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"Do you think Chevron might come to the North Basin?"
Not a hope in hell with their interests in Argentina
"Yeh Sam is great at responding. Very nice chap too."
In fairness he's probably in a good mood after being paid hundreds of thousands of pounds a year to do very little
Would be nice if this was all wrapped up by March end, so I can go and play 3 to 4 rounds a week, would like it to be 7 rounds but takes a too much recovery after long hours at the 19th hole.
So he should be. It's not like he's got much else to do on a daily basis, particularly now the golf courses are shut
Yeh Sam is great at responding. Very nice chap too.
LSe,
I will do and report back any reply.
If as you say the costs are not that high then that is great news for RKH.
Marunam2, you will get a reply I think. Sam is much more responsive than when they had the PR company taking emails.
As far as I understand it the wind-down costs wouldn't get into the several millions. Do ask them - you may be surprised.
I just don't see where Harbour can materially grow production at the lowest cost without Sea Lion. PMO needed SL but the debt kept them back and was their undoing (well the debt and covid, with the debt kicked out to 2024 they would have been in the money today and I imagine back to 90p a share, but alas it wasn't to be).
Harbour comes in to being next month, after trumpeting their push to be more international, using the NS cash (which at these prices will be considerable) to fund growth to pay div's to share holders, if they then knock Sea Lion on the head, what sort of message does that send out? They may not have been shouting from the rooftops about SL but their prospectus shows SL as a considerable opportunity to massively grow production (which as we have said, they NEED to do).
So just cannot see them saying no to SL, if they did, they would then have to go full in on Zama, again they made a big deal talking about their business style, to then go all in on something where they are not the operator with an massively indebted partner would go totally against what they have said previously, in which case, how would they be perceived as a new entity, with no real plans and following a path they said they never would.
LTT
LSE,
That is the point I was trying to make, that Harbour would have no cards left to re examine the deal with RKH with the threat of withdrawing IF RKH are able to fulfil any windown costs due to them without dilution to shareholders that is more than welcome to me.
I give the figures in the previous post as an example , but I take your point re asking the company themselves re wind down costs, but expect no reply tbh.
I also don't think it is that unlikely that Harbour either pull-out altogether or are simply not given a licence renewal from FIG because they won't go for FID.
If that happens (and assuming FIG doesn't throw us out too), we may be able to start again with other partners.
I personally think that FIG should make it clear to Harbour that they need to commit soon or their licence will not be renewed.
I indicated a possible gross value for the Ombrina Mare arbitration here on December 24th. The determination would be based on the Mcap then, the price of oil then, expected profits going forward and any losses due debt / legal costs etc. I put a ball park figure of £250m - £350m. After legal costs the resulting share price should be above where we were before the insult. DYOR Neil.
Marunam,
Forgive me..... just re read your message. Ignore my post.
I get your point now. My mistake.
Much
I'm led to believe that the wind down costs are much much lower than those figures. Ask the company.
Marunam,
You’re getting confused. The Energy Charter claim is for the Ombrina Mare field off Italy. Rockhopper are suing for costs and loss of profits following the Italian government decision to change the rules and refuse to provide licenses after inviting companies to invest, drill and discover oil.
Sea lion is our oilfield in the Falklands which we are waiting to be sanctioned by Harbour later this year.
Have a read of this... https://rockhopperexploration.co.uk/wp-content/uploads/2019/09/Investor-Presentation-September-2019.pdf
For where it states Premier, read Harbour.
I wonder what the Sealion wind down cost would be.
$20m, $40m ,$60m or more ??.
Say on the plus side RKH get the award in their favour to the tune of say $50m NETT.
Their share would be 40% as it currently stands without Navitas signing on ?
So what I'm asking is , IF they get a nett award of anything over $30m then if wind down costs come in at say $40m - $60m then their share is covered and they can retain the full license including all the work done till now , that is if IF Harbour pull out ( unlikely imo ) .
So what I'm getting at is the chance that Sealion winds down with an award that covers RKH's wind down cost would be removed and in fact makes their position stronger in any negotiations .
Anything in the region of a $25 - $50m award would a game changer.