anyone got any ideas about the block trades that went through today?

website: http://www.sterlingenergyplc.com/



weather: www.nhc.noaa.gov/refresh/graphics_at4+shtml/084938.shtml?50wind120

I think that this is the initial reaction to debt solving....will this last ?....with 500 billion shares in issue...there has to be a slide, apart from the drilling in Kurdistan starting in the fourth quarter this company is not doing anything, I'd be interested in buying some shares at 2 or 2.25p....around that mark not 3.5p....

required field

that is the price that investors are prepared to pay at the moment, your price is another thing.

To come down to the level of before, maybe will be too much to expect, now that the debt seem to be solved once the placing is in place.

But maybe in a bad day, you could get a better price than the one now. 3.60p

Westmount Energy takes Sterling stake

Westmount Energy has increased its investement in Sterling Energy, subscribing to 42,446,786m new shares in the company's recently announced placing at 1.3p.

Chairman Mervyn Bradlow said the investment, amounting to around 0.55m represented 'an excellent use for our cash resources'.

'We believe that the substantial amount of cash being raised by Sterling and the introduction of a new major shareholder whose management have a proven track record in the oil industry will be of great benefit to Sterling.'

1.3p is not 3.3p.

Westmount averaging down.

What's Hot (sister web site of T1ps .com) are tipping this one to recover.....I think this has to pull back because of the 1.3p placing which is at less than half the current sp and they expect investors and like to buy at 3.5p !?......that's taking the piss as far as I'm concerned what with 500 billion shares in issue....not all the debt sorted out...this is a risky one and there is the possibility of nothing being discovered on their license and should that be the case the company would be valued at peanuts....so a drop in the sp is vital to attract a little punt from myself.

re - peanuts

The rest of Investors do not like you idea, mainly because most likely you would buy then peanuts of shares.

Just be patien and maybe you will be able to buy at a better price that is all, not the price you want.

required field

read the RNS on the EEN thread for every 9 shares held you can buy 2 shares @ 1.3p in the placing

I know about that DFGO,...I just think that the sp is far too high even with the 2 shares offer..., I will wait to see if the sp comes back a bit.

required field....... 500 billion shares?

Yes approx.....they will issue a staggering amount of shares to the market....to me the sp is too high at the moment and this a risky one because if the drilling with AXC finds nothing in a few months time this will go back to far less than a penny.

14 August 2009 STERLING ENERGY PLC ("Sterling" or the "Company") Placing of 4,807,315,000 new Ordinary Shares to raise 62.5 million, proposed board changes and termination of offer talks Sterling, the AIM listed independent oil and gas exploration and production company with interests in the Middle East, Africa and the Gulf of Mexico, today announces that it has conditionally placed 4,807,315,000 new ordinary shares ("Ordinary Shares") of one pence each (the "Placing Shares") at 1.3 pence per share (the "Placing Price") to raise 62.5 million (before expenses) (the "Placing").

required field,
Issued Ordinary shares 2,325,510,585
plus placing of 4,807,315,000
adds up to just over 7 billion....still a lot of shares though!

it seems to me that following this placing that there will be some very heavy selling as peeps cash in a quick profit ..... so, regardless of the underlying quality of the company (debatable imo), unless you intend to be a (very) long term holder and are happy to stump up more money to get your placement entitlement, waiting to buy (if at all) would look to be the most sensible strategy

There are much better opportunites elsewhere for LTBH.

That said a quick buy and sell has netted me some more profit from this outfit.

Only larger holders stand to make substantial gains here in the long term imo.

Avoid except for trading.

Looks like I got the wrong number of shares.....still a heck of a lot of them....

http://www.moneyam.com/InvestorsRoom/posts.php?tid=14368#lastread

Just a bit of background info:
"Michael Kroupeev is director of investment holding company Waterford Finance & Investment. Waterford is a private investment holding company which invests, with a long-term view, in international natural resource projects, including oil and gas, exploration, development and production companies. He has specialized in the financing of oil and gas and other energy related projects in the emerging markets and holds an MBA from London Business School. He has been directly involved in the capital raising for natural resource projects and in acquiring, restructuring, developing and divesting such assets. He has a successful history of acquiring just under 30% of energy exploration and production companies who work in countries as he describes as "not flavor of the month". Overhauling management and seeking a takeover.
Kroupeev's most notable involvements:
- Anglo Siberian eventually taken over by Rosneft
- First Calgary Petroleums eventually taken over by ENI
- Emerald Energy accepted bid from Sinochem
- Sterling Energy - just announced equity raising involving Kroupeev.

Sterling Energy: Sterling Energy said Friday 14 Aug 2009 it raised GBP 62.5mm to pay off debt and put it in a better position to negotiate asset sales and partnerships. Sterling added that by Nov, it intends to raise another GBP 20.6mm and said it is no longer pursuing takeover approaches it received. Sterling said it agreed to place 4.8bn shares at GBp 1.3 per share, a 53% discount to Thursday 13 Aug closing price, raising GBP 62.5mm before expenses. Sterling will pay off USD 35mm of debt, reducing its debt position to USD 75mm. The proceeds will also give Sterling a "stronger negotiating position" in the sale of its U.S. assets, and could be used to explore the Sangaw North block in Kurdistan and bring in partners to
projects in Cameroon and Madagascar. Michael Kroupeev's investment arm Waterford has taken a 29.9% stake through a placing of shares. Sterling now stands to be reshaped by an ex-Emerald team. In sweeping management changes Sterling appointed Alastair Beardsall, Emerald's chairman, as its new chairman. Keith Henry, a non-executive director of Emerald, will join Sterling's board and Graeme Thomson, chief executive, will leave before the end of the year."

Could someone bring the sp down on this one so I can get in at 2p or lower please...I've worked out the the market cap is around 250 million pounds with loads of debt, 4000 bopd and even when they use up the capital to pay off some debt : they still will be owing quite a lot...nothing yet drilled in Kurdistan....to my thinking this is just rising on the back of Gulf Keystone's rise and first discovery.....how on earth do they value this at 250 million ?.

There was a bullish article in " oilbarrel.com " on 18 August -
Oilbarrel are now very enthusiastic about SEY's potential for Kurdistan, Cameroun, and Madagascar. In Madagascar ExxonMobil should drill the large Ampasindava block towards the end of 2010 ( 30% SEY ). SEY are now looking for a partner for the Madagascar Ambilobe block ( 100% SEY ).
Article also says there will be a rights issue to raise 20 million in November at two for nine shares, and then a share consolidation.
Also says the new director Alastair Beardsall is well respected in the oil industry, having turned round Emerald. This is why the share price is moving forward. Having got the bank off its back, SEY should now be the next success story after Heritage, and Gulf Keystone.