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ZagEgypt
“ Sooner it gets announced the better”
But the first announcement has to be about funding, not the IceMAX.
CoMan
As you say, expected but still to be officially confirmed.
jimtheknow
Which document?
ross, keep reading the document and if you’re not so selective about what you read you will find a paragraph from the CEO which exactly answers that - answers it unequivocally.
Post it when you find it. I’m not doing all your leg work for you.
Night night sugar plum.
jimtheknow
Yes, I stand by my “picks & shovels” comment. Stena Drilling is part of a group of companies, but its focus is clearly drilling. Can you provide an example of an exploration well that Stena Drilling has farmed into?
jimtheknow
You say in relation to the Bizzells funding:
“I believe the hardest components of this are now complete so i feel the rest will be a formality e.g. signing of contract with Well Services provider.”
but you appear to have overlooked this condition:
“iv) The Group having sufficient cash reserves such that, when aggregated with the total facility funding, would be sufficient to finance the execution of the planned exploration well.”
You cannot ignore the interdependence of the two convertible loan facilities.
jim - extensive updates today which I am sure will ensure the anguish of some abates.
I do not think a stone has been left unturned - we know the finance is sorted - it is the avenue we take which is yet to be confirmed BUT that will be determined by the various factors ahead - no doubt there is finance available to BPC and it is nice to confirm there are options to it.
Now one would hope that the matter is put to bed and we can carry on with the normalities.
Stay safe everyone - there is more sense and understanding on here about finance as there is about what folk need to do about Covid ;@)
Although many BPC holders **** off the CERP deal it has bolted on an established level of production which is more valuable in the BPC business than CERP because CERP overheads are slashed - BOD largely gone now . BPC told us production should enhance borrowing position - I don't find that implausible!
Do I believe the drill will be financed - yes - is it guaranteed at the moment - No ! Enjoy dealing with dross - slippery snake has often been mentioned in that context - disingenuous- regularly!
Starchild- glad you asked that question of dross and I'm pleased he came clean on it ( it's all in my book! ).
He tells you your question is a strange take on events - really ! I've been around these boards for many years and seen lots of appeals for charity money but never one quite like that !
It can be appreciated that dross had been winding up readers for some while when he posted his offer so that's the context . Let's suppose I had a row with my neighbour and he decided to move what if I then approached him and told him I intended to parade up and down the pavement outside his house wearing a sandwich board stating ' The neighbour of this house is mad - don't buy it ! ' ( that would be me !) - but then said if he gives enough cash to my nominated charity I won't do it !
Where I live my life expectancy may well be severely curtailed if I pulled that stunt - LOL - but more importantly would the charity be happy I was encouraging donations based on such a premise - I doubt it !
As you know I respond to posts from many trolls and it keeps me amused - some like 12bn require little thought others like dross are challenging as I acknowledge he usually does reasonable research and is capable of putting together a stimulating and purposeful post - unlike Krapper ( where there is an absence of focus ) .
Dross' s thinking is, however, very much textbook stuff which is why he was referred to as Fantasy Oil & Gas Manager and this was very much apparent when he asserted Koot couldn't make the Saffron drill without a Placing despite Koot stating otherwise. What he hadn't accounted for was goodwill and trust - the drill owners were CERP shareholders with a long term relationship - it was in their interest for the drill to proceed and being paid later was worth the risk. The story is now boring everyone on here but I see a parallel here with the P1 funding .
Dross will always quote the textbook account of the funding and I don't fault his research - I've concluded the same myself about funding - I was quoting the end of year accounts text on ADVFN before dross got involved. Those posters saying it's all sorted are not going to win the debate purely on bluster because dross will just use the posts as a springboard for putting his own view and keeping it headlining, which suits his trading position, at present .
I prefer to acknowledge the covenant breaches and agree the 2 financiers can refuse to advance more cash even though they originally were happy to proceed - they now get the chance to review their options in the light of current world situation. These lenders are already in for many millions to BPC so just pulling up the drawbridge isn't that easy plus I believe they were happy with the risk earlier this year so unless POO drops significantly they will probably release funds. I also believe Stena probably agreed to commit some funds to the project, subject to POO and this will help the 2 financiers to assist. Although many B
Jim - Great post re the Bizzell funding. You've forensically examined the case and logically set out the facts of the matter. As a LTH, I'm 're-reassured' if that's even a word.
Who cares about toilet roll as long as we get black gold
That the p#1 fully funded
willec
What has been common knowledge?
I think it's fair not to move on until we have provided a bit more insight into ross' concerns.
