Share price recovery, page-31

Share price might be DAFT but i love the production,

Initially Caroline expected to pay out ( 3 million) in 18 months (i.e. 2 million a year).
but oil flux exceeded the capacity of the rig being a + 30% above expectation.
30% above 2 million a year is 2.6 million a year .





A similar company to SHE is Brookside (BRK ) that has seen substantial growth in revenue, profits and cash..
But BRK share price is just as DAFT as Stonehorse's !

Brookside Graph over 3 years shows a annual Year on Year fall of -26% despite strong growth in fundamentals over the last 3 year 2nd graph below.




Below is a graph of Brookside energy Revenue,Profit before tax, gross profit and net cash.




SHE has fallen on average -18.9% year on year.


Yet SHE has also has shown stellar growth in fundamentals.

Oil companies are very much undervalued due to:
1) The perceived increased risk due to measured increased risk (oil went negative during COVID).But oil price going negative was due to a rare event of COVID.
2) The fallacy that the west can abandon oil and gas. Fortunate we are seeing signs of the impossible targets being rolled back , In Australia their is a push back against inflationary all green energy and in the Europe a weakening of the green targets .

AI compute centers will increase the energy demand as well as rise of the middle class's in India, China and many other countries where their is a increase in consumption.

Oil is not going to disappear unless you believe in pixie dust.