Investment Q&A

Q: This is a small cap Canadian oil company that has production in Thailand. This week they announced a $0.40/sh. return of capital along with the intention to sell their remaining production holdings. That would likely be returned to shareholders as well. The Thai wells are very profitable right now due to high oil prices in a great geographic location and they are reporting historically high production levels.
My question: What are your thoughts of the recent announcements/how accretive do you think they are?

Q: I have stubbornly held on to this small cap oil company for years through thick and thin. It is currently heavily in the thin stage. They recently struck out on the Indonesia gas play and seem to have finally bailed on that country. On the other hand they have been upping their reserves of crude in Thailand and are sitting on a relatively large chunk of cash (it is currently trading at basically its cash balance value).
Their production costs are low and their customers in Asia pay prices on the higher end of the scale, especially since their crude quality is very sweet.
I expect some sort of return on capital (sale of remaining 50% stake in Thailand/large dividend from Thai joint venture etc.) in the foreseeable future.
Should I average cost down or finally sell and move on?

Q: I've been sitting on Pan Orient for a few years now. I've suffered the oil blues during the sector meltdown but this one has done well this year at least. They've had a couple of recent oil discoveries on their Thailand concessions and are starting a new drilling effort for gas in Indonesia. I'm thinking they will soon be increasing their profit notably. Would you hold out for higher gains or dump and move on?

Q: Amidst all the doom and gloom in the energy sector POE has been a shining exception. However, it is largely ignored by analysts and investors. Could I have your opionion on POE as a potential investment?

Thank you.

Q: Hi Peter and Ryan,

POE's $0.40 special distribution has left me a little confused as to when we should expect payment. I've included text below from their February 1, 2016 press release:

Key dates are:


-- The record date to determine shareholders entitled to receive the
distribution will be February 10, 2016
-- Due bill trading will commence on February 8, 2016 (two trading days
before the record date, so that trades settling after the record date
have due bills attached)
-- The payment date for the distribution will be February 16, 2016
-- The ex-distribution date will be February 17, 2016 (the trading day
after the payment date, so that trades on and after that date will not
have due bills attached)
-- The due bill redemption date will be February 19, 2016 (the second
trading day after the ex-distribution date, when all trades with due
bills attached have settled)

Thanks

Dave

Q: Could you update on POE
I see they are planing to pay .40 on per share on a special distribution. I would have expected the share price to go up more than it has.
If I bought more now would I receive the special distribution (I hold it in RRSP so don't have to worry about taxes)

Q: I've been sitting on POE for a couple of years waiting for a home run. It hasn't happened. There are a few moving parts to the company (Thailand producing oil fields/Indonesia gas exploration/Canadian SAGD test plant)so it's a bit complex. How would 5i rate the potential of POE?

Q: Hi, poe, should I hold or sell? Greetings Peter.

Q: Could you update on Pan Orient (POE)I'm down a little and trying to decide if I should buy more or get rid of it? Thanks

Q: Hi Guys, can I get an updated opinion and status on POE. Looks like they have some good upcoming potential. Thanks!

Q: Hi Peter: Can you please provide an update on Pan Orient given their recent release of financials ? Thanks ! Dave

Q: Could I get your opinion on Pan Orient Energy POE.

Q: Hi Peter.
Pan Orient just delivered a painful blow to the hip pocket. I'm surprised the hit was that big even though the upcoming special dividend is .75 cents.Are you too surprised and what would you think recovery time would be for POE shareholders such as I? Thank you and kind regards.

Q: Further question on POE.Is it likely that POE's share price will increase as the distribution date approaches? Is it usually good policy to sell in advance of the distribution or take the distribution and retain the stock, all things being equal? Thank you.

Q: I'd appreciate input regarding the difference between a distribution and dividend. Is a distribution a special dividend that a company basically pays the tax on so the shareholder doesn't?

I wasn't expecting any announcements from POE regarding dividends/distributions but personally I'm pleasantly surprised. Tempted to buy more but would greatly appreciate 5i's thoughts.

Q: Well spoken on BNN Peter. Kudos.
1) Do you feel a special dividend would be a smart use of some of the money Pan Orient(POE)will generate from their recent Thailand sale?
2) What are your thoughts regarding General Cable (BGC)?
3) What are your thoughts on Western Wind Energy (WND)?

Q: I would appreciate to hear your thoughts about today's news from Pan Orient (POE)