves

The latest wells are validation of their savvy development team, a set of multizone completions (frac-pack) that were executed perfectly (contrary to what misinformed rumors may have indicated)

Picked up a bunch on the dip to low 5's

It's likely to trade 9's before Labor Day, maybe a 10

After this deal closes and a couple quarterlies come in??

spec

[littlejohn]

Keep postimg, many EGY owners want to

add more cheap shares next

week and the next week...


https://www.otcmarkets.com/filing/html?id=15937788&guid=M0U-k6R4LccPB3h


So we watch...LJ

[farml1234]

TGA should have about $100 million in the bank by the end of August

TGA has million of credits that have not been used in Egypt JMHO

TGA productionis over 12,000 boep/d
EGY about 8,000 boep/d

something stinks here
I really hope old Neely chokes on his tea
jmho

[littlejohn]

EGY can probably pay a .25/share dividend

in 2023 if they decide to do

so without a merger...

Here is the pdf link to investor

presentation on Proposed deal...


https://www.vaalco.com/investors/presentations

I'm neutral on the need for a merger...

Both TGA and EGY had comparable

2nd quarter liftings that increased

cash balances for both companies...

So we watch...LJ

[farml1234]

TGA has a ton of cash
that is why EGY wants them

That big well EGY drilled has big questions if you listened to the CC

The CC was a joke
jmho

[littlejohn]

EGY giving above .52 to .55 ratio for

TGA shares is very generous for

their heavy oil production...

.67 swap ratio is very high for some

reason but we don't know why...

https://finance.yahoo.com/m/7084ee94-0bec-3aa7-8ccb-c471b2a9789d/offshore-energy-co-vaalco-to.html

We should investigate the attorneys

for oil shorts to try and find out

more info...

Did EGY get a deal retainer in case

TGA can't get approval and backs

out of deal?...

EGY cash flow is superior now but

we could always use a little more...


So we watch...LJ

[spec machine]

The math just got harder and it's just not a good day to be operating from a phone-size screen

sigh ...

My first scan of TGA looks good and I plan to delve into it deeper to see where the synergies are and relative valuation estimates

Market is saying TGA came out ahead

Time will tell, but there's certainly a good chance of a win-win

EGY is cookin' and TGA looks to be doing well

Both appear to me to be undervalued at their current trading prices

all of the above is subjective, usually I have more tangible data alongside

spec

[littlejohn]

EGY may have to raise dividend a penny

annually to get share price

back up where it should be...


https://www.nasdaq.com/market-activity/stocks/egy/dividend-history

Increased production earning higher

prices and good wells' drilling results

seem to be going unnoticed now...


So we watch...LJ

[littlejohn]

EGY may post over $100 million revenue in

2nd quarter versus $68 million

revenue in 1st quarter...

Only an estimate of potential top

line revenue before any hedges

are adjusted and based on today's

company guidance...


https://finance.yahoo.com/news/vaalco-energy-announces-successful-completion-060000546.html


Plus another well adding to reserves...

1st quarter filing link...

https://www.otcmarkets.com/filing/html?id=15783910&guid=RnnwkeLsyoDWJth


so we watch...LJ

[littlejohn]

Doubled up on EGY shares Tuesday...

Cushing inventory down to only

about a day of supplies at average

U.S. daily oil use...

SPR inventory now below 25 days

of oil inventory if a hurricane wipes

out a lot of production...

I don't like seeing manipulation in

the free market pricing...


so we watch...LJ

[spec machine]

EGY falls below $6

Sheesh, never thought I'd see that price again

added again in the mid $6s

too soon according to today's tape

wish I was perfect

I'll settle for lucky

spec

[littlejohn]

EGY $7, dropped 2 more oil hedges today

that should leave oil hedges

below 15% of total production...

Hedges left on oil until end of September

could be closer to 10% of total production

after 2 new successful wells were drilled...


https://d1io3yog0oux5.cloudfront.net/_9405ac7f3bd89de21d86db52db95322c/vaalco/db/776/7705/pdf/Roth+Conference+6-20.pdf


Added 60% to EGY position held

on Thursday...


