If you'd invested in: Premier Oil and Petra Diamonds
Premier Oil has seen its share price rise in step with its output and profits, while Petra Diamonds' profit warning has seen the shares slide.
If only...
Oil company Premier Oil (LSE: PMO) has exploration and production interests around the world. Its share price rose in January as the firm, which started production from the Catcher field in the North Sea in December, said that full-year output averaged 75,000 barrels of oil equivalent per day (boepd), up 5% from last year. Last month its shares rose further as the firm reported it was on track to meet full-year guidance of 80,000-85,000 boepd. If the oil price remains stable for the rest of the year, Premier expects a significant fall in its $2.7bn net debt during the second half.
Be glad you didn't buy...
Petra Diamonds (LSE: PDL) is a mining group focused on the exploration and mining of diamonds in Africa. Its shares plunged in September after Tanzania's government said it was investigating the country's diamond sector, leading Petra to suspend operations at one mine. The shares fell again in January when the firm released a profit warning. Last month, Petra announced a rights issue that will see it raising £133m from shareholders to pay down debt (it stood at $622m in April). The figure has soared due to the rising value of the South African rand against the US dollar.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Alice grew up in Stockholm and studied at the University of the Arts London, where she gained a first-class BA in Journalism. She has written for several publications in Stockholm and London, and joined MoneyWeek in 2017.
-
Should you invest in UK equities?
The FTSE 100 hit a record high this week, but UK equities remain unloved and undervalued compared to their global and US peers. Should you snap them up at a discount?
By Katie Williams Published
-
State pension errors: DWP urged to check for mistakes among divorced people
Former pensions minister Steve Webb says there are a high number of divorced women on low state pensions. Now MPs want the DWP to check if there were any errors in “potentially underpaying men and women who are divorced”.
By Ruth Emery Published