The Company and the Oil and Gas Authority ("OGA") have committed a significant amount of time over the past few months to a technical review of the Bentley field development concept. Earlier in the year, the OGA identified the Bentley field development as one of its top commercial priorities, following which Xcite Energy and the OGA have undertaken a detailed assessment of the key technical aspects of the proposed development, including reservoir management, drilling and well engineering, asset management and operatorship, and a Stakeholder review by the key regulators.
Concurrent with this activity, the Company continues to engage with potential development partners and other potential sources of funding that are required to develop the Bentley oil field, including the asset financing for the principal assets, the MOPU and the FSO, and to repay the June 2016 Bonds in accordance with their terms. Technical and economic due diligence has been completed by a potential partner, which has enabled progression to commercial discussions. However, the Company believes it is prudent to keep all options open and therefore remains very actively engaged with a wide range of parties in order to maximise the opportunity to secure the required funding. Construction of the N Plus class drilling rig continues to make good progress in Singapore.
Separately, the Company recently announced a farm-in agreement with Azinor Catalyst Limited ("Azinor") to undertake a technical assessment on Licence P.1979, at its own cost, which covers Blocks 9/4a, 9/8b, and 9/9h containing the Clement, Chadwick, Cartwright and Camm prospects, in return for the right to 40% equity in the Licence. This could be increased by a further 10% equity in the Licence if both parties see additional value in undertaking an Induced Polarization survey (as a potential hydrocarbon indicator), with Azinor being responsible for all costs of the survey, if conducted. This agreement enables Xcite Energy to continue to focus on Bentley, whilst benefitting from the technical and quantitative interpretation techniques and integrated subsurface modelling provided by Azinor, to further delineate and de-risk the prospects identified by Xcite Energy, so that it can meet its obligations under the Licence.
13, what is "Simples" is the bonds need funding and they have no funding in place In or out of the oil industry is immaterial - facts are facts and they have no financial or commercial arrangement to feed the debt and as such will run out of time and money. As for investors investing - well point me to just one that you or anyone are or have indicated that they will invest - after all according to you "Investors Invest" The simples - facts are no cash and no investment means that we drill no oil - the vultures are waiting and this will be picked up for a song leaving all current investors scrabbling for any lifeboat offered
Would not say the other companies may be highly skilled, just anyone negotiating with the XEL mob probably can't believe their luck, likely think they're negotiating with characters out of the fred flintstone era..
This weakness has been coming for sometime and to some extent was quite foreseeable, I don't agree that the bonds is sorted, we are so vunerable because of the ineffective management & trying to 'negotiate' with highly skilled companies. Rupert & his team are left treading water in a shark tank. Look what Apple did with that Saphire glass company - let them go bust first then buy them cheap...
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