UK 04:32 Wednesday, 7 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.
It rather seems to have passed folks by but having failed to raise £6 million in a placing he masterminded a month ago (as leaked emails show HERE), Jabba The Hutt is still determined to see dilution on an unprecedented scale - even by his standards - at LGO Energy (LGO). There is an EGM on Monday 18 April.
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Comments
Simon Hodges
Lenigas is a successful entrepreneur in the same way that cancer is a successful disease.
Bob
Simon, if success is measured by assets then we’re looking at pancreatic cancer I assume?
Simon Hodges
As a public service can we not get together and work out how much of investor’s money Lenigas has spunked over his career? UKOG, LGO, Inspirit, SOLO et al… is it close to a £billion?
Andy
It’s irritating that it can’t be sold short. Why is this?
NEMESIS
Great how they leave it till the last minute and then have the section 5 comments to bend investors over a barrel at short notice.
They knew the general situation 3 months ago, why couldn’t they just announce a RI then?
Duck and Dive
It wouldn’t surprise me if some of the BBMs reading this misunderstand it to mean that they will be diluted by 50% on Monday, so just to be clear: next week’s proposed placing is for a total of 320m new shares @ 0.25p, amounting to approx 8% dilution.
LGO are also seeking authority to issue up to 50% of the shares currently in issue – if and when future market conditions permit. That doesn’t mean that all, or any, of these shares will be issued – and it would be surprising if they weren’t even considered until or unless the share price is significantly higher than it is today. Indeed, given the apparent difficulty LGO had with the initial share placing last month, they would presumably find few takers for that volume of new shares unless their outlook were much brighter than it was then – which imho would mean that their covenant breach were lifted, a workable new agreement with the bank going forward were signed and that oil production had been enhanced by the current work program.
It’s all seat-of-the-pants stuff but Lenigas & Co are clearly determined to rub your nose in your 0p forecast. I wouldn’t be rushing to buy their shares but I hope they can pull it off.
wildrides
Absolute shite from the whining Froth as usual on this matter.
The shares are nearly double the price you called zero at around 0.16p last year.
Most investors got in post IPO when the price was under 1p and then road it up too as high as 6p and then sold on the way down . Their profit ( not loss ) was dependent on when they sold and is down to skill and adequate stop loss methods being employed.
The assets are fine , infact the untapped assets are very good. Just look at Trinity ( next door ) ouputs and declines in their recent production RNS if you want proof of that .
The fall in share price was down to oil price falling 80% and losing an important new well via blockage down hole
Mr Ritson is not a poltrune
Oil price is rising again
LGO will not go to zero if oil price continues to recover
Teathers however is zero and your tip followers have lost 100% on it .
You have a vendetta with Del boy Lemon Gas which is clouding your rational regarding any recovery plays in oil and also some other sectors from time to time .
I invested in LGO at 0.18p and made 90% and then did it again for a smaller % at 0.24 to 0.32 p
You missed out because you have blinkers on how money is best made in this game . I do not currently hold a position other than a few free runners left in port for price monitoring purposes
Your small army of blind followers are being led by the blind on this occasion . I trade shares to make money not lose it on Teathers thanks or get my head stuck up your arse looking for sunshine .
There will be plenty of opportunities yet for money to be made on LGO .
The skill is in the entry timing . The inexperienced will pass money to the experienced and that is how the market works and will always work .
Hugs and Kisses and no offence as always …………… you Bar steward.
NEMESIS
Well reading the above what I would suggest is approve the 8% dilution and then separately have an RI.
I’m not an expert on this so please correct me if anything i write is amiss.
I’m suggesting the above because it stands to sense in my mind. How hard did they try last time to get the full amount they wanted?
I expect from comments the above the dilution at 8% is underpinned at a particular price, and the rest isn’t.
Now what they could do is when they have authorisation for the extra placing just place at a far lower price at mates rates.
Anybody complains they just say, “We tried to place close to the sp before it and we had limited takers, here’s the evidence”.
If they get authorisation they’ll fill it, it’s just all about reducing the placing price till they get the takeup they want.
P.s. – Don’t be surprised to see Lenigas bag 200m at 0.10 (or thereabouts). That’ll be him “saving LGO”.
Drunken Sailor
The removal of pre-emption rights means they place and do not RI. Yes they can do keep the lights on placings rather than a big bang, all they are asking for is shareholder approval to let them dilute them to buggery with still no guarantee that a single penny will ever get returned to shareholders. The risks, which have all been mentioned on here for many months, are a way of holding a gun to the turkey’s heads so they vote for Christmas and give away pre-emption rights and give the board a licence to print confetti. The smart vote is to vote with your feet and get out, but if PIs were smart they would have done that ages ago, like Malcolm breaking strain of a wet lettuce leaf Stacey was going to do at 0.9p before Wildes talked him out of it.
Duck and Dive
Sorry, but it’s clearly daft to urge LGO to opt for a rights issue. They may need to react swiftly to market conditions or imminent threats – in which event the 6-8 weeks it takes to arrange a rights issue could be suicidal. Also, rights issues are expensive and LGO clearly need to conserve cash.
In the event that a placing is heavily discounted, PIs will inevitably get an opportunity to buy in the market at or close to the discounted price so they should be able to protect their voting power if they want to. But most PIs don’t give a fig for voting rights…all they care about is the SP.
NEMESIS
I agree Drunken Sailor.
It’d be somewhat acceptable if there was some visibility over who these shares were going to because it would highlight any potential conflicts of interest for the people flipping em at say 10% above the prevailing sp . RNS’ above the 3% threshold are as good as meaningless as they are few and far between.
As for the 6-8 weeks, that’s not an excuse, they’ve known they’ve needed money for some time, had plenty of time to bring this fundraising forward 3 months in my opinion. As for being expensive, I’d be surprised if the marginal cost over a placing would be anything more than 5 figures, not a massive amount for a company worth £12m.
It’s allright Lenigas telling everyone to think of the long game but if you invested in year 1 and walked away, came back in year 5, you might find the situation that your shareholding percentage is 1/10th of what it is while the balance sheet value might have doubled. Not a compelling reason for anyone to hold long term.