Debeey87's Posts
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KarlTom:How did the business return to profitability in Q3 if they still have a negative asset position? |
Sunrisepebble:The Q4 result will shed a lot of light. Looking at the Q3 result, the magic was in the other income line item and over 900% reduction in the selling and distribution expenses. |
Reserve-Based Lending (RBL) is a form of secured financing used primarily in the oil and gas industry, where a company borrows money using the value of its proven oil and gas reserves as collateral. 🔍 How Reserve-Based Lending Works: Collateral: The borrower pledges its proved oil and gas reserves (typically P1 reserves – proven and producing) as security. These reserves are valued by independent engineers or consultants using expected production and future commodity prices. Borrowing Base: Lenders calculate a borrowing base—a maximum amount the company can draw—based on: Volume of reserves Oil/gas prices (discounted/future) Operating costs Field decline rates This base is re-determined semi-annually (sometimes quarterly) to reflect changes in prices and production. Loan Structure: Usually structured as a revolving credit facility, allowing the borrower to draw, repay, and redraw funds within a certain limit. The borrowing base can go up or down based on market or reserve conditions. 💸 How Debtors (Borrowers) Pay Creditors (Lenders): Repayment is usually tied directly to the cash flows generated from oil and gas production: 1. Scheduled Repayments: Regular interest and principal payments are made based on an agreed schedule. Payments may be monthly or quarterly, depending on the loan agreement. 2. Cash Sweeps: If revenue exceeds certain thresholds, excess cash may be used to prepay the loan automatically. This reduces the risk for lenders, especially if oil prices drop later. 3. Borrowing Base Redeterminations: If the borrowing base drops below the current outstanding debt (e.g., due to falling oil prices or lower production), the borrower must: Repay the excess (immediate or over a short grace period), or Provide additional collateral, or Re-negotiate terms with the lender. 4. Hedging Requirements: Many RBL facilities require borrowers to hedge a portion of their future production. This helps ensure that the borrower has predictable cash flows to meet debt obligations even if oil/gas prices drop. ✅ Benefits for Borrowers: Access to larger capital based on reserves, not just revenue or assets. Flexible drawdown and repayment. Encourages disciplined capital investment tied to production. ⚠️ Risks: Highly sensitive to commodity prices. Borrowers may face margin calls or forced repayments if reserves are revalued down. Can restrict growth or investment if cash flows are mostly used for debt service. |
Streetinvestor2:According to chatgpt, reserve based lending implies oando can borrow against its reserve. So as they produce, they settle their lender first. If RBL is how they got funding, Sunrise position is correct. However one also has to understand how much of the production is pledged to repayment knowing that oando still has other debt obligations to pay asides this most recent loan. Your business is different in that you don't have a reserve unlike producing companies which your lenders can place valuation on to determine how much you can be borrowed |
Jeoma2024:You can write to the registrar of each company. Some already have online options for e-dividend. Other have to seal with signature mandate from your broker. You can try the nibss option as well. |
emmaodet:You and karltom should send email to the people below and copy SEC. CARDINALSTONE dropped the ball on NAHCO payment this time. Sent an email last night, got my payment this morning. For urgent matters, kindly contact Adetoun Akingbojule at adetoun.akingbojule@cardinalstone.com or Olanike Solalu at olanike.solalu@cardinalstone.com. You can CC raymond.akokota@cardinalstone.com who is supposed to be the main contact for NAHCO shareholders at cardinalstone. |
Princkez:It is Still a sound business. |
uncleteeh:No concrete fascia. What we did was with facing board and a cover for wind protection at the top of the sheets which should ideally prevent wind from lifting the sheets |
Ginalex:Nahco is my biggest payer of the season. Getting paid 5.96 while having a bep of over 7 is tantalizing ![]() |
Geekop:Thank you. Any recommendations for flash bands with good bonding. I know there are a lot in the market these days. Just want something to give me some rest from roof wahala |
diordaves:A frame with long span roofing sheets not flat roof |
