Daily Brief Energy/Materials: Anton Oilfield, Crude Oil, Berry Global Group, Dynacor Gold Mines Inc, Ocean Power Technologies, TMC the metals co and more

Anton Oilfield’s FY 2023 results were strong, with revenue growth accelerating to levels not registered since H1/19. The strong FCF boosted the cash balance. The company’s financial risk profile improved significantly, with Net Debt/EBITDA below 1x and healthy interest coverage ratios. Liquidity is adequate.

We expect the business’ positive momentum to continue in FY 2024. H1 is projected to be significantly better y-o-y, while H2 is anticipated to improve only marginally due to the high base effect.

• Oil prices are buoyant as the market largely expects OPEC+ to keep the supply cut policy intact till June. 
• Global oil demand outlook improves as the US and China see pick up in manufacturing activity after one-and-a-half years and six months, respectively. 
• Russia decides to focus on reducing oil output rather than exports in Q22024, implying a surprise shift in policy.  

• Berry Global is a leading manufacturer of protective packaging solutions, specializing in rigid plastic containers, flexible packaging, and non-woven fabrics
• The company has a global presence with over 280 facilities across different countries and employs about 47,000 people
• Despite challenging market conditions, Berry Global presents a promising risk/reward opportunity with a potential upside IRR of 15-25% and resilient Free Cash Flows

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• Dynacor is entering its next phase of growth as it continues to expand production capacity and move beyond a single asset.
• DNG has a stellar track record over the last decade, highlighting the strength of its business model, its ability to navigate tough jurisdictions, fund growth using cashflow, and returning capital to shareholders.
• DNG has a strong balance sheet with $23M in cash, $51M in working capital, and negligible debt.

• Ocean Power Technologies (OPT), a company specializing in marine power and data solutions, announced a new initiative called Merrows.
• A major hurdle in maritime security is maintaining awareness of everything happening in and around our oceans.
• This requires collecting and transmitting vast amounts of data.

The Metals Company (TMC) is approaching a critical phase in its development. As key milestones are achieved, so the project will be de-risked and the valuation expand. Of particular note are the anticipated award of an exploitation licence and physical nodule collection, which management expects to commence in Q126.