London South East prides itself on its community spirit, and in order to keep the chat section problem free, we ask all members to follow these simple rules. In these rules, we refer to ourselves as "we", "us", "our". The user of the website is referred to as "you" and "your".
By posting on our share chat boards you are agreeing to the following:
The IP address of all posts is recorded to aid in enforcing these conditions. As a user you agree to any information you have entered being stored in a database. You agree that we have the right to remove, edit, move or close any topic or board at any time should we see fit. You agree that we have the right to remove any post without notice. You agree that we have the right to suspend your account without notice.
Please note some users may not behave properly and may post content that is misleading, untrue or offensive.
It is not possible for us to fully monitor all content all of the time but where we have actually received notice of any content that is potentially misleading, untrue, offensive, unlawful, infringes third party rights or is potentially in breach of these terms and conditions, then we will review such content, decide whether to remove it from this website and act accordingly.
Premium Members are members that have a premium subscription with London South East and have access to Premium Chat. You can subscribe here.
London South East does not endorse such members, and posts should not be construed as advice and represent the opinions of the authors, not those of London South East Ltd, or its affiliates.
On Zenith board it was said that TW(Tom Winifrith) said that Zenith had lost Tilapia
on 4th July according to some document his daughter had translated. But you must know that this chap has his own agenda.
A little bit of hope that makes my wager worthwhile thanks.
If we had got the Jub/Align deal, where would be now?
SNPC paid back debt in period? - unlikely but possible if trust restored
licence gone to market as now? - maybe
still with load of debts as not offloaded?- certainly
However, they would have reacted and worked for a solution in the interim period - Alex Mac was part of that team and he could have enabled a viable plan with his good links in congo, finance and partners could have been sought given time (none over a few days at Christmas) it could have gone well, but still a risk overall of nothing post July 18th and licence lapsed.
The pandemic has created many opportunities in period for any cash richcompanies to secure excellent natural resources assets for subsequent development.
PXP/Philex is a £2B major cap with massive funds on hand for development opps, their original plans may have enhanced due to opportunities presented - if Zenith can grab loads of projects just by dilution, then PXP can in spades and with far better CoS, fully funded projects.
It is yet to established if Cope holding the Align offer at bay and Forum taking this on was the best move, it could of course all still come to nought, but I will keep firing to the last bullet before delist in the hope Forum will RTO an asset into this shell - my main cause for some cautious optimism is that if they didn't then what was their point in the first place? why waste so much time, money, energy and muck three of their valued consultants around placing them here - Forrest is used in all their Forum UK ventures, Ferreria certainly has worked for Philex the owner as a key mining consultant for over 12 years as established in previous posts - it just makes a lot more objective logical sense that something will be done.
The market doesn't get any of these nuances, all it sees is a shell and no assets, so we languish at this SP . Its not really a new investment opp except as a pure punt for new PI, but for those who are still locked in, there is still some hope imo.
It could be anything or it could be nothing.......that is why the share price is where it is.
Could it be a gold mine?
It might be a gold mine.
Yes I remember that thanks.
I'll rephrase my question:
Forum is a subsiduary of PXP Energy Corporation is an upstream oil and gas company incorporated in the Philippines in December 2007 as a wholly-owned subsidiary of Philex Mining Corporation.
Given the ownership path does it have to be oil and gas assets or is there some chance that it could be a mining asset injected into AAOG?
Yes I knew that. I'll rephase my question:
Forum is a subsidiary of PXP Energy Corporation an upstream oil and gas company incorporated in the Philippines in December 2007 as a wholly-owned subsidiary of Philex Mining Corporation.
Given the ownership path does it follow that any injected assets must be of oil or gas? Is there any likelihood of AAOG switching to mining?
That question has been asked before and the general opinion is no and the tax benefit can be carried over anywhere regardless of industry or territory.
Does it have to be an oil or gas asset? Does it have to be in Africa?
Indeed tiburn forum wanted shot of Congo and I reckon that if push came to shove they would have given it away or paid someone to take it over. Fresh start suits me fine.
Its interesting how rapidly Forum exercised their will, after two members joined the board Mar 19th.
RNS just five days later:
"Under the original terms of the Disposal, Zenith was to pay £1,000,000 to AAOG of which £500,000 was to be paid in cash in six equal monthly instalments and the balance of £500,000 was to be settled by the issue of shares in Zenith to AAOG"
"The Deed of Variation provides that the Consideration shall be amended to £800,000 which is to be paid in cash only in ten equal monthly instalments with the first payment to be paid on completion of the Disposal ("Completion"). As a result of this amendment, AAOG will no longer receive any Consideration in the form of shares in Zenith."
So that was Step 1 - remove Zen shares offered and transfer into cash payments towards no assets on the books
Step 2 - also in same RNS, was relinquish remaining 20% of the licence, worth at least £1m in Jan 21st 2021 to sell to Zenith and was binding - towards no assets
"The Company has also terminated the put and call option agreements entered into with Zenith and as announced on 21 January 2020."
