THREAD NOW CLOSED 3 May 2007

LATEST NEWS...(Check RNS service for details)

10/4/2007 - GME removes its minority interest in Patriot so shareholders enjoy 100% of all growth at Patriot
20/3/2007 - GME announces it will no longer support as NIM as non-core but instead focus on Patriot's US$123 order book
4/1/2007 - Cantor Fitgerald report 6.90% Holding
Decemebr - $31m orders reported
w/b 27/11 - Cantor buy >3%, Further order of $11m for rig packages
w/e 24/11 - Orders of $20m announced, but not profitable as expected
w/e 13/10 - Further $8m orders
w/e 27/09 - Further additions by Schroders to 12%
w/e 22/9 - Further orders of c $18m plus Gartmore stake increases to 20%.

Global Marine Energy plc is an Oil services company primarily bringing together and delivering rig component/equipment packages to international markets. GME is the holding company for two subsidiaries, Patriot Mechanical Handling and NIM engineering. Patriot provides the bulk of GME's sales.

GME is a niche player, there being only 1 or 2 alternatives for packaged equipment.
Patriot is a member of Source One drilling - a marketing alliance created by Le Tourneau Ellis Williams (LEWCO). www.source1drilling.com

Thread re-opened post results. Feel free to post away. News summary under picture.

Disclaimer: As always, Do Your Own research as no comments or foward looking statements posted here can be guaranteed.

This is an AIM listed company so high risk - only for investments you & your family can afford and are prepared to loose.



***Latest*** (also see estimated Share position analysis below @ 20 April 2006)
19 Sept - $9m from Brazil & America
14 Aug - GME announces $9m of orders including $1.2m NIM orders for Baker marine
These funded in part from recent raised capital.
11 Aug - GME delivers 11.2m stg (2005 4.76m). NIM issues notified in July addressed.
June - Cobra Ltd take large stake, a few previous buyers add
June - Placings at 15p
25 May - Paul Findlay promoted to Group CEO. S Wild (NIM subsid) off board.
10 May - PMHH signs up to http://www.source1drilling.com alliance
8 May - PMHH huge $8.6M china order+announces multiple chinese deals
5 May - PMH signs exclusive deal with winch company EMCE/Stokvis
4 May - Shroders increase to 11.16%
19 Apr - Shroders buy 10.10% 4,525,000
4 Apr - Gartmore adds stock now 17%, CAML buys 3.52%

SD
G-force. Definitely not G-string?

that's not in the small of my back!

Chrissie, hope you're still on board?
I'm thinking within a week, but judging by what's goin' on in Leeds today, could be sooner.

Global Marine Energy PLC
27 January 2006

27 January 2006



Global Marine Energy plc



Issue of Equity





Global Marine Energy plc ('GME'), the oilfield services business, announces that
it has issued a total of 407,298 new ordinary shares of 2.5p, at 27.9p per
share, to certain employees of Patriot Mechanical Handling, Inc. These shares
have been issued to the employees as part of the employees' lock up agreements
following the acquisition of Patriot Cranes Inc by Patriot Mechanical Handling,
Inc in 2004. The issue was detailed in the Annual Report and Accounts of MOS
International plc (a previous name of GME) for the year ended 31 March 2005.


Application has been made for the admission of the new ordinary shares to
trading on AIM and dealings are expected to commence in the new ordinary shares
on 30 January 2006.






For further enquiries contact:



Philip Wood, Chairman, Global Marine Energy plc 01274 531 862



Adam Westcott, Noble & Company Limited 0131 225 9677



Michael Padley / Susan Scott, Bankside Consultants 0207 367 8888






This information is provided by RNS
The company news service from the London Stock Exchange

Not the news I was thinking of!
Will come Mon or Tuesday IMO.

Price as at yesterday so not discounted - great.
Also mandatory placement.
They're getting ducks lined up, and don't want anyone to miss out.

