"Monday, 30 September 2013 17:41Tularis of the village in the coming days, "Tbilisi - Telavi - Zhinvali" main pipeline will come into force works for the company "frontera eastern georgia" run.ICK, head of the municipality's infrastructure Tediashvili Joseph told the company in the natural gas drilling in the area tularis."It has been a year since the company" frontera eastern georgia "works. A few days ago, along with davtestet natural gas line pipes, the company distributes natural gas at the time of his conduct "Rustavi - Telavi - Zhinvali" direction, which will bring the gas to market, the company has customers "- said ICK Joseph TediashviliProject, taking into account the company "frontera eastern georgia" "TV - Telavi - Zhinvali" trunk pipeline Connect a few days. The main construction works are coming to an end. Company officials say construction of a highway in full compliance with state standards.The opening of "Rustavi - Telavi - Zhinvali" trunk pipeline are in effect"
Borrowed from Nobull on ADVFN .. A little scary read , has this been mentioned on this BB at any time in the last few years ??????.Got till 2016 to pay it off , so selling B12 and moving to Ukraine a possibility along with J V, on shale gas play , .... ...................... The inducement charge is a sort of 'retrospective' charge that arises if the Convertible Loan notes are due for redemption and if the company does not have enough cash to redeem them and if the share price is below the conversion price. This means the CLN holders can bankrupt the company in such circumstances. Usually this happens when the business model has failed to deliver adequate cash flows (e.g. failed drilling). So an inducement charge is an extra punishment after a failure to say, "hey you are so crap we should never have lent you money on such generous terms in the first place so we want to be paid extra, now". Mr Nicandros and his mates, particularly DDJ Capital are probably CLN holders. The size of the inducement charge is the difference between the old conversion price and the new lower conversion price that the CLN holders have agreed to accept as an inducement not to bankrupt us. The last time we had an inducement charge it was $99m. As you can imagine getting another charge like that after say gas sales failure or a fracing failure at Mirzaani or Taribani could just finish us off (the company would then be owned by the CLN holders). Unlike some posters I don't have God-like foresight, but it is something to bear in mind. Even if the management does everything right, you can still get an inducement charge as a result of say an Act of God because of the way the risks are linked: e.g. lightning striking gas plant and stopping cash flow for a year while repairs are carried out and the loan notes coming up for redemption at an awkward time. Sometimes you can re-finance with new debt to repay the old debt, but usually the price is very high. For bullish views on this stock best to read S.B.'s posts on iii.co.uk.
Oh, I forgot to mention., When you get an inducement charge like that, if there are any warrants in issue, then a further charge may be necessary as the warrants will likely have an anti-dilution provision, so they too have to have their exercise conditions altered as a result of the inducement charge, which only leads to a further charge for the stockholders, who are of course bearer of costs of last resort.
We desperately need gas sales of $6m p.a., otherwise I can only see us ending up like Canargo. Failure to deliver anything less than that and I see us in trouble. However, I do not understand what effect a classification change of 700bn cubic feet of recoverable gas to gas reserves would have on our share price as I don't follow sales of gas reserves in the financial press. I am only looking at things from an income perspective, not from a capital perspective. e.g. sale of a gas field or sale of Block 12
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