North Sea-focused oil and gas development company Orcadian Energy (ORCA) holds significant licence interests at a time of energy supply problems and energy security concerns. With those leading to increasing development incentives, it looks well set.
Whilst I’m generally wary of investing in small oil and gas companies, occasionally one comes along that appears to be in the right place, at the right time, and with the right assets and management team.
Today has seen a new entrant to the AIM oil & gas sector of the market – Orcadian Energy (ORCA). I am a self-declared Victor Meldrew – grumpy odd sod who sees the only rain later when the sun is shining, and any downside has to be highlighted. But I know a genuine “Buy One Get One Free” deal when I see it. Not those marketer driven “pump the price then make the offer” deals so many supermarkets like. I mean the genuine miss-priced bargain deals. In my view Orcadian is in this special category of miss-pricing and I am likely to be buying as you are reading this article.
Any negative news on an oil drill tends to see the share price getting hammered, and that is exactly what has happened today after I3 Energy (I3E) announced that a pilot well had failed to hit the reservoir that it was targeting.
When we talk to folk in the industry, about our plans to steam the Pilot, Elke & Narwhal fields in the middle of the Central North Sea, sometimes we get a pretty sceptical reaction, sometimes we don’t.