Not the news I was thinking of!
Will come Mon or Tuesday IMO.

Price as at yesterday so not discounted - great.
Also mandatory placement. Pg 29 Para12 - payable on first/second anniversary.

They're getting ducks lined up, and don't want anyone to miss out.

January 27, 2006 - 4:05 PM EST

Patriot Mechanical Handling Announces $12.4 Million Mechanical Handling Equipment Package Order From Keppel FELS

Singapore Bound Order Creates New Potential Market Opportunities for Company's First Packaged Solution

Patriot Mechanical Handling Inc. (OTC: PMHH), a leading provider of mechanical handling solutions and services to the oil and gas industry, is pleased to announce that it has received an order valued at $12.4 million USD from Keppel FELS in Singapore. The order is for 2 rig sets, comprising a complete mechanical handling package, for new build semi-submersibles currently on order to Keppel FELS from ENSCO International, Inc.

Paul Findlay, CEO of Patriot stated, "This order is extremely significant in that we will provide a complete package for all handling operations on and around the rigs. We are very pleased to have the opportunity to work with Keppel FELS again, and to meet their mechanical handling equipment needs." Findlay added, "This order exemplifies and reinforces our strategy of pushing the complete packaging of our equipment for mechanical handling solutions to the offshore drilling industry. We are now aligned with the offerings of other companies in our industry. Combined with our streamlined operational structure, this product offering gives us the ability to be a strong competitor."

The order calls for Patriot to deliver a Riser Gantry crane, marine deck cranes, BOP Handling, and tree handling systems, and to provide training, spare parts and commissioning services. Delivery of the first rig set is scheduled for second quarter 2007, with the second rig scheduled for approximately third quarter 2008.

Keppel FELS is a wholly owned subsidiary of Keppel Corporation, through Keppel Offshore & Marine, a leader in offshore rigs, ship repair and conversion and specialized shipbuilding. Keppel O&M's near market, near customer strategy is bolstered by a global network of 17 yards in the Asia Pacific, Gulf of Mexico, Brazil, Caspian Sea, Middle East and North Sea regions. Integrating the experience and expertise of its yards worldwide, the group aims to be the provider of choice and partner in solutions for the offshore and marine industry.

This is the 'wow' factor order we've been waiting for.
It adds >7M to current estimates

IMO More significant though is the huge vote of confidence it generates. Similar orders like this from Keppel & others will be here soon. It is therefore a 'transforming' order which should take
GME into 30-40M territory in 2007 - well beyond current estimates.

Keppel Fels are huge & have already passed GME loads of work.


A very happy weekend...

4x best yet. Others can calc earnings, PE etc.

PMH: $7.15m+$12.4m=$19.55m in 4 mnths=$4.89m pm av =$59m pa = 34M@1.7600 rate (37M@1.6000). Last year (Mch05) 1.42M profit on 4.61M sales = 31%.

If 17m 2007 consensus correct, takes sales to 30M (~10M profit) on OLD rig rates.
Exceeds 21M/7M profit of 1998 when shares were 4. $/oil rises even better...

7MM's only 40M free & instis should drive price Monday.
Backers + RBS mean limitless finance for limitless orders.
Mr Wood: 'Can I have money?' RBS 'Yes'

Birthday so.. off to Bolton/Arsenal

ps Observing past 60p. In GME May05 so not giving govt 40%!!

Happens to be birthday weekend... off to Bolton/Arsenal

ps I'm an observer past 60p. In GME May05 & not giving govt 40% !!

Happy Birthday The Owl!

Here's my take on the figures - differing slightly from yours, but with the same general result.

Adding Reuters reported $7.4m orders of last 6 months to the above $12.4m makes $19.8m over 7 months (say) which, at an exchange rate of 1.76, = 19.3m p.a sales for Jul 05 to Jun 06. Extrapolating a bit on the assumption similar orders continue to grow at 50% of the Reuters estimated 2006 to 2007 increase from 13m to 17m - i.e. 15% - suggests turnover for year to Mar 07 of, say, 22.269m.