So we watch...LJ

[spec machine]

There’s some lumpiness in the revenue coming up in the next couple of quarters, both the timing of liftings and due to scheduling for the reconfigured production setup

I don’t recall if they estimated the impact on production related to the reconfiguration of the collection setup for the switch to the FSO that’s coming up

The increased working interest, newly completed wells, and (soon) the more efficient FSO system, should stand out beautifully against the backdrop of easy comps

EGY is firing on all cylinders, getting good exposure via the Russell 3000, and in an “oil friendly” geopolitical spot at exactly the right time (and price) to pop

EPS of $0.80 for the quarter might seem like it’s optimistic, but if there’s no impact on production from the reconfiguration, I actually think they can top that number

I’m sure I can handle a pleasant surprise

spec

[littlejohn]

Spec, .80/share EPS in 2nd quarter would

be an 8 fold increase over the

year ago quarter...and a 4 fold

increase over the 1st quarter...

https://www.otcmarkets.com/stock/EGY/financials

click on quarterly to review above...

Seems a touch optimistic, but 2nd

quarter should be a lot better...

Their 2023 projections are unreal

looking but most new things should

be intergrated by then...


Those were monkey games by

MMs in last week's price drop...


$9 to $12 price range could easily

happen unless some much larger

interest develops for higher price...


So we watch...LJ

[spec machine]

I couldn’t guess on the moves and manipulation related to being added to the Russell 3000

But with an easy comp, anticipated leaps in both production and net revenue, and the dividend…

I think EGY will continue the climb

$8 should be in the rear-view mirror before Labor Day if they post $0.80/share in the 10Q

spec

[littlejohn]

How high are you putting pre market ask

to welcome in any needy, new

fund buyers before market

opens on Monday?...

so we watch...LJ

[littlejohn]

Tuesday A.M. dip could give another add

opportunity on many fuel sector

companies ahead of a delayed

weekly inventory report...

putin starting a nutty war in this

modern day and age is like a

bad dream for world,,,

and may take years to see some

normalcy restored in fuel pricing

and many other commodities...

with volatility in pricing along the

way, of course...

so we watch...LJ

[spec machine]

Nice! Up 15% on heavy volume

Vaalco should be pounding home some nice revenue this quarter

Anxious to see how earnings run on the new production rates but I'm encouraged by this volume of trading on this run after joining the Russel 3000

spec

[littlejohn]

Saddled up a small amount of shares

again on Friday...

not sure how the dippy-flippy

market will move now...

was too cheap to buy any back

in the 6's not long ago on dip...

lessons learned...

Loaded a chunk on TNA Thursday,

after noticing it, tracks Russel 2000

companies which gives more

diversification, and either does ok

with oil company flyers or other

companies if oil price drops and

it's either 3 times pain or 3 times

gains index tracker...



so we watch...LJ

[spec machine]

Exactly, it's still early enough to ride the rocket

Vaalco is growing production with zero LT debt and yuuge positive cash flow

At the PERFECT time

Well, perfect for making money on the pricing but miserable for consumers facing big cost increases in literally everything, especially at the pump

Small producer, profitable and growing by huge strides, geopolitically stable location

$7.43 currently, I'm picking up more

Cheers

spec

[xqsme_imnew]

Great time to lean into your favorite oil stocks!

