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one thing that is crystal clear, the moroccans can’t possibly want sou and in its current form to proceed with phase 1 or 2. just look at the timelines and rnss since 2019. there’s no way a country and its bureaucracy can be so inefficient and financially naive as to take this long to green flag all the necessary elements of a supposedly nationally important energy infrastructure project. i call bs on this not for the first time. listen to the february gl video again objectively, there’s no way phase 1 gas comes before q2 2025 now, just listen. he did all he could to warn shs about massive incomprehensible issues with phase 1 procurement timelines, esp the lng tank.
even more critical than zero revenue for another 12 months, the lack of funding. no money. no progress. bs videos promising the world (for sou anyway) and delivering you nothing. i’m convinced there’s a large and brutal funding round in the background. a 27m trade was hidden on thursday afternoon, just 2hrs before an after hours sneaky dilution rns. don’t you get it? people don’t change. gl is just like jp, untrustworthy, out of his depth and quite frankly incompetent in my view. the assets that underly the minimal sh value left here will first be watered down a further 20-25% minimum soon in my view (reducing the spa target to sub 2p in the most optimistic scenario) and then the company will be forced to fail by this phase 2 round ‘failing’ to the advantage of onyhm or some other locally backed organisation. what have the moroccans ever done for you….? something smells very very wrong here again, and when that’s the case with sou, it always always turns out to be a ****show, history demonstrates that.
There is no "last 250k". That's the principal amount remaining on the convertible notes, everything else has been converted to shares. The money itself was paid to SOU in Jun 2023 and is presumably long since burned through. SOU themselves said that £4m would get them through to the end of 2023, and in the end they only received £2.5m. So they should have had a major deficit in working capital in 2023, never mind Q1 2024 which is now over. The SP Angel flash note suggests that SOU have reduced the burn rate to £3m/yr so they have probably stretched the convertible note money out a bit. I can only imagine they are now in serious difficulty for funds and are scrabbling around looking for the next source to tide them over. Let's hope it's less dilutive than the last one. Also, the Afriquia loan can only be drawn down for actual work on Phase 1, not for ongoing working capital.
It's anyone's guess what the hold-up with Calvalley is. For something that was supposed to be substantially done in 45 days from last June, it's inexplicable. Also, the SP Angel note says that first gas has slipped from H1 to H2 2024. All part of GL's creeping deadlines -- first gas was never "H1 2024", it was supposed to be end of 2023, possibly slipping into this year. On the other hand, if we go back to the start of the Micro LNG project it was supposed to be first revenue in 2021 !!! That was according to Mohammed Seghiri, before GL joined. Good thing Mohammed pocketed 13 million shares for his efforts on Phase 1 FID before the project turned out to be more than three years late.
Spencer, your numbers are factually incorrect, even if we ignore the weird comment “have had the last 250k if it’s money to keep the lights on”
they haven’t had any last 250k!
I suggest you check the sp angel flash note of 19th Feb this year
https://www.soundenergyplc.com/media/tvbh5z2x/sou-2024-02-19-flash-note.pdf
quote
“Sound has about $6m left to draw on the $18m Afriquia Gaz facility that is funding the
Phase 1 development and has also reduced the monthly cash burn rate to £0.25m
ahead of closing the Calvalley deal, which should deliver back-costs that bolster its
working capital position. Attijariwafa Bank has completed the legal and technical due
diligence and has made a conditioned MAD2.365bn (~$235m) offer for Phase 2 senior
debt financing, subject to certain conditions being met such as gas sales agreement
amendments, project development contracts and Government approvals.”
Cheers KTF...if the agreement is signed off I honestly believe it will set us off on the road to recovery...slowly at first but they need to get it across the line soon....
Agreed it's taking a very long time.
It’s worth noting that GL said in the last presentation that all due diligence was done and they were on final documentation.
Can’t understand why that would take so long, but I do believe we are close.
Of course, what close means is anyone’s guess.
