As you are all aware the Galaxy II is now well underway (as foretold here) and on route to Varadero. This next phase of the Catcher drill should see Encore’s sp rise as you’ll note it is currently slowly trending up and is still way under broker targets. These are certainly under-performing at the moment and any further good news is expected to push them over 200p pre takeover news. Remember that there is a minimum 300p takeover target here and this could rise on further OIP UPGRADES re’ Cladhan/Catcher.
I like Encore Oil and I like the management. I like them so much that I tried to arrange a £1,000,000 loan facility with my bank (Lloyd’s!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!) last Monday! After 30 minutes of negotiating it became apparent that there was no way forward. I did place as collateral the equity in my newly acquired flat and all of my portfolio holdings however apparently Lloyd’s can’t be seen to be encouraging stock investment loans “we just can’t justify it Daniel” I did point out to her the common sense of the facility and the massive gains the investment would accrue. All to no avail! I went through the full gamut of why Lloyd’s should finance my investment pointing out that in my portfolio was a substantial Lloyd’s holding. I had kept faith with my bank even buying their stock through the company stock investment scheme! It was obvious to me that her suggestion to sell most of my portfolio to invest in Encore was a wee bit tongue in cheek. I stand before the blog knowing that Encore will hit 300p yet not having substantial funds available to benefit. She did increase my overdraft facility by £10,000 which gave me access to just over 60k. So I have now further increased my holding here having bought two lumps of EO last week and I have sold 1290 Premier oil shares this morning just to keep my cash position healthy.
It is increasingly apparent that EO are on the rise. There’s going to be a big spike as buying pressure begins to kick in.
Hold your stock for the Takeover.
PS. She did telephone me last Friday to offer her sincere apologies. Encore had risen by 10% since.
(Apology brain is on overload trying to post and work at the same time!)