Hi there .good luck with your future investment...as for Varanga nd all fraccing plans.. it states Within 90 days ..to me that infers any time within a 90 day window.....as for the trades have you added the pre start and after hours trade..however I also mentioned that I expect a later sell to be shown on open Tuesday..as when I looked the buying didn't cover the selling..
Up to 2015 this company has planned new oil wells New shale gas. Play .etc and very few have started.some may have failed and some have never been heard of again..causes of the failure .lack of funds.poor design ,bad planning etc .the 8 KM pipeline was measured in imperial hence 8 turned into 14 k..was the. Pipe diameters also subject to the same problem with adding ups.Are they too tiny for the design.???? Makes you wonder if we are the subject to poor design.bad management or bad luck..maybe none of the above but very clever management..good timing and help from the C I A. .what's New this year is the new fraccing technique ..this in conjunction with all the scizemic data gives *FRR for the first time a chance to maximize the results./ returns on costs..we are no longer talking about the mega field but are concentrated on a specific area oil is connected to the rail network..the gas is a year away and will need infrastructure..oil pays for the gas ..unless we become insolvent...If SN has any intention of being the man to bring independence to Georgia then time to get the wabbit out.
Are we near enough to 2 years into the Varang 3 year deal...who knows !! Because we don't know the start date..would it be a sensitive question to ask..?? If we know the contract end. date we could work out if Varang and consortium would have time to cover the costs of drilling.If that is possible then FRR would also be in profit.makes you wonder why they have taken about 2 years to start the first drilling and then put it on hold.Are FRR working on the bank holiday..
After a pretty torrid few weeks for all I have today re-joined the “think positive” club. Logic as follows:
- SN has $38 million worth of CLNs to deal with in less than 12 weeks’ time. Make no mistake – this is the biggest single challenge in the short term. So what are the options?
- Well the least attractive is to cave in and give the CLN holders ascendency. I really don’t think this will happen – we lose but so does the BoD
- So next least attractive option is a restructure of the equity holding of the business. Well this is possible but time is not on his side. All the CLN holders would need to agree, and a special meeting would have to be called. I am pretty sure that even SN could not absolutely guarantee the right outcome – given there is a finite “by when” date here. Essentially he simply cannot be sure of controlling the outcome in the time available
- Next on the list is a cash injection from some sort of deal. Sounds great – but this has the same list of challenges. I am convinced this will end up as a consortium deal at some point – but in less than 12 weeks? The CPR would be required in full, financing would need to be agreed, and all the consortium partners aligned against a very tight deadline. And the Energy Ministry would need to then give clear approval. It just doesn’t work like this – contracts go backwards and forward time and time again, and he simply cannot guarantee closure in time. JMO but I think this is a very tall order
- Last – but in my view most likely – is a reserves declaration. SN can largely control this – both oil and/or gas – and the 175 oil drill plan, the 37 gas drill plan and Udabno are all a part of the planning. Most importantly he only has to do just enough to manage the CLN holders. Importantly even if the CPR is not fully complete he can use the oil CPR, elements of the 2015 gas CPR or just a part of the current gas CPR. He has choices AND he can manage the timetable without too much external dependency
All of course JMO – but at least we won’t have too long to wait.
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