WOW i found on another board
another reason to FIRE CEO Neely
why wasn't this contained in the press release?
I finally found what ******* was talking about. I just read the press release. I should have read the actual report which says:
Upon execution of the Merged Concession, there was an effective date adjustment owed to the Company for the difference between historic and Merged Concession agreement commercial terms applied against Eastern Desert production from the effective date of February 1, 2020. The quantum of the effective date adjustment is currently being finalized with EGPC and could result in a range of outcomes based on the final price per barrel negotiated. TransGlobe has recognized a receivable of $67.5 million at March 31, 2022, which represents the amount expected to be received from EGPC based on historical realized prices. The effective date adjustment was recognized against the Eastern Desert PNG assets noted above, with the incremental value in excess of PNG additions ($8.0 million) being recognized as a gain on concession merger in the Statement of Earnings (Loss).
Why in the hell did they not put that in the press release?! If the effective date adjustment is worth almost a dollar a share, ($67.5 million) why not crow about that to the roof tops? That will allow spending $32 million a year in improving production, buying production, merging or any other think to improve and increase our output without having to touch the 75% of cash flow going back to the shareholders. Or it could pay off two 47c special dividends over the next two years on top of the 97c worth of regular dividends if Brent stays over $100. That is huge and yet gets left out of the press release. Who reads the actual report when the press release puts in such detail.
Good find
So presumably $8 million will be added to the earnings every quarter for the next two years.
I found on another board
jmho