Gross profit of 37.5% less 5.35m overheads less 150k depreciation and goodwill (all a tad more conservatively than estimated by Reuters to allow for a slightly higher turnover), leaves net profit before tax of 2.85m less tax at say 20%, makes net profit after tax of 2.28m - with approx 44,800,000 shares in issue including the 407k issued on Friday, this is an EPS of 5.09p and a 12 month forward PE on yesterday's closing mid price of 27.38p of 5.38. This is twice what Reuters suggested earlier this month when the SP was nearer 17p - even so it's a low number for a company that has put itself in order, is well solvent and is growing as rapidly as GME.

Here's the leap of judgement (to mix at least a couple of metaphors) - assuming the PE could be expected to be at least the FTSE average of 14.6 for a growth company in a sector desperately needing to grow to service the rising oil demand after years of under-investment - this would suggest an SP about 2.7 times present value of nearer 74p.

One hidden assumption in the above of some significance is that GME can turn orders into revenue within a 12 month period. Even if not, I can't see the SP being worth less than double its current value in short order.

Happy I topped up last week.

Interested in any contrary views.

sd

I see from this morning's more detailed RNS that the first rig will be delivered in year ending March 2008 and the second one in the year ending March 2009. The revenues will probably be booked 50% each in those two years, so no immediate impact on year to March 2007, but still good news for the long-term order book. The figures in my preceding post are thus not an accurate reflection of the impact of this order. However, there should still be a substantial positive effect on the SP.

sd

Just checked Digital look.
They have 20M sales est. for 2008 - this prior to COSL/Keppel announcement, and 17.29M for 2007 - again prior to COSL/Keppel.

Interesting to see if Corporate Synergy go back to their Autumn 'buy 53p' stance after they changed to 'Hold' post annual results.

Do you reckon they book any revenue for this contract in 2007 on a part-complete/part-paid for basis, or do they have to deliver fully complete before they get any payment?

I use Digital Look too and which ever way you look at it the forward PE's versus the forward growth in EPS show a PEG of less than 0.1 - so as long as we keep the forward order book growing from here and maintina sufficient w/capital to service them, this is a great mid to long-term hold.

Copr Syn's "buy 53p' accords with my expectation that the SP could double over the next few months.

sd

Thanks for your good wishes - SD.

If they receive funds, they can book as turnover. So in theory, yes - if they started today and completed 250k work (say) next 2 months and received payment, this could hit the 2006 figures. However, it's unlikely to be significant for '06 and seems to be a great order ro show there's some 7M on top of their 13.2M o/s orders before.

http://www.leedstoday.net/ViewArticle2.aspx?SectionID=40&ArticleID=1332190

Owl
Are you concerned by the number of largish sells towards the end of the day? I interpret these as institutions taking an opportunity to rebalance and providing the MMs with some stock to sell to willing buyers - but I would not want to see too much of this overhang impeding a graceful upward sweep of the chart.

sd

Are you sure they're sells, SD?
I did a test sell on 15k & 20k and was offered 27.50 for 20k & 28 for 15k.

This was around the same time the big orders went through at 29.50. I cannot believe 500,000 worth of Broker or protected trades managed to sell at 29.50.

Despite showing as 27.50-32 for most of the day, most people picked stock up for either 30.85 or 30.70.

I think they were buys not sells. The next couple of days should tell if institutions have increased or reduced their holdings. I'd be surprised if they'd take this opportunity to sell - it would be a very poor return for their risk IMO.

Quiet and steady day with a few more T trades.

Lots of sells today, but holding solid.
S/be another RNS soon.

ps Mr Findlay will be on Sunday on the Money. The production company keep moving the date. Later the better IMO as now $20m since September to talk about :)

As reminded on yesterday's RNS we only have an 82.76% interest in Patriot sales - however, still very encouraging.