Now their new cash cow is in play (and it's gas and not oil) would be good to see their share buyback intensify. We won't see the full impact of the new acquisition until Feb 25 with the results for Q4 24. With the new acquisition adding another US$40 Million PAT to their bottom lines it's becoming more and more compelling. This coupled with the geopolitical risk just have to wait for it to play out and take off.

Hibiscus know what they are doing with the pivot to Natural Gas.. And Asia is where demand is increasing the most and supply remains tight.. Happy days ahead

https://oilprice.com/Latest-Energy-News/World-News/IEA-Global-Natural-Gas-Demand-Set-for-New-Record-Highs.html

When's everyone going to cotton on that Hibby is now half Gas and moving more in that direction. Gas has gone up 20% this month and still rising..

Also interesting that Hibby is now mostly gas. And gas is up almost 15% in the last month....

Who bought all the shares at close...wasn't me 😉

Sorry but ur talking absolute nonsense without any justification

Hibiscus bought back a load of shares today. They know it's an absolute bargin.. PE is 3.. Where can you find that! Anywhere?

Hibiscus actually has around 650 mill in unrestricted cash. Debt is reducing from term loan to around RM350 mill at present - it's not due straightaway of course and they have facility for more. Interesting thing then is that the entire Brunei acquisition is likely covered by their present free cash. I sure they may leverage a bit more debt but it looks very healthy to me. Just wish they'd get more agressive with better dividends and share buy backs. I wonder if eventually the global oil supply deficit will eventually push prices up. Difficult to understand with so many moving parts but Opec won't want oil prices below where they are at presently and will probably defend the downside.

Actually kahhoeng, Brunei is almost 100% gas. This is part of their pivot away from oil. Next year their production will reach 31k bOE/day from their Capex and Brunei acquisition. That's 30% more than present. They also have the ability to scale up or down Capex to suit - if the market drops they can stop spending cos when their production cost are so low (less than $20 per barrel) they can easily protect their margin. I think they've been very smart with their investments to date and I think this will start coming through over the next 6 months as these fall into place.

Kahhoeng, this isn't correct. The final consideration will be significantly less as the asset effectively transferred to them 1st Jan 2023. They have been collecting profit against the final consideration for almost 21 months now. It's another great deal for hibiscus - they will end up paying circa US$160 mill and every month it's making significant profit. If Oil and Gas prices stay where they are their profit will increase another 30-40% for Q2 this FY. This includes all their Capex spend which is increasing production and opening up new production. Their stock is an absolute bargain.

Why would US oil companies suddenly start pumping more oil under Trump. So they can spend more to earn less?! It’s not in their interests. They are not out to develop or invest significantly more in oil fields. They, like other oil producers, want to make more money and do less. If that means lower production in the US whilst keeping expenses down and oil maintains or goes up I’m sure they’re happy as Larry ;) They like/paid Trump for his policies in favour of continued oil use as opposed to what he sees as significant/unjustified investment in renewables.

Hibiscus would have had another great quarter. I anticipate above RM150mill PAT. Togheter with cash in hand Total deal already fully covered and NTA Will be way over RM5.. And revenue and profit already accruing evening though deal won't be finalised to sept/Oct it's already done. So the question is just when will it go up, not if. At some point very soon the shorters will get it.

When ur at 2.33 and the NTA is 3.77 and rising how long till you become a target for someone else.

Maps - they have an excellent management team and provide clear transparent reports. Perhaps that works against them in Malaysia! Their stock is an absolute bargain at present and I've been loading up on more. NTA is currently 3.77 before the Brunei deal. After the deal this increases. Im sure that also have other deals in the wings. The world is also very fragile to the upside at present. Things will soon correct themselves and the diamond it is will shine through.

Gosh.. Unbelievable, what does Hibby have to do to be loved. Oil goes up, it does another great deal, yet it's still being manipulated by the unscrupulous.. Will buy more tomorrow 😉

No new debt either. Seems like the final consideration accruing profit will be slightly less than US$200 Mill as Totla Energies PAT for last year was around RM160 million, assuming a close in October this year around US$60 Million will also accrue to Hibby.. Sounds like another excellent deal.

Interesting with the deal is that it's backdated to 31st December 2022 so all profits from Total Energies accrue to Hibiscus so the final consideration may be significantly less given oil prices over the last 18 months..

Wow - huge deal

Great news - goes into production next month. Watch Hibby take off ;)

https://disclosure.bursamalaysia.com/FileAccess/apbursaweb/download?id=146573&name=EA_GA_ATTACHMENTS

Seems like the Share Buy Back is a disaster..

Gosh… when are Hibiscus going to defend the stock gains and protect share value and long term shareholders… pump and dump again

I’m not complaining ;)

Someone bought large at the bell at 2.80.. any idea what happened?

Noticed a few times of late that after the bell at 4.45pm there’s a diminishing of the stock price with late sales. It’s like most of the buy calls a removed but there’s some dodgy low value trades a few cents lower which seem to manipulate the price for the day.. most of the day it’s 2.59-60 and then a few low value trades at 2.56 after 4.45….???!

Thanks Twynstar, nicely put. What’s also clear is that the ongoing capex is being easily covered each quarter still with great PAT and we should start to see increasing output/ increased revenues as they are realised. They’re aiming to get to 35-50k barrels a day over the next few years with even better profit margins. Will be an interesting few years ahead. Have been accumulating also but not quite as cheap as you managed (low 90s) and will continue to hold and accumulate more when the opportunity arises. Will be interesting what they do with the shares bought back.. nice to see them distribute back to shareholders rather than remove from circulation…

Do we think Hibby price will explode? interested to hear thoughts.. they have a lot of cash, share buy back is progressing, good fundamentals, but they don’t seem to be loved.. another year and they’ll almost have more cash in the bank that they’re worth.. so things gotta change, or so I think.. thoughts/insights welcome ??

