Directors Deals 

Rockhopper deals follow farm-out

Rockhopper deals follow farm-out

If you invest in oil majors it would be reasonable to assume a lower level of execution risk, simply because that at any given time they will be involved in multiple projects. Whereas if you are looking to exploit the junior end of the oil and gas market, you are probably doing so in expectation that production, once achieved, will have a disproportionate effect on profitability and cash flows. Concentration of capital increases risks and potential rewards – think of EnQuest’s (ENG) travails with its flagship Kraken field.

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