[spec machine]

A quick dip under $8 and a push to close at $8.35

Second development well completion underway and FSO swap soon

Pricing of crude very strong and unhedged barrels are bonus bucks @$120+

spec

[spec machine]

EGY sure made short work of the 7's (currently $8.50)

for now anyway

she sure bobs and weaves

keep doing it

WTI bumping at the $120, not yet says mr market

supply AND demand variables swinging daily but producers are way in the green ... sometimes even bigger into it

spec

[spec machine]

"Vaalco Energy (EGY) said it has completed the drilling of the South Tchibala 1HB-ST well in the Etame oilfield offshore Gabon, yielding "significant columns" of multiple hydrocarbon bearing sands."

spec

[spec machine]

VAALCO Energy Announces Successful Drilling of South Tchibala 1HB-ST Well

https://ih.advfn.com/stock-market/NYSE/vaalco-energy-EGY/stock-news/88270526/vaalco-energy-announces-successful-drilling-of-sou

- Currently completing the South Tchibala 1HB-ST well with initial production expected in June.

George Maxwell, VAALCO’s Chief Executive Officer, commented, "With the drilling of the South Tchibala 1HB-ST well and completion in the Deep Dentale interval, VAALCO will add new reserves and production that were not previously in our 2P reserve base. Additionally, there is the D9 sand that will remain cased as we produce out of the D1 that could be tested or completed in the future. This discovery is analogous to our producing Dentale in North Tchibala. The continued success of our drilling campaign further demonstrates the quality of our premier Etame asset. We expect the well to be online in June and will provide the market with an update when we have initial production data."

-----------------

as I predicted, EGY hit the $8 price level yesterday

strong uptrend continues, Vaalco getting better and better

and a divi ??? YES WOOHOO !!

LOL

spec

[spec machine]

Your point is well taken, it was a high price to pay

But the cash is flowing and having a bigger bite of the apple now, it was perfect timing for the purchase of the additional share of Etame and the FSO changeup

Even a retreat to $80 crude will see Vaalco solidly creating additional shareholder value, IMO

seems to be getting some love lately

spec

[littlejohn]

750,000 paid for high interest rate loan...

must have plenty of money

to throw away...

could be a good-buddy banker on

other side of deal...

2-3% over libor in tough times

would have been a stretch...

https://www.otcmarkets.com/filing/html?id=15836341&guid=iWKwk6BpKXU3dth

Imo, of course...

So we watch...LJ

[spec machine]

That was a pullback to play on the bullish end

I added a bunch in the low, low 6's and even added some just under $6

I'll say it again, this is just a stepping stone on the way to $8+ or more this summer

Gabon has room for everything Vaalco can pump and still be under their quota

EGY - ramping up production with the new wells at the absolute BEST time!

spec

[spec machine]

Looks like EGY is going to push past $7 for the FOURTH time!

Can’t wait for earnings, it’ll get hotter

spec

[spec machine]

Buy the dip, EGY under $7 is still a great value

EGY's additional working share and the bonus of hot pricing are going to pound home some strong numbers

EGY >$10 before summer driving season kicks in, IMO

spec

[spec machine]

the fall today might be linked to a simplywallST blurb posted a couple days ago that is total rubbish

it must be an auto-generated article, I didn't read enough to be sure though

one section "Vaalco earnings are expected to continue to decline" ?????

totally useless word salad, totally disconnected from the real world

but I suppose some folks are natural born "followers" rather than independent thinkers

spec

[xqsme_imnew]

And still undervalued! Happy to be here!

[spec machine]

Newest well (3H-ST) successful with "a lateral of 268 meters" in high quality sands

Nice great time to bring a nice BIG juicy development well online!

Oooooohhh, let it flowwwwww

LOL, but seriously, that's a great additional value brought to reality

spec

https://ih.advfn.com/stock-market/NYSE/vaalco-energy-EGY/stock-news/87803516/correction-vaalco-energy-announces-successful-d

[spec machine]

VAALCO Energy Signs Contract to Support Subsea Reconfiguration and FSO Deployment at Etame Field

https://ih.advfn.com/stock-market/NYSE/vaalco-energy-EGY/stock-news/87638789/vaalco-energy-signs-contract-to-support-subsea-rec

doing exactly as planned

spec

[spec machine]

EGY up 30% from last week's pullback

If their guidance production is met and their FSO swap goes as planned, they're good for a long climb in value

