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I think LT is going to be glad he didn't sell.
:)
How many posters like horseshoe have we seen over the past 2-3 years on this board.The same arrogant response’s here for a while either working for themselves or somebody else.Once their job is done,never to be seen again. Be warned.
How I really feel. This stock has been nothing but a scam controlled by a group of investors. That’s out right sicking to be honest. And they are still not finished.
Can't wait for this I really can't :)
Might be a few eating regretty spaghetti here .
And yet pvf are In court for the garden hill assets, my prediction is still not wrong yet. Still who are partners with shoal point energy? Pvf?
Barry - if that's how you feel why don't you tootle off back to Shoal Point because all your predictions of a tie up with Nuog were about as accurate as those who predicted a share price of 28p.
What’s the key? The key is a reverse stock split before buying any assets. 25/1? 50/1? 75/1? What’s the number going to be? That’s the only question I would have on this stock. And yes I learned very well how a stock split works.
No assets yet - that is the key.
Oh. Lol. This has the smell of the wisecrow all over it. You guys must be a gang of fraudulents
Is this what you call reality? A company with no money but is going to 10 x your money from here. Imo only. Answer the question. How many shares are outstanding?
Wonderful contribution again Jane. Thanks for reaffirming your non interest.
Much appreciated.
Another epic rubbernecker contribution from you Barry. Thanks for that. We all feel better informed now. Looking forward to the next one.
Barry’s deramp was sponsored by his “friends” at Shoal Point Energy. Another teller of historic fantasy epic tales. Lol.
Meantime back at NEW(OG) reality ranch. Production and exploration actual assets await imo.
It’s all starting again. Same people pumping and same BS. Is Casper back, wisecrow? In simple terms. Where is the value? Please explain how many shares are outstanding on this stock?
Subject to GM resolutions being passed the company will become a cash shell. Fact!
Lawyers, nomad, aim regulator all agree that’s what it’ll be. Fact! The new entity will meet the little or no assets criteria to become a cash shell. It’s that simple. The only hurdle is the GM resolutions and if they weren’t confident of carryin them they wouldn’t have spent time effort and money going this far imo. The loan they purchased from a company very capable of reversing another entity into NUOG if they wanted was purchased to enable the new board to obtain a large share of the newco. That’s their skin in the game moving forward imo. Shard didn’t sell it for pennies. They’re not a ‘kin charity and could have taken this co on with another entity if they needed to in order to recoup their loan imo. They’re more than capable.
The NEW(OG) newco will look to back in assets in short order imo. These assets have been lined up by Marco, Jay, Andy and JP prior to even obtaining the cash shell target imo. They’ve stated intent in the RNS. They also have the backing to plug serious amounts of cash into the development of these assets early imo. Easily £10m+ is well within them imo. Some of the initial working capital will be used to complete the DD at a corporate level. Of course they’ll need to be seen to be doing that. Which given I believe they’ve already completed it to a plug it in and play DD done level already will be a formality to satisfy the nomad imo.
To obtain a full value conversion to maximise their percentage holding (29.9%) at £2.5m value they’ll need the price higher to achieve this. Given its priced as a whole load of nothing with not a lot attached to speculative value and given their ability to attract both investments and bring in assets I don’t ses that as a huge challenge to them. It’s a £1m micro cap. Even post dilution it’s not a fart in a jar validation for an oiler. Even minty and his collaboration of sheet was valued in tens of millions. Don’t let folk fool you that’s it’s over priced as a speculative shell. That’s guff. Guff by stalkers of the listed entity who would take pleasure in failure here. The past isn’t my concern however. The potential of the future is.
This for me isn’t about the end of development of the actual assets story imo. It’s about the potential to see multiples of probe due to the early opportunity to run with the story at price.
Not without risk. The risks are obvious. Fail here and it’s grim. But so too are the potential rewards obvious. They pull all of this off it could be many multiples involved for the early birds.
The 29.9% as a board (related party) holding will align them perfectly imo. A stick to drive them not to beat them with.
All imo.
SBP,
The fact that I struggle to feel it doesn't meet the description of a cash shell is, frankly, neither here nor there. The nomad does. The company is proceeding on that basis after suitably qualified advice. It may mean there is a transaction of EOI in some way. But it doesn't have to.
How an incoming asset is financed could be in any number of ways. C4 are highly motivated to try and achieve that in the least dilutory manner possible.
They have 6 months. It seems very likely to me that they are quite a long way down the road already. They wont, surely, have gone to the effort of acquiring the debt and structure and raising some finance to then say "right we had better go look for something now".
It would be nice to see further clarity befor the GM vote, that doesn't seem particularly likely.
How it eventually pans out for existing holders is an open question. However it doesn't seem possible for it to be worse than the alternative.
Good evening, and sorry for trying to get to the bottom of this cash shell business, but I presume we are looking to make money from NEWOG. I also apologise for inserting an appendix at the foot of the post about these matters from a firm of lawyers, but it helps perspective.
There are two RNS statements using the words “cash shell” and those words are now on the company’s website as a business description. It must be true or there will be legal consequences.
Firstly about this EOI business in Newfoundland, the cash shell concept must not have an operating business and “few if any assets”. Well it is safe to say there is no operating business going on in Newfoundland any more and the assets over there have been written off in the 2018 accounts. I suspect the licences are being hived off to PVF.
Secondly the poster Ap90 is suggesting NEWOG will have to pay for the RTO assets. No, they won’t. It will be a share swap and consolidation; cash is rarely involved. Look at a similar deal where Nigel Burton (ex-CEO of NUOG) struck with Polemos plc and Digital Box.
https://www.londonstockexchange.com/exchange/prices-and-markets/stocks/new-and-recent-issues/new-recent-issue-details.html?issueId=9389
As with such things there will eventually be a large dilution and placing and you only need to look at the proposed new par value to see that is in the pipeline. However current shareholders own 100% of nothing. The £1m MCAP is hope value.