For me the Bizzell CLN is the easiest to answer as little has changed with this. It was true as of the 31st Dec 2019, the end of the reporting period and on the 1st June when the Annual Report was issued, that the Bizzell CLN was not available to draw down and that still remains true today. However, the conditions precedent that are required to unlock this CLN are what i described as the Catch 22 conditions, if we don't satisfy these we most certainly aren't going drilling. We have made some progress on the conditions precedent e.g. unconditional rig contract now signed and BPC have instructed their broker to bind the insurance policy, we are also now in receipt of the Environmental Authorization. I believe the hardest components of this are now complete so i feel the rest will be a formality e.g. signing of contract with Well Services provider.
Now to the 'Facility'. The conditions for this were breached so in defense of this being available i will say the following. The Facility was originally constructed in such a way so as to facilitate draw downs in the early part of 2020, around the time of drilling operations but with the onset of COVID and the postponement of drilling to late 2020 this required restructuring, this occurred on the 25th March 2020. On the 19th March the share price breached 2p (closed @ 1.65p) and continued to remain below 2p, breaching the 5 consecutive day rule on the 25th March, the day the restructuring was agreed. The other condition of the Facility required "no material adverse events subsisting at time of draw-down". To me it therefore feels extremely odd this financial backer would continue with this restructuring whilst conditions were breached.
Finally i would draw your attention to some of the opening words of our CEO in the Annual Report, which was issued on 1st June 2020, deep into the COVID crisis and long after the discussions with financial backers will have taken place:
"Shareholders should be equally encouraged by the relatively strong financial position we are in as we look forward to drilling operations at the end of 2020. In response to Covid-19 we acted quickly to implement appropriate cost control measures to preserve cash while we wait for the dust to settle, and to quickly reach revised agreements with our service and equipment suppliers and providers of our various finance arrangements. As a result, we currently have retained significant cash reserves, and preserved all relationships with backers intent on flexibly supporting the Company once operations are able to resume."
The importance of his statement here on preserving relationships with backers intent on flexibly supporting the Company can not be understated i would say.
I hope this helps assuage your concerns.
Bl@@dy h@ll rossannan this has been common knowledge for months now
willec
You want to move on from funding issues but then you say “P1 is fully funded and paid for”. If you make a statement like that folk are going to challenge it (or I will if they don’t). The extract from the Annual Report is, after all, quite clear. If you want to say that you hope that P1 will soon be fully funded and paid for or that you are confident that P1 will soon be fully funded and paid for, that is fine. But you cannot simply say that it is fully funded and paid for.
Oops, lost a bit of the final paragraph there but you have seen the final paragraph before.
Private_Investor
You may see where I’m coming from with the full extract, not just the final paragraph (apologies, this is from the Annual Report, not the Interims as previously stated):
“As at 31 December 2019, the Group had entered into an agreement with a consortium of Australian investors for the future access to a convertible loan note facility of up to £10.25 million (approx. $13 million). The agreement stipulates that access to the facility remains conditional on a number of prerequisites having been met before the deadline of 15 February 2020 (extended by mutual agreement to 15 October 2020 following the balance sheet date), the key prerequisites being:
i) The Group having entered into a binding contract for the provision of a drilling rig capable of executing the planned exploration well;
ii) The Group having entered into binding contracts for the provision of integrated well services required for the drilling of the planned exploration well;
iii) The Group having secured all of the necessary permits and approvals from the Government of The Bahamas for the execution of the planned exploration well; and
iv) The Group having sufficient cash reserves such that, when aggregated with the total facility funding, would be sufficient to finance the execution of the planned exploration well.
On 20 February 2020 the Group announced that it had entered into an unconditional convertible loan facility for up to
£8 million (approx. $10.4 million) in funding, with £2.7 million (approx. $3.5 million) (net £2.43 million (approx. $3.2 million)) being immediately drawn down on entry into the facility and the remainder being available in equal instalments in the months of April, May, June and July 2020. On 17 March 2020 the Company expanded the facility to provide an additional
£8 million (approx. $10.4 million) in available funding, bringing the total facility to £16 million (approx. $21 million), with a further immediate drawdown of £2 million (approx. $2.6 million) (net £1.8 million (approx. $2.2 million)) and the remainder being available in equal instalments in the months of May, June and July 2020. On 25 March 2020, the timing of the availability of future tranches for draw down was amended by agreement with the facility provider to November 2020, December 2020, January 2021 and February 2021, commensurate with the delay of the target window for commencing the drilling of the Perseverance #1 well announced on the same date in response to uncertainty surrounding the global impact of the Covid-19 pandemic. The ability of the Group to draw down on this facility on these revised dates is contingent on the Group and the facility providers agreeing to reset certain prerequisite conditions relating to the Company’s market share price which were breached following the global financial market response to the Covid-19 pandemic.