Another issue with my build is leaks through the ceiling whenever there's heavy wind during rain. Almost all the flats upstairs have leaks at different times in different parts of the flat(sitting room, bedroom, toilet). However, whenever rain falls without heavy wind, no leak is experienced in any of the flats. I am thinking the roofer didn't overlap the long span sheets properly and that wind is properly opening then to allow rain drops. Last year, I covered all the nail points with Abro cement. We've had that issue as recent as yesterday again in 2 of the flats. |
VanuatuWycombe:Great perspective you've shared on sun rise and sun set, didn't know that was a thing. Not sure my architect considered that when designing too. The affected bathrooms are on the first floor and not ground floor, care to explain further how this relates to dpc? |
So what solution was used eventually? gabbytabby: |
Ellah don enter Morgan capital's recommendation ![]() |
m2cad:Thank you. That's what we will do |
diordaves: |
Two of the flats in my rental property have water soaking the walls from the toilet area. First plumber I contracted said the issue was from opening between the floor and wall tiles, so he used water proof cement on the edges but that didn't stop it. We also noticed that the floor doesn't direct water into the floor drain so you still have some left over water on the bathroom floor. This was corrected by tiler recently by redoing the floor and water flows completely to the drain. However the issue is still there. New plumber is saying the water supply is the culprit considering how much the wall is getting soaked and seeing it spread across the outside wall. He's suggesting we break the wall to find the leak ( I will prefer to rather run a new surface supply line instead of breaking the wall). Has anyone experienced such and how did they solve it. Can waste pipes be responsible as well. |
drills:Improved earnings. EPS closed the quarter above 16 naira higher than same period last year |
cocolacec:Not same as the listed company |
unite4real:Fair point you have raised. I believe that contributes to the ease of pump in share prices in addition to the good numbers |
unite4real:Presco is liquid to an extent, beta glass doesn't trade more than 300k per day |
pluto09:It comes to around 2.80 even with the outstanding shares from Q1 2024. |
NSEstudent:Like I said, I have banked with them 18yrs. Nothing of such happened in those years. Other banks had similar software upgrade issues same period although theirs was worse. So a glitch that lasted less that 3months or under 6months isn't enough to close an account for me. Not speaking to the issue at hand with VDM and his mother. |
Youngzedd:Only Gen z do stuffs like that. Even when they had network glitches that made transaction impossible, I still maintained my 18yr old account with them. |
Consolidated Hallmark didn't declare dividend. Sorry for the misinformation. |
Bigdeal01:They did declare but it seems @sunrisepebble assertion about the possibility of not repeating their last year performance this year is true given this Q1 numbers. Also saw Aradel is a major shareholder as well as Godsmart a company owned by Nahco's board chairman |
thebargainhunte:They should release NASCON to move on. |
Princkez:Not a guru, but I'll share my opinion. Nacho won't increase OS and if the numbers they're projecting is anything to go by, you will get capital appreciation and more dividend above this year. They also have a good payout ratio unlike banks that are handicapped by CBN in terms of how much they pay. I will take nacho over UBA. UBA has a fair price if you consider their EPS to the share price. There's a lot of room for price increase but banks are laggards when it comes to price appreciation in my opinion. Access bank is a prime example |
Raider76:I no be oga Emma but you can use J i j i to advertise. I've sold 2plots of land I advertised there before. You can post in the property session of nairaland as well. |
chimex38:Even a 5yr old won't understand if it is explained to them. |
GeeKudi:Not sure people are o. My BEP for example is is 7.20, that's over 80% yield. Imagine people who bought at 2 naira or so during COVID. In the end, if one buys a fundamental company at a cheap price, with some patience, one will reap good reward. I am hoping CWG can replicate this type of performance over the next 5yrs if the trend of their performance continues and they improve on dividend yield as well even though they have increased their dividend by 100% yearly over the last 2yrs. |
unlike producing companies which your lenders can place valuation on to determine how much you can be borrowed

