I've followed this board and stock for many years. The board is excellent and, frankly, wildly better than the analysts on the street. The conference calls are plagued with ineptitude and soft balls by all of the analysts. The questions to be asked, directly and without compromise, are quite simple:
1) Mr. Moffett, can you please outline for each UD project, including BBW, BBE, DJ1, DJ2, Laffite, BBH, etc., the start date of the project, the date at inception investors were told the project would be complete, and how late each project is to date?
2) Again, for each project, please tell us the original budget, the current total spend, and the projected spend to completion?
3) Mr. Moffett, do you feel it is appropriate for your investors to demand answers from the MMR management when on ALL counts you are wildly late and wildly over budget, spending hundreds of millions of shareholder capital and providing virtually no view on the productivity of this capital outlay?
4) Finally, the shareholders are adrift in hyperbole and conjecture, with tid bits of broad brush strokes subtly, but overtly, priming shareholders with what is effectively vapor. Can you please explain to your shareholders the myriad statements made by MMR management, you, and EXXI management over the past two years chronically suggesting massive finds while months later simply going dark, time and again?
So, the question is, does the MMR management do what they say they're going to do (a fundamental tenant of an effective management team)? Thus far, the answer is resoundingly no.
I hope an analyst decides to actually ask the basic due diligence questions and stop drinking the hyperbole tea.....
"the date at inception investors were told the project would be complete, and how late each project is to date?"
You do realize that they're drilling wells in the Gulf of Mexico that are 20,000 to 32,000+ feet deep?
1) They do tell us the start date and how much in total for all wells they expect to spend. You can easily look this up yourself.
2) Again, they've already told us the total they expect to spend. And they've told us how much they've spent. You can easily look this up yourself in the 10-Q's and 10-K's.
3) They have provided numerous updates. That they aren't as often as we would like is too bad. It takes a long time to drill these wells and they're not going to give us daily drilling updates.
4) We're still in the early stages of the ultradeep play. They provide updates quarterly and often times during each quarter.
Ya your points are well taken.But JB"S silence is frustrating these are not 2 million dollar shale wells.This is starting to look awful familiar.I owned FCX when it was called freeport Mcmoran copper back during the Grasberg ramp up and the Rio Tinto alliance what a deal that was.JB does know how to make a deal.There must be no strategically advantages to release information at this time.JS came right said that there looking for a drilling partner.Heck 80% of the stock is owned by insiders and institutions as long as he keeps them happy he has clear sailing or until the money runs out.Just surprised how tight these wells become cant blame JB after what happened at DJ1
Totally agree kb! I follow quite a few E&P cos, and MMR is a little above avg as far as giving out information, IMO. Exxi is an anomaly as they are constantly hitting the "circuit" almost too much , IMO as they may be spending too much time/$ doing it.
I can see that shareholders are angry now with managerment, who doesn't update the business status; doesn't care about shareholders value.
I called IR on Friday and asked for UD updates. I was told the director would call me back, and none calls me yet. Let's see.
Doc, if you really think management of MMR does not care about shareholder value then you should sell and not look back. Not a good idea to hold a company that has some other agenda than creation of shareholder value.
Personally I think, and hope, you are incorrect.
IJBIT , but I think he does exactly what he wants to do. I think FCX has acted that way and he is trying to do it his way again even though this "big find" is in the USA vs FCX's discovery in the 3rd world. I'm riding with JB , though I think he is not too concerned about shareholders in the short term.