Who's dumping hibiscus.. There's been quite a sell off of shares the last few trading sessions .. Don't quite get it as fundamentals are outstanding.. Wish Hibby would buy more shares and support longer term shareholders positions. .

Not forgetting the RM892 million they have in the bank as unrestricted cash.. Yes this quarter was down which was expected as oil prices retreated alot however they still made RM100million + on increased production of 22 million barrels oil equivalent a day. The present quarter will also be excellent - 120mill+ I beleive. Share buy back is Progresso g although still not as agrees ive as they could/should be. The have also covered significant capital works during the quarter with the drilling of a number of wells wjichbhave increased production in Sabah and are not yet completed. Oils set to increase again on supply concerns and the outlook for Hibby is excellent..

Wow RM102 million profit on depressed oil prices…

Yep, bargain now. What happens when hibiscus cash in hand is more than its market cap?! Another year and we’ll be there

Very funny that.. I have been making money, that's the whole point! Ur no crystal ball gazer bondy.. If urve nothing constructive to say, just wanna fear monger, put others down, and bask in ur own vain fake prowess, go somewhere else.. keep talking into that mirror

EPF bought 3.2% last year and hibiscus also mopped up shares last year under their previous SBB mandate and are now buying more this year as the price is stil too low.. So with another 13% locked up of which at least 10% of hibiscus shares are removed or distributed back tk shareholders.. Coupled with so much insane geopolitical tension at present.. Is this not a wonderful long term investment???

Yes, very disappointing.. oils stabilised and will probably go back up and Hibiscus is being dumped despite a fantastic quarter, and management yet again do nothing to stabilise the price. No SBB and pitiful dividends.. not sure what they are trying to achieve here, especially as senior management own significant stakes in the business. Wouldn’t they want more out of it! Still I guess there’s an opportunity approaching to acquire more ..

Yes, unless they’re making it very attractive for a take over .. even then they could still be more generous.. they can’t take it with them 😉

Yes agree. My investment standing still. 3% return is a loss when you look at inflation and what I could get with the banks. Not sure why they want to hoard so much cash. Would expect at least 10% dividend given oil is ultimately going to move into decline so surprised they aren’t coming to the party yet.

So never enter cos Hibiscus has almost 1.70 a share in cash… wait and see Q3 results..

Why do they allow post market trading which dragged the share price down to 1.10 when it was 1.12 at close.. anyone know?

Btw as Brent is over US$93 a barrel, Tapis which is the oil hibiscus mainly sells is approaching US$100..

Yes, and after this quarter Hibiscus should easily have over 1.1 Billion in cash and cash equivalents... So are there really only worth 2.2 billion???

Check out Sept announcements to bursa, this will be voted upon at an AGM or EGM.. but it’s a given that this will pass

https://www.hibiscuspetroleum.com/investor-relations/bursa-announcements/

It’s good to finally see a correction in Hibbys price. I’m vested in the med/long term and I like the moves they have made.
1. They have significant cash… with this quarter over a billion RM sitting in their bank accounts
2. They have recently expanded their oil asset base in the UK which provides significant additional reserves to the group to expand upon.
3. The debt they have is for development of these assets and is more than covered by cash in hand.
4. They has kept quiet about the share buy back, which they should advise soon with their AGM. This would lead to more positive upside.
5. Share consolidation 5:2 will also remove more of the day traders from the counter and benifit med/long term positions.
6. With excess cash the stock is/will start paying higher dividends. I believe this with start with this quarter as they are lining up for a 200million+ PAT for July-Sept with the higher oil prices and this being their highest production output quarter for the year. Oil price downside is constrained by supply and low reserves globally.
7. Management are transparent in their dealings and provide comprehensive reports and have executed what they’ve said.

So there’s a lot to like about Hibiscus and, I believe, a lot of unrealised value and upside to be had.

What’s happening with Hibby, oils going up but someone dumping the stock today… can’t believe it’s still at just over RM1 when they are making hives profits, which will be even more this quart with the average oil price up US$15 and the exchange rates also in their favour.. guess will just have to keep waiting this out till the next quarters results and the share consolidation to reduce the percentage day traders ..

Finally Hibby moving… Tapis now US$93 a barrel..

https://www.hibiscuspetroleum.com/bursa-announcements/ More positive news.. Hibby significantly increases its reserves adjacent to its existing Uk assets

Another 6 million barrel draw in reserves in the states. Since April reserves are down 30 Million Barrels… what happens when it becomes a deficit in a few months .. they use the SPR again which is at 40 year lows…
https://oilprice.com/Latest-Energy-News/World-News/Oil-Steady-Despite-Large-Crude-Draw.html

Malaysian Tapis is now trading at over $90 up $15 from June. This is directly accretive to the bottom line (after royalties) which means they'll be 30-40% more profitable when this quarters results come out over last. Last year this quarter also had the highest production given the timing of their offtakes. So the pot of cash they have is going to continue to grow significantly... They might have more cash soon than the market cap! ;)

Good quarter. With share buy back starting soon and a commitment to 2.5 cents dividend minimum to end FY23 in June. outlook is very positive.