My take on why the need the funding now is may be to do with the exploration phase expiring on 13 November 2017. Plenty of wise owls out there to correct me if I am wrong. But sav for any areas within Block 12 that FRR has committed to develop and produce pursuant to the Block 12 PSA (“Development Areas”), Frontera must relinquish its rights to Block 12 at the end of this exploration. Frontera has agreed to procure the financing required to conduct the exploration and development operations and is entitled to recover its costs and expenses incurred in doing so from the oil produced from Block 12 (“Cost Recovery Crude Oil”) prior to any share of the oil being given to GOGC.
I would be more worried if we were running out of money. We are able to now use the 2m
What i do not understand, is with the revenue coming in, why did we need this money so quickly? Why not wait and build with revenue?
Could it be 1. to stop a hostile takeover? 2. Georgia govt want infrastructure completed quicker to minimise gas supplies from external countries? 3. To maximise completion of infrastructure so FRR can maximise on income over the cold winter months. 4. to get CPR completed quickly ( maybe someone else wants to know the results)
all these are very positive reasons, i can not see the company needing this after last RNS unless something like this.
Has anyone got any negative reasons to balance this out.
One thing really annoying me, is that it appears some are in the know before us, We have seen the SP slide over the last two weeks, We could have had a multi bag RNS at any time yet they seemed to know it was not due yet and this was. Thats not to say we will not get one this week, and catch a few out.
Would it be normal now for company to stay quiet until after that placing date or is it just as likely that massive news will come before? It does seem the big boys know when to play this and shake some out before the sp rockets, which it should as we are now at least close to break-even and have hugely increased likely resources. The SP at similar price too 12 months ago is a joke when you look at whats been added and achieved BUT BY GOD ITS A BARGAIN NOW FOR ANYONE WITH ADDITIONAL FUNDS OR LOOKING TO JOIN IN
just like the slug in monsters inc- "watching, ALWAYS watching". :-))
nice gift for our UK broker pals earlier, wonder if the reason their so skint is the money set aside in the VARANG outfit. I really need to stop all this putting 2 and 2 together. Sometimes it only makes 3!! Sometimes though it does come to 4.
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