Cepsa and Jho Low's offer is out. They want to buy Salamander outright for 121p. Plus another 24p if further discovery in G4/50.

This is getting more interesting

Sona (40% stake: cash around 160p/share) vs Ophir (share swap maybe?) vs Cepsa (121p +24p)

Ultimately, it's up to Salamander's shareholder to decide

maggiel.....why sudden change of heart? fall through = tak jadi?

Salamander is a hot topic in business news today, which makes SONA deal an interesting subject.

Bank loan secured on 24th. That could be the main reason for sudden surge Friday.

PipiMimi was the one at the MIDF Luncheon with some big fund managers, if I refer to previous postings.

Anyway, thanks for the update.

http://invezz.com/news/equities/14219-Salamander-Energy-share-price-Company-Confirms-Takeover-Interest-From-Ophir-And-CEPSA

This news might be the reason for price weakness today

I agree with CLIQmanagement. SONA management and its related party need to hold majority of
the share, or risk the deal not being approved/spoilt by other shareholders at EGM ( assuming SC approved).

They have to buy more from the market. Maybe the main reason for the price being depressed all this while, so they can collect cheap.

But with QA announcement is just around the corner, they don't have much time to collect at low price. They have to buy up whatever price being offered. Just my 2 cents.

qieen. I like the 'wow' in SONA today =)

It has been a while since last time SONA in action...

I notice this time is quite different. Unlike last
time, it doesn't take so much volume for SONA to
up 5 cents.

Personally, I prefer no news on SONA's QA so soon.
Let it continue go up for a few more days before any
announcement on QA.

Thanks @PipiMimi for the update.

MIDF Luncheon Talk - "Valuing Upstream O & G Assets" hosted by MIDF Research & MIDF Investment.
Presentation by Sona Petroleum follow by Q&A (by Sona MD & ED) on 23 Sep 2014


Anyone go this event? Any update?

Most welcome rikki.

Growth prospect if they managed to seal the Salamander deal:

http://www.investegate.co.uk/salamander-energyplc--smdr-/rns/approval-of-g4-50-environmental-impact-assessment/201409220700051761S/

Salamander owns a few asset. Some are profitable, some are not. Their crown jewel is Bualuang. Early this year, there was unplanned shutdown at Bualuang.

Sona is buying only Bualuang field.

Double bottom reversal in the making?

Correction: It's Lime Petroleum. Not 3D oil.

I couldn't agree more. Look at Hibiscus. Price hike begin not after announcement of QA (3D oil). But after submission of application to SC.

Application to SC within 45 days of S&P date of 17 July.

Wow. All of a sudden...what happen?

Complete conversion of FPSO to FSO which will reduce operating cost by some RM80++million from 2015 onwards...

Sanction of Charlie platform which will convert more potential resource to reserve

Bualuang field itself can provide further growth opportunities...

No wonder Hadian said no more acquisition for the next 2-3 yrs

Sona needs to clear heavy volume T+4 this come Friday.

Agreed with thlim. Sona should be a safe bet for now

Salamander Energy share price being hit really hard. From 130++ pence to around 110++ now.

If Salamander being hit, Sona should be the main beneficiary I guess?

Today's volume is high by SONA's standard. Wondering who are the buyers. Don't think contra players account for most of it.

Perhaps we are seeing entry of funds into Sona? After all according to Thestar today, an undisclosed fund advised it's clients to buy Sona, citing TP of 80-84 cents?

If the historical price of Hibiscus serves as a guide, SONA will climb up all the way until the date of approval by SC (3-4 months time?). Off course, there will be minor corrections along the way.

Hibiscus went from around 0.50 cents (before QA) to around 1.50, once SC approved their QA proposal.

One thing for sure, once SONA completed this deal it will no longer be a speculative stock and funds/investors will be able to better assess it's value.

At 50++ sen, it is a steal IMHO. Though it has already been up by about 10% from 48 sen in the last 3 trading days, the volume doesn't suggest it is being overcooked yet.

Wishing all the best of luck. Enjoy the ride!!

Looking at Salamander Energy price now, I believe something good is just around the corner.

Hope for a pleasant surprise next week!

Pierced through 50 cents, effortlessly. More to come!!!!

Eric/mk88....I use this as reference. Indeed, this is just guesstimate. But unfortunately, this is the only one available at the moment. You may want to wait for full analyst report post S&P. Hope it is not too late by then.

Read here:

http://ateamecm.blogspot.com/2014/07/morning-call-3-july-2014.html?m=0

Sona is hot now. EPS 9.1 sen, PE 5.3 post acquisition. It truly deserves better valuation. PE 13-15x perhaps?

Sona starting to gain it's lost ground. Up up and away!!

Not sure how credible is the analysis. But this is the first one that I could find.
EPS 9.1?? PE only 5?? Just sharing:

http://ateamecm.blogspot.com/2014/07/morning-call-3-july-2014.html?m=0

The director is collecting ILB at current level (0.86). I believe more action to come soon!

SC will not approve if the internal rate of return is less than 15%, as per in their prospectus. Dato' Saw reiterated during recent AGM that their expected return is indeed 15%.

Who to believe? Sharks or the business development VP? A quick check, this Dato' Saw used to be Shell Malaysia Chairman, a few yrs back. Don't think he is talking nonsense.

Anything can happen in the next 3 days. Personally, I think this is already a done deal. Indeed, Salamander is acquired at premium. But good things are not cheap, and cheap things are not good mantra is applicable in this case.

Time will tell. Looking at the price movement since the QA announcement, downside risk is limited vs upside potential. As for the earnings, since we are not privy to those confidential numbers, we end up with guessing game. Your guess is as good as mine and vice versa. No right or wrong. No point arguing who is right or wrong until the actual details are revealed very soon.

3 more days!

Sona, the last SPAC to be listed but it will be the first Malaysian SPAC to produce oil. Well ahead of Hibiscus and Cliq!!!That's why I believe their management is sound and excellent. Once the deal materialised, more funds/investors will be comfortable investing in Sona. Neighbouring exploration/development block will provide future growth (mind you they Salamander has discovered oil in Surin block already - so almost confirm got oil)

Then revenue/profit will automatically be recognised. Assuming 20% net profit from RM 480 million revenue = RM 96 million. EPS will be circa 8-10 sen per share. Assuming EPS = 8 sen and PE of 15, conservative value of Sona should be RM 1.20.

If commercialisation in the next block comes online, the figure above has only one way to go. Up...Up...and away!!

Just my 2 cents.

Mother absorb huge volume last of week's Thursday and Friday well. Sign of bottoming...

You're welcome saddiqsepakraga

After doing some research on Salamander's Bualuang field, I start to believe Sona's management has done very well in identifying the QA.I must say the QA is quite premium, but that is acceptable with its lower inherent risk and future growth prospect. Not only the will get immediate revenue from already producing field, but also the exploration well in Block G4/50 with promising prospect, with oil discovery at Surin field by Salamander late last year.

I personally believe Sona's price volatility maybe as a result of lack of info on the deal, but as more information are made public soon, the price will adjust itself.

Good luck Sona holders. I'm in.

That's right. It's RH Petrogas