Seeking Alpha

InterOil -13% on report that Papua New Guinea deal with Exxon at risk

  • InterOil (IOC) -13.5% premarket on a report that Exxon Mobil's (XOM) exclusive period of negotiations for a large stake of IOC’s Elk-Antelope field in Papua New Guinea has ended without a deal.
  • XOM was aiming to acquire at least 4.6T cubic feet of gas from the Elk-Antelope field to fuel a third train expansion of the PNG LNG project it operates.
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Comments (11)
  • Chris DeMuth Jr.
    , contributor
    Comments (5268) | Send Message
     
    “InterOil” (IOC) Search Results:
    http://seekingalpha.co...
    16 Aug 2013, 09:01 AM Reply Like
  • RobbyRob
    , contributor
    Comments (361) | Send Message
     
    Is anyone buying the dip here? If not, where do people see value?
    16 Aug 2013, 09:20 AM Reply Like
  • Chris DeMuth Jr.
    , contributor
    Comments (5268) | Send Message
     
    Great questions. My answer to your first is "not me" and to the second is "a mid to high single digit number".
    16 Aug 2013, 09:33 AM Reply Like
  • Mike Maher
    , contributor
    Comments (2723) | Send Message
     
    Chris any reason you are so negative on IOC? Is it a large short position?
    16 Aug 2013, 11:02 AM Reply Like
  • Chris DeMuth Jr.
    , contributor
    Comments (5268) | Send Message
     
    It is not a large short position (I tend not to have large short positions so I can ensure good staying power). I don't think that I am particularly negative relative to any value that I see, I just don't see much value. That being said, there is a lot of room for someone with better geological expertise to know more about it than I do. My major interest is in the zany ratio of promises to facts. It appears to me to be simply a stock promotion.
    16 Aug 2013, 11:06 AM Reply Like
  • byslkwd
    , contributor
    Comments (114) | Send Message
     
    is that a reliable source of news?
    16 Aug 2013, 10:11 AM Reply Like
  • Roger Newman
    , contributor
    Comments (261) | Send Message
     
    This is quite the soap opera
    16 Aug 2013, 10:51 AM Reply Like
  • mrholty
    , contributor
    Comments (1102) | Send Message
     
    Amazing that its only down 4% as I type this. I've been short this on and off since 2006 (really? OMG, it has been that long as I look at my notes) and its constantly gone against me. I really hope this is the final break.
    16 Aug 2013, 11:08 AM Reply Like
  • Chris DeMuth Jr.
    , contributor
    Comments (5268) | Send Message
     
    It is an amazingly resilient stock propped up by a pile of promises. I am certain that there will be more good news announced; one tactic is to explicitly trade around their promotional releases when they pop the stock.
    16 Aug 2013, 11:30 AM Reply Like
  • RobbyRob
    , contributor
    Comments (361) | Send Message
     
    That is rather extreme. This is merely an options strangle play for me....I have no skin in the game one way or another. Perhaps IV is high for a reason.
    16 Aug 2013, 12:50 PM Reply Like
  • Retired User
    , contributor
    Comments (1803) | Send Message
     
    The Oil Search discovery at Flinders may have rearranged the supply situation.
    16 Aug 2013, 03:27 PM Reply Like
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