"The Convertibles are irrelevant, because they convert into equity..."
Not necessarily. Only if the sp goes up a fair bit from where it is at the moment.
I explained this a while ago, but in case it was missed, I'll repost.
"Those who hold the convertible bonds have an option to covert their loans to equity. It's just an option, not automatic. If they don't convert to equity, it's the same as the most recent high yield bonds - a debt that must be repaid.
The terms for conversion to equity are set out on GKP's website: at a 27.5% premium to the VWAP on 4 October 2012, giving a conversion price of $4.39.
No one's going to convert their convertibles to equity at the current sp level. If they did, it would mean that for every $4.39 worth of convertible bond debt the bondholder has, they would receive one share worth 36p. So it would only make sense for the lenders to convert their CBs into equity if the share price is higher than the conversion price that was fixed at the time of issue."
As at 31 December 2014 the KRG owed Gulf a net $252 miillion. In addition, there is over three quarters of a billion dollars of additional recoverable costs net to Gulf. So the total sum due to Gulf, though not all of it is overdue, is IN EXCESS OF ONE BILLION US DOLLARS.
The Swami has set that out, crystal clear, for every dog and his cat to read.
The monies already overdue EXCEED THE $250 MILLION BORROWED BY GULF ON THE BONDS.
The Convertibles are irrelevant, because they convert into equity. In effect, Gulf has NO DEBT.
And the assets, at the current share price, are IN FOR FREE to use analyst-speak.
Swami Zouari is very obviously fully aware of this.
When was shaikan classed as a commercial discovery?
Shaikan Field Development Plan was approved in June 2013
How long do the KRG have to exercise the BIR?
I would say they expired and the BIR are owned by GKPI
Once the exercise of the BIR take place the KRG if they exercise the BIR, then they are responsible for paying 25% of all the costs from that point.
Are shareholders carrying 75% of the Shaikan Costs of development and associated costs (etc)
Why as the CFO allowed this to continue , its a drain on funds , and if GKPI had sold the BIR as the KRG MNR did not exercise them, then surely the CFO should be trying to keep the costs down and off load the 25% BIR-at worst the BIR should be awarded to GKPI ASAP.
Its time in my opinion the CFO and Board act to recover 25% of all costs since the BIR have not been exercised by the KRG MNR , thus the KRG MNR have broken another legally binding contract.
Thanks for that. I don't think his second one (with the twin engines) still exists. John Cooper famously put a second engine in the back of a Mini in the 60s (he would have known about the twin-engined Allard) and it flipped, almost killing him. It's a highly specialised game, performance 4WD chassis design! We owned Jensen's first "FF" (the 4WD Interceptor) many years ago...the legendary "JEA 4D"...but it was subsequently broken-up for spares. We also had their first Interceptor, "HEA 4D". That one still exists. Ginger Baker had three FFs...he was already my favourite drummer, but that put him in a class of his own! All the modern 4WD cars descend from the Jensen FF, including my Audi TT "hack". Audi bought a Jensen FF (in 1967, from memory) for "evaluation" lol.
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