Presumably Forum were content with the deal terms for payments over 10 months at that time, as it would still be within the 12 month period before complete delist once shell status gained after disposal - but the disposal never happened around that time, at least not according to Congo law and minister approval - so they changed the goal posts:
"Completion of the Disposal remains subject to Ministerial consent to change of control in the Republic of Congo. Completion will therefore occur on the later of satisfaction of these regulatory requirements or completion of the GM."
or completion of GM - as couldn't wait on Minster approval (which never came and licence went to market)
Forum decided to push forward faster to cash shell and changed the deal again to get there faster, as in April 17th RNS
Step 3 - become cash shell for £200k and no more debts
"The Further Deed of Variation provides that the Disposal shall be for 100% of AAOG's interest in AAOGC rather than the 80% original envisaged. The Consideration shall be amended to £200,000 ..which is to be paid in cash .....The payment of the Revised Consideration shall not be conditional on Ministerial consent. Zenith will assume responsibility for all liabilities within and ongoing costs associated with AAOGC at the Revised Completion Date. "
The debts were confirmed in Jan 6th RNS:
"Zenith will also be assuming responsibility for the day-to-day operational costs at AAOG Congo and for the creditor position which is approximately US$2.7 million"
Three steps to cash shell expedited and forced through by Forum, all done for their benefit.
'Dirty' cash shell for 6 months from 4th April 2020 so only 2 months left.
I've got enough cash to buy 200+ shares when the spread closes a bit more.
barnyard, what a retort! ....a week late mind...
- Forum are indeed playing with some one else's money - their owners PXP Energy, a £2billion cap company - £600k spent here - which is no small sum in any arena and is expected to make them a profit, otherwise they could have taken it out and burned it, that's if your view of events is going to happen?
- There was no point them investing in the first place if they would let this delist and lose all, they don't yet own AAOG so that's exactly what would happen if they do nothing - at the moment they are just a large shareholder, don't have board majority established or an asset to develop.
- It s totally in Forums control what they do to make this a success - this is a shell with £30m of tax loss to leverage by them and the entire point why they are here in the first place - otherwise why do you think they are here?
it can stay moribund, as you maintain, or it can rise again as some on here have outlined including me, but then im biased towards optimism based on facts researched.
good luck in your investments
£1.81m market cap ?
yep sounds overpriced for a shell with zero assets :-)
but fear ye not as I reckon you are all overdue another carlsberg insomniac scenario from you know who telling his confirmation bias appreciation society that its 'all good in the RTO shell hood' as RiverFort / Forum wouldn't punt (whoops sorry I meant 'invest') hundreds of thousands (of someone else's money) on a dead donkey
*** AIM Rule 15
Upon Completion, expected later today, the Company will become an AIM Rule 15 cash shell and, as such, is required to make an acquisition or acquisitions which constitutes a reverse takeover under AIM Rule 14 (including seeking re-admission under the AIM Rules for Companies) within six months from this date. Alternatively, within such time period, the Company can seek to become an investing company pursuant to AIM Rule 8 (which requires, inter alia, the raising of at least £6 million and the publication of an admission document). In the event that the Company does not complete a reverse takeover under AIM Rule 14 within such six month period or seek re-admission to trading on AIM as an investing company pursuant to AIM Rule 8, the Company's Ordinary Shares would then be suspended from trading on AIM pursuant to AIM Rule 40. Admission to trading on AIM would be cancelled six months from the date of suspension should the reason for the suspension not have been rectified. With the consideration received from Zenith for the disposal of AAOGC, the Company has sufficient resources for at least the next five months. ***
Am I reading this correctly: 0.467bn shares and £1.81m market cap ?
200 traded this morning.......now you may not think this is many, but it is twice as many as our non vocal chairwoman hold (:-))
Nice spread .
News soon .
At these prices you'd be lucky to afford a Happy Meal.
I only own about 5000 shares now and like many am down by about 95%.
I’ve just read all the RNS for the year and while I understand the Forum and Zenith positions, what do we actually own now given that we’ve sold 80% of our 56% interest in a company that no longer has a license to drill?
I haven’t been here for ages and just trying to decide if I should just forget about the shares and see if anything g comes of them, or sell them and take the Mrs out to dinner!
All the best
Next week the delayed EOY report should be due, we can only hope they give us some good news on progress to sweeten things . Hopefully some news on the RTO, my word we deserve something.
Many thanks for support Gents.
Irish, I think the debts were £3m in a past RNS we have passed onto Zenith, AAOG were constantly "managing their creditors carefully", as in Cope RNS - so not only did they take our cash they went into the red massively, complete shambles - but we are free and clear now of that debacle.
When forum we’re trying to take over Sarah cope was being most unhelpful in many ways to kill the deal which none of us were happy with, could it be that even at that time she wanted the asset off the books.....in hindsight she could have done us a great favour.
When highlander and Richard tried to take over AAOG things were different from today. The license was still in place and with skilful negotiations something could have been done with further drilling but I doubt our so called partners would have paid any more money over.
Things are different now, the licence will go out to tender to the highest bidder. I am glad to see the back of it and move on, after all we only had the word of ds that there was oil down there.