Serinus Energy plc (LON:SENX) is the topic of conversation when DirectorsTalk Interviews caught up with Daniel Slater, Analyst at Arden Partners to discuss the company.
Daniel, what’s happening on the Serinus Energy front?
Serinus is about to enter a period of busy operational news flow, with up to three exploration wells in Romania and ESP installations/workovers in Tunisia. This will provide for a sustained period of news flow for the stock, and all of the various work programme items have the potential to contribute to company production.
The Serinus Energy share price seems to have fallen despite good news, what’s your view on this?
There has been an overall fall in the market, even for oil and gas stocks, and unfortunately Serinus has been affected by this macro theme.
How do you see the outlook for Serinus?
As we mentioned above, a sustained period of material operational news flow, with the potential for this to add to production volumes and discovered resources: overall an important six months for the stock.
How do you see the company in terms of an investment case?
Serinus has an existing production base which, alongside high oil and gas prices, provides strong cash flows. These, alongside the existing cash position (zero debt), allow the company to pursue work programmes across its Romania and Tunisia assets, targeting new discoveries and greater exploitation of existing reserves. As such, we expect production growth going forward, but also potential resource increases to underpin future production and asset value.
Serinus Energy plc (LON: SENX) is an international oil company with operations in Romania and Tunisia. The focus of the Company is to enhance shareholder value by growing oil and gas production through the efficient allocation of capital.
Through their large and extensive land base, the Company has identified a significant future opportunity set that provides growth beyond its existing production and development projects.