However the C4 prospective asset which is the RTO target must have enough value to consume the £8M tax losses, (otherwise why bother) so it must be looking at that as near term profit as a minimum so not to be sniffed at. If current shareholders end up with 10% of NEWOG and NEWOG is worth 10 times earnings, that would be a 4 bagger at least and with over exuberant froth, maybe a lot more.
Don’t put in your SIPP or ISA, just sell it when everyone is shouting what a great deal it is. IMO of course.
Appendix
REVERSE TAKEOVER
An RTO occurs when a publicly listed “shell” company acquires a private company, where the owners of the private company become the majority owners of the shares of the publicly listed company. The shell company will not have an operating business and will typically have few, if any, assets. The owners of the private company obtain control of the shell company by selling the existing private company assets to the shell company (the “Acquisition”), which may be achieved through a number of means, including by merger of the two companies, an asset acquisition or a share acquisition. The Acquisition generally requires the preparation of materials for a meeting of shareholders of each company to approve these transactions or related matters required to complete the Acquisition. Materials for the shell company will often contains prospectus level disclosure on both the company resulting from the RTO
SBP,
Bar a point or two I think you pretty much nailed it George.
Tatty bye GHS! Along with tatty bye Minty n co! And tatty bye MFDEVCO!
Hello Marco’s/Jay,s Mario’s million’s! Hello actual production assets (not mfdevco/ghs fantasy one’s)! Hello xxxx%!
Goodbye rubberneckers! Lol
This ramp was brought to you by Romeo y Juliet cigars. Cuba’s #1 cigar for unemployed B.B. dwellers.
Ying Tong,
I believe your suggestion that indemnity insurance may certainly have a place.
If one was considering the purchase by way of shares in an LLP where there was outstanding litigation perhaps indemnity could assuage the buyer.
If the SOC relies upon side agreements, as SB alluded to, (LT might be able to clarify from the Liberal Club meeting) I feel sure NUOG and Minty personally will have been joined as Second & Third Defendants respectively ( merely an interlocutory application usually awarded by the DJ early on in proceedings).
Harry
Harry,
My somewhat rambling response failed to post.
I was musing whether C4 would be content with any theoretical risk that an adverse judgement for EOI might in some way flow back to Nuog.
It does seem unlikely given Nuog are not respondents (though that could presumably change). There may be some licence conditions which could become significant. I imagine they could insure against it anyway.
It does seem - to me at least - another reason why C4 may wish to see a seperation between Nuog and EOI.
SB & YT,
Some well worked points worth discussion.
It would be instructive to have sight of the Pleadings in the case- I wonder whether PVF would allow sight of the Statement of Claim?
I do not see that because a date has not yet been filed for trial there will not be one. There are many interlocutory matters to be dealt with prior: witness statements, Discovery et al.
Notwithstanding, you are correct in that the majority of civil litigation is settled, such settlement negotiations being without prejudice.
However, I remain dubious as to why Counsel would advise pursuance with little or no prospect of funds of $1mm to satisfy any Judgment.
Harry
SBP,
The asset of course is strictly the Nuog shareholding in EOI rather than the underlying licences etc. Though that is probably moot.
I fully accept the assets are fully impaired, and the estimated costs are prepaid. However they are still held for the purpose of trade.
It is entirely possible that the decomm costs exceed or do not reach the amount dues. That forces financial transactions on EII (and by extension Nuog). It also forces physical action.
Whilst it is unlikely the value of the assets may change. Again that forces activity. I cannot see how they are anything other trade assets which preclude it being a shell.
For me, therefore, the question of how it becomes a cash shell remains open. Clearly it does become a cash shell though.
If it does go forward with EOI still as a subsiduary (which is what appears to be the case) it is not a very "clean" shell for them.
How can NUOG become a cash shell when it has assets in Newfoundland in the name of its wholly subsidiary Enegi Oil Inc?
Answer: the assets on the NUOG books are worthless. Page 52 of the 2018 accounts describe them as “fully impaired” and that means written down to worthless. Also, all debt owed by EOI to NUOG has been written off.
The decommissioning obligation of £477,000 at Garden Hill South has already been paid into escrow with the NFL government, so no issue there. It’s their problem now.
It seems that Enegi Oil Inc is “Not in Good Standing” according to NFL Dept of Business, because the annual return is six months overdue. There are three directors. One of whom I am led to believe is deceased, the others are Alan Minty and Alison Pegram.
There is an outstanding Statement of Claim by PVF Energy Services in the Supreme Court of Newfoundland and Labrador for over a million Canadian dollars against Enegi Oil Inc, but fact is PVF is stuck with operating the licence for another couple of years, like it or not, worthless or not. It is not NUOG’s problem and EOI does not have tuppence to its name to settle the claim, never mind a million dollars.
There is speculation from reports by the old insider brigade that the EOI directors made some side agreements, which might form part of the case if it ever comes to court. There is nothing docketed in the Supreme Court between now and the EGM, so perhaps some settlement deal has been done to hand over EOI to PVF and it is “sub-judice” so you won’t hear about it before the EGM.
There is some confusion about who owes whom money from the MFDEVCO accruals, but since they were never invoiced (to avoid paying VAT) they are simply applications for payment which will not get paid, otherwise HMRC will step in and ask for the VAT, and there is no money to pay it.
Talk about unravelling a Gordian Knot?