As at 31 December 2019 and the execution date of these financial statements [01/06/20] the Group had no ability to draw d
October 15th... im just pleased i'll be asleep for around perhaps 34%-35%. Something has to give by then...
Starchild / jimtheknow
Would you not agree that for the two CLN-based sources of finance, BPC’s latest stated position, as per the Interims and for the non-standard reasons that are stated there, is that it has
“no ability to draw down on the ... convertible loan facilities and there can be no certainty that the facilities will be or remain available for drawdown in the future.”
Starchild
“Out of curiosity is the allegation you asked for money to stop posting negative commentary correct or erroneous?”
That is a strange take on events. Here is my original post:
rossannan
Posted in: CERP 23 Mar 2018 10:20
Posts: 6,706
Price: 5.80
No Opinion
Purple Day
Gentlemen and Ladies
Your positive reaction to my absence from the BB has given me an idea. Would you like the chance to make it a bit more long term? If you would, just follow this link:
https://mydonate.bt.com/fundraisers/rossannan
and for more information about Purple Day, just follow this one:
https://www.epilepsy.org.uk/purple
Monday is Purple Day.
Was that a haddock or a mackerel across the face there jimtheknow? I could almost feel a head swishing past my own head there.
I suppose one issue of the filter is that one only sees one side of a story.
I can of course live with that for now.
It has been a slow day for BPC shares today. Markets have taken a good lashing since CV commenced destroying things. Hopefully we will get some news prior to mid October and that news may cheer a few folk up.#
Ah ross, I think I may understand your problem, you don’t appear to understand what you read.
Where exactly did I acknowledge BPC didn’t have access to funding? I said we are not funded because we don’t have the money in the bank, but I wrote a reasonable bit about believing they will be able to access funding, for me it’s not an issue and that’s why I’m in now.
‘Usual caveats’ is not misleading when talking about going drilling offshore. The caveats I refer to are things like needing a drill rig, needing insurance, etc. These are classic Catch 22 caveats for the BPC project, if you don’t believe they can fulfil these then there is a bigger problem than funding. They secure these, they get the tools to drill and subsequently unlock funding. This is a question regarding whether anyone thinks our BoD are competent oil men isn’t it? Again, if you don’t believe this then this is not a share for you, which it obviously isn’t. It feels like you need to invest in government bonds. An NS&I account or Premium Bonds feels more your level of investment. I think Martin Lewis is highly recommending NS&I accounts at the moment, but you’ll know that already.
I was going to finish with have you had chance yet to research and gain a high degree of confidence in your share buying power for when the day comes but I’ve just realised my error, there’s no need for that, the market will be plenty liquid enough to purchase 8000 shares at c. 5p or 6p when the day comes.
Rossannan (or if may be so familiar, ‘Dross’): Your post addressed to Jimtheknow who is considered by many a highly respected commentator on the BPC BB going back many years, is totally unfounded. This includes my respect, despite having a couple of skirmishes with JTK. Here are the facts and my opinion surrounding the facts:
1. Fact: Currently BPC has 2 CLNs which if invoked will be more than the funding required to drill Percy-1 and have enough left (including change) to develop CERP assets.
2. Fact: It has been stated by the BoD, these CLNs are worst case benchmarks, assuming no Stena JV nor a better deal anywhere else.
3. Fact: Since last month, BPC owns CERP assets it can leverage to offset some of the CLN requirements.
4. Fact: The CLNs could not be invoked, unless waived, if the SP went below 2p at end of day, over a contiguous period of time. Refer to https://finance.yahoo.com/quote/BPC.L/history?p=BPC.L and you will see since June 1, 2020, this I believe has happened only twice. And BTW, I too could make the price at eod 1.95p by selling 5 shares worth 10p as the last trade!
Respectful bottom line opinion: Your post is unfounded.
Out of curiosity is the allegation you asked for money to stop posting negative commentary correct or erroneous?
Starchild
xxx
apologies for the spelling error repetitive oops
I think that answers the annoying repeterive question, though I found it easier just to filter lol. I never used the filter before this month as liked to hear the positive and negative - sadly the board became a school-yard with in the main a lot of name calling and those filtered are more recent posters.
I enjoy a reasonable debate as much as anyone so sticking with being here. Stay safe all ;@)