If the current drilling rolls in a bonus, even better

The next few earnings reports should be getting lots of eyes

spec

[spec machine]

EGY currently $6.40 on a pullback from $7 overnight

headed for a green close after the conf call in 30 min, I'd say

the current production and going forward puts EGY leaps ahead in value

the taps are wide open and flowing nicely on the newest well

the dividend is the icing

spec

[spec machine]

$7 - BOOM is the sound of EGY breaking the $7 barrier

pumping liquid gold at these prices

spec

[spec machine]

EGY $6.45 - keeps on chugging

earnings coming up next week

HOLD

spec

[1hot toddy]

OIL UP $5 TO 109. SUPER UNDERVALUED $$$$$$$$$$$$$$$$$$$$$$$$$

[spec machine]

Gabon has under-produced their quotas so it's an excellent time to have the taps open on the FRESH NEW development well

WTI tops $100

looking forward to upcoming earnings as well as an update on the second well and the remainder of the current drilling program

spec

[spec machine]

Breaking $6 - EGY = Rocket Man

spec

[spec machine]

VAALCO Energy Provides Update on Etame Field Reconfiguration and FSO Deployment
March 01 2022 - 02:00AM
GlobeNewswire Inc.

VAALCO Energy Inc. (NYSE: EGY; LSE: EGY) ("VAALCO" or the "Company") today provided an update on the Etame field reconfiguration in conjunction with the replacement of the existing Floating Production, Storage and Offloading unit (“FPSO”) with a Floating Storage and Offloading vessel (“FSO”) offshore Gabon.
VAALCO anticipates that all of the associated engineering, long-lead equipment and significant contracts are proceeding in-line with the project timelines and expected delivery schedules for the deployment of the FSO in the third quarter of 2022. Field reconfiguration activities are expected to begin in March 2022, as planned. The Cap Diamant, a double-hull crude tanker built in 2001 that is being re-engineered as the new FSO, arrived at a shipyard in Bahrain in late February 2022 on schedule, for the final modifications and certifications. VAALCO expects the vessel will begin sea trials in late June before being mobilized to Gabon.

Compared to the current FPSO agreement, the new FSO will reduce storage and offloading costs by almost 50%, increase effective capacity for storage by over 50%, and is expected to lead to an extension of the economic field life, resulting in a corresponding increase in recovery and reserves at Etame. Current total field level capital conversion estimates are $40 to $50 million gross ($26 to $32 million net to VAALCO). This capital investment is projected to save approximately $20 to $25 million gross per year ($13 to $16 million net to VAALCO) in operational costs through 2030, giving the project a very attractive payback period of less than two and a half years.

George Maxwell, VAALCO’s Chief Executive Officer, commented, "We are pleased that the field reconfiguration and FSO conversion are moving along on time and within budget. This new FSO, which is scheduled to be online in September 2022, costs almost 50% less than the current FPSO and is expected to reduce our overall costs by approximately 17% to 20%. This will significantly improve our margins, enhance our cash flow generation and sustain our operational excellence and robust financial performance at Etame through 2030."

About VAALCO

VAALCO, founded in 1985, is a Houston, USA based, independent energy company with production, development and exploration assets in the West African region.

The Company is an established operator within the region, holding a 63.6% participating interest in the Etame Marin block, located offshore Gabon, which to date has produced over 125 million barrels of crude oil and of which the Company is the operator.

---------------------------

spec

[spec machine]

EGY - dividend today @ 2.4% annually

Still value range in the mid 5's

I added more in the low 5's

spec

[spec machine]

WTI has pushed above $91 and EIA has been raising forecast prices in the near future

Producers are reaping a windfall as any production increase possible now is coming on market at premium pricing while at the same time profit margins are blowing up!!

EGY already had a path laid out to substantially increase barrels produce, executed on that path, and is now reaping the harvest what we've sown

More growth happening still

bright futures ahead as Vaalco delivers on the plan to create value through the drillbit

cheers

spec