This is taking some time now and far longer than anyone anticipated ( including even the the most optimistic of shareholders). "How long does Due Diligence take and how much do they want?"... Calvalley agreed to enter into this deal in June 2023. They would have obviously done a fair amount of research, held meetings with various agencies, partners,stakeholders etc before even giving that agreement the nod. They must have seen/knew something that encouraged them to make the offer in the first place. If the authorities are so keen to market Morocco`s gas and get it into their infrastructure etc why havent they been fast tracking the GSA , licences , etc as its in their own National Interests to get this off the ground. ASAP . I've been in for almost 7 years and bought in the highs and lows . I still have to have faith it will be delivered but am hoping that this process isn't being deliberately walked down for a really low offer takeover being tabled when their is no money left at Sound Energy . If it carries on as it is much longer Id rather they look at pulling out of the deal and seek other options . It might take longer but Im sure GL said in previous presentations there are other ways to fund monetisation. I just hope we`re not going to get shafted at the last hurdle. GLA and keep the faith
It's not a huge amount of money to find in the grand scheme of things. The plant is progressing, so potential lenders could easily be assured.
Well they have had the last 250k if it’s money to keep the lights on we have about six weeks left based on old burn down calculations or if it money for final bits for the plant. As I have said before I do not think calvery will sign a thing until the micro plants is pumping and most research I have says it’s 18 to 24 months for a plant to do this I see no income till after June probably November time
No problem. We kiss and move on.
Good luck to all true investors in soundenery.may it all comes good for all of us and our families
Adam2911, I'm not angry one little bit with you or my own life, I was being sarcastic.
Peace on you brother or sister :-)
Smudger are you angry with your own life.
You're not angry towards me because we don't know each other.
Psychology..person who reverts to abusing and angry are really angry at their own life.
Me .I dont care.my investment my call.having banter whilst the mighty soundenergy gets to the promised land.please don't tell me you invested because of people on this bb.if you did.then I feel sorry for you.alway do your own research..
April 1st pranks stop at midday, have you no etiquette, kn*bhe*d :-)
It's April 1st today...lol
And you have a link to a news article that will substantiate this claim.... Or, you've been a bank holiday session.
Which tomorrow?
Cavalley have tabled a buy out of soundenergy. This will fly tommorrow.
Fasting finish es in 9 days time.
Which week?
Week coming up...
It's as close as that.
The relevant paragraph: (from June 13, 2023 press release) is the following:
"Conversion: convertible into Sound Energy ordinary shares at each tranche's fixed conversion price in whole or in part. Upon conversion, interest shall be rolled up and paid as if the Convertible Notes were held to the redemption date (being five years from draw down), with such interest convertible at the lower of the applicable fixed conversion price and the average of the five daily VWAP calculations selected by the Investor out of the 15 trading days prior to the conversion date."
The total amount of interest subject to conversion is:
£2,500,000 X 15% X 5 years: £1,875,000
Of that amount, £ 300,000 were already converted (as per March 28 press release), £1,387,500 could be converted at any time (because the principal have already been converted) and £187,500 will be converted after the conversion of the £ 250,000 principal debt outstanding (see March 28 press release)
I would like to know what SOU´s institutional investors (Afriquia Gaz and OGIF) think about this highly dilutive deal.
Regards
Kylie must have a small winky dingy
That was supposed to say Trainspotting ,you know those very weird people you see on platforms around d the country complete with notebook and a very keen eye on trains , nothing wrong with it at all as if its their bag then knock yourself out
Crude and Turnoff the lights
That is a pretty accurate assessment and a good point , it's Sunday and the market are closed and he's posting on Ester Sunday ,my reason for posting is that I'm on watch in the middle of the north sea and got bu55er all better to do .
Mr Kylie he does point out some truthful facts indeed as its not looking good for Sound financially as Mr Ps pretty well summed it up but his reason is that he could be a , lonely , miserable,only child, narcissist, unbelievably boring, spoilt, coward, very small in height and stature, absolutely a bully ,transporting weird git , I'm going for all of them so pick and choose which one you think he follows
I have no idea of what he says as he's on ignore on my page but as I have already stated. this is his bag , this is what gets him off
I wouldn't look to deeply into it Crude, reality is he's got nothing better to do. Markets are closed for 4 days but he's posting on here first thing in the mornings. I don't even get pleasure teasing him about it anymore.
Kylie, you say & I quote: "Being a shareholder in SOU must feel like the most toxic Groundhog Day". Prety compelling evidence that you are not a shareholder. So why are you here? By your own implied admission you have no financial interests. What do you gain from posting here?