On 3rd July PFC announced that it was trading well ahead of expectations. Not surprisingly, sp jumped but has now fallen back pretty much to the same level as before the announcement.

While perhaps not as exciting as finding the next Cairn, remember that in the goldrush days, it was rarely the prospectors who made the money, but rather the suppliers of the spades and tents and stuff - e.g. Levis if memory serves me aright.

"skinny - 12 May 2014 07:26 - 563 of 565

cynic - can you put a chart in the header please."

And about bleeding time to as well Alf! Only about 10 years after I asked him and he refused Skinny -):

I think he knows how to now! :-))

It was the RSI that caught my eye last week.

Credit Suisse Neutral 1,210.50 1,177.00 1,600.00 1,500.00 Downgrades

Investec Buy 1,210.50 1,177.00 1,475.00 1,315.00 Reiterates

Citigroup Buy 1,210.50 1,177.00 1,525.00 1,475.00 Reiterates

Deutsche Bank Buy 1,210.50 1,177.00 1,500.00 1,400.00 Reiterates

have just popped a few into my sipp

Contract win... and another massive Director buying spree form our mate Tim -): http://www.moneyam.com/action/nav/news?epic=PFC

Comments please Alf http://www.moneyam.com/action/news/showArticle?id=4834674

Update on Petrofac Strategic Alliance Agreement
Bowleven, the Africa focused oil and gas exploration group traded on AIM, announces that it has reached a mutually acceptable agreement with Petrofac to terminate the Strategic Alliance Agreement. This satisfies one of the conditions of the LUKOIL and NewAge farm-out transaction announced on 24 June 2014. The termination agreement is subject to completion of the farm-out.

Under this arrangement Bowleven will pay $9 million to Petrofac upon completion of the farm-out transaction as full and final settlement and the Strategic Alliance Agreement shall terminate.*

Kevin Hart, Chief Executive of Bowleven plc, said:
"We have worked closely with Petrofac over the last two years and we appreciate their co-operation in reaching a mutually acceptable termination agreement."

Did he quit or was he pushed out?
share price performance not doing well, not the company after two profit warnings


Petrofac chair quits

Petrofac, the international oil & gas facilities service provider, said Norman Murray, chairman since May 2011, has resigned and will step down with immediate effect for compassionate reasons.

It said senior independent director Rijnhard van Tets will assume the role of chairman with effect from today.

INTERIM RESULTS FOR THE SIX MONTHS ENDED 30 JUNE 2014
· Most successful year for new awards, with ECOM order intake of US$7.2 billion in 1H 2014; backlog(1) up 35% to stand at record levels of US$20.3 billion at 30 June 2014 (31 December 2013: US$15.0 billion), giving very good revenue visibility for the rest of this year and beyond
· ECOM continues to perform in line with expectations; IES making good progress on addressing project performance issues
· As previously guided, our revenue and net profit for 2014 is significantly weighted towards the second half of the year, reflecting the phasing of project delivery:
o Revenue of US$2.5 billion (2013: US$2.8 billion)
o EBITDA of US$340 million (2013: US$405 million)
o Net profit(2) of US$136 million (2013: US$243 million)
o Earnings per share (diluted) of 39.80 cents (2013: 70.72 cents)
· On track to deliver net profit in the range US$580 million to US$600 million for the full year 2014, in line with previous guidance
· Interim dividend maintained at 22.00 cents per share (2013: 22.00 cents)
· Net debt of US$1.3bn at 30 June 2014 (December 2013: US$0.7bn); subsequently reduced by US$0.4bn following completion of Petrofac FPSO Holding Limited transaction in August 2014

Ayman Asfari, Petrofac's Group Chief Executivecommented on the interim results:
"In ECOM, we have already had our most successful year for new awards, bid at margins consistent with our medium-term guidance, reflecting ongoing high levels of investment by our customers in our core geographic markets and our strong competitive position. Our pipeline of bidding opportunities remains attractive and we are confident of securing a number of further awards and contract extensions during the second half of the year.

"In IES, we are making good progress on addressing project performance issues and the delivery of key operational milestones. Looking further ahead, we have re-focused our IES business development plans and our innovative venture with First Reserve reinforces the role of IES as an enabler for the Petrofac group, allowing us to concentrate our resources on our core strengths and underlining our commitment to capital discipline."

http://www.moneyam.com/action/news/showArticle?id=4873808

Only had a quick look at those Interims but my first reaction is... Oh no I'm glad I don't have any of these at the moment!

However one point that was made is about the second half of the year so as they have been brilliant in the past I will monitor over the medium/long term.

What do you think about PFC in the short term Cynic?

Any views here?


Canaccord Genuity Buy 1,150.00 1,400.00 1,400.00 Reiterates

Deutsche Bank Buy 1,150.00 1,400.00 1,400.00 Reiterates

Investec Buy 1,150.00 1,290.00 1,290.00 Reiterates

StockMarketWire.com
Petrofac said it is on track to deliver FY 2014 net profit towards the lower end of the $580m-$600m range provided in previous guidance. It reported a strong order intake of $10bn year to date and backlog at a record level of about $21bn.

Looking to 2015, Petrofac said the lower oil-price environment and expectations of delivery on certain IES projects, coupled with anticipated outcome on Laggan-Tormore, was likely to result in net profit in 2015 of about $500m.

This 2015 guidance reflected:

o current 2015 forward curve for oil price expected to reduce IES net profit by around US$45 million compared with previous guidance and current market expectations(1)

o our latest view of cost and the timing of first oil in respect of the Greater Stella Area project in the UK North Sea

o rephasing of certain field development activities under our existing Mexico PECs pending conclusion of the potential contract migration process

o managing our field investment on the Ticleni PEC in Romania as we continue to work towards a revised Field Development Plan

o an expected final commercial settlement in respect of the Laggan-Tormore project in Shetland resulting in no profit or loss being recognised in 2015 on the project

CEO Ayman Asfari commented:

"This has been a difficult period for Petrofac and the industry. The Board has analysed the potential impact of a lower oil price environment on our IES business and also made a critical assessment of our expectations for project delivery in 2015.

"In the main our project portfolio is in good shape, but it is clear that on a small number of projects our execution has fallen short of the high standards we set for ourselves. We have faced these difficulties and have taken robust action to address them and believe this leaves us on a surer footing for the future.

"The foundations of the business remain strong. Our ECOM division is in very good shape, with good progress made on the resolution of a number of ECOM commercial settlements, a record level of backlog and an attractive pipeline of bidding opportunities.

"We are implementing clear and robust plans to improve project delivery and drive value from the IES contract portfolio.

"I am confident that Petrofac will meet the challenges presented by certain projects in our portfolio and the medium-term growth prospects for our business remain strong."

Now down around 25%. A recovery play at some point the only question is when.

This tends to drop its drawers far more rapidly than pulling them up!

Indeed, the usual case of wheres the bottom, all the while oil prices stay at current levels and or stop falling is the obvious factor.

ouch

889p and still falling, I hope not many in over here

If this gets relegated from the ft100 surely the funds will be selling out.. or maybe they have already started.

thank goodness i only hold a few

Finished down just over 26% and maybe another down day tomorrow.

StockMarketWire.com
Nomura reiterates neutral on Petrofac, target cut from 1000p to 800p.