OK...apologies Mark...Zero sarcasm...hard for me but here goes.
I am almost all the way in with Senex but I only have a million. 1c up or down = $10K (no calculator required).
As soon as Senex moves into anything other than a pure oil & gas or gas only position, I will probably be the first in selling out or maybe even shorting the stock.
All Senex need for instant sustained growth and profit is to get a few more contracts signed as they can already deliver the gas now and in future. Marketing may be there weakness that deserves constructive criticism or discussion?
The biggest threat is being taken over by the big guys.
Every time I back a winner in the CSG arena along comes the big fish and gobbles up my future profits AOE & QGC , BG, Shell etc.
Their biggest strength is that gas turbines are the only practical means of electricity generation for several years to come- assuming that we continue to transition away from coal.
What the general population doesn't understand is that the grid can only operate with X amount of energy supplied from inverters (Solar or Battery). This "dirty" - but "green power" from inverters needs to be "cleaned up" and supplemented. Rotating turbine generators are necessary to do this, whether nuclear, hydro, coal or gas powered. If we weren't such a dry continent which one is the next least on the nose in 2021?
A perfect example of how just how much gas generation is required can be found below. A green spokesperson was boasting about South Australia's first day completely powered by renewables.
The bit they try to conceal - or don't understand - is that the gas generation was still 25% of the solar generation, albeit in the reverse direction (importing versus exporting).
How much of this is for grid stability, load changes, large clouds? I have no idea. Anyone?
View attachment 2808550So assuming we don't fall in love again with thermal coal or have an an about face on climate change (almost typed global warming) then gas or nuclear is our only savior, for the next few decades at least. Keep installing them solar panels I say.
I think Senex is a wise decision but plenty of patience is required.
