UK 23:39 Friday, 23 October 2026
Breaking news and expert analysis on fast-moving AIM and LSE listed shares
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from ShareProphets). I have no business relationship with any company whose stock is mentioned in this article.
I suspect some MX Oil (MXO) shareholders might be surprised to hear this but I have good news for you. Ther historic losses of the PLC in the days before it was MX Oil CAN be carried forward and that means there will be no tax paid on the disposal of Aje. This is good news.
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Comments
wildrides
Someone please pick me up . I’ve just been knocked down by the whispy downy fluff off the edge of the quill of one single feather from a Jenny Wren.
VINES
“I am minded to believe the Mexican assets which have a proven resource and which would breakeven on all in costs”
“a deal on the Mexican assets which demonstrates their value would see the shares zoom and I sense that this may happen”
lol this is like a throwback to your t1ps ramping of ten years ago. is it meant to be ironic?
TW note. Nope i think Mexican assets worth more than £750k but shares will only motor if it proves this.Daz
Lost the plot on this one, now its a buy a week after it was a sell at a level 70% lower. BMD & his little pal think its a sell and now Tom’s a bull on the stock.
Fickle, sinister or agenda driven. Can’t figure out which one!
TW Note: Listen to bearcast it is all very simpleTom Winnifrith
Daz
My only agenda – as bloody always - is saying what I think the shares are worth. I have never had a position in this stock ever.
Listen to bearcast
T
SDH
This seems a bit too curious to me. On 25th January MXO announced “The Company has now received a formal offer and term sheet from a credible third party for the whole of its Nigerian investment. The value of the offer represents several multiples of the Company’s current market capitalisation”.
At the time I was struck by that unusual reference to a ‘credible third party’ – why the secrecy?
In the latest release we are given a little bit more information as to this mystery buyer.
“The Directors believe a sale of its Nigerian investment is an attractive option for the Company and they have today signed a term sheet with the proposed purchaser who is part of an established international oil and gas group.”
So the proposed purchaser is part of an established international oil and gas group (Goudron E&P Ltd possibly?).
It seems to me that anyone wishing to validate this offer needs to know the name of the proposed purchaser. How many companies at this time have $18 million to spare for this kind of investment? Does this proposed purchaser have the cash for this investment or are they in turn relying on debt or raising equity? How credible is this third party?
When Trinity Exploration were seemingly bailed out by Touchstone Exploration Inc for a similar amount last year their shares tripled just as MXOs did. That $20 odd million deal seemed to convince Citibank not to pull the plug on Trinity with regard to repaying their $13 million debt (which that have now been given 19 extensions on), but Touchstone themselves were never a credible third party. Yeah they stumped up a $2 million deposit and intended to raise another $19 million via debt and/or equity. That deal was meant to be completed by end of Jan this year but there is no sign of anything coming to fruition and I seriously doubt it ever will. Touchstone regularly declare losses of around CAD$50 million a year and their shares since inception like LGO and Trinity are down over 90%. Its highly unlikely in the current climate they will get the money from banks or investors.
Why should be the situation be any different for MXO? The identity of this third party needs to be revealed pronto and their sugar daddy credentials established.
Can you really trust this company when they made the claim on the 25th January that the directors wanted to sell assets in preference to diluting shareholders “The Directors believe that selling its investment on these terms, if completed, would be more attractive to shareholders than raising equity to fund its investment to first oil at the current share price.”
Yet cynically, the very first thing they did was to go ahead with the planned placing having more than doubled the SP with that announcement. Is not the road to money heaven always paved with such spurious intentions?
These two RNS are shot through with so many caveats and disclaimers as to be worthless. There is a reason that MXO do not wish to disclose the identity of this bashful potential buyer.
D_Stone
Given the unraveling of events, including your acknowledgement of a proposed placing @0.75p, do you still have any faith in what this management does.
As much as I’m skeptical of BMD he has called this one spot on from the convenient discovery of a white knight, GEC/GECD/GPCD ..