Things got interesting latish yesterday in Petro Matad (MATD), now capitalised at £4.5m given the shares in issue of 280m at 1.65p. Essentially, Shell is due to cough up $10m by way of an exit fee and have not yet paid over the necessary. This is because there is no point in doing so if the money just gets consumed by bureaucracy.
The Mongolian government refuse to allow the licences falling to be transferred out of the Shell JV to MATD alone unless satisfied that the drilling work which has been and remains scheduled will be carried out. MATD advise that further funds will be required above and beyond the $10m. They do not specify just how much is required. It is of course possible that MATD cannot raise the necessary. In which event the licences in question will lapse.
But my guess is that MATD will raise the necessary and that Shell will pay up and that MATD will be financed for the drilling programme. Where this settles the share price I do not know. I bought 1m at 2.2p.
evil's been referenced a couple of times today. am presuming its some pi with a track record but is there a bigger significance? asking as £50k is a nice indicator, especially at 20% over ask but would appreciate filling in (in the nicest possible way)?
Like everyone quite a bit of dough on this one (on paper I will add) this past 24 hours, but pleased to see it stabilise and the upward curve today as I did fear the worst on waking up this morning having decided to stick with it late yesterday afternoon. It's clear the big drop late yesterday was an over-election to bad news So I am hopeful this will turnaround as the asset is good so I can see money coming in to save the day..don't care from who but I am convinced the potential will be realised. So in summary I am sitting put and watching the play ...GL all genuine MATD investors who frequent this BB ...🖒
With the completion of FTG and Phase 1 of the seismic acquisition programme in 2015, and the expected completion of the Phase 2 seismic acquisition programme in August 2016, the company will be well positioned to commence a drilling program in 2017 in locations that will maximise the chances of success. There is a great deal of anticipation and optimism among staff and stakeholders on the potential growth of the company that a successful drilling program would bring," Petro Matad said in a statement
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