Headlines
In Brief:
BowLeven (LON:BLVN – 27p) – Transaction in Own Shares
President Energy (LON:PPC – 11p) – Operational Update
Roxi Petroleum (LON:RXP – 11p) – Reserve Update
In Brief
BowLeven (LON:BLVN – 27p) – Transaction in Own Shares: You can't fault the logic in trying to return money to shareholders, but this isn't the way to do it in our mind, it is inefficient. While we acknowledge that the losses would have had to have been reorganised in order to pay a dividend, it is still a better way to undertake it. However, we do not believe that a better return for the funds couldn't have been found for investors by buying further assets or companies, especially in these liquidity constrained times.
• President Energy (LON:PPC – 11p) – Operational Update: Today's effusive update on the Company's area peers in Argentina is making us believe that there is likely to be either an exchange of acreage positions, or a farmin, and that it is really a question of time. Not that this is a bad thing, as we believe that sharing the risks in Argentina is the right way to go.
• Roxi Petroleum (LON:RXP – 11p) – Reserve Update: Today's announcement of reserves is and of itself a feat, and one that, to our mind at least, underlines the fact that despite a difficult period, the Company appears to be emerging from this period of low prices in a stronger position than it started it. By their very definition Reserves are economic, and so we can't see how today's announcement won't result in a relief in pressure for the shares. We believe that investors should be happy with the Company's progress in the face of what has been a difficult time.