There was just too many surprises in this quarterly report that...

There was just too many surprises in this quarterly report that were not explained well.

• below market expectation realised oil price with no explanation of why we are not achieving closer to the $110 to $120 mark
• no breakdown of pre merger and post merger production
• no initial explanation of reduction in production guidance (due to conversion factors)
• no detailed explanations or spin on cancellation of Sangomar sell-down
• increased expected CAPEX without adequately explaining if this was due to Sangomar or change in capital management strategy

It leaves uninformed investors scratching their heads and introduces uncertainty to the overall investment.

Most of the above will be revealed in the interim / half yearly reporting I expect. The second and third points are expected to be once-off things and will no longer pose an issue going forward post merger.

Two potential bad surprises are a lackluster dividend and increase in costs before synergies can be realised.