"Hardy has released its FY 2016 results and updates on its three assets in India. Enforcement of the arbitration award on CY-OS/2 is becoming an increasing focus for the company, with legal proceedings now being pursued in the USA alongside those in India. The award included cash compensation which now stands at US$52.9m net to Hardy and return of the CY-OS/2 block for a three year appraisal period. The cash in particular could provide Hardy with attractive optionality in an oil market where many peers are looking to sell..." Arden Partners note out this morning on Research tree
On the Radar and worthy of investment during sp dips I have been topping up this stock in my ISA since February so very pleased with the new support levels (+60% from lows). There is genuine potential here if the on going legal dispute (block CY-OS/2) can be positively resolved and new opportunities in Oza asset. (which involves Millennium Oil) in Nigeria can be brought online.The oil is now flowing from the OML 113 blocks in Nigeria ;"As announced on 4 May 2016, production of oil has now commenced from the Aje Field within block OML 113, offshore Nigeria in which the Company has an indirect investment"Millenium's management have used the news of positive flows to drop a bombshell about its Mexican assets which will no longer be developed. The price of the stock fell 30% yesterday and I will be topping up between 0.45p and 0.55p to get speculative benefit of any further news. And here to get a chance to build a position as this stock recovers Do own research: Below is some information about the legal dispute (1) and Nigerian exposure (2)1. Legal proceedings concerning block CY-OS/2In March 2009, Hardy were informed by the Government of India that the block CY-OS/2, in which Hardy holds a 75 per cent participating interest, was relinquished as Hardy had failed to declare commerciality within the two years from the date of discovery which is applicable to an oil discovery. Hardy disputed this ruling believing that the discovery was a gas discovery and consequently that it was entitled to a period of five years from the date of discovery to declare commerciality. As no agreement was reached the dispute was referred to arbitration under the terms of the PSC.The arbitrators ruled on 2 February 2013 that the discovery was a gas discovery and consequently that the order for the relinquishment of the block was illegal. The arbitrators have ordered the Government of India to restore the block to Hardy and its partners and to allow them a period of three years from the date of restoration to complete the appraisal programme. In addition, the arbitrators awarded costs of $0.2 million and interest on the exploration expenditure incurred to date. As at 30 September 2015, Hardy's 75 per cent share of the interest awarded is approximately $48.1 million. On 2 August 2013 the Government of India filed an appeal, against the arbitration award, with the High Court Delhi, which was dismissed as withdrawn by the High Court of Delhi on 9 July, 2015. The Government of India has filed a review petition on 9 August, 2015. The Company has filed an execution petition before the High Court Delhi. The next hearing is scheduled in December 2015.The Company believes that the unanimous international tribunal award is well reasoned and, based upon external legal advice that the award may not be subject to appeal in the Indian courts as per the India Arbitration and Conciliation Act 1996.(2) Nigeria Oza asset. - held by Hardy Oil Nigeria Limited.The Niger Delta Basin is Africas largest and most prolific oil producing basin. It is also one of the worlds largest delta systems of tertiary age and covers an area greater than 75,000 km2.The Group currently holds a working interest in the onshore assets Oza and Atala. Pursuant to the Petroleum Amendment Act (number 23) of 1996 (the Petroleum Act both fields have been declared marginal fields and Millenium Oil and Gas Company Limited and Bayelsa Oil Company Limited (both indigenous oil companies) have been allocated respectively the Oza and Atala fields as part of the Federal Nigerian Governments marginal field allocation. HON has entered into farm-in agreements with both parties in respect of development of these fields.
Analysis report on Hardy Oil & Gas I really like the presentation in this report. The future growth seems really exciting to me [link]
Re: Anybody in here? how does the machine know?>>>SELL...target 30p<<< BANG ON!!
Re: Up 15% and still a steal According to the daily mail, looks like a disappointing drilling update is due, should have waited, hindsight is a wonderful thing
Re: Up 15% and still a steal and down again
Re: Up 15% and still a steal Small punt today, trading near its lows with possibility the oil price will continue to improve, just hoping this is not a preempt to bad news!!!
Re: Up 15% and still a steal whats going on?
Re: Up 15% and still a steal near enuff to my buy target..
Re: Up 15% and still a steal lookin like a sell down to my 30p..